Table Of ContentOrganizational
Behavior
Human Behavior at Work
Organizational
Behavior
Human Behavior at Work Twelfth Edition
John W. Newstrom, Ph.D.
University of Minnesota Duluth
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ORGANIZATIONAL BEHAVIOR: HUMAN BEHAVIOR AT WORK
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ISBN-13: 978-0-07-287546-1
ISBN-10: 0-07-287546-1
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Library of Congress Cataloging-in-Publication Data
Newstrom, John W.
Organizational behavior: human behavior at work/John W. Newstrom, Keith Davis.
p. cm.
Includes bibliographical references and indexes.
Contents: Fundamentals of organizational behavior—Motivation and reward
systems—Leadership and empowerment—Individual and interpersonal behavior—
Group behavior—Change and its effects—Emerging aspects of organizational behavior—
Case problems.
ISBN-13: 978-0-07-287546-1 (alk. paper)
ISBN-10: 0-07-287546-1 (alk. paper)
1. Organizational behavior. 2. Industrial sociology. I. Davis, Keith. II. Title.
HD58.7.D36 2007
302.3 5–dc22 2006041925
www.mhhe.com
To the memory of Keith Davis—admired
coauthor, gentle coach, and thoughtful
friend—who gave me the opportunity and
assistance vital to establishing a highly
successful book-publishing career.
To Jon L. Pierce—academic hero,
productive coauthor, and close personal
friend—who sets high standards for
himself and others, delivers on his
promises beyond expectations, provides
wise counsel when asked, and has been a
staunch supporter through thick and thin.
About the Author
John W. Newstrom
University of Minnesota Duluth
John W.Newstrom is a respected teacher, widely published author, and consultant to
organizations in the areas of training and supervisory development. He is a Professor
Emeritus of Management in the Management Studies Department of the Labovitz
School of Business and Economics at the University of Minnesota Duluth (UMD).
While there, he taught courses in managing change, training and development, organi-
zational behavior and management, and interpersonal and group relations for nearly
thirty years. He was previously on the faculty at Arizona State University (ASU), and he
also worked at Honeywell Company. He holds bachelor’s, master’s, and Ph.D. degrees
from the University of Minnesota. He has conducted training programs on a wide range
of topics for organizations in the health care, steel, taconite mining, consumer products, gas
transmission, public utility, and paper products industries as well as for city governments
and federal agencies.
Dr. Newstrom has published more than sixty professional and practitioner articles in
periodicals such as Academy of Management Executive, Academy of Management
Journal,Workforce,Personnel Journal,Human Resource Planning,Business Horizons,
Training and Development, Journal of Management Development, California Manage-
ment Review,S.A.M. Advanced Management Journal,Training,Supervisory Management,
Journal of Management, Journal of Occupational Behavior, and Supervision; he has
served on the editorial review boards for several management journals; and he is the
coauthor of thirty-five books in various editions, including The Manager’s Bookshelf,
Organizational Behavior, Supervision: Managing for Results, Transfer of Training,
Games Trainers Play, Leaders and the Leadership Process, and The Big Book of Team
Building Games.
His administrative experiences include being chairperson of UMD’s Business Adminis-
tration Department, director of the Center for Professional Development, acting director of
ASU’s Bureau of Business and Economic Research, and chairperson of the Management
Education and Development (MED) division of the Academy of Management. He has also
served on (or as a strategic consultant to) the boards of directors of several organizations,
such as the American Society for Training & Development, St. Louis County Heritage and
Arts Center, United Developmental Achievement Center, Duluth-Superior Community
Foundation, Riverwood Healthcare Center, and Arrowhead Food Bank. He has held mem-
berships in the Academy of Management, Organizational Behavior Teaching Society, and
the Society for Advancement of Management.
