Professional Documents
Culture Documents
MANAGEMENT
Controlling Directing
Evaluation activities that a Supervising or leading workers t o
accomplish organization's objectives
manager must perform Making assignments
Attitude – relate to
beliefs, feelings, and
values
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LEADERSHIP STYLES
4. Situational Theory of Leadership
leaders behaves according to a given situation
which may vary from one setting to the other.
Considers a person’s qualities and motivations,
the role expectations of the group
The social forces at work such as the external
factors that bring forth the leadership potential.
Five kinds of Situational Leaders
1. Natural leader – who becomes a leader inspite of himself or
herself.
◦ does not seek the role but the group thrust the leadership upon her by the
tide of events.
2. Charismatic leaders – who is an authentic hero in the eyes of
his followers.
◦ inspires people to make sacrifices for the cause they represent
◦ he can do no wrong.
3. Rational leader – who is consistent and persistent in what he
thinks is right.
Five kinds of Situational Leaders
4. Consensus Leader – who is perceived to be
acceptable to all.
• he rises in the absence of the above three.
5. Leader by force – who dominates by force and fear.
• He is ruthless in suppressing opposition.
• He does not reign long.
• Contains within itself the seeds of self destruction.
• Eg. Hitler . Idi Amin
LEADERSHIP STYLES DISPLAYED BY
GREAT LEADERS, PAST AND PRESENT
Leadership Traits Theories
How should leader look like?
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Situational Leadership
Situational Approach to Leadership
Managers need to vary their leadership style with each phase
Leader Behavior
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POWER
Legitimate Reward
Coercive Connection
The Power of Leaders
Scientific Management
◦ Emphasizes careful selection and
training of workers and
supervisory support
◦ Described by Frederick Taylor’s
“Principles of Management” in
1911.
◦ Father of scientific management
CLASSICAL MANAGEMENT
Scientific Management
Taylor’s Four Principles of Scientific Management
1. Develop a “science” for each job—rules of motion,
standard work tools, proper work conditions.
2. Hire workers with the right abilities for the job.
3. Train and motivate workers to do their jobs according to
the science.
4. Support workers by planning and assisting their work by
the job science.
CLASSICAL MANAGEMENT
Bureaucracy
Bureaucratic Organizations
◦ Defined by Max Weber in late 19th century
◦ Focused on definitions of authority, responsibility and process
◦ Intended to address the inefficiencies of organizations at that time
Bureaucratic Model
Relies on rational set of structuring guidelines, such as rules and
procedures, hierarchy, and a clear division of labor
The bureaucracy is a formal organization
Max Weber popularized the Bureaucratic Model
Max Weber’s Bureaucratic characterisitics
1. Division of Labor
2. Fixed authority and official jurisdiction
3. Heirarchal arrangement of officers
4. Written formal rules
5. Impersonality
6. Specialization
7. Security of tenure
Bureaucratic Model
Webers rules (criteria on how to construct organizaions
1. Organizations are impersonal and are subject to authority
2. Organized in clearly defined heirarchy of offices
3. Each office has area of competence
4. Office is filled by way of a free contractual relationship and there is free
selection for the positions
5. Technical qualification is basis of selection
6. Members are remunerated by fixed salaries; right to pensions; salary scale
according to rank; right to resign
7. Office is sole primary occupation of the members
8. Office constitutes a career with a promotion system
9. Official work seperated from ownerhip of the means of administration
10.Members subject to strict and systematic discipline and control in the
conduct of the office
CLASSICAL MANAGEMENT
Bureaucracy
Characteristics of an Ideal Bureaucracy
1. Clear division of labor Jobs are well defined, and workers become highly skilled
at performing them.
2. Clear hierarchy of authority and responsibility are well defined, and each
position reports to a higher-level one.
3. Formal rules and procedures Written guidelines describe expected behavior and
decisions in jobs; written files are kept for historical record.
4. Impersonality Rules and procedures are impartially and uniformly applied; no
one gets preferential treatment.
5. Careers based on merit Workers are selected and promoted on ability and
performance; managers are career employees of the organization.
