Chapter 01 The Changing Paradigm of Management

1
Managing the New Workplace
2
Definition of Management

• The attainment of organizational goals in an
  effective and efficient manner through
• Planning,
• Organizing,
• Leading, and
• Controlling of organizational resources.

3
Management Functions
4
Management Skills
5
Ten Manager RolesThree Conceptual Categories
Informational
Interpersonal
Decisional

• Monitor
• Disseminator
• Spokesperson

• Figurehead
• Leader
• Liaison

• Entrepreneur
• Disturbance handler
• Resource allocator
• Negotiator

6
Characteristics of theNew Workplace
Centered around information and ideas
Work is free-flowing and flexible
Organized around networks,work is often virtual
7
Management Competencies of Today

• Embrace ambiguity
• Create organizations that are
• Fast
• Flexible
• Adaptable
• Relationship-oriented
• Focus on
• Leadership
• Staying connected to employees and customers
• Team building
• Developing a learning organization

8
Stay Calm
Be visible
Crisis Management Skills
Tell the truth
Put people beforebusiness
Know when to getback to business
9
Elements of a Learning Organization
The essential idea is problem solving, in
contrast to the traditional organization designed
for efficiency.
LearningOrganization
Empowered Employees
Open Information
10
Management Organization

• Social Forces values, needs, and standards of
  behavior.
• Political Forces influence of political and
  legal institutions on people organizations.
• Economic Forces forces that affect the
  availability, production, distribution of a
  societys resources.

11
Management Perspectives Over Time
12
Classical Perspective

• Emphasized a rational, scientific approach to the
  study of management.
• Sought to make organizations efficient.

13
Classical PerspectiveThree Subfields

• Scientific management
• Bureaucratic organizations
• Administrative principles

14
Characteristics of Scientific Management

• General Approach
• Developed standard method for performing each
  job.
• Selected workers with appropriate abilities for
  each job.
• Trained workers in standard method.
• Supported workers by planning work and
  eliminating interruptions.
• Provided wage incentives to workers for increased
  output.
• Contributions
• Demonstrated the importance of compensation for
  performance.
• Initiated the careful study of tasks and jobs.
• Demonstrated the importance of personnel and
  their training.
• Criticisms
• Did not appreciate social context of work and
  higher needs of workers.
• Did not acknowledge variance among individuals.
• Tended to regard workers as uninformed and
  ignored their ideas.

15
Elements of Bureaucracy

• Labor is divided with clear definitions of
  authority and responsibility.
• Positions are in hierarchy of authority.
• Personnel are selected and promoted based on
  qualifications.
• Acts and decisions are recorded in writing
• Management is separate from the ownership.
• Rules and procedures ensure reliable,
  predictable behavior. Rules are impersonal and
  uniformly applied.

16
Administrative Principles

• Contributors to this approach Henri Fayol, Mary
  Parker, and Chester I. Barnard.
• Focused on organization rather than the
  individual.
• Delineating the management functions of planning,
  organizing, commanding, coordinating, and
  controlling.

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Administrative Principles Henri Fayols 14
Points

• Division of work
• Authority
• Discipline
• Unity of command
• Unity of direction
• Subordination of individual interest for common
  good
• Remuneration

• Centralization
• Scalar chain
• Order
• Equity
• Stability and tenure of staff
• Initiative
• Esprit de corps

18
Humanistic Perspective

• Emphasized understanding human behavior.
• Dealt with needs attitudes in the workplace.
• Truly effective control comes from within the
  individual worker rather than authoritarian
  control.
• Hawthorne Studies brought this perspective to
  forefront.

19
Humanistic PerspectiveThree Sub-Fields

• Human Relations Movement.
• Human Resources Perspective.
• Behavioral Sciences Approach.

20
Human Relations Movement

• Ten year study.
• Four experimental three control groups.
• Five different tests.
• Test pointed to factors other than illumination
  for productivity.
• 1st Relay Assembly Test Room experiment, was
  controversial, test lasted 6 years.
• Interpretation, money not cause of increased
  output.
• Factor that increased output, Human Relations.

21
Human Resources Perspective
Emphasizes understanding human behavior, needs
and attitudes in the workplace.

• Combines design of job tasks with theories of
  motivation.
• Maintains an interest in worker participation.
• Considers the daily tasks that people perform.

22
Abraham Maslows Hierarchy
Self- actualization
Challenging Job
Self-fulfillment
Esteem
Job Title
Status
Belonging
Friends
Friendship
Safety
Retirement Plan
Stability
Physiological
Shelter
Wages
Based on needs satisfaction
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Douglas McGregorTheory X Y
Theory X
Theory Y

• People are lazy
• People lack ambition
• Dislike responsibility
• People are self-centered
• People dont like change

• People are energetic
• People want to make contributions
• People do have ambition
• People will seek responsibility

24
Behavioral Sciences Approach

• Develops theories about human behavior based on
  scientific methods study.
• Sub-field of the Humanistic Perspective.
• Applies social science in an organizational
  context.
• In understanding employees draws from economics,
  psychology, sociology.

25
Management Science Perspective

• Emerged after WW II.
• Distinguished for its application of mathematics,
  statistics to problem solving.
• Operations Research emerged.
• Operations Management emerged.
• Management Information Systems emerged.