Dr. Newstrom has received many awards in recognition of his innovative teaching and
service to students and the community. He was the recipient of an Outstanding Reviewer
Award from the MED division of the Academy of Management, the Outstanding Faculty
Award from the UMD Student Association, the campus Outstanding Adviser Award, and
several “favorite professor” recognition awards at UMD. His highest honor occurred when
he was named a recipient of the Horace T. Morse-University of Minnesota Alumni Associ-
ation Award for Outstanding Contributions to Undergraduate Education. Dr. Newstrom is
also a member of the University of Minnesota’s prestigious Academy of Distinguished
Teachers.
On the personal side, John is married (to Diane, for over 40 years) and is the father
of two college graduates (Scott and Heidi). He loves to hunt, work crossword and su-
doku puzzles, bake Scandinavian pastries, drive his 1980 red MGB sportster, play golf,
vi
About the Author vii
maintain contact with former students, conduct genealogical research, work outdoors at
his cabin in northern Minnesota, spend quality time with family members and friends,
play cribbage, and vacation in sunny climates. His favorite community service activities
include being a frequent blood donor, coleader of a Paint-A-Thon team for painting the
houses of low-income persons, hospice volunteer, and “big brother” to a young boy.
John also sings bass in a barbershop quartet, the Northern Knights. He and his wife live
in Aitkin, Minnesota, where he practices the fine art of “neoteny” (energetic and joyful
living).
Contents in Brief
Preface xvi PART FIVE
Group Behavior 275
PART ONE
12 Informal and Formal Groups 276
Fundamentals of Organizational
13 Teams and Team Building 302
Behavior 1
1 The Dynamics of People and
PART SIX
Organizations 2
Change and Its Effects 323
2 Models of Organizational Behavior 24
14 Managing Change 324
3 Managing Communications 44
15 Stress and Counseling 352
4 Social Systems and Organizational
Culture 74
PART SEVEN
Emerging Aspects of Organizational
PART TWO
Behavior 379
Motivation and Reward Systems 99
16 Organizational Behavior across
5 Motivation 100 Cultures 380
6 Appraising and Rewarding
Performance 130 PART EIGHT
Case Problems 403
PART THREE
Leadership and Empowerment 157 GLOSSARY 454
7 Leadership 158
APPENDIX: PERSONAL
8 Empowerment and Participation 180
DEVELOPMENT PLAN 468
PART FOUR
REFERENCES 471
Individual and Interpersonal Behavior 201
9 Employee Attitudes and Their
NAME INDEX 488
Effects 202
10 Issues between Organizations and
SUBJECT INDEX 493
Individuals 226
11 Interpersonal Behavior 252
viii
Contents
Preface xvi Chapter 2
Models of Organizational Behavior 24
PART ONE
CHAPTER OBJECTIVES 24
FUNDAMENTALS OF An Organizational Behavior System 25
ORGANIZATIONAL BEHAVIOR 1 Elements of the System 25
Models of Organizational Behavior 28
Chapter 1 The Autocratic Model 31
The Dynamics of People and The Custodial Model 31
Organizations 2 The Supportive Model 33
The Collegial Model 34
CHAPTER OBJECTIVES 2
The System Model 35
Understanding Organizational Behavior 3
Conclusions about the Models 37
Definition 3 SUMMARY 39
Goals 4 Terms and Concepts for Review 40
Forces 4 Discussion Questions 40
Positive Characteristics of the Organizational Assess Your Own Skills 41
Behavior Field 6 Incident: The New Plant Manager 42
Fundamental Concepts 8 Experiential Exercise: The Rapid
The Nature of People 9 Corporation 43
The Nature of Organizations 10 Generating OB Insights 43
Basic Approaches of This Book 12 WHATMANAGERSAREREADING 32, 37
