The Evolution of Organizational Behavior and Work Culture in the United States (October 2025 TogetHR Times)
The Evolution of Organizational Behavior and Work Culture in the United States
By Alison T. Bruns
Organizational behavior (OB) is the fascinating study of how people interact within groups and organizations. At its core, OB helps leaders understand what motivates employees, how teams collaborate, and how culture shapes performance. But organizational behavior isn’t static and dynamically changes alongside society.
In the United States, the workplace of 2025 would be nearly unrecognizable to a worker from 1925 or even 1975. Shifts in technology, management philosophy, employee expectations, and cultural norms have transformed not just how we work, but why we work. Understanding this evolution is critical for business leaders who want to build thriving organizations in the decades to come.
Let’s take a closer look at how work culture in the U.S. has evolved over the past 50–100 years and what organizational behavior can teach us about where we’re headed next.
Work Culture 100 Years Ago: Efficiency and Hierarchy
In the early 20th century, the dominant management philosophy was called Scientific Management, developed by Frederick Winslow Taylor. The focus was on standardizing work, breaking tasks into simple steps, and maximizing efficiency.
Factories and offices were highly hierarchical, with decisions flowing from the top down. Workers were expected to follow instructions, not innovate or question authority. Compensation was tied to hours worked or units produced, not creative problem-solving or collaboration.
Organizational behavior as a field was in its infancy, but early studies (like the Hawthorne Studies of the 1920s and 1930s) began to reveal that workers were motivated by more than pay. Employees also valued social interaction, recognition, and a sense of belonging. These findings planted the seeds for a more human-centered approach to management.
The Mid-Century Shift: Human Relations and the Rise of Corporate Culture
By the 1950s and 1960s, the U.S. economy was booming, and large corporations were becoming dominant employers. This era saw the rise of the Human Relations Movement, which recognized the importance of employee morale, group dynamics, and job satisfaction.
Organizational behavior researchers began focusing on leadership styles, motivation theories, and team development. Companies introduced benefits like pensions, health insurance, and paid vacation, reflecting a growing recognition that happy employees were productive employees.
Work culture during this time emphasized loyalty and stability. Employees often stayed with a single company for decades, working their way up through predictable career ladders. While this era offered security, it also reinforced rigid hierarchies and limited opportunities for women and minorities.
The 1980s and 1990s: Globalization and the Knowledge Economy
The late 20th century brought dramatic changes: globalization, deregulation, and the rise of knowledge work. Manufacturing jobs began to decline, while service and technology sectors grew rapidly. Organizational behavior research started focusing on organizational culture, the shared values, norms, and assumptions that guide behavior. Thought leaders like Edgar Schein and Peter Drucker emphasized that culture could be a competitive advantage.
Companies experimented with flatter organizational structures, cross-functional teams, and more participatory decision-making. Employee development programs became more common, and diversity initiatives gained momentum as businesses recognized that inclusive workplaces could drive innovation.
At the same time, the traditional employer-employee relationship began to shift. The concept of the “job for life” faded as layoffs and downsizing became common tools for increasing shareholder value. Employees became more self-directed, focusing on building portable skills rather than relying on a single employer for security.
The 21st Century Workplace: Flexibility, Technology, and Purpose
In the 2000s and 2010s, work culture underwent another major transformation driven by technology and changing employee expectations.
Technology: Email, smartphones, and collaboration tools like Slack and Zoom enabled remote work and real-time communication.
Flexibility: Work-life balance became a priority, with flexible hours, telecommuting, and results-oriented work environments gaining popularity.
Diversity and Inclusion: Companies expanded DEI initiatives, focusing not just on representation but on creating equitable and inclusive workplaces.
Purpose-Driven Work: Millennials and Gen Z employees increasingly sought employers whose missions aligned with their values, driving a focus on corporate social responsibility.
Organizational behavior research during this period emphasized emotional intelligence, psychological safety, and employee engagement as critical drivers of performance.
Today’s Work Culture: Hybrid, Human-Centered, and Rapidly Changing
The COVID-19 pandemic accelerated trends toward remote and hybrid work, forcing organizations to rethink everything from office design to communication norms. Flexibility is no longer a perk, it’s an expectation.
Today, the most successful organizations focus on:
Employee Experience: Designing workplaces that meet employees’ physical, emotional, and professional needs.
Trust and Autonomy: Giving employees more control over where, when, and how they work.
Continuous Learning: Reskilling and upskilling programs to keep pace with technological change.
Well-Being: Supporting mental health and work-life integration as essential to productivity.
Organizational behavior now integrates insights from neuroscience, behavioral economics, and data analytics, giving leaders powerful tools to shape culture intentionally.
Lessons for Today and Looking Ahead
The evolution of work culture in the U.S. reveals a consistent pattern: as society changes, so do employee expectations. The organizations that thrive are those that adapt. Here are a few takeaways for leaders:
Culture Is a Strategic Asset: Don’t leave it to chance. Be intentional about defining, communicating, and reinforcing your organization’s values.
People-Centric Design Wins: When employees feel supported, engaged, and fairly treated, performance follows.
Flexibility Is Here to Stay: Hybrid and remote work arrangements are not a passing fad — they’re a core feature of modern work.
Diversity Drives Innovation: Build inclusive environments where all voices are heard and valued.
Data-Informed Decisions Are Key: Use employee surveys, performance data, and market trends to guide culture initiatives, but balance metrics with empathy and human connection.
The next 50 years will likely bring even more dramatic change — from AI-powered workplaces to new models of employment. What won’t change is the importance of organizational behavior. Understanding how people work, what motivates them, and how culture shapes performance will remain at the heart of organizational success. Leaders who invest in building adaptive, human-centered cultures will not only attract and retain top talent but also unlock innovation and resilience in an uncertain future.
