BUREAUCRACY
• Bureaucracy refers to the management of large organizations characterized by hierarchy, Fixed rules, impersonal relationship, rigid adherence to procedures, and a highly specialized division of labor.-Max Webber Max
Characteristics of Bureaucracy
· The rules and job responsibilities are written down and clearly stated
· Clear hierarchy of power is concentrated among a few high-ranking managers
· Appointments and promotions of officers are formal, because these officers will be held accountable.
· Employees are hired based on their skills and knowledge, not because of favouritism or luck.
· Salaries are tied to a pay-grade system
· Bureaucracies are unable or unwilling to adapt to changing conditions quickly (Micro- manageable)
· Rigid rules and regulations
· Having no consideration for interpersonal relationship based on emotions and human qualities
· Power has been considered as the dominant factor to administer the organization.
Drawbacks of Bureaucratic model
· There are glaring drawbacks in the bureaucratic model namely rigidity, impersonal and mechanistic relationship.
· Lack of co-ordination and interpersonal communication and lastly existence of blind faith in rules and regulations.
Application and Effect
· The system may work in large government organizations or the organization where there is no change anticipated.
· The theory does not promote fulfilment of human needs and does not exploit full potential of employees.
SCIENTIFIC MANAGEMENT
Knowing exactly what you want men to do and then see that they do it the best and cheapest way Fredrick Winslow Taylor
Features of Scientific Management
· Separation of Planning and doing
· Functional foremanship
· Job Analysis
· Standardisation
· Scientific selection and training of workers
· Financial incentives
· Economies
· Mental revolution
Separation of Planning and doing
Taylor divided the entire work into two parts namely planning and doing. It was the responsibility of supervisors to plan the work that an individual worker is required to do and ensure that the tools required by them are made available to them.
Scientific selection and training of worker
Workers selection should be carried out on scientific basis. Taylor suggested that workers should be given adequate training and work allotted based on their physical and technical aptitude.
Financial incentives
· He fixed targets for each work and they were paid based on efficiency.
· Anybody who worked beyond the laid down target were paid higher rate of wages and any employee who could not meet allotted target was paid below the laid down rate.
Economies
Taylor insisted that internal economy must been sured by each worker ensuring that there was no wastage in time and material while carrying out the job.
Mental revolution
Taylor was a firm believer that there must be sound relations between the management and the workers.
Principles of Scientific Management
· Replacing Rule of Thumb with Science
· Harmony in Group Action
· Co-operation
· Maximum Output and development of workers
PROCESS MANAGEMENT THEORY
He has used the term ‘administration’ instead of management emphasizing that there is unity of science of administration.
Industrial Activities
1. Technical – relating to production and maintenance
2. Commercial – buying, selling and exchange.
3. Financial – search for capital and its optimum utilization.
4. Security – protection of property and human beings
5. Accounting – accounting of stores and equipment. Statistics is also covered under accounting.
6. Managerial – activities include planning, organizing, commanding, coordinating and control
Fayol divided his approach of studying management into three parts.
Managerial Qualities
(a) Physical ability: relating to health, vigour and ability to effectively address the people.
(b) Mental ability:to understand and learn, Judgment, mental vigour and adaptability.
(c) Moral ability: energy, firmness, initiative, loyalty, tact and dignity
(d) Educational ability:General acquaintance with matter not belonging exclusively to the function performed
(e) Technical ability: Particular to function being performed
(f) Experience: Arising out of work
General Principles of Management
· Division of Labor
· Parity of authority and responsibility
· Discipline
· Unity of command
· Unity of direction
· Subordination of individual to general interest
· Fair remuneration to employee
· Centralization and decentralization
· Scalar chain
· Equity
· Esprit de corps -Team work
Neo Classical Theory
Human Relations Era -1927
· Individual behaviour and sentiments are closely related.
· Group influences significantly affected individual behaviour.
· Group standards established individual output.
· Money was less a factor in determining output.
· Group standards, group sentiments and security provided by the group were Responsible for higher productivity.
Need Hierarchy Theory- Abraham Maslow
Physiological Needs – Decoration, Vibration, Temperature, Space, Noise, Gas, and Canteen facilities.
Security Needs – Job description, regularity, role clarity, structure, communication, safety report meetings, agreements, and contracts.
Social Needs – Joint Tasks, appreciation, sharing offices, recognition and team membership.
Self – esteem – Being consulted, rank, success, achievement, encouragement, recognition, pre-requisites.
Self – actualization – Personal or professional growth, autonomy, worthwhile job.
