Application of scientific management

Taylor

The current management tools and techniques that focus on the process of production rather than
human interface are

 Business process re-engineering

 Total quality management
 Quality management
 Lean manufacturing
 The 6 sigma

Others are

 Performance related payment

 System planning
 Waste elimination
 Management by exemption
HENRIC FAYOL AND FUNTIONS OF MANAGEMENT

 Fayol's administrative management theory can be described as an approach to

management and increasing productivity by emphasizing organizational structure and
human behavior.
 Fayol's theory is grounded in the five functions that represent management: planning,
organizing, command, coordination, and control
 Henri Fayol's management theory, also known as Fayolism, focuses on increasing
productivity through organizational structure and human behavior. Fayol is known as the
"father of modern management".

1. PLANING Is a “plan of action planning is comprised of four components:

1. The desired result (i.e. goal);

2. The action;
3. The stages; and
4. The methods.

In order to create a plan, a manager must consider the firm’s tangible and intangible resources,
work already in progress, trends, and future events. Features of a good plan are said to include:
unity, continuity, flexibility, and specificity.

2.Organizing involves providing everything that is necessary to a plan of action—including

physical and human resources—and its activities he fourteen

3. Command is described as getting “the optimum return from all employees of [a manager’s]
unit in the interest of the whole concern.” This includes:

Having competent personnel;

Knowing personnel thoroughly;

Knowing the organization’s obligations to its personnel;

 Working with other managers to ensure unity of direction and effort amongst managers
and personnel;

Setting a good example;

Performing regular audits of performance

4. Coordination requires ensuring that all personnel understand their responsibilities and
resources and activities across the organization work in harmony in order to achieve the desired
goal

5. Control consists of “verifying whether everything occurs in conformity with the plan adopted,
the instructions issued, and the principles established

14 principles of management created by Henri Fayol

1. Division of Work

Henri believed that segregating work in the workforce amongst the workers will enhance
the quality of the product. Similarly, he also concluded that the division of work
improves the productivity, efficiency, accuracy and speed of the workers. This principle
is appropriate for both the managerial as well as a technical work level.

2. Authority and Responsibility-These are the two key aspects of management.

Authority facilitates the management to work efficiently, and responsibility makes them
responsible for the work done under their guidance or leadership.

3. Discipline-Without discipline, nothing can be accomplished. It is the core value for

any project or any management. Good performance and sensible interrelation make the
management job easy and comprehensive. Employees’ good behaviour also helps them
smoothly build and progress in their professional careers.

4. Unity of Command-This means an employee should have only one boss and follow
his command. If an employee has to follow more than one boss, there begins a conflict of
interest and can create confusion.
5. Unity of Direction-Whoever is engaged in the same activity should have a unified
goal. This means all the people working in a company should have one goal and motive
which will make the work easier and achieve the set goal easily.

6. Subordination of Individual Interest-This indicates a company should work unitedly

towards the interest of a company rather than personal interest. Be subordinate to the
purposes of an organisation. This refers to the whole chain of command in a company.

7. Remuneration-This plays an important role in motivating the workers of a company.

Remuneration can be monetary or non-monetary. Ideally, it should be according to an
individual’s efforts they have put forth.

8. Centralization-In any company, the management or any authority responsible for the
decision-making process should be neutral. However, this depends on the size of an
organisation. Henri Fayol stressed on the point that there should be a balance between the
hierarchy and division of power.

9. Scalar Chain-Fayol, on this principle, highlights that the hierarchy steps should be
from the top to the lowest. This is necessary so that every employee knows their
immediate senior also they should be able to contact any, if needed.

10. Order-A company should maintain a well-defined work order to have a favourable
work culture. The positive atmosphere in the workplace will boost more positive
productivity.

11. Equity-All employees should be treated equally and respectfully. It’s the
responsibility of a manager that no employees face discrimination.

12. Stability-An employee delivers the best if they feel secure in their job. It is the duty
of the management to offer job security to their employees.

13. Initiative-The management should support and encourage the employees to take
initiatives in an organisation. It will help them to increase their motivation and morale.
 14. Esprit de Corps-It is the responsibility of the management to motivate their
employees and be supportive of each other regularly. Developing trust and mutual
understanding will lead to a positive outcome and work environment.

