Organisational behaviour is the study of what people think, feel and do in and around organisations. Organisations are groups of people who work interdependently toward some purpose. Although OB doesn't have a specific career path, it offers knowledge and skills that are vitally important to anyone who works in organisations. OB knowledge also has a significant effect on the success of organisations. This book takes the view that OB is for everyone.
Organisational effectiveness is a multidimensional concept represented by four perspectives: the open-systems, organisational learning, high-performance work practices and stakeholder perspectives. The open-systems perspective says that organisations need to adapt to their external environment and configure their internal subsystems to maximise efficiency and responsiveness. For the most part, the other perspectives of organisational effectiveness are detailed extensions of the open-systems model. The organisational learning perspective states that organisational effectiveness depends on the organisation's capacity to acquire, share, use and store valuable knowledge. Intellectual capital is knowledge that resides in an organisation, including its human* capital, structural* capital and relationship* capital. Effective organisations also ‘unlearn’, meaning that they remove knowledge that no longer adds value.
The high-performance work practices (HPWP) perspective states that effective organisations leverage the human capital potential of their employees. Specific HPWPs have been identified, and experts in this field suggest that they need to be bundled together for maximum benefit. The stakeholder perspective states that effective organisations take into account how their actions affect others, and this requires them to understand, manage and satisfy the interests of their stakeholders. This perspective incorporates values*, ethics* and corporate social responsibility into the organisational effectiveness