Introduction with Industrial and Organisational Theories

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Introduction to Industrial & Organizational Behavior

Karin Jesuis

(Joubert-Rheeder)

PhD

Organizational Psychology

Business School

Article in part fulfillment of PhD

June 2020

Table of Contents

Why Organizational behavior matters in the Workplace ........................................................... 4

Introduction to Management Theory and Organizational Behavior .......................................... 5

History of Management Theory ................................................................................................. 6

The Importance of Management Theories .......................................................................................... 6

The Evolution of Management Theory ................................................................................................ 6

Different Management Theories ................................................................................................ 7

Scientific Management Theory ........................................................................................................... 7

Administrative Management Theory .................................................................................................. 8

Bureaucratic Management Theory ..................................................................................................... 8

Human Relations Management Theory .............................................................................................. 9

General Systems Theory ..................................................................................................................... 9

X&Y Management Theory ................................................................................................................. 10

Classical Management Theory .......................................................................................................... 10

Contingency Management ................................................................................................................ 11

Modern Management Theory ........................................................................................................... 11

Quantitative Management ............................................................................................................... 12

Organizations as Learning Systems ................................................................................................... 12

Management Theory and Organizational Behavior ................................................................. 13

What is Organizational Behavior? ........................................................................................... 14

Definitions of OB ...................................................................................................................... 15

Organizational Behavior - A separate Field of Study with Interdisciplinary Appro ach ............. 16

Organizational behavior – important characteristics ........................................................................ 16

Organizational Behavior – Four Major Models ................................................................................. 17

1. Autocratic: .............................................................................................................................................. 17

2. Custodial: ................................................................................................................................................ 17

3. Supportive: ............................................................................................................................................. 17

4. Collegial: ................................................................................................................................................. 17

Important Organizational Behavior Objectives ........................................................................ 18

Behavioral and Interactive Aspects ................................................................................................... 18

Evolution of Organizational Behavior ............................................................................................... 19

Introduction to Contemporary Issues ....................................................................................... 20

Telecommuting ........................................................................................................................................... 20

Green Business Practices ............................................................................................................................. 21

Outsourcing ................................................................................................................................................ 21

Workforce Generations ............................................................................................................................... 22

Conclusion ................................................................................................................................ 23

Bibliography ............................................................................................................................. 24

Works Cited .............................................................................................................................. 24

Why Organizational behavior matters in the

Workplace

To illustrate, let me use a case study of two young professionals. Hardy is an entry level

salesman at short term insurance company. He spends time in his office but also travels to

canvas new clients, check in on existing clients and attend to those clients that might have

queries. His company invest money and time to train and build their sales team. Hardy's

coworkers come from various backgrounds and sales experiences and they work well together

to support the sales efforts of each other .

Karla is an entry level accountant at a prestigious accounting firm. Although Karla work long

hours in her cubicle the is also required to work over weekends to meet impending deadlines,

her team is understaffed, and for this reason the work is sometimes not up to standard as they

have to rush to meet the deadlines to present work to the clients.

Hardy and Karla might have similar personality types, their work experience, satisfaction and

performance will be greatly different because of the different org anizational behavior displayed

at the two companies. Hardy works in a supportive and healthy atmosphere where Karla works

in a stressful and dysfunctional company atmosphere.

Normally numbers and operations are held as the most important for a business. Strong

performance is only possible if the behavior of the organization is as important. A strong and

happy environment can only be built if there is an understanding of what motivates the

employees.

To have a successful career, a knowledge of and study of organizational behavior is important.

How the organization behavior impacts on the individuals and teams in the workforce, is better

understood.

Introduction to Management Theory and Organizational

Behavior

In this section a description of the general history of Management Theory and Practice will be

discussed and how Organizational Behavior has developed into its own separate discipline.

Modern day theories and ideologies have developed over time to adapt to changes in the

society and human behavior towards these changes and adaptation. It is important to

understand Management Theory and how it was used to assist formal organizations to be more

successful and that Organizational Behavior has developed into a separate distinct field.