How fayol principles can be applied today

 Creating clear roles for employees,

 Ensuring employees receive instructions from only one supervisor,
 Empowering managers to make decisions while holding them accountable,
 And treating all employees fairly,
 Allowing for increased efficiency and employee satisfaction

WEBER AND BEREUCRATIC PRINCIPLES

 Max Weber's idea of bureaucratic management, an organization must be hierarchical and

have well-defined rules to govern it and its members.
 He also believed that employees work for each level of management. Thus, employees
were loyal to their superiors rather than to the firm.
 Weber believed that bureaucracy is the most efficient and rational way to organize human
activity.
 He believed that a bureaucratic organization should favor efficiency, uniformity, and a
clear distribution of power.

Max Weber's six principles of bureaucracy are:

Hierarchical Management - Each level controls the levels below and is controlled by the level above. Au
Structure clearly defined for each position.

Tasks are clearly defined and employees become skilled by specializing in d

Division of Labor
There is clear definition of authority and responsibility.

Employee selection and promotion are based on experience, competence,

Formal Selection Process and technical qualification demonstrated by examinations, education, or trai
There is no nepotism.
 Management is separate from ownership, and managers are career employee
Career Orientation
Protection from arbitrary dismissal is guaranteed.

Rules and regulations are documented to ensure reliable and predictable beh
Formal Rules and Regulations
. Managers must depend on formal organizational rules in employee relation

Impersonality Rules are applied uniformly to everyone. There is no preferential treatment o

Bureaucracy

 Well-defined rules and regulations,

 Clear lines of authority,
 Specialization of labor,
 Impersonal relationships,
 Established rules are the source of rational-legal authority.

Advantages of bureaucracy:

 Clear hierarchy and structure:

A well-defined hierarchy with clear lines of authority ensures everyone knows their role and
who to report to, promoting order and smooth operations.

 Specialization:By dividing tasks into specialized roles, employees can develop expertise in specific
areas, leading to increased efficiency.

 Predictability:Established rules and procedures create a predictable workflow, which can be

beneficial in highly regulated environments.

 Impersonality: Rules are applied consistently to everyone, preventing favoritism and ensuring fair
treatment.

 Job security:Following established procedures can provide employees with a sense of job
security.
Disadvantages of bureaucracy:
 Rigidity:Strict adherence to rules can hinder adaptability and prevent quick responses to changing
situations.

 Slow decision-making:The need for multiple approvals from different levels of hierarchy can lead
to delays in decision-making.

 Lack of flexibility:Bureaucratic systems can struggle to adapt to new circumstances or unexpected

situations.

 Red tape:Excessive paperwork and bureaucratic processes can create unnecessary delays and
frustration.

 Demotivation:Employees may feel stifled by rigid rules and lack of autonomy, leading to
decreased morale and creativity.

 Potential for impersonality:Strict adherence to rules can sometimes lead to a lack of individual
consideration or empathy.
 UrwickLyndall Urwick was a British management thinker who developed a theory of
management based on principles of definition, balance, and specialization. Urwick's
theory also includes the concepts of span of control and continuity.
Principles of Urwick's management theory

 Definition: Jobs, duties, and relationships should be clearly defined

 Balance: Teams and departments should be balanced in terms of power and position

 Specialization: Each group should have one function

 Span of control: There should be an optimal number of subordinates reporting to a superior

 Continuity: The organization's structure should be designed to ensure its survival

 Correspondence: Responsibility and authority should correspond in every position

 Coordination: The purpose of organizing is to facilitate coordination or unity of effort

 Authority: There should be a clear line of authority to every member of the group

 Responsibility: A superior may be held accountable for the actions of subordinates

Urwick also developed the Z Theory of organizational effectiveness, which states that
administration and management must handle complex situations and adapt to change.
Urwick's principles can be applied to ensure efficient management and high-quality care.

FRANK AND LILLIAN GILBRETH AND WORKS STUDY

Frank and Lillian Gilbreth significantly contributed to scientific management theory by

pioneering the concept of "time and motion study," which focused on breaking down work tasks
into individual motions to identify and eliminate unnecessary movements, ultimately aiming to
increase worker efficiency and productivity while considering worker well-being; they believed
that by optimizing motions, they could improve both output and worker satisfaction.

