TARLAC STATE UNIVERSITY COLLEGE OF ENGINEERING DEPARTMENT OF CIVIL ENGINEERING ENGINEERING MANAGEMENT Submitted by: Dayrit, Mico R. Dizon, Jonas Marie V. Ent, DaferM, (Leader) Malla, Arvin Keno N. Pagco, John Carlo G GROUP 3 | BSCE 3B Submitted to: Engr. Consolacion S. Lagman ProfessorTarlac State University COLLEGE OF ENGINEERING NEO-CLASSICAL THEORY OF MANAGEMENT Lesson 3: Human Relations Movement Overview The Human Relations Movement, which is an integral part of the Neoclassical Theory of Management, focuses on understanding and valuing the human element within organizations. Human relations refers to the study of how individuals interact and behave in the workplace. Key features in this movement include Elton Mayo and Fritz Roethlisberger, who conducted the four Hawthorne Studies, a series of experiments, revealed the influence of social factors and human motivation on employee performance. Abraham Maslow/s Hierarchy of Needs aligns with this theory, emphasizing the significance of fulfiling individual needs to promote employee satisfaction and motivation. This report also highlights the principles, contributions, and limitations of the human relations movement. Objectives At the end of this lesson, you will be able to: ‘* define the concept of human relations and its significance in the context of management. * explore the human relations movement and its key proponents, Elton Mayo and Fritz Roethlisberger, and their contributions to the field. ‘* examine the impact of four Hawthorne experiments on the development of the human relations movement. + analyze the principles, limitations, and overall contribution of the human relations movement in the management. + discuss Abraham Maslow’s Hierarchy of Needs and its relation to the human relations and the management. THE HUMAN RELATIONS MOVEMENT Human relations is frequently used as a general term to describe the ways in which managers interact with their subordinates. When "people management" stimulates more and better work, we have "good" human relations in the organization. When morale and efficiency deteriorate, human relations in the organization are "bad." To create good human relations, managers must know why employees act as they do and what social and psychological factors motivate them. Here, management, based on human relations approach, is the study of behavior of people at work. This movement focuses on the person as an individual and analyzes what motivates and cultivates their achievement in a work setting employee, Page 2110Tarlac State University COLLEGE OF ENGINEERING Elton Mayo, considered the Father of Human Relations, was an Australian psychologist, sociologist, and organization theorist. He conducted the famous Hawthome Experiments, where he discovered that monetary incentives alone were not the sole factor in increasing production. Collaborating with social scientist Fritz Roethlisberger, Mayo's research in the Hawthorne studies revolutionized the understanding of human behavior in the workplace. Their groundbreaking work highlighted the significance of social and psychological factors on productivity, leading to the emergence of the human relations approach in management theory. THE HAWTHORNE STUDIES At the beginning of the 20th century, companies were using scientific approaches to improve worker productivity, But that all began to change in 1924 with the start of the Hawthorne Studies at the Hawthome work facility of Western Electric Company, where they manufacture telephone equipment or Bell Telephone. The electric company had commissioned research to determine if there was a relationship between productivity and work environments. The original purpose of the Hawthome studies was to examine how different aspects of the work environment, such as lighting, the timing of breaks, and the length of the workday, had on worker productivity. Hawthorne studies in management refer to the modification of employee behavior based on the perception that they are being observed by management. Additionally, Hawthorne studies are recognized for exploring the sociopsychological factors of human behavior as a strategy for managing employees in the workplace. FOUR PHASES OF HAWTHORNE EXPERIMENT Illumination Experiment (1924 - 1927) This experiment was undertaken to determine if the level of lighting in the factory would help improve production. The conductor of the study increases the lighting in the factory and their hypothesis was that with higher illumination, productivity will increase. This experiment was also conducted to establish relationship between output and illumination. When the intensity of light was increased, the output also increased. The output showed an upward trend even when the illumination was gradually brought down to the normal level. Therefore, it was concluded that there is no consistent relationship between output of workers and illumination in the factory. There must be some other factor which affected productivity. Relay Assembly Test Room Experiment (1927 - 1928) The purpose of the experiment is to determine the impact of change in working hours, rest periods, and working conditions on productivity. Under these test two small groups of six female telephone relay assemblers were selected. Each group was kept in separate rooms. From time to time, changes were made in working hours, rest periods, lunch breaks, etc. They were allowed to choose their own rest periods and to give suggestions. Output increased in both the control rooms. It was concluded that social relationship among workers, participation in decision-making, etc. had