A Human Resources (Supportive) Approach 12 ANETHICALISSUE 36
A Contingency Approach 13 MANAGINGACROSSNATIONALBOUNDARIES 38
A Results-Oriented Approach 13 ADVICETOFUTUREMANAGERS 40
A Systems Approach 15
Limitations of Organizational Behavior 16 Chapter 3
Behavioral Bias 16
Managing Communications 44
The Law of Diminishing Returns 17
Unethical Manipulation of People 17 CHAPTER OBJECTIVES 44
Continuing Challenges 18 Communication Fundamentals 45
Seeking Quick Fixes 18 The Importance of Communication 45
Varying Environments 19 The Two-Way Communication Process 46
SUMMARY 19 Potential Problems 49
Terms and Concepts for Review 19 Communication Barriers 50
Discussion Questions 20 Communication Symbols 51
Assess Your Own Skills 20 The Impact of Barriers on the Communication
Incident: The Transferred Sales Process 54
Representative 21 Downward Communication 55
Experiential Exercise: Ethics in Organizational Prerequisites and Problems 55
Behavior 22 Communication Needs 56
Generating OB Insights 23 Upward Communication 57
WHATMANAGERSAREREADING 7, 11 Difficulties 58
ADVICETOFUTUREMANAGERS 18 Upward Communication Practices 59
ix
x Contents
Other Forms of Communication 62 Incident: Liberty Construction Company 97
Lateral Communication 62 Experiential Exercise: Role Perceptions of Students
Electronic Communication 63 and Instructors 97
Informal Communication 65 Generating OB Insights 97
Features of the Grapevine 66 ANETHICSQUESTION 80
Rumor 67 WHATMANAGERSAREREADING 88
SUMMARY 68 ADVICETOFUTUREMANAGERS 94
Terms and Concepts for Review 69
Discussion Questions 69 PART TWO
Assess Your Own Skills 70 MOTIVATION AND REWARD
Incident: A Breakdown in Communications 71 SYSTEMS 99
Experiential Exercise: Communication Style 72
Generating OB Insights 72 Chapter 5
WHATMANAGERSAREREADING 48 Motivation 100
GLOBALCOMMUNICATIONPRACTICES 51
ANETHICALQUESTION 56 CHAPTER OBJECTIVES 100
DIVERSITYINCOMMUNICATIONS 59 A Model of Motivation 101
ADVICETOFUTUREMANAGERS 69 Motivational Drives 102
Achievement Motivation 102
Chapter 4 Affiliation Motivation 103
Power Motivation 103
Social Systems and Organizational
Managerial Application of the Drives 103
Culture 74
Human Needs 103
CHAPTER OBJECTIVES 74 Types of Needs 104
Understanding a Social System 75 Maslow’s Hierarchy of Needs 105
Social Equilibrium 75 Herzberg’s Two-Factor Model 106
Functional and Dysfunctional Effects 76 Alderfer’s E-R-G Model 108
Psychological and Economic Contracts 76 Comparison of the Maslow, Herzberg, and Alderfer
Social Culture 78 Models 109
Cultural Diversity 78 Behavior Modification 109
Social Culture Values 79 Law of Effect 109
Role 80 Alternative Consequences 110
Role Perceptions 80 Schedules of Reinforcement 112
Mentors 82 Interpreting Behavior Modification 112
Role Conflict 83 Goal Setting 113
Role Ambiguity 84 Elements of Goal Setting 113
Status 84 The Expectancy Model 115
Status Relationships 85 The Three Factors 115
Status Symbols 85 How the Model Works 116
Sources of Status 86 Interpreting the Expectancy Model 118
Significance of Status 87 The Equity Model 119
Organizational Culture 87 Interpreting the Equity Model 121
Characteristics of Cultures 88 Interpreting Motivational Models 122
Measuring Organizational Culture 90 SUMMARY 123
Communicating and Changing Culture 90 Terms and Concepts for Review 124
Fun Workplaces 93 Discussion Questions 124
SUMMARY 94 Assess Your Own Skills 125
Terms and Concepts for Review 95 Role-Play: The Downsized Firm 126
Discussion Questions 95 Incident: The Piano Builder 127
Assess Your Own Skills 95 Experiential Exercise: Are Grades Motivators? 128