(Zedeck, 2011)

http://psychlearningcurve.org/about-us/

History of Management Theory

Theories are developed through research and observable facts to help to understand

experiences of humans/organizations. Management then is the act of supervising people, tasks,

events and things to best support the organization, teams and employees. (Taylor, 1914)

The Importance of Management Theories

Management Theories fulfills many functions; it assists the leadership to focus on the main

goals, helps with communication and organizations growth. The priorities of the organization

are achieved with more ease once a management theory is implemented which leads to better

communication and more effective work and higher productivity. Management theories

implementation leads to a better understanding of certain assumptions about management

styles and goals which in turn save time during operations of organization. (Academy of

Management, 2020)

There is no Management Theory that is one-size-fits-all, what works with one organization does

not necessary work in another. Some theories have stood the test of times, but where theories

do not fit a particular situation it is important to explore developing a new theory that can lead

more research.

The Evolution of Management Theory

The Industrial Revolution was the birthplace of Management Theory, from the late 1700s

through to 1900s brought extra- ordinary changes to the workplace and how companies

operate. Management Theory was an important and ground-breaking idea.

Better, faster technology allowed companies to increase output at a dramatic rate and perform

more efficiently. These developments meant – increased output, lower prices which in turn

created more demand, which required more employees. Companies grew at a tremendous

rate. The manager did not know each employee individually, management now had to happen.

Managers now had to oversee larger groups of people, to reach targets of productivity and

quality. Managers had to find ways in which to motivate these employees to reach targets and

quality. This started research, observation and coining concepts and devising experiments to

find innovative ways to motivate employees. Trial and Error followed. The Industrial Revolution

gave birth to many management theories and concepts which is still relevant in today's

workplace. As society evolves more management theories have developed.

Different Management Theories

The change that was brought about by the Industrial Revolution was welcomed but how it

should be managed was widely disagreed upon by the pioneers in management. Six

management theories which all form the base of our current day management theories will be

explored. Keep in mind that today it will be common sense, but in those days, it was

groundbreaking. Although the Industrial Revolution sparked these changes, more changes came

to which management theories had to be developed, we are already going for the 4th /5th

revolution. Companies now have to adapt quickly to adapt to our VUCA world, in which the

Covid19 just created havoc. (Berrin & Bauer, 2018)

Scientific Management Theory

Scientific Management Theory has at its core the vital belief that every task, every day should

be completed in the most effective way, the size of the task is not relevant. Frederick Winslow

Taylor developed and published his Scientific Management Theory in 1909. Winslow's

observation saw that managers only gave orders with very little interaction with employees, the

tasks were completed inefficiently. He recommended some key changes.

The changes that he recommended were the following:

Individuals should be given a task based on their skills and abilities.

Individuals should be evaluated based on the quantity and quality of their work.

Every employee should be compensated on this basis. Employees should not be paid regardless

of their output.

Employees should be trained and professionally developed. The focus of this training and

development was the job at hand.

The Scientific Management Theory had a huge impact on a balanced pay system, better training

and a more efficient workplace and workforce.

Administrative Management Theory

Henri Fayol developed the Administrative Management Theory in the early 1900s. In his theory,

Fayol created fourteen principles which he believed to be the basis of a successful company.

Fayol agreed with many of Taylor's concepts but Fayol focused more on the process of

completing the work most effectively, whereas Taylor's approach focused on the organizational

structure as a whole.

The most important elements of Fayol's theory included: clear division of labor, healthy

manager-employee relationship, one direct manager to report to and that everyone in the

company should be aligned to the goals and vision of the company. Fayol believed that the

organizational structure was critical to the success and productivity of the company.

