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1. What is Organizational Behavior (OB)? 1.1 The Importance of Interpersonal Skills In the 1980s, business schools emphasized technical management aspects, such as economics and finance. Over time, the role of interpersonal skills in managerial effectiveness became evident. A lack of interpersonal skills often hinders employee advancement. Integrating OB principles into workplaces can lead to positive outcomes: 1. Organizations that are good places to work achieve superior financial results. ...

Chapter 1: What are Organizations? Organization Theory in Action The political economy of organizations serves as a theoretical framework centered on two pivotal concepts and their interaction: 1. Polity/Political System: This encompasses the organization’s constitution, norms, authority, power, and influence system. 2. Economy: Refers to the organization’s economic structures and processes—transforming raw materials into goods and services. Current Challenges Organizations face seve...