CLASSICAL MANAGEMENT
Administrative Principals
◦ Attempts to document the
Henri Fayols - Considered and referred to as
experiences of successful the Father of Modern Management Theory.
managers First identified the management functions/
◦ Analyzes organizations in their process. He formulated the fourteen
Principles of management.
social context
◦ Two key contributors Mary Parker Follet - First theorists to suggest
basic principles of “Participative decision making
◦ Henri Fayol or Participative Management”
◦ Mary Parker Follett
CLASSICAL MANAGEMENT
Administrative Principals
Henry Fayol (1841-1925)
Treated administration as a process as opposed to the prevailing practice wherein
administration is under control of specialists.
Henri Fayol – Administration Industrielle et Generale - 1916
3. Specialization
The classical management theory takes an approach where the larger
objective is reduced to a set of smaller objectives. The aim here is to
maximize efficiency and effectiveness. Employees have a single
responsibility about which they are thoroughly knowledgeable.
This has the effect of reducing multitasking. This scientific management
approach designed specialization to cater to businesses with an
assembly line perspective towards business and objectives.
Advantages of the Classical Management Theory
1. Clarity on employee responsibilities
The classical management theory advocates the need for specialization. Responsibilities are
delegated to workers according to their expertise and experience. This boosts efficiency as
workers clearly know what is expected of them. They are not spread thinly, having to multitask.
The tasks and responsibilities of the workers are distinctly mentioned.
2. Distinct hierarchical Structure
The classical management theory pushes for a hierarchy of management that has three clear
tiers. This way, there is complete clarity on what every manager has to do. In addition, the
targets and responsibilities of the managers are also well defined.
3. Concentrated decision making
Classical Management Theory proposes that the crucial decisions in a business be taken by a
few leaders at the top, if not only one. For smaller businesses, this is an evident approach.
Advantages of the Classical Management Theory
4. Financial incentives boost efficiency
The classical management theory put forward that organizations should design multiple
incentives so that employees can avail themselves by boosting their efficiency and also
increase productivity. This is because the management theory stresses the belief that
workers are driven by financial and physical needs. Therefore, it allows them to motivate
the workforce easily. The benefit here is that employees know that their extra efforts are
being appreciated.
Disadvantages of the Classical Management
Theory
1. Workers are more stressed
The classical management theory can cause workers to become demotivated and under pressure. As a result, they
might stress themselves out trying to get a task done on time. The management theory, after all, only focuses on the
workforce’s output efficiency and performance.
2. Discourages new thoughts and ideas
Management theory tries to optimize productivity by relying on only one approach. Innovation is thus hindered, and
the organization fails to progress in multiple avenues. Employee innovation is also curtailed, and they are less likely
to contribute their ideas.
3. Human connections and job satisfaction are ignored
Classical Management Theory overlooks the job satisfaction aspect of motivation, including human relations. This is a
crucial aspect for most employees. The scientific management approach concentrates too much on the different
physical needs.
The classical management theory ignores that workers might want to approach their responsibilities innovatively. It
ignores the need for human relations at work. So businesses that need innovation and co-operation and
communication should best avoid this management theory.
14 PRINCIPLES OF MANAGEMENT
(Henri Fayol)
1. Division of work 8. Centralization
2. Authority 9. Scalar chain(Line of
Authority)
3. Discipline
10. Order
4. Unity of command
11. Equity
5. Unity of direction
12. Stability of tenure of
6. Subordination of individual personnel
interest to general interest
13. Initiative
7. Renumeration
14. Esprit de corps
14 PRINCIPLES OF MANAGEMENT
Principles of management
Managers Functional Duties
Specialization of labor This improves the efficiency of labor through specialization,
reducing labor time and increasing skill development.
Authority This is the right to give orders which always carry
responsibility commensurate with its privileges.
Discipline It relies on respect for the rules, policies, and agreements that
govern an organization. Fayol ordains that discipline requires
good superiors at all levels.
Unity of command This means that subordinates should receive orders from one
superior only, thus avoiding confusion and conflict.
Unity of direction This means that there should be unity in the directions given
by a boss to his subordinates. There should not be any conflict
in the directions given by a boss.
14 PRINCIPLES OF MANAGEMENT
Principles of management
Managers Functional Duties
Subordination of individual According to this principle, the needs of individuals and
interest to common good groups within an organization should not take precedence
over the needs of the organization as a whole.
Remuneration Wages should be equitable and satisfactory to employees
and superiors.
Centralization Levels at which decisions are to be made should depend on
the specific situation, no level of centralization or
decentralization is ideal for all situations.
