Employees are expected to behave according to the organizational environment of business, and it is usually different from how an individual behaves naturally. There are a lot of factors that have an impact on organizational behavior, including company culture, policy, procedure, management, the interaction between colleagues, etc. Adding all these factors to the organizational behavior will inspire employees to work better and minimize disengagement. When the employers know what works for the best out of employees, the company becomes more productive and competitive.

The impact of company culture on organizational behavior

Organizational culture has a huge impact on employees' behavior, especially on new joiners. As we are living in a societal environment, we strive to fit in the surroundings around us. The organizational behavior of the employees depends on how the company is handling the situations which are related to employees and their decisions. If the current company culture encourages their employees to speak up without fear of retaliation, employees will gain the confidence to reveal their ideas and thoughts whenever there is an arousal of a complex situation in the organization. Employees can also influence the company culture by clarifying the vision and values and putting them into practice on a daily basis.

Reward Systems

The ultimate factor behind employees showing up to work without fail is the need to earn a salary, organizational behavior suggests that employees need other motivational factors to perform to the best of their ability. It is true that employees are more likely to feel motivated when they experience clear relation between the effort they put in and the reward received for the effort. Employees should feel the reward system is good and unbiased to inspire them to enhance performance. Managers can set realistic and achievable goals and check for progress. Employers can reward the employees for achieving the goal either as money or through recognition from the management.

Decision Making

People make decisions to take further steps to enhance business, it might be organizational level or individual level. Organizational behavior has an impact on the decisions that employees make. Firms with robust, effective communication mechanisms allow managers and employees to make informed decisions because they understand the business context. The overall organization’s approach to risk will determine the limit to which managers and employees feel agreeable taking risks in their decision-making. Organizations that encourage informed risk-taking foster innovation and creativity.

Response to change in management

All organizations should respond to altering markets, technical developments and customer demands to survive. Whatsoever, employees mostly prefer familiar methods of doing business, making change and adaptation is not so welcoming. Companies can adapt to changes efficiently by understanding organizational behavior. Discuss the necessity for change in an open forum that makes room for employees to talk freely without fear of retaliation. This will also let to report unethical behavior of other employees and management can easily take actions against any illicit activities before it creates chaos in the business. When the managers set the standard for accepting and negotiating the changes happening in the organization, employees can more easily discuss and adapt to the changes.