Introductiong To The Concepts Of Organisational Behaviour Business Essay


As we are in the world of business organisation, there are many of circumstances that we are facing together may be it if human resource or environmental or to the growing competition in the business. Organisational Behaviours has critical vital role in the management.OB always deals with the application or knowledge of how individual or group of individual act in the management. Apart from this it also deals with human factors working in the management in the modern way of work to active the goal of the organisation.OB deals with the various factors of the management like methods of work, viewpoint and analysis to work done.

Various authors have different views on Organisational Behaviour.Like, FRED LUTHANS defines OB as, "The understanding, prediction and management of human behaviour in organisations "."Organisation behaviour is the study of the structure, functioning and performance of organisation and the behaviour of group and individual within them", by DEREK PUGH. Porter's perspectives on Behaviours in Organisations, "understands one individual's behaviour is a challenging problem in and of itself ".

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Organisation Behaviour is defined properly that it is the aspect that is prevalent to the organisations & it is also a fact that all the organisation are taking effective methods for a smooth functioning in the organisation by taking various effective measures in terms of employees and trying to overcome their behaviour into an organisational behaviour which would beneficial to the organisation as well as the employees. Organisations are complex systems. In this century, progress depends heavily on the understanding & managing effective organisations.Nowdays, all organisation have realized that all the human behaviour in an organisation can be understood by studying & applying the behavioural science frame work & other discipline by exploring the various facts about human behaviour & converting them to organisational behaviour in order to achieve to goal or aims of the organisation successfully.

OB study involves with the different criteria, such as:-

1. Attitude

2. Interpersonal relationship

3. Performance.

4. Productivity.

5. Job satisfaction.

6. Commitment of employees.

7. Levels of organizational commitment and industrial relations.

It also interprets with the organization in terms of people and group of people in the organization. The main purpose of OB is to achieve:

A} Human objectives.

B} Organizational objective.

C} social objective.

Organisational behaviour is so important for any organisation that gives opportunity to learn about human behaviour & can be able to apply them in actual dealing with employees in an organisation & its knowledge also helps to organize the employee's nature & behaviour. The following study refers the various aspects of Organisational Behaviour how to run a group or a team effectively by applying the theories of OB practically in various situation & how to overcome the problems and solve them to earn the motive or result of the organisation.


DALLAS SOUTHWEST AIRLINES are in filed of airlines from 35 years of profitability.It is also the largest airlines in United States ,by number of passengers carried.In last year 70 million passengers have flied through South West Airlines to near about 60 destinations around the United States.Passengers have found that SWA has very good range of fair for transportation,than the automobile transportation.For the sake of passengers SWA is willing to make in-flight meals,baggage transfers,and other frills for economically amenables wings.

Due to its reinnovation in wings and other factors SWA remains a maverick in the industry.Southwest Air was founded in 1966 when a group of investors,including Rollin King,M.Lamar Muse,and Herbert D.Kelleher,pooled $560,000 to form the Air Southwest Company.It was incorparated in 1967,serving three cities within Texas:Dallas,Houston and San Antonio.

By the end of 1971,Southwest owned four aircraft,which has offered hourly flights between Dallas and Houston,and some of to San Antonio and Houston.SWA has lots of controversy in it.In,1972 Dallas and Fort Worth and their Regional Airport Board filed suit to force the airlines to move from Love field to newly constructed Dallas-fort Worth regional airport,by which charging higher landing fees and rent there,which will help offset the cost of the expensive project.All the air lines have moved to the new airport.But South west air lines have refused to move there,due to not existence.

In 1974, competitors of Southwest, began to move to Dallas-Fort Worth Airport, by giving cheaper, convenient airport. This was the new issue which SWA was facing. SWA has left it's presence at Love field and its newly innovated facilities at Houston's Hobby Airport.This was due to strong commuter service and the border operations.

South West Airlines is known for its innovation in operations and HR practices under the long standing CEO, Herbert D. Kelleher.He has brought many things to the management. Which has lead for the management's improvement.He has proved that management is the cornerstone of the organisation effectiveness,which integrates the activities that permeates every facet of the operations of the organistaion.