Bureaucratic Management Theory

Max Weber (Weber, 2015) developed the theory of Bureaucratic Management, his belief that a

bureaucracy is a carefully developed and spelling out of the company's objectives and division

of labor. Although his theory created a hierarchy of demand it also created a system of

supporting and developing employees. The basis for Weber's theory was Taylor's Scientific

Management adding that all employees must have detailed record keeping monitoring the

efficiency, all employees should have a clear job description and expectations. The critical

difference between Weber and Taylor is that Weber recognized human emotion. (Rice, 2019)

Weber argued that too much change is harmful to company morale, that the culture can

become negative and will have negative effect on the success of the company. His premises

that it was important to hire on skills but also on personality. (McCann, 2015)

A short summary of the elements he added:

• hierarchical organization

• formal lines of authority (chain of command)

• a fixed area of activity

• rigid division of labor

• regular and continuous execution of assigned tasks

• all decisions and powers specified and restricted by regulations

• officials with expert training in their fields

• career advancement dependent on technical qualifications

• qualifications evaluated by organizational rules, not individual

Human Relations Management Theory

Elton Mayo's Human Relations Management Theory (Mayo, 2014) hold at its core that there

are more factors than money that influence the wellbeing and performance of employees. To

test this theory, he started observations and experiments at the Chicago's Western Electric

Hawthorne Plant (Mayo, 1949) in the 1920/30s. He created his theory which is also today

known as the Hawthorne Effect. His goal was to improve productivity by dissatisfied employees.

Mayo and his team used lightning quality to measure the impact on productivity. The result was

that no matter how they change the quality of lightning, the productivity increased. In all other

departments they had the same results. The conclusion was that NOT the lightning but the daily

INTERACTION with employees motivated employees to be more productive. The interactions

included that the employees could vent their opinions this made the employees feel more

valued. This revolutionary discovery put the spotlight on human relationship and the dynamics

and importance of individual and groups. (Mayo, 2014)

General Systems Theory

Ludwig von Bertalanffy (1901-1972) was a biologist, he developed Systems Theory as a way of

focusing on the unity of science. He founded General Systems Theory (GST) (Von Bertalanff,

1968)

The general premises of GST are that a system is made up of interacting parts that are affected

by their environment and vice versa. The system, because of the interaction, can evolve, and

self-regulate.

Ludwig looked at the body, if for example, the digestive system is not working properly then the

body is influenced as a whole. If one system of the body fails, the body fails as a whole.

In applying Systems Theory in business, one will find that the same concepts apply:

Entropy: a system runs down and die, this has to be avoided in business.

Synergy: working as a team, the creation is greater that the efforts of an individual member.

Subsystem: businesses are built on subsystems, which in turn also consist of subsystems.

Systems Theory then allows for working in business using different management theories.

X&Y Management Theory

Douglas McGregor after some observations concluded that some managers have negative

feelings towards employees, he called these in this group Theory X. The Theory X managers

believed that employees need to be forced into working, they tend to micromanage, as they

focus on output against employee development and input. This goes back to the Scientific

Management Theory.

Theory Y is on the opposite side of the spectrum. These managers belief that the employees are

inherently motivated to work and gives them opportunities to learn and develop.

Theory Y managers focus on the development and training of their employees, they give

opportunities that helps the employees to thrive. They focus on team rather than independent

work. McGregor stated that team environment teamed with and focus on individual employee

development creates and environment of success and productivity. Theory X and Y still prove

its relevance and is still present in today's world of business.

Classical Management Theory

In classical Management Theory the statement is that employees only have physical needs, so

money is the only criteria used to look at employee satisfaction. The theory solely focusses on

the economics of organizing workers. The narrow focus of this theory is on monetary issues.

The following principles are used:

• Profit maximization

https://onlinelibra ry.wiley.com/doi/epdf /10.1002/sres. 2589

• Single person or select few that make the decisions

• Emphasis on productivity

• Priority is the bottom-line

• Centralized leadership

• Streamlined operations

• Labor specialization

A business run on these principles create a work environment where there is a hierarchical

structure, the employees specialize in certain fields/tasks and their rewards are only based on

finance. The all decisions with regards to the direction the company goes, lies with a select few.

