1) Introduction to Managers, Management and Organisations
1) Introduction to Managers, Management and Organisations Efficiency- Getting the most output from the least amount of input (Doing things right) Effectiveness- Completing specific activities so that organisational goals are achieved (Doing the right things) Different level of Managers: Non Managerial Employees- Employees who carry out the day-to-day tasks set by the organisation and supervised by first-line managers. First-line Managers- Managers at the lowest level of the organisation who manage the work of non-managerial employees who are directly involved with the production of organisational products. Middle Managers- Managers who manage the work of first-line managers and receive orders from top level managers Top Level Managers- Managers who make organisational decisions and establishing goals and plans that affect the entire organisation Managerial Functions (Fayol): Planning- Involves setting goals and establishing organisational strategies to achieve these goals. Organising- Involves allocating resources to specific tasks so organisational goals can be achieved. Leading- Involves working with and through other people to achieve organisational goals. Controlling- Involves monitoring, comparing and correcting work performance. Managerial Roles (Mintzberg): Interpersonal Roles- Roles that involve people and other duties that are ceremonial and symbolic in nature (Figurehead, leader)* Informational Roles- Roles that involve receiving, collecting and disseminating information (Disseminator, spokesperson)* Decisional Roles- Roles that involve making decisions (Negotiator, resource allocator)*
Managerial Skills (Katz): Technical Skills- Knowledge of and proficiency in a certain specialised field (Lower-level mg.) Human Skills- Ability to work well with other people individually/in a group (Middle managers) Conceptual Skills- Ability to think and conceptualise about complex situations (Top managers)
2) Evolution of Management Thought - I Classical Approach: Management where emphasis is placed on rationality and efficiency Scientific Management: Fredrick Taylor’s ‘Principle of Scientific Management’ defined the “one best way” for a job to be done Four Principles: 1) Develop a science for each element of work 2) Select, train, teach and develop workers 3) Cooperation between workers and management on proper task completion 4) Equal division of responsibility between workers and management **Best example of McDonalds** Emphasised: Speed of production, low cost production, availability of unskilled workforce Encouraged: Standardised quality, product and procedures and non-decisional workforce General Administrative Theory: A style of management with a focus on managing the total organisation-What managers do -What constitutes good management practice Henri Fayol – 14 Principles of Management ‘Fundamental rules of management that could be taught in schools and applied in all organisational situations’ -Division of work -Unity of direction -Order -Stability of tenure of personnel -Authority -Initiative -Centralisation -Discipline -Equity -Esprit de corps -Unity of command -Scalar Chain -Remuneration -Subordination of individual interest to the general interest Max Weber – Bureaucracy ‘Developed a theory of authority, structure and relations’ “Ideal” type of organisation based on: -Division of labour -Authority hierarchy -Formal selection -Formal rules and regulations -Impersonality -Career orientation
3) Evolution of Management Thought – II Organisational Behaviour Approach: -Study of management which focuses on actions (behaviour) of people at work - Management is about influencing action, often of ‘others’ (Mintzberg) -Laid the foundation for research in – motivation, leadership Hawthorne Studies: A series of studies in 1920s/1930s that provided new insights into behaviour of groups in workplace, initially undertaken by industrial engineers in USA. Pre-Elton Mayo- Examined the effect various illumination levels had on workers productivity -Hypothesised that level of illumination and worker productivity were +correlated -Results showed no correlation Post-Elton Mayo- Numerous experiments relating to job design, individual/group wages, length of work days etc. -Social norms/groups standards (peer pressure) key to individual work behaviour -People’s behaviour and attitudes are intertwined -Money is less important than group standards, attitudes, security Criticism- Sampling bias Did not consider influences outside of organisation Did not discover anything new – ignored existing knowledge Value- Research provided rigorous detail in analysis undertaken -Move focused analysis of workers’ interactions with organisations -Offered management subtle means of control Impact of Hawthorne Studies- Shifted the attention of managers and researchers away from the work itself (rationality/efficiency) towards the social setting of workers and their individual attitudes. Recognised that: -Many sources of individual job satisfaction/dissatisfaction -There are different ways of supervising workers -Managers need good interpersonal skills -Social relationships at work are important Human Relations Movement: Based on the belief that a satisfied worker will be productive (Maslow, McGregor) Contingency Approach (Situational Approach): There is no one universally applicable set of management principles (rules) by which to manage organisations -Organisations are individually different, face different contingency variables and require different ways of managing -‘one size does not fit all’ Contingency Variables: -Organisation size -Environmental uncertainty -Routineness of task technology -Individual differences
Managerial Skills (Katz): Technical Skills- Knowledge of and proficiency in a certain specialised field (Lower-level mg.) Human Skills- Ability to work well with other people individually/in a group (Middle managers) Conceptual Skills- Ability to think and conceptualise about complex situations (Top managers)
2) Evolution of Management Thought - I Classical Approach: Management where emphasis is placed on rationality and efficiency Scientific Management: Fredrick Taylor’s ‘Principle of Scientific Management’ defined the “one best way” for a job to be done Four Principles: 1) Develop a science for each element of work 2) Select, train, teach and develop workers 3) Cooperation between workers and management on proper task completion 4) Equal division of responsibility between workers and management **Best example of McDonalds** Emphasised: Speed of production, low cost production, availability of unskilled workforce Encouraged: Standardised quality, product and procedures and non-decisional workforce General Administrative Theory: A style of management with a focus on managing the total organisation-What managers do -What constitutes good management practice Henri Fayol – 14 Principles of Management ‘Fundamental rules of management that could be taught in schools and applied in all organisational situations’ -Division of work -Unity of direction -Order -Stability of tenure of personnel -Authority -Initiative -Centralisation -Discipline -Equity -Esprit de corps -Unity of command -Scalar Chain -Remuneration -Subordination of individual interest to the general interest Max Weber – Bureaucracy ‘Developed a theory of authority, structure and relations’ “Ideal” type of organisation based on: -Division of labour -Authority hierarchy -Formal selection -Formal rules and regulations -Impersonality -Career orientation
3) Evolution of Management Thought – II Organisational Behaviour Approach: -Study of management which focuses on actions (behaviour) of people at work - Management is about influencing action, often of ‘others’ (Mintzberg) -Laid the foundation for research in – motivation, leadership Hawthorne Studies: A series of studies in 1920s/1930s that provided new insights into behaviour of groups in workplace, initially undertaken by industrial engineers in USA. Pre-Elton Mayo- Examined the effect various illumination levels had on workers productivity -Hypothesised that level of illumination and worker productivity were +correlated -Results showed no correlation Post-Elton Mayo- Numerous experiments relating to job design, individual/group wages, length of work days etc. -Social norms/groups standards (peer pressure) key to individual work behaviour -People’s behaviour and attitudes are intertwined -Money is less important than group standards, attitudes, security Criticism- Sampling bias Did not consider influences outside of organisation Did not discover anything new – ignored existing knowledge Value- Research provided rigorous detail in analysis undertaken -Move focused analysis of workers’ interactions with organisations -Offered management subtle means of control Impact of Hawthorne Studies- Shifted the attention of managers and researchers away from the work itself (rationality/efficiency) towards the social setting of workers and their individual attitudes. Recognised that: -Many sources of individual job satisfaction/dissatisfaction -There are different ways of supervising workers -Managers need good interpersonal skills -Social relationships at work are important Human Relations Movement: Based on the belief that a satisfied worker will be productive (Maslow, McGregor) Contingency Approach (Situational Approach): There is no one universally applicable set of management principles (rules) by which to manage organisations -Organisations are individually different, face different contingency variables and require different ways of managing -‘one size does not fit all’ Contingency Variables: -Organisation size -Environmental uncertainty -Routineness of task technology -Individual differences