An Overview Of The Case Study:-

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The SOUTH WEST AIRLINES is second leading position in airlines,which is famous for its Innovation in operation's and its Human resources pratices.They have proved the statement in various sectors of management, and had integrated the this activities in the operations. Their philosophy followed by the management gave more importance to integrity and community as the backbone of theirs. They also have respected to their employees and there team. There business was not profit oriented but to satisfy their employess and customer's.And they have proved it very clearly. The CEO, HERBERT D. KELLEHER has developed a new culture aimed at fun and employee satisfaction.He has also developed many oriented programs for employees like training and motivational programs.In work , environment was created very friendly and fun loving. Employees were treated as friends. By which their position was marked in the airline industry,due to there practices of HR and other. Since, going through many controversies they have overcome the problems and have solved them. The case study will show all the circumstances of the SWA and how they have over come them from various sectors of Management.

The SWA Influence On Behaviour On:-


Organisation is madeof group of individual's. Wether he is acting as an isolated body or in group of people for the existence of the operations of the management. In SWA individual were in play full environment.They were not treated as employee. It was noticed that the needs of the individual and the demand of the organisation were in certain manner, due to the practices played by the management. It was the duty of the management to integrate individual and the organisation to provide a happy environment which permits satisfaction among the individuals. Which led's to the organisation goal very proudly.


The group consist of various bodies in the organisation which works and performance together. It consist of group of one member or group of members.Group consist of two bodies Formal group and Informal group. Informal group sees the needs of the group or individual.In SWA group behaviour's pressure can brought major influence on the organisation behaviour and performance.


In SWA individual and groups use to together interact with both formal and informal.SWA has created a structure which establish relationship between this individual and group of individual.This structure has helped them to bring out their organisation goal. In this structure organisation's processes are directed, planned and controlled.








Going through the various controversy and the aspects which brought the SWA to the decline process. They have outcome this problem by their various skills. THE CEO, of SOUTH WEST AIRLINES HERBERT D. KELLEHER has brought a new trend in the leadership style in those days where SWA was facing a lot of problem in the organisation. He has brought renovation in the business by way of thinking.

HERBERT has brought innovation in the leadership style. He has traced the problems which were forcing SWA. By his leadership style he has found that management can solve these problems by their structure. He has built a structure in the organisation. Where in all process's use to Directed, Controlled and Planned. This structure consists of group of individual's and individual. The structure was in such a way that focuses the impact of organisation structure and design, and the pattern of management, on the behaviour of people within the organisation.

South West Airlines has not the Human Resource Department; instead of they have People and Leadership Development Department. All others have tried to copy their style but they failed. The CEO of SWA said that they can copy us but cannot copy our people. The SWA was targeting HUMAN RESOURCE'S to overcome the problems. Employees were working in a flexible condition. By which they were not having in restriction and any stress. Employees were trained by various skills to improve their working ability. The CEO has arranged devised numerous employee oriented organisational practices, training and motivational programme. He has maintain all workers chain in such a way that a proper feedback will come from every part of the organisation.

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The CEO of SWA, has maintain a fun loving environment in the organisation. Due to his supreme leadership he has made faith in the workers, this was one of the most important factors of the organisation. But their were some obstacle that SWA was facing it. Workers were dependent thoroughly on the organisation. Since they were having all rights , due to flexible environment. In SWA if any chain broke down all work use to stop. This has brought critical debt in the organisation. But due to HERBERT'S real innovation practices slowly this problem was solved,and once again he has proved that HUMAN RESOURCE factors can influence the organisations goal. All the air lines industries were afraid by the KELLEHER'S innovative HR practises.

Since leadership is inter related to motivation, interpersonal behaviour and the communication. A good leader knows all about the process and empowerment. Leadership is dynamic process. A leader has to be interpersonal not only with subordinate but also with the organisation. Good leadership helps to improve the team and teamwork. A leader is responsible for the organisation goal . And in South West Airlines leaders were knowing by this factor, which has helped them to achieve certain goals. IN SWA, leaders were allowed to take there personal decision at right time to get people to accept solutions. Like other organisation there was no cold war in the management and the leaders or workers. SWA has maintained coordination between workers and the management. This created a vital flow in the organisation.

By there leadership style relation was maintain between people,managers have maintain with low level of involvement. SWA leaders has shown sympathy with people and given attention towards workers social need. This has helped for Team building.

This case discusses how a leader can influence the HR practices of the whole organisation with way of his leadership style. KELLEHER'S has also proved a proper decision at proper time can influence the Human resource. Due to his Ethics he has made a moral in leadership. He was likely know about the workers three basic social needs food, clothing, shelter. He behave not as a boss with them but as friend. Behaviour was the reason for workers understanding, management has brought a morality in the brains of the workers. The management has trust and value towards their employees. The management has created an ethical climate in the organisation. Proper direction was given. Employees were rewarded by their performance. A discussion among the employees(technical) and the managers and a feedback. Management was socially responsible for the welfare of the individuals. Spirituality awareness has action towards the organisation. Diversity was created amongst the employees by which new things can be created in the organisation.