This theory is outdated but three principles if combined with other management practi ces will

make for a good work environment, they are: clear managerial structure, clear definition of

employee roles and division of labor.

Contingency Management

Fred Fiedler was one of the proponents of the Contingency Management Theory in the

1950/60s. Fiedler stated that effective leadership was directly related to the traits a leader

display in a certain situation, from this follows that there is "a leadership style for every

situation". His management approach was then that there is no one management style but that

the leader should adapt and be flexible to deal with different situations and organizations.

Fiedler extended his concept to a much broader theory of organization- focused theory. He

proposed that, organization size, technology used and leadership at all levels are the variables

that determine business and management structure.

Modern Management Theory

As modern businesses face navigating changes that seem to happen overnight and grow

exponentially, the management theory has to change too. Modern Management theory grew

out of Classical Management Theory. Technology is both the cause and solution of the

exponential change dilemma. Modern Management Theory seeks to combine technology, data

analysis, mathematical analysis with the human factor and the traditional parts of the

organization.

The decision making, the organization and management is then approached by scientific and

social variables. Scientific mathematical techniques are used to analyze the relationship

between managers and employees. Instead of only working for money, the employees also

want – happiness, job satisfaction and a work - life balanced lifestyle.

This theory acknowledges that human beings are complex, that their needs change over time so

as do their skills. (Amodt, 2016)

Quantitative Management

The Quantitative Management Theory was developed after WWI, it brought together experts

from scientific fields to address issues that the U.S. Military had in logistics, staffing, materials

and systems.

This assisted the decision makers to calculate the risks, benefits and drawback of their

decisions, the input of science is seen to support the experience of managerial skills. (Levy,

2017)

Organizations as Learning Systems

Organizations as Learning Systems Management Theory or Integral or Holistic Management

Theory is relatively new and in response to other older management theories that are still in

use today.

This theory postulates that a business is a system that is made up and operate on subsystems.

In order for the business to operate smoothly and economically viable all the subsystems have

to run in the same manner. It is therefore the managers responsibility to coordinate and make

sure that subsystems cooperate so that the "organism" continues to function optimally.

The emphasis in this theory is teamwork, learning and change. Learning is encouraged

throughout the organization and not only reserved for certain levels of employees. Teamwork,

participation, information sharing and individual empowerment is the focus of this theory.

Management Theory and Organizational Behavior

As the industrial revolution change the way companies did business in, it also changed the

culture of the companies; their workflow, management style, policies, etc. Taylor's Scientific

Management Theory was one of the first theories that assisted in forming the foundation of

organizational behavior. His focus on productivity and efficiency led to the dynamics between

managers and employees. His approach was challenged by the Human Relations Theory, which

make organizational behavior discipline came to the fore. The Hawthorne studies were a

shining example how interactions between manager and employee have a positive outcome for

the organization. It was becoming clear that the individual and group dynamics played an

important role in the productivity of an organization. Theory X and Y cemented the foundation

of organizational behavior. Organizational Behavior was officially recognized in 1970 as a

unique field of study. (Spector, 2017)

Introduction to Organizational Behavior as

Its Own Field

What is Organizational Behavior?

I

Organizational Behavior (OB) deals with Human Behavior in the Organization. This field of study

is related to individuals, groups of people and their interactions working together as a team.

There are no absolutes in human behavior.

In order to understand the dynamics and manage it successfully, managers should have a

comprehensive knowledge of the individual, his/her background, social framework, educational

level, etc. This knowledge must be used to predict the behavior of the individual(s) in the

workplace and nurture it to align with the objectives of the company and reach targets set.

The value system of the organization, the emotional intelligence of the managers and

employees, the job design, work environment are important causal effects that will determ ine

the human behavior. All these play an important role in the productivity of an employee.

