Santanu Dutta(PGDM-11-38)

8/3/2019 Santanu Dutta(PGDM-11-38)

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HAUGHTS

SUBMITED TO

PROF. LATA SINGHPRESENTED BYSANTANU DUTTAROLL NO.PG-11-038PGDM 2011-13



Frederick W. Taylor(1856-1915) father of Scientific

ManagementFrederick W. Taylor rested hisphilosophy on four basic principles:

The development of a true science of

management, so that the best method forperforming each task could be determined.

The scientific selection of workers, so thateach worker would be given responsibilityfor the task for which he or she was best

suited. The scientific education and developmentof the worker.

Intimate, friendly cooperation betweenmanagement and labour. 22



Contributions of Scientific

Management Theory

The efficiency techniques of scientificmanagement theory have been applied to

modern assembly line & to many tasks in non-industrial organizations (e.g., fast-food service)and increased their efficiency.

33



Limitations of ScientificManagement Theory

Workers & unions began to oppose thisapproach because they feared that workingharder or faster would exhaust whatever

work was available causing layoffs.His critics objected to the “speed up”conditions that placed undue pressures onemployees to perform at faster & faster

levels. The emphasis on productivity and byextension profitability led some managers toexploit both workers and customers.

44



Classical Organization Theory

School Henri Fayol (1841-1925)He is generally hailed as the founder of the

classical management school not because hewas the first to investigate managerialbehavior, but because he was the first tosystematize it.

55



Fayol’s 14 Principles of Management

1. Division of Labour : The most people

specialize, the more efficiently they canperform their work, e.g., modern assemblyline.

2. Authority : Besides formal authority,

managers musty have personal authorityto compel obedience.

3. Discipline: Members in an org. need torespect the rules & agreements that

govern the org.

4. Unity of Command : Each employee mustreceive instructions from only one person.

5. Unity of Direction: Operations within theor . havin the same ob ective should be66



6. Subordination of individual interest to thecommon good.

7. Remuneration: Compensation for wormdone should be fair to both employees andemployers.

8. Centralization: decreasing the role of

subordinates in decision making iscentralization; increasing their role isdecentralization. He believed that managersshould retain final responsibility but at thesame time give the subordinates enough

authority to do their jobs properly. Theproblem is to find the proper degree of centralization in each case.

9. Hierarchy: The line of authority in an org.

runs in order of rank from top management77



10. Order: Materials & people should be in the

right place at the right time.

12. Equity: managers should be both friendlyand fair to their subordinates.

13.

Stability of Staff : A high employee

turnover rate undermines the efficientfunctioning of an org.

14. Initiative: Subordinates should be given thefreedom to conceive and carry out theirplans, even though some mistakes mayresult.

15. Esprit de Corps: Promoting team spirit willgive the org. a sense of unity.

88



Human Relations Theory

“The Hawthorne Studies

Hawthorne Works of Western Electric

Company1924 - Chicago

Research focus: Relation of quality and

quantity of illumination to efficiency inindustry

Four Important Studies



“The Hawthorne Studies”

umination Study (November 1924)

esigned to test the effect of lighting intensity on worker productivity

euristic value: influence of human relations on work behavior

lay Assembly Test Room Study (1927-1932)

sembly of telephone relays (35 parts - 4 machine screws)

oduction and satisfaction increased regardless of IV manipulation

orkers’ increased production and satisfaction related to supervisory practices

uman interrelationships are important contributing factors to worker productivity

ttom Line: Supervisory practices increase employee morale AND productivity

terviewing Program (1928-1930)

vestigate connection between supervisory practices and employee morale

ployees expressed their ideas and feelings (e.g., likes and dislikes)

ocess more important than actual results

nk Wiring Room Observation Study (November 1931 - May 1932)

cial groups can influence production and individual work behavior

: How is social control manifested on the shop floor?

formal organization constrains employee behavior within formal organizational structure



Principles of Human Relations TheoryHuman relations theory is characterized by a shift in emphasis from

TASK to WORKER

Go beyond physical contributions to include creative, cognitive, andemotional aspects of workers

Based on a more dyadic (two-way) conceptualization of communication.

SOCIAL RELATIONSHIPS are at the heart of organizational behavior--

effectiveness is contingent on the social well-being of workersWorkers communicate opinions, complaints, suggestions, and feelingsto increase satisfaction and production

Origins (Hawthorne Studies & work of Chester Barnard)

Human Relations School of Management - Elton Mayo (Harvard



Hawthorne Studies - Criticisms

Not conducted with the appropriate scientificrigor necessary

Too few subjects (N=5)

No control groups

Subjects replaced with more “cooperative”participants

WORTHLESS

GROSS ERRORS

INCOMPETENCE



ax e er a er o eory oBureaucracyWeber defined bureaucracies as "goal-oriented organizations designed according

to rational principles in order to efficiently attain the stated goals"

Weber saw the formation and execution of bureaucracies as necessary tocomplex societies

the ideal bureaucracy has these characteristics:

– official business is conducted on a continuous basis

– business is conducted in accordance with some rules

– every official's responsibility and authority are part of a hierarchy of

authority – officials do not own the resources necessary for them to perform their

assigned functions, but they are accountable for the use of thoseresources

– offices cannot be appropriated by their incumbents in the sense of property that can be inherited or sold on the basis of written documents



Theory of

Bureaucracy:Division of labour with clear authority & res.

Hierarchy of authority

Rules & regulations

Decisions record

Management should be separate from

ownership.



Conclusion

……………………..Most effective managers learntheir skills through a combination of educationand experience . They progress through a

verity management situations .

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Santanu Dutta(PGDM-11-38)