a greater effect on productivity than working conditions. Page 3110Tarlac State University COLLEGE OF ENGINEERING MASS INTERVIEWING PROGRAMME (1928-1930) ‘Twenty-one thousand employees were interviewed over a period of three years to find out reasons for increased productivity. It was concluded that productivity can be increased if workers are allowed to talk freely about matters that are important to them. The issue lies in our misunderstanding when workers express their opinions about the working environment or supervision. We tend to perceive it as mere complaining. However, their intention is actually to address any problems or inconveniences that, in the long run, would benefit the company. By addressing these concems, it enables workers to perform their jobs more efficiently, ultimately resulting in higher production. BANK WIRING OBSERVATION ROOM EXPERIMENT (1931 - 1932) The purpose of this experiment was to find out the effect of payment incentives on employee productivity. A group of 14 male workers in the bank wiring room were placed under observation for six months. A worker's pay depended on the performance of the group as a whole. The researchers thought that the efficient workers would put pressure on the less efficient workers to complete the work. However, it was found that the group established its own standards of output, and social pressure was used to achieve the standards of output. If an individual in the group attempts to exceed the group norms, they are frequently isolated, sometimes harassed, or even punished by the rest of the group. As a result, the findings of this experiment suggest that individuals are constraining the overall output of the group due to variations in each member's working capacity. CONCLUSION OF HAWTHORNE EXPERIMENTS Management must recognize the employees needs for recognition and social satisfaction in order to achieve high productivity. The Hawthorne effect is the tendency of workers singled out for special attention to perform as good or better than anticipated because of expectations created by the situation. PRINCIPLES OF HUMAN RELATIONS APPROACH These principles of the Human Relations Approach highlight the importance of considering the human element in management practices, ultimately leading to a more engaged, motivated, and productive workforce. The basic principles of human relations approach are: 1. Recognition and Appreciation ‘Human beings are not interested only in financial gains. They also need recognition and appreciation. if workers’ efforts and contributions are recognized and acknowledged, it can develop their self-esteem and self-worth as it serves as a powerful motivator. They are also more likely to be committed and loyal to the organization. Page 4110Tarlac State University COLLEGE OF ENGINEERING 2. Treating Workers as Human Beings Workers are human beings. So they must be treated like human beings and not like machines. Managers should try to understand the feelings and emotions of the workers. This principle is to avoid dehumanizing employees because, unlike machines, we humans also have feelings, emotions, limitations, dignity, and rights that others must respect. Employees who are mistreated may experience reduced morale and work satisfaction, be less productive, and ultimately leave the organization. 3. Formal and Informal Relations ‘An organization works not only through formal relations, but also through informal relations. Therefore, managers should encourage informal relations in the organization along with formal relations. Formal Relations — is the documented or professional relation between workers and employers. It involves the roles and responsibilities of each member that was indicated in the job description, as well as job procedures and policies. Here, the managers are the one who set expectations, provide feedback, and evaluate the performance of the employees (i.e. workers and managers inside the organization). Informal Relations - it is the personal and social relation between the members of the organization. It was developed naturally through shared interest, personalities, and interactions and communication (i.e. friends outside the work). 4. Job Security and Job Satisfaction Workers need a high degree of job security and job satisfaction. Therefore, management should give job security and job satisfaction to the workers. The job security and job satisfaction can lead to a long term commitment where employees will commit and invest more time and effort to their work and greater loyalty where employees are more likely to stay with their current employer and organization. 5. Effective Communication Workers want good communication from the managers. Therefore, managers should communicate effectively without feelings of ego and superiority complex. There should be clear and effective communication between managers and workers because managers are the ones who provide job expectations and explain the goals of the organization, as well as the tasks and responsibilities of the employees. 6. Conflict Resolution In any organization, members do not like conflict and misunderstandings. Therefore, managers should try to stop conflicts and misunderstandings among the members of the organization. Conflicts and misunderstandings between team members can lead to negative emotions, which can ultimately affect their teamwork and productivity. Therefore, it is the responsibility of managers to address these issues and find solutions to resolve the conflicts and misunderstandings. Page 5110Tarlac State University COLLEGE OF ENGINEERING 7. Freedom and Autonomy Workers want freedom. They do not want strict supervision. Therefore, managers should avoid strict supervision and control over the workers. Workers want freedom to make choices and decisions on how they will do and accomplish their work because not all workers have the same working styles and preferences. Workers do not want strict supervision because some of the employees are not confident and comfortable to work when they are constantly monitored and observed. 