Definitions of OB

"OB is the study of human behavior in organizational setting, of the interface between human

behavior and organization and of the organization itself." (Aswathappa, 2016)

"OB is a field of study that investigates the impact that individuals, groups and structures have

on behavior within organizations for the purpose of applying such knowledge towards

improving an organization's effectiveness." (Stephen, 2015)

Personality, perception, learning, attitude, family background, training, motivation, job

satisfaction, performance appraisal, leadership effectiveness, norms, values and ethics are the

factors which affect the individual behavior. Group dynamics, communication, organizational

environment, individual and organizational culture affect group behavior. Organizational

structure, power & politics, status, relation with juniors & seniors, conflicts and culture affect

the individual behavior in the organization.

These various factors relate to different disciplines including psychology, sociology, social

psychology, political science, anthropology, etc.

Study about individual behavior, group behavior and organizations give the inferences about

how different people react to different situations. It guides regarding the motivation styles and

the leadership styles to be adopted for different persons. Due to the individual differences,

diverse lea dership styles, incentive schemes, motivators, communication styles should be

applied.

Study of organizational behavior helps in studying:

i. Why people behave in a particular way?

ii. Why one person is more effective than the other?

iii. Why one group is more effective than the other?

iv. Why one person is more effective in one organization as compared to the other

organizations?

A company is productive where there is a positive work culture with satisfied employees and

Managers that have the skills to apply different management/leadership styles in the various

situations in the workplace. (Senge, 2006)

Organizational Behavior - A separate Field of

Study with Interdisciplinary Approach

OB is an accepted science that is based in a theoretical foundation, but its approach is

multidisciplinary and not based in a specific theoretical background and it is therefore a

separate field of study. It is a study of human behavior at work, integrating the knowledge from

psychology, sociology and anthropology.

OB by its very nature is an applied science. It is a field that concentrates on applied research

science. As a normative science OB prescribes how the findings of the applied research can be

applied to the organizational which is an individual and group dynamic. OB has the prime

foundation that humans want to be independent, creative and productive, how to achieve this

in real life is the function of OB practitioners. Man's socio -psychological structure makes it a

complex system to st udy, find solutions and implement it.

Organizational behavior – important characteristics

OB as an academic discipline is to understand the human behavior in an organization. Keith

Davis. A condensed list of characteristics are as follows:

• It a rational and not emotional thinking about people. It is action orientated and goal

directed.

• Human and technical values should be balanced in the workplace. This has to ensure

that employee dignity, satisfaction and growth is protected.

• OB integrates the behavioral sciences.

• Modern OB is at once empirical, interpretative and critical as it is a science in the pursuit

of knowledge and meaning.

• OB occurs at the different levels of the individual, group and organization – these

elements then interplay with the environment in which the organization operates. It is

all interactive.

Organizational Behavior – Four Major Models

There are four major models or frameworks that organizations operate from: (Thomas B.

Lawrence, 2019)

1. Autocratic:

The basis of this mo del is that of "the boss is the boss", he/she needs to be obeyed. The

employees are orientated to depend on the boss. The employee need that is met is subsistence

and the performance result is almost non -existent. This model has its roots in the industrial

revolution and organizations then operate mostly on McGregor's Theory X.

2. Custodial:

In this model the resources reside with the manager. Employees depend on the organization for

security, benefits and dependence. The employee need that is met is security and the

performance is that of passive cooperation.

3. Supportive:

This model's base is leadership, with where the employee need of status and recognition is

met.

4. Collegial:

The basis for this model is one of partnership and teamwork, the employees are expected to

behave responsibly and be self - disciplined. Here the employ can satisfy the self -actualization

need. The performance result is enthusiasm.

These models are used in combination in organizations, usually one would be the dominant

model.