Gilbreth's theory principles

 Reduce the number of motions in a task.

 Focus on the incremental study of motions and time to calculate the most efficient way to
complete a given way
 Increase efficiency to increase profit and worker satisfaction.

How to implement it
 Rearrange workspaces
 Establish standard operating procedures
 Ask employees for their input

What is work study

Work study in management is a systematic analysis of how work is performed to improve

efficiency and effectiveness. It's a combination of techniques that includes method study and
work measurement.

The main objective of work study is to improve productivity of men, machines and
materials. The aim of work study is to determine the best method of performing each
operation and to eliminate wastage so that production increases with less fatigue. The work
study is also used in determining the standard time that a qualified worker should take to
perform the operation when working at a normal place

How it works
  Select the job to be studied
 Record relevant information
 Analyze the recorded information
 Develop a new method
 Install the new method
 Maintain the new method
 Benefits of work study

Benefits

 Increased productivity: Work study can increase output from existing resources
 Reduced costs: Work study can reduce waste and unnecessary operations
 Improved worker relations: Work study can help improve relations between workers
and management
 Better resource utilization: Work study can help organizations make better use of their
resources

What is method study

method study" refers to a systematic process of examining and critically analyzing existing work
methods to identify and implement improvements, aiming to achieve greater efficiency and
effectiveness by reducing unnecessary steps, time, and effort,

Key points about method study:

 Focus on process analysis:

It involves breaking down a work process into its individual elements to understand how each
step contributes to the overall outcome.

 Systematic approach:

Method study follows a structured methodology, typically including steps like selecting the
work to be studied, recording relevant data, critically examining the information, developing
an improved method, implementing the changes, and maintaining the new standard.

 Goal of improvement:
 The primary goal is to identify areas for optimization within a process, leading to improved
productivity, reduced costs, and better quality
Common techniques used in method study:

 Work observation: Watching and documenting how a task is currently performed.

 Flowcharting: Visual representation of the sequence of steps in a process.

 Time study: Measuring the time taken to complete each element of a task

 Motion study: Analyzing the movement of workers to identify unnecessary motions

 Ergonomics: Considering the physical capabilities of workers to design efficient work methods
Motion study

Motion study identifies all the movements the worker makes while carrying out a particular task.
A time study may be undertaken to set a standard time for a job, which supports production
planning and control activities, or it can have a goal of finding ways of making improvements.

HUMAN RELATIONS THEORIES

MASLOW AND THE HIERACHY OF NEEDS

Maslow's hierarchy of needs is a motivational theory that ranks human needs in order of
importance. The hierarchy is often depicted as a pyramid, with the most basic needs at the
bottom and the most complex needs at the top

Physiological needs-The most basic needs, such as food, water, sleep, clothing, and shelter

Safety needs-The need to feel safe and secure, such as job security and feeling comfortable that
possessions are safe

Love and belonging needs-The need to feel loved and accepted, such as through romantic
relationships, friendships, and family

Esteem needs-The need for respect from others and from oneself, such as through fame,
prestige, recognition, dignity, confidence, and independence
Self-actualization needs-The need for personal growth and discovery, such as finding meaning
in life

HERZBERG TWO FACTOR THEORY

Herzberg's theory of motivation, also known as the "Two-Factor Theory," states that employee
satisfaction and dissatisfaction are driven by different sets of factors, with "hygiene factors"
preventing dissatisfaction and "motivators" leading to true job satisfaction; essentially, good
hygiene factors alone won't motivate employees, while motivators are crucial for high levels of
job satisfaction and performance.

Key points about Herzberg's theory:

Hygiene factors: These are basic aspects of the work environment like salary, working
conditions, company policies, and job security; if these are lacking, employees will be
dissatisfied, but improving them won't necessarily lead to increased motivation.

Motivators: These are factors directly related to the work itself, such as achievement,
recognition, responsibility, advancement opportunities, and the work itself; when present, these
factors can significantly increase employee satisfaction and motivation.

