Chapter I: Introduction to

Organization and
Management (OM)

Course Code: TLM 502

 Learning Objectives
1. Define Organization and Management (OM).
2. Describe what TVET managers/leaders do.
3. Explain the value of the systematic study of OM.
4. List the major challenges and opportunities for
TVET managers to use OM concepts.
5. Identify the contributions made by different
disciplines to OM.
6. Describe why TVET managers require a
knowledge of OM.
7. Explain the need for a contingency approach to
the study of OM. >>>>>>>>>>>>>>>>>>>>>>>>>
 Introduction
Motivating Questions: share your views and
experiences on the following questions for 10
minutes in a group of five students.

1. What is Organization?

3. What is Organization and Management?

>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>
 Definition of Key Terms/phrases
• Behavior could be explained in terms of
knowledge, attitude and skill/Practice (KAS/KAP
model-triangular model).

• Individual behavior: the behavior related with an

individual.

• Group behavior: the behavior related with group.

• Group: members of organization with two or

more people.
 Definition …Cont’d
Different authorities define organization and
management in different ways as follows:

• Organizations are social systems. Organization is a

combination of humanity and technology.

• OM is a human tool for human benefit. A complex

set of forces affect the nature of organizations
today.

• OM can be classified into four areas: People,

Structure, Technology, and Environment.
 Definition…Cont’d
• Organizations are defined as social arrangements,
constructed by people, who can also change them
(Buchanan and Huzynski, 1997).

• Organizations are a system of cooperative activities-

and their coordination requires something intangible
and personal that is largely a matter of personal
relationships (Barnard, 1938).

• OM is concerned with “the study of the structure,

functioning and performances of organizations, and
the behavior of groups and individuals within them
(Pugh, 1997),
 Definition…Cont’d
• OM is the study and application of knowledge about
how people, individuals, and groups act in
organizations.

• OM is the study of human behavior in organizational

settings, the interface between human behavior and
organization itself.

• The study of organizations and of the collection of

people within them together comprises the field of
OM.
 Definition…Cont’d
• OM is a field of study that investigates the impact
that individuals, groups, and structure have on
behavior within organizations for the purpose of
applying such knowledge towards improving an
organization’s effectiveness.

• When people join the organization to accomplish

the goals/objectives, some kind of structure is
required. They use machinery, gadgets and
technology to achieve the organizational goals. At
the same time they are influenced by external
environment.
 Definition…Cont’d
• OM studies what people do in an organization and
how that behavior affects the performance of the
organization.

• The field of OM seeks to replace intuitive

explanations with systematic study.>>>>>>>>>
 Typical Characteristics/Nature of OM
• A field of study and not a discipline

• Interdisciplinary approach used in OM

• An applied science

• Normative and value centered

• Humanistic and optimistic

• Oriented towards organizational objectives

• A total systems approach

>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>
 Evolution of OM (Development of OM)
1. Robert Own (1800)
• Young factory owner-first to emphasize the human
needs of employees and refused to employ children.
• Taught workers to improve working conditions.
• Father of Personnel Management.
2. J.N. TATA (1886) instituted a pension fund and in
1895 began to pay accident compensation.
3. Andrew Ure (1935)
• Pioneer of the philosophy of manufacturers.
• Recognize the value of human factor in
manufacturing.
• Provided welfare facilities to workers.
 Evolution…Cont’d
4. William Gilbreth (1914)
• Wrote about the Psychology of Management

5. F.W. Taylor (1916)

• Father of Scientific Management. Wrote about:
1.Time and motion study
2. Piece Rate Method

6. Henry Fayol (1916)

• Administrative Management, principles of
governing behavior, management quality.
 Evolution…Cont’d
7. Elton Mayo (1920’s and 1930’s)
• Wrote about human behavior at Harvard University
• Contributed Hawthorne’s
Experiments/plant/Electricity Company

8. Abraham H. Maslow (1954)

• Contributed Need Hierarchy Motivation Model

9. Douglas McGregor (1960)

• Theory X and Theory Y Managerial Style
 Evolution…Cont’d
10. Henry Mintzberg (1960)
• Wrote about managerial roles: Interpersonal,
Informational and Decision Making.

11. Peter Drucker (1909-2005)

• Called as father of modern management
• He wrote about:
1.Importance of change and quality
2. How to bring best out of people
3. Innovation
4. Entrepreneurship
>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>
 Major Contributing Disciplines to OM
1. Psychology

2. Sociology

3. Social Psychology

4. Anthropology

5. Economics and

6.Political Science
 Major Contributing Disciplines…Cont’d
1. Psychology: how individuals behave in response
to a stimulus.

2.Sociology: how individuals relate to groups and to

each other.

3.Social Psychology: how individuals and

organizations perceive conflict, threats and undergo
stress.

4.Anthropology: understanding customs, traditions

and social mores (values) of people since the
organization is a microcosm of the larger society.
 Major Contributing Disciplines…Cont’d

5.Economics: appreciating monetary (wage and

bonus) and non-monetary incentives (housing,
schooling and medical care) to employees so
that they are motivated to produce more
efficiently and effectively.

6.Political Science: understanding power,

Authority and corporate politics.
>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>
 Challenges for OM
• Globalization to respond
• Managing diversity
• Improving quality and productivity
• Improving customer service
• Improving people skills
• Stimulating innovation and change
• Coping with temporariness
• Working in network organization
• Helping positive work environment
• Improving ethical behavior
>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>
 The Scope of OM
• Impact of personality on performance (Employee
motivation)
• Leadership
• How to create effective teams and groups
• study of different organizational structures
• Individual behavior, attitude and learning
• Perception
• Design and development of effective organization
• Job design
 The Scope of OM…Cont’d
• Impact of culture on organizational behavior
• Management of change
• Management of conflict and stress
• Organizational development
• Organizational culture
• Transactional analysis
• Group behavior, power and politics
• Study of emotion
>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>
 Importance of OM
• OM provides a road map to our live in
organizations.

• OM uses scientific research to understand and

make organization life, as it helps to predict what
people will do under various conditions.

• It helps to influence organizational events-to

understand and predict events.
 Importance…Cont’d
• It helps an individual to understand herself/himself
in better fashion.

• It helps organizations for maintaining cordial

industrial relations.

• It is also useful in the field of marketing

• Interpersonal level, Group level and Inter-group

level
>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>
 Advantages of cooperative Relationships
The co-operative relationships help the organization
in achieving its objectives through:

• Controlling and directing behavior

• Use of power and sanction

• Leadership
• Communication
• Organizational climate
• Organizational adaptation
>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>
 Models of OM
1. Traditional models:
• Feudalism and Slavery

2. Modern models:
a. Autocratic model
b. Custodial model
c. Supportive model
d. Collegial model
e. SOBC model
 Structure of Traditional models
• Feudalism and slavery models
Kings

King
Lords
Lord

Knights Knights

Peasants
Serfs
Feudal System
 Modern Models of OM
1. Autocratic Model

Basis of Model Power

Managerial Orientation Autocracy

Employee Orientation Obedience

Employee psychological Dependence on boss

results
Employees needs met Subsistence/survival

Performance result Minimum

 Modern Models of OM…Cont’d
2. Custodial Model
Basis of Model Economic Resources

Managerial Orientation Money

Employee Orientation Security and benefits

Employee psychological Dependence on

results organization

Employees needs met Security

Performance result Passive cooperation

 Modern Models of OM…Cont’d
3. Supportive Model
Basis of Model Leadership

Managerial Orientation Supportive

Employee Orientation Job performance

Employee psychological Participation

results
Employees needs met Status and recognition

Performance result Awakened drives

 Modern Models of OM…Cont’d
4. Collegial Model
Basis of Model Partnership

Managerial Orientation Teamwork

Employee Orientation Responsible behavior

Employee psychological Self-discipline

results
Employees needs met Self-actualization

Performance result Moderate enthusiasm

 Modern Models of OM…Cont’d
5. SOBC Model
Basis of Model Facilitator

Managerial Orientation Empathy

Employee Orientation Belongingness

Employee psychological Ownership

results
Employees needs met Higher order needs

Performance result Passion and

commitment
 S-O-B-C Model
Stimulus Organism Behavior Consequen
ce
-Overt and -Cognitive -Overt and
-Overt and
covert stimuli mediators covert
covert
-Physical, -Physiological -Positive and
responses
socio-cultural being and negative
and environmental -Consequen
patterns of
technological behavior
ces and
environment dynamics
>>>>>>>>>> >>>>>>>>>>> >>>>>>>> >>>>>>>>>>