Important Organizational Behavior Objectives

(i) To analyze different perspective and potentialities to create and develop the ethical values

in an organization,

(ii) To analyze the potentialities towards the ways and means to con duct and organize the

systems, methods and approaches for organization development in an organization,

(iii) To analyze the potentialities to develop process, methods and approaches of formal and

informal patterns of organization and society,

(iv) To analyze how to make perspective methods and process of effective communication to

formulate ethical norms in an organization ,

(v) To analyze various aspects and factors affecting the group cohesiveness,

(vi) To analyze the ways and means to develop different ethical aspects for group dynamism,

(vii) To analyze the mutual interest of individual and group. Mutual interest is represented by

the statement 'Organization needs people, and people also need organization',

(viii) To analyze and evaluate the role of different key elements like people, structure,

technology interactive behavior and environment etc.

(ix) To analyze and evaluate the behavioral approaches in organization . In context of that all of

them are based on 'Art' and 'Science',

(x) To analyze different aspects of work environment which duly affects the behavioral patterns

and attitudes of persons.

Behavioral and Interactive Aspects

(Directorate American Psychological Association, 2020)

OB is a dynamic and multidisciplinary study and action field that is the collection of knowledge

of behavior by studying the individual, groups and organizational processes.

o OB focusses on three levels of analysis: individual employees, teams and the

organizational structure. The individual an d team both influence the organization, which

all is again influenced by the environment in which the organization operates.

o OB includ es many disciplines such as psychology, sociology and anthropology,

interpersonal conflict, political sciences, management sciences and so forth. The

learning area is more relevant to different disciplines e.g. Psychology for group

Organizational Psychology and Behavior, and integrated approach to understanding the workplace; Byrne, Zita August 21, 2019

dynamics, sociology is for group culture and so forth. OB seeks behavioral patterns so as

to develop behavioral approaches.

o OB is an integrated process which studies the key elements of OB, these are:

i) People – interacts which develop the platform for behavioral studies in society.

ii) Structure – the formal relationship between people created the structural design of

the organization. The structure dictates the managerial, rights and responsibilities in

the organization of any person or group.

iii) Technology – enhance or diminish the performance of people which in turn

influence the interactive behavior within the organization.

iv) The interactive relationship either formal and informal form the perspectives of the

people within an organization, the mutual behavior can be developed by how they

identify, exist and interact with the organization and the society.

v) Environment - all organizations operate within internal and external environment.

The existence, structural design, work performance, mutual relations and behavioral

patterns are duly influenced by the internal and external environmental factors.

Organizational Behavior explains and make prediction based on observations of human

behavior. Once the behavior is understood it can be predicted how it can influence the

organization. The organization also influences the individual, so to study the interaction

between employees and organization and the subsequent influences forms part of

Organizational Behavior.

Evolution of Organizational Behavior

The components of OB can be traced back to philosophers like Plato and Aristotle where they

discussed the elements of leadership and clear communication, which is key elements of

today's organizations.

OB has grown into a niche field incorporating disciplines of management, psychology,

leadership, personality traits, motivation, emotional intelligence, etc. It is also a field that is

constantly changing. It covers three levels of influence, namely individual, group (team) and

organization.

Introduction to Contemporary Issues

Changes in the environment and society effect the organizational culture and behavior, OB is

constantly evolving. It is important to understand how contemporary issues also effect the

organization.

Technology is both a blessing and a problem for an organization, technology keeps the

organization in touch all the time, it also shortens the execution time of some tasks but this all

upsets the work-life-balance, which then has its own effects on the individual and organization.

Telecommuting

Telecommuting allows employees to work remotely. How does this impact the organizational

behavior? Telecommuting allows employees to work from anywhere, anytime. The positive is

that these individuals can balance a better work- life balance. People who work in this way are

usually self- motivated and efficient with no distractions from work. Studies show that

telecommuters ar e more motivated and perform on a higher level, which leads to better

retention. Companies has a larger selection pool to hire from and can choose best skills set

available. Telecommuting saves the company a lot of money on physical space and all that goes

with it .