According to Stephen P.Robbins," motivation is the willingness to exert high levels of effort towards organisation goals, conditioned by the effort's ability some individual need." In South West Air lines, when the firm was in going through various controversies workers have left their hopes. This created clashes between the organisation and the workers. Soon the organisation has brought a Motivation factor in the firm. Since workers have loosed their hopes, once again they were motivated to work in the safe chain. SWA has social contact at the work place with their workers. Workers were motivated by acknowledging their social needs and making them feel important among others. This what SWA has done to influence their employees.

Workers were not having any uniform at workplace, they use dressed in shorts, polo shirts and sneakers. By which they were comfortable at work. They were encouraged to tell jokes and have fun loving job. By this reason SWA is known by fun-in-the-sky airlines. The CEO has always believed that the company is stronger if there is love in the atmosphere, rather than by the fear. This created a culture of responsibility, respect and accountability which comes from freedom. This made them most admired companies in the rest of the world. The only agenda they were following was employees are the first customers. SWA believed that if you treat your employees right they will treat the customers right. And if you treat your customers right then they will come again back and the shareholders are also happy.

SWA is to send cards to all the employees working in the organisation on their birthday or anniversary of their employment. They use to have contests among the workers for fun loving. SWA has 7 elements in Motivation factor

Strongest Set of Values.

Values were given to the employees and their work. Values determine the behaviour of the employee at organisation. All workers behave according to these values. This created discipline and enforced across the company. IN SWA values are mandatory.

Employees Come First

SWA has provided a stable employment with equal opportunity. Employees are encouraged for improving the effectiveness. They have provided the same concern, respect, and caring attitudes within the organisation. They have given importance to every single job. All employees were given equal values and respect, by which created a strong feeling and mutual belief and trust.

There is no doubt in the motivation of SWA.

Rewards and Recognition

Employees were known by the recognition and rewards that the organization provides them for their performance. They know what they will get instead of that for their exceptional work. SWA has given importance to all over the filed of organisation i.e. techniques, approach and device to recognize performance. SWA recognized all employees work directly to their personal accomplishments and rewarding and celebrating them in many different ways. This will create a continuous flow of chain in the organization consequently it will bring a happy and joyful environment. In SWA motivation is of secondary importance.


"The mission of South West Airlines is dedication to the highest of Customer Service delivered with a sense of warmth, friendliness, individual pride, and Company spirit.", HERBERT D. KELLEHER

In SWA, employees motivation does not reside in its mission itself. Since SWA has framed their mission which helps employees to work sustainably. Employees know their mission very clearly and they know how to make possible.


SWA is very careful about their selection of employees, there are concern about their employees work and their talent. SWA has a rigorous hiring procedure. South west Airlines has a significant decision about the which worker could be permanent, this procedure is very lengthy to get there right candidates. SWA has a very strong corporate culture with high performance in the oranisation.

Distributed Leadership

In SWA, they have very strong leadership at the top and bottom level or throughout the organization. Leaders are responsible for the bottom level workers work concern. They are granted that everyone in the management is able to lead in significant ways. They are required to play leadership at different levels when needed. They are trained in such a way that there are skilled leads to do their duty. The management has appointed front line leaders for investigating the great deal. In SWA leaders are placed by their natural talent of motivating their subordinates. So SWA hire candidates who are not afraid at work or thrilled with the possibility of leading. Due to the changing environment in the business, SWA has adopted changes from time to time for the superior performance over the long run.

Performance Management

This is most important motivation element of SWA which conducts the performance of the management.

SWA has three dimension of performance:

Employee well being

Customer satisfaction

Shareholder gain

SWA has a clear vision on the needs of employees, they are the first customers of the organization. This has created hopes in mind's of employees which created increase in performance.

This in order has reached to a clear view of goal. The performance of worker is critical, so SWA has a element of tracking and rewarding of individual. Employees has clear vision, goals, roles and responsibilities of their work and management profit.


SWA has gone through various controversies they have fought with very courage and have made many ways. In these last consecutive years they have faced many controversies. May be of land or others government regulation, they have always managed it very properly.