8. Worker Participation Employees would like to participate in decision making especially, in those matters affecting their interest. Therefore, management must encourage workers’ participation in management. This will increase productivity and job satisfaction. Worker should share their ideas, opinions, suggestions, and valuable insights and perspectives regarding the work, so that the management can consider all the ideas before making a decision CONTRIBUTIONS OF HUMAN RELATIONS THEORY 1. Performance and Productivity ‘An employee's performance and productivity partly depend on the quality of the relationship they have with management and co-workers. When management takes an interest in the well-being of employees, it is reflected in their performance. Good human relations practices, such as understanding the needs and expectations of employees, providing Comfortable work conditions, and resolving conflicts between management and co-workers, create satisfied and motivated employees. This, in turn, leads to improvements in their overall productivity and performance. 2. Job Satisfaction ‘An employee who has good relations with their team members and superiors tends to perform better than an employee who has a strained relationship with co-workers or seniors. The free flow of communication, unity, and understanding between employees increases their job satisfaction level and morale. Job satisfaction ultimately results in higher productivity and performance, while also reducing employee turnover and absenteeism. 3, Reduction in Disputes Healthy relations between human resources are essential for the smooth functioning of an organization. Misunderstandings or mistrust between them can adversely affect the productivity of the organization. Human relations practices help reduce conflicts in the organization, whether they are between superiors and subordinates or between different departments. Managers who adopt a human relations approach are proactive in taking actions to defuse conflicts even before they emerge. Page 6110Tarlac State University COLLEGE OF ENGINEERING 4. Increased Employee Parti Good and healthy relations with co-workers and superiors in the workplace boost the morale of employees. This encouragement leads to active participation in group discussions and the decision-making process. It enables employees to consider ideas and opinions of other employees with an open mind. Such a work environment motivates employees to come up with creative ideas, such as new designs or processes, which in turn helps the organization effectively face market competition. 5. Optimum Resource Utilization Healthy relations between management and employees facilitate the growth of the organization. In order to build such relations, management has to understand the needs, problems, and expectations of employees and try to find solutions for them. Providing organizational assistance to help employees achieve their personal goals and offering fait opportunities for growth motivates employees to give their best to the organization. As a result, they try to find ways in which various resources can be optimally used. LIMITATIONS OF HUMAN RELATIONS THEORY 1. Philosophy Several economists claimed that by encouraging workers to develop loyalties to anything but their own self-interests, and by preaching collaboration instead of competition, human relations would ultimately lead to reduced efficiency. No wonder, trade unions ridiculed it as a form of ‘cow psychology’, which transformed factories into unthinking places of comfort. Interest in human relations is equated with tender-mindedness, sentimentality and unrealistic desire to make everyone happy. Critics also charged that the human relations movement, built as it is on a philosophy of worker-management harmony, is not only antithetical to a viable capitalistic system but impractical as well 2. Scientific Validity The research carried out by Mayo and his associates had many weaknesses of design, analysis, and interpretation. Whether the researchers’ conclusions are consistent with their data is still the subject of lively debate and considerable confusion. With respect to the relay assembly test room studies, for example, Alex Carey pointed out that there was no attempt to establish sample groups ‘representative of any larger population than the groups themselves, and that no generalization is therefore legitimate’ 3. Short-Sighted The very fact that the human relations research is concerned with operative employees bears ample testimony to the short-sightedness of the research findings. Further, the approach lacks adequate focus on work. It tends to over emphasize the psychological aspects at the cost of structural and technical aspects. It tends to neglect the economic dimensions of work satisfaction. But as we all know, economic motivation is exceedingly strong and quite often economic explanations are appropriate for understanding human behavior. It is small wonder; itis labelled as a short-sighted ventilation therapy. Page 7110Tarlac State University COLLEGE OF ENGINEERING 4. Over Concern with Happiness The Hawthorne studies suggested that happy employees will be productive employees. This, of course is a native and simplistic version of the nature of man. Studies have failed to show a consistent relationship between happiness and productivity. It is quite possible to have a lot of happy but unproductive employees. 