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What is OBM (Organizational Behavior Management)?

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What is Organizational Behavior?

Organizational Behavior is a field of study that deals with how people behave and interact within groups. 

Organizational Behavior is typically applied in organizations, business enterprises, and companies that want to improve their productivity and efficiency by top ERP systems

This field of study involves extensive research in many areas related to employees and their productivity. 

Mainly, the organizational behavior research is dedicated to increasing job satisfaction, improving job performance, promoting creativity and productivity, and encouraging leadership. 

After researching a particular organization, business enterprise, or company, the employees and staff members are familiarized with the results. Then, their workload is modified according to their productivity, job satisfaction, and job performance. 

Organizational Behavior Definition: What It is and Its Subfields

Organizational Behavior Management OBM applies behavior analytical principles to working individuals in organizations, businesses, or companies. 

Organizational Behavior Management is essentially a subfield of Applied Behavior Analysis (ABA) that develops techniques to counter behavioral problems and improve productivity. 

Similar to Applied Behavior Analysis, Organizational Behavior Management works exclusively to develop and produce techniques to change or improve behavior. 

Unlike other psychological and behavioral studies that focus on the traits of a particularly productive person, Organizational Behavior Management and Applied Behavior Analysis focus solely on investigating the ways to improve productivity. 

There are three main specialty areas on which Organization Behavior Management works. They are:

1) Behavior-Based Safety

Behavior-Based Safety is a fast-growing specialty in Organizational Behavior Management that analyzes and alters working environments to reduce injuries and promote a safe working environment for employees.

Instead of focusing on engineering, mechanical, and structural technicalities, Behavior-based Safety concentrates on altering the employee’s Behavior to promote a safe working environment, reducing injuries, and improving job performance.

2) Performance Management

Performance Management applies the concept of behavioral analytic principles to manage the performance of employees in an organization, business enterprise, or a company. 

This specialty area used to be the synonym of Organizational Behavior Management, but now, it is a separate specialty area that contrasts others by its methods of managing performance. 

3) System Analysis

System Analysis means analyzing and modifying organizational and business processes to profit the company or the organization. 

This specialty area focuses mainly on how individual employees or a group of employees can perform and complete tasks independently, leading to the production of products or services for the business or organization. 

Organizational Behavior Model

The Organization Behavior Model helps us understand the complex concepts and ideas of organizational behavior management transparently. 

Many Organizational Behavior Models can be used to realize Organizational Behavior Management. 

Though, only four of them are considered to be the most credible models of Organization Behavior Management. 

1) Autocratic Model

The Autocratic Organizational Behavior Model relies on power, authority, and strength. In this Organizational Behavior Model, the employees are oriented towards the obedience and discipline of their managers. 

The managers exercise their power and command over the employees and give them orders that the employees have to obey. 

Another guiding principle in this model is that the employees have a relatively low level of skills, and they need to be fully guided and directed to their work. 

Their innovations and ideas are generally not welcomed, and the higher-ups make critical decisions regarding organization, business, or company in the management. 

2) Custodial Model

The Custodial Organizational Behavior Model is based on the economic resources, usually the capital, of an organization, business enterprise, or company. 

In this Organizational Behavior example, the employees are generally oriented towards the benefits and security offered. Though, they are still largely dependent on the organization, business, or company they are working in. 

With this concept of providing employees economic security through high salaries and other benefits, the managers create employee loyalty and motivation that drives them to be more productive in their work, thus improving their job performance and increasing job satisfaction. 

The employees in the Custodial Model have a relatively more extensive repertoire of skills than the employees in the Autocratic Model. The employees are also more motivated and compete with other employees and staff members through employee expertise. 

However, there are some downsides to the Custodial Model. Some employees still do not produce in the scale of their capability. 

They are also not motivated enough to increase their repertoire of skills. Although they are satisfied with their job, they lack the motivation to fulfill their work capacity. 

3) Supportive Model

The Supportive Model is based on leadership with a managerial orientation of support. The Supportive Organizational Behavior Model orients employees towards their job performance. 

Unlike in the Autocratic Model, employees’ needs are met, and they gain status and recognition. This awakens their true potential and drives them to perform at their best at work. 

While the previous two organizational behavior models are based on economic resources, power, and authority, this model is entirely based on aspiring leadership. 

There is no concept of authority or power over employees, or incentives, such as economic security, associated with this model. 

Instead, the Supportive Model motivates employees through an employee-manager relationship and how employees are treated daily. 

Thus, the core intent in the Supportive Model is to provide a positive workspace or a working environment that encourages creativity, innovations, and unique ideas. 

Under the manager’s leadership, the employees’ job performance improves, and their job satisfaction increases. 

4) Collegial Model

The Collegial Organizational Behavior Model is an add-on to the Supportive Model based on building a feeling of partnership with the employees. 

The literal meaning of the word ‘college’ means people having a common purpose; thus, the Collegial Model is related to the concept of teamwork. 

Under the Collegial Model, the employees feel helpful and needed, motivating them to do their best at their tasks and work. 

These employees consider their managers as joint contributors to the organization, business, or company, instead of bosses who only command tasks and work. 

One of the most significant benefits of this model is that employees become self-disciplined and feel responsible, which creates a feeling of solidarity. 

Organizational Behavior Theory

Organizational Behavior Theory is the study that deals with human behavior, typically employees and managers, in an organization, business enterprise, or a company. 

