Module 2 Mob
Module 2 Mob
These early theories focused on efficiency, structure, and hierarchy within organisations.
● Key Principles:
○ Scientific job analysis: Use scientific methods to determine the most efficient way
to perform tasks.
● Key Principles:
○ Proposed 14 principles of management (e.g. division of work, authority,
discipline, unity of command).
● Key Principles:
○ Hierarchical structure.
○ Impersonality in decision-making.
● Key Findings:
○ Productivity increased not due to physical changes but because workers felt
valued.
● Contributions:
Concept Explanation
Open System Interacts with its environment (e.g., receives inputs, delivers outputs).
Closed System Does not interact with the external environment (rare in practice).
B. Functions of Management
Defined as core activities that managers must perform to ensure effective operations.
(i) Planning
● Definition: Setting objectives and determining the best course of action to achieve them.
● Application:
(ii) Organising
● Application:
○ Creating departments.
(iii) Staffing
● Application:
● Importance: Right people in the right roles increase productivity and morale.
(iv) Leading
● Application:
(v) Controlling
● Application:
● Importance: Ensures objectives are met and resources are used efficiently.
Planning Set goals and strategies Annual budget and marketing plan
Organisational structure defines how activities such as task allocation, coordination, and
supervision are directed toward achieving organisational goals. Each type has distinct principles,
advantages, and disadvantages.
Principle: Organised according to business functions (e.g. marketing, finance, HR, production).
● Advantages:
● Disadvantages:
● Advantages:
● Disadvantages:
● Advantages:
Principle: Combines two dimensions, usually functional and product or project. Employees
report to two managers (e.g. a functional and a project manager).
● Advantages:
● Disadvantages:
○ Time-consuming coordination.
(v) Team-Based Structure
Principle: Employees are grouped into cross-functional teams focused on processes, products, or
projects.
● Advantages:
● Disadvantages:
Principle: Core organisation outsources major business functions to separate companies or units.
● Advantages:
● Disadvantages:
Principle: Uses technology to coordinate activities across time and space without a centralised
physical presence.
● Advantages:
● Disadvantages:
○ Reliant on IT infrastructure.
(i) Hierarchy
● Definition: The line of authority from top management to the lowest level.
● Types:
(v) Responsibility
● Application: Managers and employees are accountable for fulfilling job duties.
(vi) Authority
(vii) Accountability
● Definition: Assigning authority and responsibility to another person to carry out specific
tasks.
● Benefits:
○ Develops subordinates.
(ix) Centralisation
● Advantages:
○ Uniformity in decision-making.
● Disadvantages:
● Advantages:
● Disadvantages:
Motivation is the internal and external factors that stimulate individuals to take actions that lead
to achieving a goal. The following are key influences:
1. Individual Needs – Vary from person to person and may include needs for achievement,
security, recognition, etc.
2. Self-Motivation – The drive originating from within the individual; involves setting
personal goals and taking initiative.
3. Ability to Make Choices – Individuals are more motivated when they have autonomy
and freedom to choose how to complete tasks.
B. Theories of Motivation
Application:
● Managers should ensure lower-level needs are met before expecting high performance.
● Hygiene Factors (e.g., pay, company policies, supervision) prevent dissatisfaction but do
not motivate.
Application:
Application:
● Managers must clarify expectations, provide necessary support, and ensure rewards are
meaningful and desirable to employees.
3. Foster a motivational climate through feedback, growth opportunities, and participative
decision-making.
A. Definition of Leadership
Leadership is the ability to influence, inspire, and direct people to achieve organisational goals.
It differs from management in its focus on vision, change, and people rather than structure and
control.
B. Leadership Theories
Trait Theory
Core Idea: Leaders are born, not made; leadership is based on inherent traits (e.g., confidence,
intelligence, integrity).
Core Idea: No single leadership style is best. The best style depends on:
● The task
● The context
● Delegating (hands-off)
Core Idea: Leadership is grounded in deeply held values like honesty, integrity, and social
responsibility.
Application: Builds trust and aligns organisational behaviour with ethical values.
Ethical Leadership (Kasthuri Henry)
Core Idea: Emphasises fairness, justice, and integrity. Leaders act ethically and foster ethical
cultures in organisations.
Benefits:
C. Leadership Skills
Transactional Leadership
Transformational Leadership
Definition:
Leadership exercised by individuals without formal authority but with influence over peers (e.g.,
experienced workers, respected team members).
Advantages:
Disadvantages:
A. Definition of Teams
A team is a group of individuals who come together to achieve a common goal or complete a
specific task. Unlike a group, teams are characterised by:
● Interdependence,
● Collective outcomes.
Developed by Bruce Tuckman (1965), this model outlines the five stages that teams typically
progress through:
1. Forming
2. Storming
3. Norming
4. Performing
1. Commitment
2. Participation
3. Trust
○ Decisions are agreed upon by all or most members, not imposed by one.
5. Flexibility
6. Encouragement
Team cohesiveness refers to how well members stick together and work collaboratively. Key
influencing factors:
1. Size
○ Smaller teams tend to be more cohesive due to better communication and stronger
relationships.
3. Similarities
4. Diversity
○ When managed well, diversity leads to innovation and wider perspectives; when
unmanaged, it can cause conflict.
5. Attraction
⚠️ Managers must manage these forces carefully to build effective and inclusive
teams.
✅ Advantages
● Improved Creativity and Innovation – Multiple perspectives improve problem-solving.
🔹 Nature of Conflict:
● Inevitable in dynamic environments.
Effective conflict management requires selecting appropriate strategies based on the nature,
intensity, and parties involved in the conflict.
1. Avoidance Ignoring or withdrawing from the Issue is trivial or emotions are too
conflict; hope it resolves itself. high.
🧠 A manager’s role is to assess the situation and apply the most suitable strategy
or a combination thereof.
7. Management of Change
Organisational change refers to the process by which companies alter key components of their
operations to improve efficiency, adapt to external pressures, or achieve strategic objectives.
🔹 Types of Change:
1. Technical Change
Resistance is a natural human and organisational reaction to any change that disrupts existing
patterns.
Reason Explanation
Loss of Control and Individuals may feel powerless or less capable in the face of
Confidence change.
⚠️ Resistance is not always negative — it can reveal weaknesses in the change plan
that need addressing.
Effectively managing change ensures the organisation remains sustainable and competitive in
a dynamic environment.
● To protect the brand, maintain customer loyalty, and meet legal compliance.
🔹 1. Unfreezing
● Prepare the organisation to accept that change is necessary.
● Key activities: open communication, identify reasons for change, reduce resistance.
🔹 2. Changing (Transition)
● Implement the change after readiness is established.
A. Definition of Communication
2. Encoding – converting the idea into a message (words, symbols, gestures).
C. Communication Methods
D. Communication Channels
Effective communication occurs when the intended message is received accurately and clearly
by the recipient and understood as intended, enabling informed decisions and actions.
F. Lines of Communication
○ Vertical Communication
○ Environmental distractions.
● It aligns the workforce capabilities and behaviours with the organisation’s strategic
goals.
○ Ensuring the organisation has the right people with the right skills at the right
time.
● Definition: Process of attracting, screening, and choosing qualified candidates for job
positions.
● Description:
● Strategic Importance:
○ Ensures hiring of individuals who fit organisational culture and possess skills for
business objectives.
○ Types of Training:
● Strategic Importance:
● Components:
● Strategic Importance: