Organizational Behavior Course Model

1
Organizational Behavior Course Model

• OB Outcomes Attitudes and Behaviors
• Effort
• Job Satisfaction
• Absenteeism
• Turnover
• Stress
• Workplace Violence
• Organizational Citizenship Behavior and
  Commitment
• Employee Theft
• Safety and Accidents
• Sexual Harassment
• Grievances

• Influenced by Managers Using
• Application of Individual Differences
• Perceptions
• Attributions
• Attitude change
• Values
• Personality
• Group Dynamics
• Reward Systems
• Job Design
• Leadership

2
Absenteeism Facts

• Paid absences are not universal
• ? 39 of U.S. employees do not receive paid
  sick leave (2009)
• ? 1/3 of FT Iowa employees have no paid sick
  leave (81) of part-timers (2010)
• Financial cost estimates are highly variable
  ?660/employee/year in 2005
• ? Absenteeism costs are about 9 of payroll
• Can necessitate temporary or surplus employees
• Can affect customer service
• Shareholders/Boards of Directors expect control

3

• Absenteeism Issues
• What is excessive? Multiple metrics
• Number of sick days used
• - Dept of Labor Mean is 8 days
• - Iowa data suggests people use half
• Changes in absence rates (paid unscheduled
• absence hours/paid productive hours)
• Range 1.9 in 2003 to 3.1 in 2008
• Lower in bad economic times, higher in good
  times
• Other data 2.5 in 2006, 2.3 in 2007,
  3.1 in 2008

4

• Absenteeism Issues
• What is excessive? Multiple metrics
• Percent of working hours lost to
• absenteeism (gt 3 excessive)
• worker days lost per month
• (Avg employees) X ( work days)
• ?Need industry/ region comparatives

5
ABSENTEEISM COSTS (lower level employee,
2010)
1. Salary (12.88/hour)
103.07 2.
Benefits 29.07 3.
Replacement employee
10.58 (cross-training, temp
help, supervision, overtime) 4. Unabsorbed
burden (unused capital
70.04 equipment, rent, light, in-efficient
use of materials) 5. Loss profit
contribution (value added)
84.58 297.34
6
Focus Managing Voluntary Absenteeism

• Determining what percent of absence is voluntary
  (avoidable) and what is non-voluntary is tricky
• Experts believe 40 is voluntary and 60 is
  non-voluntary (e.g., personal or family illness)
• 40 may be the max managers can affect

7
Summarizing Separating Voluntary Nonvoluntary
Absence

• Contingent on empowerment (discretion) of
  supervisors
• Absence policies remain ambiguous
• a. Truly discretionary take a day off,
  wedding,
• special event
• b. Gray areas relative illness, business
  affairs, lack
• of transportation, domestic
  maintenance
• c. Mental health days??? (Generational
  cultural
• differences may exist as value
  differences)

8
Summarizing Separating Voluntary Nonvoluntary
Absence

• Explains popularity of PTO (Paid Time Off) and
  no fault absence policies. SHRM 33 of
  firms in 1997, 47 of firms in 2010
• Recordkeeping also impeded by use of different
  time frames and measures
• Lets look at some common measures

9
Absenteeism Measures 1. Frequency Measure
total of times/period absent ( 4) 2.
Severity Measure total of days/period
( 7)
(most common) 3. Attitudinal Measure
Frequency of 1 day absences (2) 4.
Medical Measure Frequency of gt 3 day
absences (1) 5. Worst Day
people absent on any given
day (e.g., Monday)
February S M T W TH F
S 1 2 3 4 5 6 7 8 9
10 11 12 13 14 15 16 17 18 19 20
21 22 23 24 25 26 27 28
March 1 2 3 4 5 6 7 8
9 10 11 12 13 14 15 16 17 18 19 20
21 22 23 24 25 26 27 28 29 30 31
April 1
2 3 4 5 6 7 8 9 10
11 12 13 14 15 16 17 18 19 20 21
22 23 24 25 26 27 28 29 30
10
Model of Employee Absenteeism
3. Personal Characteristics -Education
-Family -Org. tenure
responsibility -Age (also
depends -Family size on sex)
-Personality
7. Ability to Attend -Health (Depression,
pain cardio fitness, smoking, drug
use) -Illness accidents -Family
responsibilities -Transportation problems
-Travel distance
2. Recruitment Selection Job expectations
about Attendance
1. Job Situation -Job autonomy -Job level
-Work group size -Role Stress
-Considerate leadership -Coworker
relationships -Scheduling (flexible best)
4. Job Attitudes -Job satisfaction -Org.
commitment -Job involvement
8.Employee Absenteeism (Attendance)
6. Attendance Motivation
5. Pressures to Attend -Economic/market
conditions -Human Resource Practices
(incentives, control policies) -Work group
norms/culture -Profit sharing/employee
share ownership
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Review of Absenteeism Model