5. Anti-Individualist The human relations movement is anti-individualist. Here, the discipline of the boss is simply replaced by the discipline of the group forcing the individual to sacrifice his personal identity and dignity. The individual may not find his truce self and gain a stimulating feeling of personal freedom by completely losing himself in a group. Further, there is no guarantee that groups will always be instrumental in distributing satisfaction to members. MASLOW’S THEORY OF HUMAN NEEDS Abraham Maslow's Early Life Abraham Maslow was born on April 1, 1908, in Brooklyn, New York, where he grew up the first of seven children born to his Jewish parents who emigrated from Russia. Maslow later described his early childhood as unhappy and lonely. He spent much of his time in the library immersed in books. Maslow studied law at City College of New York (CCNY). After developing an interest in psychology, he switched to the University of Wisconsin and found a mentor in psychologist Harry Harlow Who served as his doctoral advisor. Maslow earned all three of his degrees in psychology (a bachelor’s, master’s, and doctorate) from the University of Wisconsin. Abraham Masiow's Humanistic Theories Abraham Maslow began teaching at Brooklyn College in 1937 and continued to work as a member of the school's faculty until 1951. Mastow's Pyramid (Maslow’s Hierarchy of Needs) teu ely Esteem ever cn) te Seine Page 8110Tarlac State University COLLEGE OF ENGINEERING Level 4: Physiology, Body Physiological needs are biological needs, such as oxygen, food, water, and sleep. They are the basis for the hierarchy and the strongest motivating needs, as our survival depends on satisfying them. Level 2: Safety, Security According to Maslow, the need for physical safety becomes evident once a person's biological needs begin to be met. This can mean shelter from the elements, from disease, or from violence. Level 3: Love and Belonging ‘Once the need for safety is somewhat met, the need for a sense of belonging becomes evident. Masiow states that people seek to overcome feelings of loneliness and alienation by nurturing relationships Level 4: Esteem Once the first three classes of needs are largely met, the need for esteem arises. This comprises both the respect and recognition a person gets from others, and their own sense of worth, competence and independence. Level 5: Self-Actualization According to Maslow, self-actualization is when a person can do what they feel they are "meant" to do and be who they are "meant" to be. The need for self-actualization is present in all of us but can only be met once all the lower needs are sufficiently satisfied. Growth needs vs. Deficiency needs Maslow divided his hierarchy into two main categories of necessities: deficiency needs and growth needs. The change in motivation that occurs as needs are satisfied is the primary distinction between growth and deficiency needs. As growth requirements are satisfied, motivation rises, On the other hand, as deficit demands are satisfied, motivation declines, Soneaninent / Aaa Page 9110Tarlac State University COLLEGE OF ENGINEERING The Meaning of Maslow's Model for Managers So, how can Maslow’s model help managers? + Meet people's basic human needs. Sounds simple, but even the most able, confident and respected people have basic human needs that must continue to be met if they are to remain motivated and productive. This is especially relevant during a crisis, whether it's a global event, such as a pandemic, or a personal problem, such as debt. + Motivation is more than money. Hard cash is not enough. People have many needs that have to be met above and beyond this. + Satisfaction can be achieved in many different ways. The model gives managers a whole range of tools that they can use to build team satisfaction, even if they don't have much money to hand out, It usually doesn't cost much to, provide a safe working environment. It's often inexpensive to have team socials where team members can get to know one another outside the work environment. And it costs nothing to compliment people on a job well done, + Self-actualization can be achieved by anyone. Finally, Maslow’s conviction that we all have the potential to be self-actualizers can be a source of hope and encouragement for everyone — including you! References Akrani, G. (2011). Hawthome Studies Experiments - 4 Parts, Conclusions, Criticism. Kalyan City Life. Cherry, K. (2023). Biography of Abraham Masiow (1908-1970). Verywell Mind. Francis, A. (2014). 4 Phases of Hawthome Experiment ~ Explained. MBA Knowledge Base Kashni, T. (2019). Behavioral approach, Human relation VS behavioral science. Slideshare. Mind Tools Content Team, (n.d.). Masfow's Hierarchy of Needs: A Model for Supporting Your People Toward Self-Actualization. Mind Tools. Minott, C. (2022). Hawthorne Studies Experiment and Significance, Study.com. Schermerhorn, J.R., & Bachrach, D.G. (2015). Management (13th ed.). Hoboken, N.J.: Wiley. Sinha, P. (2019). The Hawthome Effect and phenomenon of measurement. Linkedin. Stoner, J.AF., & Wankel, C. (1986). Management (3rd ed.). Englewood Cliffs, N.J.: Prentice-Hall Vishakha 8. (n.d.). Human Relations: Meaning, Approach, Concept, Importance, Limitations. Economics Discussion Page 10110