Essentially, employees are asked questions regarding their Behavior and their reasons for behaving in such a way. 

Organizational Behavior Theory started back in the early 1900s, and it is developed primarily out of classical management theory. 

Organizational Behavior Theory is primarily applied in businesses, companies, and organizations to figure out how to increase employees’ work productivity, performance, and job satisfaction. 

These aspects are thoroughly studied and analyzed by theorists, who recommend the best course of action for the employees. 

Organizational Behavior Concepts

There are quite some fundamental Organizational Behavior Concepts that Organizational Behavior Management revolves around. 

Some of these concepts are also extensively used in other psychological studies and subfields. These Organizational Behavior Concepts are:

  • Perception
  • Individual Difference
  • Human Dignity
  • Holistic Concept
  • Motivation
  • The Desire of Involvement
  • Mutual Interests

Organizational Behavior Leadership

Leadership is another crucial element of Organizational Behavior Management that keeps businesses, companies, and organizations from falling. 

Organizational Behavior Leadership can be defined as good management and making sound decisions in critical times. Leaders also tend to inspire and motivate others to perform at their very best, with high productivity. 

Organizational Behavior Leadership is essential for companies, businesses, and organizations as it leads to higher performance from other employees. It also improves the motivation and morale of employees and helps change the working environment into a positive one. 

Furthermore, it creates a sense of responsibility among employees and staff members in the organization or company. All in all, Organizational Behavior Leadership increases the value of an organization, business, or company. 

Organizational Behavior Examples

Organizational Behavior Management has been implemented by many companies, businesses, and organizations, and it has dramatically improved employee performance. 

1) Nokia

One of the most well-known Organizational Behavior examples today is Nokia. Studying Nokia’s Organizational Behavior Management can prove to be fruitful for many small-scale or newly founded organizations, companies, and business enterprises. 

After a series of setbacks in 2009, Nokia implemented Organizational Behavior Management, which proved to be very successful, regaining its past status as the most valuable company in Finland.

2) Google

Google is far more than just a search engine. Google’s expert engineers are studying and researching various projects, such as implementing and enhancing its artificial intelligence technology, improving mobile phone process automation, and even self-driving cars. 

Google became so diverse that it became difficult to manage the company.

Therefore, Google started implementing Organizational Behavior Management in 2015. An expert wrote a journal of Organizational Behavior and broke up Google into a collection of companies with a new parent company, Alphabet, overseeing companies. 

3) Microsoft

Although Microsoft Windows and Office products were catapulted to the tech world’s top, Microsoft struggled to forge an identity as Apple and Samsung took over the smartphones market and Google dominated online search engines. 

After implementing Organizational Behavior Management, it was discovered that the problem lay in the company’s staff members and other small companies that were competitive to the point of being hostile. 

The problem had to be solved, and the minor companies and staff members had to collaborate and work as a team. 

Thus, Microsoft’s then CEO focused on eliminating those discriminations and aggressive competition and paid attention to making employees and staff members more productive and job satisfied. 

To do this, personal computing and an intelligent cloud platform were introduced that reinforced the employees’ productivity and made business processes more efficient. 

Furthermore, Artificial Intelligence and Research Groups were created with computer scientists working on various projects together. 

In an interview, the CEO highly praised Organizational Behavior Management and the employees’ attitude. The employees were said to be more motivated, productive, and engaged in their work. 

Importance of Organizational Behavior 

Organizational Behavior Management gives valuable insights into employee’s performance in workplaces. 

It helps a company, business, or organization manager understand the aspects of motivation for an employee. With this understanding and insight, managers can develop strong and trustful relationships with their employees. 

Organizational Behavior Management helps managers comprehend the motivation tools that can empower employees to do their best at work. 

After an employee finds motivation to work, they can reach their full potential and perform outstandingly at work. 

Furthermore, studies have shown that Organizational Behavior decreases stress levels and makes employees maintain a positive attitude. This positive attitude eliminates any gossip or rudeness that negatively affects productivity. 

Organizational Behavior Problems

Although there are countless benefits of Organizational Behavior Management, there are quite some downsides as well. These problems are mainly associated with the psychological state of an employee. Some of the common Organizational Behavior problems are:

  • Managing workforce daily
  • Coping with leaves
  • Improving work quality
  • Enhancing employee’s skills
  • Increasing productivity
  • Improving ethical Behavior
  • Behavioral bias

Organizational Behavior in Healthcare

Organizational Behavior has been implemented in many healthcare institutes as it was considered a necessity for many reasons. Organizational Behavior offers a streamlined system that significantly reduces medical errors. 

After implementing Organizational Behavior in many healthcare institutes, reports have pointed out many issues among staff members and patients that needed to be rectified. Also, reports have suggested many SOPs that healthcare institutes should follow, especially following the pandemic. 

Furthermore, Organizational Behavior provided a system for patients for efficient admission to internal medicine departments. This reduced the waiting time for emergency patients who needed treatment immediately. 


Organizational Behavior Management (OBM) is one of many tools that managers of an organization, business enterprise, or a company can improve their workflow. 

Its objective is to provide better workspaces for employees, improve their performance and productivity through behavioral analysis, and build better relationships between managers and employees. 

If the essentials of Organizational Behavior are implemented correctly, it can significantly impact individuals in an organization and bring changes that can transform a company.

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