Topic One
Topic One
Topic One
By
Mr.Masumbuko
Focus of the lecture
Early contributions to management and organization
thinking
Scientific management approach
Administrative principles
Bureaucratic organizations
Human relations approach
Systems approach
Contingency approach
Concept of management
The term management communicate different meanings
depending on the context which it is used.
Some are defining management as a vital factor of
production;
Some, as a team of persons join together to accomplish a
certain goal;
Some describe it as an academic study to be learnt;
Some as a process with several series of inter-related
elements.
The most popular definition of management is as follows:
“Management is the art of getting things done through
others”
But this definition is quietly narrow because it gives an
impression that managers gets results by treating their
subordinates as tools and it does not point out that a
formal organization structure is required for management.
Management can be defined as the process of planning,
organizing, controlling and directing organization’s resources
in order to achieve the stated goals.
Why studying management?
The better you can work with people, the more successful
you will be in both your personal and your professional
lives.
Employers want to hire employees who can participate
in managing the firm.
Even non managers are being trained to perform
management functions
Salient features of management
Mgt is universal
Required in any form of group activity
Fundamental principles of mgt are applicable in all areas of
organized effort
Managers in all levels perform same functions
Mgt is purposeful
Exists to achieve specific objectives
All activities of mgt are goal oriented
Success of mgt is measured by extent to which desired
objectives are achieved
Mgt is unifying force
Enhance coordination of individual efforts into a team
As unifying force, it create the whole that is more than
the sum of individual parts called “synergy” i.e. 2+2=4
It integrates human and other resources
Mgt is a social process:
why?
Is done by people, through people and for the people
Involves interpersonal relationships
Mgt is development of people not direction of things
Mgt is a continuous process
Is dynamic and ongoing
Mgt is intangible
Is unseen/invisible force
Cannot be seen but its presence can be felt everywhere
inform of results, however managers are visible and
tangible
Mgt is both an art and science
It has got a systematic body of knowledge (science) as
well as the practical application of such knowledge (art)
As an art,
It involves the practical application of such knowledge
just the same as in engineering, medicine, accountancy etc
(i.e. it involves specialized skills which make an individual
an expert).
As a science, mgt possesses the following attributes:
involves a scientific method by which things are
determined through observation of causal relationships
Involves the testing of hypotheses and generalization for
accuracy
Has set of principles which are developed out of tested
generalizations
MANAGEMENT THEORIES AND ORGANIZATIONAL
THOUGHTS
The field of management and organization thinking has a rich
history with many early contributors who laid the foundation for
modern management theories and practices. Here are some few
key figures and their contributions:
Fair evaluation
and reward
Key points of Bureaucracy
Position duties are clearly identified. People should
know what is expected of them.
Lines of authority should be clearly identified.
Workers know who reports to who.
Rules, Standard Operating Procedures (SOPs), &
Norms used to determine how the firm operates.
Sometimes, these lead to “red-tape” and other problems
Career system: Bureaucracies have a structured career
system in which employees are promoted based on their
qualifications and performance.
Advantages of bureaucracy
Specification
Rationality (objective in decision making)
Predictability (ensure stability of an organization)
Disadvantages
Rigidity- rigid rules and regulations discourages initiative
and creativity
Empire building (Prestige)
Delays (waiting time)
Human Relation Theory
This theory emphasize that organization is a social system
and the human factor is much important.
Elton Mayo is the father of Human relation thoughts, he
conducted experiment called Hawthorne Experiments.
Investigated informal groupings, informal relationships,
patterns of communication and pattern of relationships.
These were the first people to recognize the importance
of a man(person) in the organization
He experimented as how human can lead to higher
performance of an organization basing on his/her
interrelation.
The results were:-
Social system
Organization is a social system composed of interacting
parts, it defines individual roles and establishes norms
that may differ from those of formal organization.
Social environment
Social environment of a job affects the workers and is
also affected.
Informal organization
Informal organization does exist within the framework of
formal organization and it affects and is affected by the
formal organization
Group dynamics
Workers often do not act or react as individual but as
members of a group.
Behavioral theory
The behavioral theory stresses the importance of:
group dynamics,
human motivations,
The manager’s leadership style,
It also emphasizes the employee’s social and economic
needs
The behavioral theory also emphasizes on the influence of
the organization's social setting , and the quantity and
quality of work produced
The behavioral theory focuses on two competences:
communication, and
Teamwork
Behavioral theory is the study of how manager should
behave to motivate employees and encourage them to
perform at high level and be committed to the
achievement of organizational goals.
Encourage self-direction and control instead of imposing
control.
They recognized that organizational conflicts and change
are inevitable.
And they suggest that different people react differently
to the same situation.
Some of the more prominent theorists in this field included:
Elton Mayo (1880 – 1949),
Mary Parker Follett (1868 – 1933),
Chester Barnard (1886 – 1961),
Abraham Maslow (1908 – 1970),
Douglas McGregor (1906 – 1964),
Rensis Likert (1903 – 1981),
Frederick Herzberg (1923 – 2000),
David McClelland (1917 – 1998),
System Approaches
System
A system is an assemblage or combination of things or
parts forming a complex or unitary whole.
Open system
Under the systems approach to management, the
organization is seen as an open system that is influenced
by its internal and external environmental factors.
The organization then, in turn, influences the same
internal and external environmental; as a result, a dynamic
relationship is created
Closed system
Closed systems do not interact with their external
environments.
The systems approach to management was viewed as “a
way of visualizing internal and external environmental
factors as an integrated whole.”
Under system approach, the organization can be seen as
either an open system where it interacts with its external
environment or a closed system where it has no interaction
with its external environment.
A systems approach to management recognizes that
organizations are open systems that interact with and are
dependent on their environment.
In a continual process, they obtain necessary inputs,
transform the inputs into finished goods and services, and
deliver their outputs to the market.
The system model shows that companies are open to
environmental influence
Factors such as political instability, economic conditions,
consumer tastes, demographics, legal requirements, and
the physical environment all can affect an organization.
Successful organizations must be able to detect,
understand, and respond effectively to changes in the
external environment.
Contingency Approaches
Contingency approach theorizes that different situations
and conditions require different management approaches
Proponents believe that there is no one best way to
manage; the best way depends on the specific
circumstances.
In contingency management, every situation is considered
unique. Managers must adapt theory and practice to match
the situation by identifying the key contingencies, or
factors, in the situation.
The type of employee is also a contingency factor—
incentive systems that work for manual laborers do not
work for knowledge workers.
Effective managers need to be able to interpret the
contingencies of a situation to determine which approach
would be more effective
Current developments in Management Theories and
Practices
In the twenty-first century, organizations face many new
challenges.
Some people would argue that management practices and
theories are no longer relevant due to society and
economic changes.
But the truth is that, management has become more
important than ever.
Almost everything we do today as individuals or
organizations requires us to interact with large-scale
institutions
The question is “How management theory and practice
evolved to manage this new organizational and business
environment?”
Forces shaping management today
The pace of change,
Technology,
Globalization,
Social expectations
No “grand theories” have emerged to address the
mentioned new challenges.
Managers now focus on specific and general aspects.
Effective managers need to know what tool to use and how
to use it in different circumstances
END OF TOPIC ONE
Thank you for listening