• Box 8 Employee Absenteeism or Attendance
• Box 1 Job Situation
• ? Job autonomy ? ? Absenteeism
• Box 2 Recruitment and Selection
• Box 3 Personal Characteristics (next slide)
• Box 4 Job Attitudes
• Box 5 Pressures to Attend (next slide)
• Box 6 Attendance Motivation
• Box 7 Ability to Attend

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Personal Characteristics (Box 3)

• Education No consistent pattern
• Org tenure ? Tenure ? ? Absenteeism
• Age Younger more short term older more long
  term.
• Age/sex Men ? Age ? ? Absenteeism
• Women No relationship
• Family responsibility Parental status and elder
  care issues (by 2020 1 in 3 will have the latter
  boxes 3 7)
• Family Size ? Size ? ? Absenteeism

13
Personality(Box 3)

• ? Conscientiousness ? ? Absenteeism
• ? Extroversion ? ? Absenteeism
• ? Anxiety/depression ? ? Absenteeism

14
Human Resource Practices for Managing Absenteeism

• Review incentive systems like lotteries (nurse
  example)
• Be willing to modify practices over time
• Determine whether cost/benefit of incentives are
  consistent with organizational culture

15
Human Resource Practices for Managing Absenteeism
(Box 5 continued)

• Work group norms and culture
• Profit sharing employee ownership

16
Family Responsibilities Examples of Costs
Associated with Eldercare

• ? Absenteeism ? Workday
  interruptions
• ? Going part-time ? Eldercare
  crisis
• ? Supervisor time ? Taking unpaid leave
• ? Replacing the 9 of workers who quit
• Solutions subsidizing in-home care for
  employees dependent, referral services to
  caregivers and nursing homes, providing extended
  leaves of absence.

Be employee need specific Japanese heartache
leave
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RECOMMENDATIONS FOR INCREASEDUNDERSTANDING OF
ABSENTEEISM
1. Use standardized measures and time frames 2.
Study attendance 3. Study white collar
absenteeism 4. Examine how other HR practices
affect absenteeism 5. Encourage health 6.
Engage in more creative thought
18
Effects of Various Human Resource Practices on
Reducing Absenteeism
Method of Studies Effect
Well Pay (unused sick leave) 4 High Flextime
10 High Compressed work schedules
5 Medium Discipline
12 Medium Recognition 6 Medium Health
wellness programs 6 Low Other financial
incentives (bonus) 7 Low Games 6 Low Profit
sharing/employee ownership 1 ???
() Team/group reward systems ?? ??? PTOs,
time-off banks ?? ???
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Effects of Various Human Resource Practices on
Reducing Absenteeism HR Professionals
Method of Companies
Effectiveness Rating
using
(1-5 very effective)
Well Pay (Buy back unused sick leave)
53 3.4 Verification of illness
74 3.2 No-fault
59 2.9 Disciplinary action
89 3.4 Personal recognition 57 2.6 Part of
yearly performance review
82 2.9 Bonus 51 3.3 Paid-leave banks (PTO)
60 3.6
PTO may not decrease absenteeism, just make it
more planned.
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PRACTICAL STRATEGIES FORREDUCING ABSENTEEISM
1. Increase job satisfaction/autonomy via
a. Job redesign c. Decreased stress b.
Supervision d. Flexible schedules 2.
Use motivation strategies more frequently and
creatively a. Operant conditioning b.
Goal setting 3. Use work group dynamics a.
Small groups b. Promote attendance norm
tie to rewards?