IOSR Journal of Business and Management (IOSR-JBM) e-ISSN: 2278-487X, p-ISSN: 2319-7668. Volume 18, Issue 7 .Ver. IV (July 2016), PP 126-134 www.iosrjournals.org DOI: 10.9790/487X-180704126134 www.iosrjournals.org 126 | Page Organizational Behaviour in 21 st Century – ‘Theory A’ for Managing People for Performance P. S. Aithal 1 , P.M. Suresh Kumar 2 1,2 (Srinivas Institute of Management Studies, Pandeshwar, Mangalore - 575 001, INDIA) Abstract: Theory X, Theory Y and Theory Z in organizational behaviour (OB) are related to human motivation and management. Theory X and Y coined by Douglas McGregor in the late 1960s, says that the average human being is lazy and self-centred, lacks ambition, dislikes change, and longs to be told what to do. The corresponding managerial approach emphasizes total control. Theory Y maintains that human beings are active rather than passive shapers of themselves and of their environment. They long to grow and assume responsibility. Theory Z of William Ouchi focused on increasing employee loyalty to the company by providing a job for life with a strong focus on the well-being of the employee, both on and off the job. The above theories were developed based on research conducted in various production related organizations in the 20 th century. But in the 21 st century, changes in business models, automation of production process, changes in technology & business environment, and changes in people‟s perception, are transforming organizations into global entit ies. In the context of emergence of service industries and global e-business organizations, these are no longer applicable and need modification. In this paper, we have made an attempt to relook into human motivational theories and developed a new Organizational Attitude Theory called “Theory of Accountability” (Theory A). The four major constructs of Theory A are fixing Responsibility, maintaining Accountability, continuous Monitoring, and fulfilling pre-determined Target (RAMT). In this paper, some of the existing theories of organizational behaviour are examined, and basic postulates and detailed organizational model for Theory A is depicted. Keywords: Organizational theories, Theory X, Theory Y, Theory Z, Theory A, Theory of Accountability. I. Introduction Organizational behaviour (OB) is a scientific subject of study of organizations performance based on analysis of human behaviour individually and in groups while making decisions. It mainly focuses on impact of individuals, groups, and structures on human behaviour within the organizations. Normally OB is applied in an attempt to create more efficient business organizations in changing internal and external environment. A large number of research studies and conceptual developments are constantly adding to its knowledge base. It is also an applied science, in that information about effective practices in one organization is being extended to many others. "Micro" organizational behaviour refers to individual and group dynamics in organizations. "Macro" strategic management and organizational theory studies whole organizations and industries, especially how they adapt, and the strategies, structures, and contingencies that guide them. The major goals of Organizational behaviour are: (1) To describe systematically how people behave under variety of conditions, (2) To understand why people behave as they do, (3) Predicting future employee behaviour, and (4) Control at least partially and develop some human activity at work. (5) To know how people can be motivated and directed on to their responsibility to enhance the individual and group performance to boost the productivity of the organization. Effectiveness in Organizations is usually accomplished through practicing certain values such as (1) Openness in behaviour – which indicates direct and openness to influence, commitment to others’ success, and willingness to acknowledge employees’ contributions to handle problems. (2) Accepting diversity - Respecting and encouraging differing points of views. (3) Displaying recognition - For individuals and teams that contribute to the company’s success. (4) Following ethical practices - By management adhering to the stated standards of ethical behaviour, and (5) Empowerment - By providing the authority and responsibility to key operative employees. The starting point for understanding organizational effectiveness begins with Frederick Taylor’s theory of scientific management [1]. Ivancevich, Konopaske and Matteson [2] have highlighted two approaches of studying effectiveness-the goal approach and the systems theory approach. The goal approach is the oldest and most widely used approach for measuring effectiveness. It assumes that organizations exist to accomplish goals and management practices aim to achieve effectiveness in attainment of goals. However, the goal approach suffers from limitations. For instance, goal achievement for organizations with intangible outputs may be difficult to measure. There could be multiple goals and goal conflict may occur as organizations strive to achieve many goals (maintaining quality products while minimizing production costs). Moreover, organizational members rarely achieve consensus on a set of goals to pursue. Above all goal achievement does not guarantee