The challenges of Telecommuting are that the employee needs to be self- motivated and time

management disciplined, he/she may miss deadlines. Companies have to find a new way to

manage telecommuters and the manager cannot drop in to see the progress. The employee

may get feelings of isolation from lack of face to face contact. This can have an impact on

morale.

Studies have found that the biggest issue is where companies have a mix of Telecommuting and

non-telecommuting. (Lusier, 2013) The non -telecommuters were not happy with

Telecommuters arrangements. It can lead to a toxic workplace if not managed well. Clear

policies and operational instructions need to be in place, which need to include topics of

mandatory technology capabilities, the mode and communication requirements, how

accessible employee should be. When the company has a well- defined and well executed plan,

telecommuting is extremely beneficial to the company and employees.

There are other business options that also benefits the company and the employees which are

the new normal. A few of these are:

Green Business Practices

Consumers have become much more demanding in the issues of sustainability and climate

change. Companies need to change their operations to fit these goals. One of the most

prominent companies to advocate this is Starbucks. The recycle as far as they can and also

enable their customers to do the same. Internally companies have to follow green and

sustainable practices and thus have to recruit accordingly. The culture of these companies will

then change over time.

Outsourcing

Outsourcing can have benefits and lead to complications for a company. Outsourcing is the

hiring of external individuals to perform a job function which usually are done by internal

employees. Some of these functions are IT, call centers and HR and manufacturing.

The problems created with outsourcing is when the outsourcing is done to other countries, thus

loosing jobs in the resident country. Shareholders are demanding more and more profits, which

leads to outsourcing practices that do not favor the resident country. Legislation, especially in

USA,* is promulgated to counter these outsourcing practices to India and China. Outsourcing

impacts on the company on every level and influences the company's organizational behavior.

The company may outsource one function of its operations but it may indirectly affect another

department. If HR is outsourced, the other departments now have to interact with an external

entity which impacts behavior, performance and job satisfaction.

The downside of outsourcing is that when the company wants to change to another vendor or

bring it back inhouse again, the process is much lengthier process, which takes money,

resources and time.

Regardless of personal opinion, outsourcing or freelancing impacts on the organizational

behavior.

Workforce Generations

In the workplace individuals of all ages, religions, ethnicity , educational background,

backgrounds, lifestyle differences, motivational differences and gender are found. Something a

little subtler also influences the interactions between co -workers and this is generational

differences. It is beneficial to learn about generational differences and can be very important

on how teams are composed. In today's working environment there are three generations that

are predominantly active – baby boomers, generation X and generation Y with generation Z just

starting to enter the workforce.

Let's examine the generations more generally: (Underwood, 2016)

• Baby Boomers: born between 1946 and 1964. Baby Boomers have been working the

longest and have extensive knowledge and experience. They want and oftentimes expect

others to value their input and opinions. Baby Boomers believe that hard work equates to

long hours and that integrity in the workforce should be top priority. They are known to

"live to work" and place extreme value on career advancement and promotion. They

enjoy working in a team environment and are said to have created meeting culture.

• Generation X: born between 1965 and 1981. Generation X has been through a roller-

coaster of economic events. Downturns and upswings have impacted their career

choices, career successes, and career futures. Unlike the Baby Boomers, Generation X has

a more "work to live" mentality and value their life outside of the workplace. While they

have a good work ethic, their work- life balance is of highest importance to them.

• Generation Y: born between 1982 and 1997. Generation Y, also known as Millennials,

are the youngest members of the current workforce. Generation Y typically grew up with

two working parents and a to- do list constantly on display throughout their childhood.

Because of this, Generation Y has the ability to multitask and also values work-life

balance. However, differently from Generation X, Generation Y believes they need to

accomplish things on their to- do list in order to enjoy their free time. Therefore,

Generation Y tends to be very goal oriented and efficient.