In this management has managed the workers by their skilled performance. And workers have also given their whole contribution to the organization. The CEO of South West Airlines has managed workers by their natural skills, right individual at right place. This helped the workers to work in fun loving environment. They don't have any regret towards the management. Leaders have encouraged them to do work with more performance and with skill. In decision making workers have contributed a lot, leader have motivated them in various field of their work.


In SWA, individual and groups have there vital role in the management. Due to the fun loving environment they are prompt at work, by the organisation goal. In SWA all jobs are allocated by the management, right person at right place. SWA has very high deal of importance on the hiring process to know people with their skills. They survey that how candidate can affect the "overall operation". SWA has typical search for appropriate skills and experience. All decision is made by workers and management committees. Employees are allowed to make decision in the field.

The management has made a good relation with the workers and leaders. Leaders have shared knowledge, goals, and mutual respect. Employees of SWA embrace their relation with one another, which allow them to work in coordination and effectively. Fun loving, creativity, individuality and empowerment is the back bone of the management. SWA has some high performance relationships practices:-

Investing in frontline leadership

Leading with credibility and caring

Hiring and training for relational competence

Using conflicts to build relationships

Bridging the work/family divide

Creating boundary spanners

Keeping jobs flexible at the boundaries

Measuring performance broadly

Establishing partnership with unions

Building relationship with suppliers

All this practices made workers and management to work with courage and prominent to their goal and management's profit.


Communication Gap:-

In south west airline, since employees were treated as the first customers then also there was a gap between management and the workers. Even though SWA has tried to overcome it but it was not totally solved. Workers have mutual understanding between their leaders and them, but not to the management. The CEO of SWA was hero between the employees then also some controversies were there.

Cultural clash:-

In SWA new employees were taking time to settle in the management. And older employees were not satisfied with the individual hired. Both were trained or educated in same environment, even though they their was clash between their culture. Newly acquisition has created this clashes. Soon SWA was trying to overcome. This can be overcome only when these workers are allowed to work in same routine. Or allowed to work in different shift. So this might over come the problem of cultural clash.

Internal Threats:-

SWA has faced many a internal threats. But the wast was when Kelleher loss his power and strategic direction, Due to the new entrants to the industry. In 2001, CEO has become chairman of the SWA, workers were not happy with that losing of their leader. And become the highly collaborative corporate culture.

External threats:-

When others copied the strategies of SWA the management was unhappy with this reason. Although SWA has a strong customer base and is diverse, then also were having challenges. Competition was large and competitors have reduced their fares. This affected SWA to make fares reduced. This can be solved by fare promotions in the market. Customers can made happy with new services in SWA.


The changing nature depends upon the people of the organisation. Environment causes mental and attitude's to the people in the organisation. Since the businesses are in global, the economy changes, increasing the business competitiveness in the market and more customers should be attract. There is no constant or flexibility in the market different changes have to made in the business.

Newly technology and rapid spread of the market in the public and private sector and various impact of social and political have increased the attraction towards the business ethics. This has also increased the attention on the ethical behaviour of the decision taking of the leader and the staff. Due to which many of them have started to choose this ethics. The changing nature of the organisation at work placed pressure on the awareness and importance of the modern's ethics. Global competition has made employment guarantee demand management philosophy based on trust and teamwork. Workers are more responsible at work. Employees get a continuous learning and personal development. The technology has brought new innovation in the business, ways of work are structured again and again, and jobs are redesign has change the organisation. By this management has become diplomatic in decision taking. New ideas of motivation and development have engaged. Exchange of value has evolved. Workers are encouraged and permitted to achieve their goals as well as the management's goal.

Since modern way of work has changed the nature of organisation, it has brought the emergence in the management. Many organisation have changed their organisation with the changing nature of organisation. Management have to take decision at the last, either the nature of organisation has changed the "management is the cornerstone of organisational effectiveness".


South West Airlines has his own way of business in the market of airlines. Instead of many of controversies they have managed to work with more new decision's of there leader. The main thing in SWA is there leadership style. This has made them the rulers of airline industry in US. Management of SWA has made the statement true that management is the cornerstone of the effective organisation in various fields of the organisation whether it may be of leadership or motivating their workers or groups. Due to this they have managed to build loyalty in the customers mind. Since SWA's first customers are employees, employees love their job. They have a strategy to do always better, which has succeeded them in airline industry. Many of them have tried to copy them but have failed to do so. They can copy there management but cannot copy there employees. This made there workers unique in way of their efficiency of doing there work and prompt at work.