 Pay: The pay or salary structure should be appropriate and reasonable. It must be equal and
competitive to those in the same industry in the same domain.

 Company Policies and administrative policies: The company policies should not be too
rigid. They should be fair and clear. It should include flexible working hours, dress code,
breaks, vacation, etc.

 Fringe benefits: The employees should be offered health care plans (mediclaim), benefits
for the family members, employee help programmes, etc.

 Physical Working conditions: The working conditions should be safe, clean and hygienic.
The work equipments should be updated and well-maintained.
  Status: The employees’ status within the organization should be familiar and retained.

 Interpersonal relations: The relationship of the employees with his peers, superiors and
subordinates should be appropriate and acceptable. There should be no conflict or
humiliation element present.

 Job Security: The organization must provide job security to the employees

Motivational factors include:

 Recognition: The employees should be praised and recognized for their accomplishments
by the managers.

 Sense of achievement: The employees must have a sense of achievement. This depends on
the job. There must be a fruit of some sort in the job.

 Growth and promotional opportunities: There must be growth and advancement

opportunities in an organization to motivate the employees to perform well.

 Responsibility: The employees must hold themselves responsible for the work. The
managers should give them ownership of the work. They should minimize control but
retain accountability.

 Meaningfulness of the work: The work itself should be meaningful, interesting and
challenging for the employee to perform and to get motivated.

Implications of Two-Factor Theory

The Two-Factor theory implies that the managers must stress upon guaranteeing the adequacy of
the hygiene factors to avoid employee dissatisfaction. Also, the managers must make sure that
the work is stimulating and rewarding so that the employees are motivated to work and perform
harder and better.

Extrinsic motivation and intrinsic motivation

Extrinsic motivation theory suggests that people are driven by external rewards or punishments
to perform a task, while intrinsic motivation theory states that individuals are motivated by the
inherent satisfaction and enjoyment they gain from the activity itself, without the need for
external incentives; essentially, extrinsic motivation comes from outside sources like praise or
money

Driven by external factors:People engage in an activity to receive a tangible reward, avoid

punishment, or gain social approval

Intrinsic motivation arises from within a person's own desires and interests.

MCGREGOR THEORY X AND Y

McGregor's Theory X and Theory Y are two contrasting sets of assumptions about employee
motivation, developed by Douglas McGregor, where Theory X views employees as inherently
lazy and requiring strict supervision, while Theory Y sees employees as self-motivated and
capable of taking responsibility with minimal oversight; essentially representing two different
management styles based on differing perceptions of human nature.

Theory X is based on the assumptions that:

1. The average human being has an inherent dislike of work and will avoid it if possible.

2. Because of this human dislike of work, most people must be coerced, controlled, directed, and
threatened with punishment to get them to put forth adequate effort toward the achievement of
organisational objectives.

3. The average human being prefers to be directed, wishes to avoid responsibility, has relatively
little ambition, and wants security above all.

Theory Y is based on the assumptions that:

1. The expenditure of physical and mental effort in work is as natural as play or rest. The average
human being does not inherently dislike work. Depending upon controllable conditions, work
may be a source of satisfaction, or a source of punishment.
 2. External control and the threat of punishment are not the only means for bringing about effort
toward organisational objectives. People will exercise self-direction and self-control in the
service of objectives to which they are committed.

3. Commitment to objectives is a function of the rewards associated with their achievement. The
most significant of such rewards, e.g. the satisfaction of ego and self-actualisation needs, can be
direct products of effort directed towards organisational objectives.

4. The average human being learns, under proper conditions, not only to accept but to seek
responsibility. Avoidance of responsibility, lack of ambition, and emphasis on security are
generally consequences of experience, not inherent human characteristics.

5. The capacity to exercise a relatively high degree of imagination, ingenuity, and creativity in
the solution of organisational problems is widely, not narrowly, distributed in the population.

6. Under the conditions of modern industrial life, the intellectual potentialities of the average
human being are only partially utilised.

Theory Y assumptions can lead to more cooperative relationships between managers and
workers.