• Generation Z: born between 1997 and today. Generation Z has never known a world

before technology. They have grown up in an "always on" world where technology is

readily available and used on a regular basis. Technology has been utilized as a babysitter

by many parents of this generation and it is also present in the classroom. This constant

access to technology makes Generation Z extremely tech savvy but has also changed

behavior and lifestyle. Whether or not these behavioral and lifestyle changes will carry on

into their adulthood is yet to be determined. Generation Z is starting to enter into the

workforce with the oldest members turning 22 -years-old in 2019.

Conclusion

Industrial and Organizational Psychology has become a very important part of the corporate

world today. Times changes, technology steams ahead introducing new and faster ways to

deliver products and services. The world had just been hit by a so- called pandemic and it has

wreaked havoc from one- man business to large corporations. The environment we live in has

changed dramatically changed in ways we could not perceive it before. This was a black swan

event in how the COVID19 virus played out.

All of this experience now will make interaction, collaboration, beliefs, motivation, hiring, teams

and diversity in the workplace a totally new environment. What to expect? Management will

now face challenges for which they are not prepared, this means that I/O Psychology has

entered a new era, which would need many studies to adapt current theories and practices to

adapt to the new normal.

Bibliography

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Works Cited

Academy of Management, o. j., 2020. Academy of Management. Academy of Management,

April.62(2).

Amodt, M. G., 2016. Industrial/Organization Psychology: an applied approach. s.l.:s.n.

Aswathappa, K., 2016. Organizational Behaviour. New Delhi: Himalaya Publishing House.

Berrin, E. & Bauer, T. N. U. K. U., 2018. Industrial/Organizational Psychology. June.78(6).

Directorate American Psychological Association, E., 2020. Modern Day I/O Psychology

[Interview] (15 March 2020).

Levy, P. E., 2017. Industrial/Organizational Psychology: Understanding the Workplace. s.l.:s.n.

Lusier, R. N., 2013. Human Relations in Organizations: Applications and Skill Building.

s.l.:Richard E Darwin.

Mayo, E., 1949. Hawthorne and the western electric company. Public Administration: Concepts

and Cases. s.l.:s.n.

Mayo, E., 2014. The social problems of an industrial civilisation. In: s.l.:Routledge.

McCann, L., 2015. From Management to Leadership: The SAGE Sociology of Work and

Employement. s.l.:SAGE.

Rice, O., 2019. Houston(Texas): OpenStax Rice University .

Senge, P. M., 2006. The Fifth Discipline: The Art & Practice of The Learning Organization. New

York: Crown Business.

Spector, P. E., 2017. Industrial and Organizational Psychology: Research and Practice. s.l.:s.n.

Stephen, P. R., 2015. Organizational Behavior. San Diego University (Florida): Pearson .

Taylor, F., 1914. The Principles of Scientific Management. s.l.:Harper.

Thomas B. Lawrence, N. P., 2019. Constructing Organizational Life How Social-Symbolic Work

Shapes Selves, Organizations, and Institutions. s.l.:s.n.

Underwood, C., 2016. America's Generations: In The Workplace, Marketplace, And Living Room.

16 ed. s.l.:Create Space Receiving.

Von Bertalanff, L., 1968. General System Theory: Foundations, Development, Applications. s.l.:G.

Braziller.

Weber, M., 2015. Bureaucracy . In: T. Waters & D. Waters, eds. Rationalism and Modern

Society: New Translations on Politics, Bureaucracy and Social Stratifications. s.l.:Palgrave

McMillan, pp. 73-128.

Zedeck, S. (., 2011. APA Handbook of Industrial- Organizational Psychology. Washington DC: s.n.

ResearchGate has not been able to resolve any citations for this publication.

APA Handbook of Industrial-Organizational Psychology. Washington DC: s.n

  • S Zedeck

Zedeck, S. (., 2011. APA Handbook of Industrial-Organizational Psychology. Washington DC: s.n.