Scale of chain The relationship among all levels in the organizational
hierarchy and exact lines of authority should be unmistakably
clear and usually followed at all times, excepting special
circumstances when some departure might be necessary.
14 PRINCIPLES OF MANAGEMENT
Principles of management
Managers Functional Duties
Order There should be a place for everything, and everything should
be in its place. This is essentially a principle of organization in
the arrangement of things and people.
Equity Employees should be treated equitably in order to elicit
loyalty and devotion from personnel.
Personal tenure Views unnecessary turnover to be both the cause and the
effect of bad management; Fayol points out its danger and
costs.
Initiative Subordinates should be encouraged to conceive and carryout
ideas.
Esprit de corps Team work, a sense of unity and togetherness, should be
fostered and maintained.
CLASSICAL MANAGEMENT
Administrative Principals
Mary Parker Follett – 1920’s
◦ Foresighted approach
◦ Advocated managers and
workers work in harmony and
employees should own a share
of the business
◦ Forerunner of “managerial
ethics” and “social
responsibility”
Behavioral Management Theory
Elton Mayo
Behavioral Management
McGregor
McGregor
2.Theory Y Managers
Believe employees are willing to work, capable of self
control and self direction, responsible and creative
Use behavioral “participative” style
Theory Y: positive view – people can exercise self-
directedness , accept responsibility and consider work to
be as natural as rest or play
Theory Y assumptions best captured true nature of
workers and should guide management practice.
BEHAVORIAL MANAGEMENT
Argyris
Argyris’ Personality and Organization
◦ Argues that employees:
◦ want to be treated as adults
◦ will perform better with less restrictive / defined tasks
◦ runs counter to Scientific & Administrative theories that argue for
close supervision
Summary of Management Theories
MANAGEMENT THEORIES
Frederick Father of “Scientific Management” whose major concern was that
Taylor on increasing efficiency in production, not only to lower cost and
raise profits, but also to make possible increased pay for workers
to increase productivity. In his theory, he believes that workers are
motivated by monetary rewards.
Max Weber Developed the theory of “Bureaucracy”. He perceived as a need
for legalized, formal authority and consistent rules and regulations
for personnel in different positions within organizations to increase
efficiency.
Henri Fayols Considered and referred to as the Father of Modern Management
Theory. First identified the management functions/process. He
formulated the fourteen Principles of management.
Luther Gulick Expanded Fayol’s Management theory. He introduced the
seven activities of management. [POSDCORB]
Mary Parker First theorists to suggest basic principles of “ participative
Follet decision making or Participative Management”
Elton Mayo He and his Harvard associates conducted the famous
Hawthorne studies in 1927 to 1932. He discovered that various
psychological and social factors in the work situation exert
more influence on productivity that do actual and physical
conditions = known as “Hawthorne Effect.
That when special attention is given to workers by
management, productivity is likely to increase. Recognition of
Workers
Douglas Developed two theories [X-Y theory] that are about a managers assumption about
McGregor their employees.(managerial attitudes about employees can directly correlated
with Employee Satisfaction.
A. Theory X Managers believe that their employees are:
- lazy, have little ambition, need constant supervision and direction, and avoid to
work unless coerced into working productivity.
- tends to be autocratic, directive, and task-oreinted, and solicit little input from
subordinates.
B. Theory Y managers believe that their workers:
- enjoy their work, are creative and imaginative, self motivated, achieve
satisfaction from work
- are self- directed and self controlled, willing to work hard to meet personal
and organizational goals.
- tends to be democratic, supportive, and relationship oriented; delegates to and
accepts inputs from subordinates.
According to McGregor and Mayo managerial domination cause workers to
become discouraged and passive. He believed that if self-esteem and
independence needs are not met, employees will become discouraged and
troublesome or may leave the organization.
Chris Arygris Stressed the need to for flexibility within the organization and employee
participation in decision making.
Rensis Likert Found that traditional authoritarian managers are less able to motivate their staff
to high standards of achievement than are mangers who promote their staff’s
feelings of worth and importance
He believes trust and communication facilitate effectiveness in an organization.
Three (3) Principles:
a. Supportive relationship – attending to one another’s needs should add to
the sense of personal worth and importance of members
b. Group decision making – makes workers feel responsible for decisions
affecting them.
c. high performance goals – the setting and attaining of high performance
goals enable members to develop a sense of pride and accomplishment.
Alvin Toffler Workers are disoriented by to rapid change
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