A Theory Y management style seeks to establish a working environment in which the personal
needs and objectives of individuals can relate to, and harmonise with, the objectives of the
organisation

Angyris

Chris Argyris (1923-2013) developed several theories about human behavior and organizational
development, including the Immaturity-Maturity Theory and the double-loop learning theory.

Immaturity-Maturity Theory

 People develop from immaturity to maturity.

 Mature people are active, independent, and self-controlled.

 Immature people are passive, dependent, and lack confidence.

 Managers who treat employees positively can achieve higher productivity.

 Problems with employees may be due to outdated management practices.
Double-loop learning theory

 People have two types of theories that drive their actions: espoused theories and theories-in-use.

 Espoused theories are what people say they believe in.

 Theories-in-use are the actual theories that drive people's actions.

 Double-loop learning is necessary to make informed decisions in uncertain contexts.

ELTON MAYO AND HAWTHORNE EXPERIMENTS

Elton Mayo's contribution to management was mainly in employee management. He discovered
that social forces and relational forces positively impact employee productivity. He also noted
that although finances play a role as motivators, positive work relationships weigh more.

Mayo concluded that workers are best motivated by:

Better communication between managers and workers

Greater manager involvement in employees working lives

Working in groups or teams

Key summary for Mayo:

Workers motivated by having social needs met

Workers should work in teams

Managers should have greater involvement in employee's working life

 TRIST AND BAMFORD SOCIO-TECHNICAL THEORY

• a concept that emphasizes the interconnectedness between the social aspects of an organization
(people, relationships) and its technical aspects (technology, processes), suggesting that optimal
performance can only be achieved by considering and optimizing both elements together, rather
than viewing them as separate entities;

Key points about Sociotechnical Systems Theory:

 Interdependence:

The core idea is that social and technical systems within an organization are interdependent
and need to be designed and managed in a way that supports their mutual functioning.

 Human-centered design:

Unlike traditional approaches that focused solely on technical efficiency, this theory
emphasizes the importance of considering human factors like worker autonomy, skill
utilization, and job satisfaction when designing work systems.

 Open systems perspective:

Sociotechnical systems are viewed as open systems, meaning they are constantly adapting to
changing environmental factors and require flexibility in design and operation.

Other explanation

• It states that organisations need both effective technology and coordinating social dynamics in
order to be successful.

• States that the people who work with the technology, processes, procedures and systems will
determine whether the benefits of the new processes will be fully realised. Therefore it is
important that people are given equal consideration.

• Particularly important for organisational change – often human factors are ignored as the focus
is on the business processes.
Discuss the factors that could affect the introduction of a new workflow, or IT system in a
workplace to illustrate this point.

It does not view technology as a key factor in driving positive work behaviours, but recognises it
has an impact on how sustainable positive social dynamics will be. Model of organisational
balance –Foster (2018)

this is a people-led approach to organisation design (moving on from the socio-technical

approach) • Focuses on the interrelationship between human interactions within the organisation
and proposes that it is the human system that determines organisation performance

The following are the emerging issues

The purpose of the organisation – the reason why it exists.

• The leader in me – two types of leader: leaders of people and leaders of expertise.

• The talent within– investing resource into identifying, developing and releasing talent.

• Harmonious communities –using a network of cohesive groups to manage business-related

tasks across functions.

• Organisational habitat –developing synergy within the organisation to help the organisation
react to and exploit opportunities as they occur.

• Organisational husbandry– a holistic framework in which solutions and operational decisions

are made with awareness of unintended consequences and a commitment to environmental
stewardship and citizenship.

• Creative adaptation – empowering people to innovate and make space for creative problem
solving.

• Energy transformation – the development of sustainable practices to ensure that organisational

interventions deliver positive disruptionand hold organisational actors accountable for outcomes.
 • Organisational cycling – the continuous process of change and transformation within the
organisational system in response to environmental inputs that move the organisational towards
the balance prior to the arrival of the next disruptive force.

Applications of Sociotechnical Systems Theory:

 Work design and redesign:

Optimizing work systems by considering both social and technical aspects to improve
productivity and employee well-being.

 Organizational change management:

Implementing new technologies while considering the social implications and involving
employees in the process.

 Teamwork and collaboration:

Fostering collaboration and shared responsibility within teams to address complex work
challenges.