Re-engineering
Re-engineering is the fundamental rethinking and radical redesign of
business processes to achieve dramatic improvements in critical, contemporary measures of performance, such as cost, quality, service and speed.
· The process of re- engineering begins with a clean slate and a job is planned from beginning till end.
· The objective of re-engineering is to improve efficiency, performance and overall productivity.
Steps in Re-engineering Process
· Mission
· Process
· Creation of Sense of Urgency
· Identification of Customer needs
· Organisational Support
Benchmarking
Benchmarking is the process of comparing work and service methods against the best practices and outcomes for the purpose of identifying changes that will result in higher quality output.
Empowerment
Empowerment is defined as “a process that enhances intrinsic work motivation by positively influencing impact, competence, meaningfulness and choice.
Systems Approach to Management
Defines system as an organized, unitary whole composed of two or more interdependent parts, components, or sub – systems and delineated by identifiable boundaries from its environmental system.
TQM
1.Build awareness of the need to improve
2. Set goals for improvement
3. Organize so as to reach the goals
4. Provide training
5. Conduct projects to solve problems
6. Report progress
7. Give recognition
8. Communicate results
9. Keep score of progress achieved
10. Maintain the momentum by making annual improvement part of the regular system and processes of the company.
Organization Behavior is based on a few fundamental concepts which revolve around the nature of people and organizations.
The fundamental concepts of organizational behavior are;
§ Individual Differences.
§ Perception.
§ A Whole Person.
§ Motivated Behavior.
§ The desire for Involvement.
§ The value of the Person.
§ Human Dignity.
§ Organizations are Social System.
§ Mutuality of Interest.
§ Holistic Concept.
Individual Differences
Every individual in the world is different from others.Science supports this idea. Each person is different from all others, probably in a million ways, just as each’s DNA profile is different.The idea of the individual difference comes originally from psychology. From the day of birth, each person is unique, and personal experiences after birth tend to make people even more different.
Perception
Peoples’ perceptions are also different when they see an object. Two people can differently present the same object. And this is occurring for their experiences.A person always organizes and interprets what he sees according to his lifetime of experience and accumulated value.Employees also see work differently for differ in their personalities, needs, demographics factors, past experiences, and social surroundings.
A Whole Person
An employee’s personal life is not detached from his working life. As an example, A women who attend the office at 9:00 AM is always anxious for her children’s school time (if her kids can participate in the school or not).As a result, its impact falls on her concentration that means her working life. For this reason, we cannot separate it. So the manager should treat an employee as a whole person.
Motivated Behavior
An employee has so many needs inside him.So, they want to fulfill those needs. That’s why; they had to perform well in the organization.Some motivations are necessary to enrich the quality of work. A path toward increased need fulfillment is the better way to enhances the quality of work.
Desire for Involvement
Every employee is actively seeking opportunities to work to involve in decision-making problems. They hunger for the chance to share what they know and to learn from the experience.So, the organization should provide them a chance to express their opinions, ideas, and suggestions for the decision-making problem.A meaningful involvement can bring mutual benefit to both parties.
Value of the Person
An employee wants to be treated separately from another factor of production, (land, capital, labor).They refuse to accept the old idea that they are just treated as economic tools because they are the best creation of Almighty Allah.For this, reason, they want to be treated with carrying respect, dignity and other things from their employers and society.
Human Dignity
This concept is very philosophical. Every person needs to be treated with dignity and respect, whether it’s the CEO of the company or labor.It confirms that people are to be treated differently from other factors of production because they are of a higher order in the universe.It recognizes human dignity because people are of a higher order; they want to be treated with respect and dignity and should be treated this way.
Organizations are Social System
From sociology, we learn that organizations are social systems; consequently, activities therein are governed by social laws as well as psychological laws. Just as people have psychological needs, they also have social roles and status. Their behavior is influenced by their group as well as by their drives. In fact, two types of social systems exist side by side in organizations. One is a formal system, and the other is the informal social system.
Mutuality of Interest
Mutual interest is represented by the statement that organizations need people and people also need organizations. Organizations have a human purpose. They are formed and maintained by some mutuality of interest among their participants.
Holistic Concept
When the fundamental concepts of OB are placed together, a holistic concept emerges. This concept interprets people-organization relationships regarding the whole person, the whole group, whole organization, and the whole social system. It takes across the board view of people in organizations to understand as many as possible of the factors that influence their behavior. Issues are analyzed in terms of the total situation affecting them rather than in terms of an isolated event or problems.
Comments