ORGANIZATION &

Orgman_1
MANAGEMENT
 LASALLIAN PRAYER

• Let us remember that we are in the holy presence

of God.
• “I will continue, O my God, to
do all my actions for the love
of You.”
• St. John Baptist De La Salle – “Pray for
us”
• Live Jesus in our hearts – “Forever”
Meaning, Functions, Types and
Theories of Management
MANAGEMENT - Process of managing the resources effectively &
efficiently.
RESOURCES/INPUTS/FACTORS OF
PRODUCTION:

•L - land
•L - labor
•C - capital
•M/EA – management /
entrepreneurial ability
Subjective Reason

• EFFICIENCY vs.
EFFECTIVENESS
 EFFECTIVENESS
Capacity to attain an intended objective or result.
 EFFICIENCY
Ability to maximize output with minimum input.
MANAGEMENT
• Process of planning, organizing, leading, and
controlling the activities of an organization.

• Direction and coordination of both human and

non-human resources to produce outputs which
meet the needs of the external users.
MANAGEMENT
• P- PLANNING
• O- ORGANIZING
• S – STAFFING
• L / D – LEADING / DIRECTING
• C - CONTROLLING
1) PLANNING
• CHOICE OF OBJECTIVES / GOALS AND
THE MEANS TO ACHIVE THEM.

• THINKING AHEAD
2) ORGANIZING
• PROCESS OF IDENTIFYING, GROUPING,
SUBDIVIDING, AND COORDINATING THE
RESOURCES TO ACHIEVE THE
ORGANIZATIONAL OBJECTIVES.
3) STAFFING
•PROCESS OF ADMU…

•A – ACQUISITION
•D – DEVELOPMENT
•M – MAINTENANCE
•U - UTILIZATION
4) DIRECTING / leading
• OTHER TERM – LEADING / ACTIVATING

• PROCESS OF LEADING, INFLUENCING, AND

MOTIVATING THE HUMAN RESOURCES TO
ACHIEVE THE ORGANIZATIONAL OBJECTIVES
5) CONTROLLING
• PROCESS OF MONITORING PERFORMANCE
AND UNDERTAKING CORRECTIVE ACTIONS TO
ENSURE THE ATTAINMENT OF PRE-
DETERMINED GOALS AND OBJECTIVES.
MANAGEMENT THEORY
• Much of the impetus for developing management
theories & principles steamed from industrial
revolution.

• This challenge brought forth a number of

individuals who began to think about innovative
ways to run factories more effectively.
MANAGEMENT THEORY

1) PRE-CLASSICAL Viewpoint
2) CLASSICAL Viewpoint
3) BEHAVIORAL Viewpoint
4) QUANTITATIVE Viewpoint
5) CONTEMPORARY Viewpoint
PRE-CLASSICAL CONTRIBUTORS

1) ROBERT OWEN
(1771-1858)
2) CHARLES BABBAGE
(1792 – 1871)
3) HENRY R. TOWNE
(1844 – 1924)
1) PRE-CLASSICAL Viewpoint

Middle & late 1800s

Offered ideas that laid the groundwork for subsequent,

broader inquiries into the nature of management.
1) ROBERT OWEN

BACKGROUND PIONEERING IDEAS

• Successful British entrepreneur • Recognizing the importance of
• Cotton mill in New Lanark, human resources.
Scotland (employed 400 to 500 • Advocated concern for the
young children, worked 13 hrs working & living conditions of
a day that included 1 ½ hrs off workers.
for meals. • His ideas laid the groundwork
for the human relations
movement.
2) CHARLES BABBAGE

BACKGROUND PIONEERING IDEAS

• A 19TH CENTURY English • Pioneered not only in the field of
mathematician. computing but also in management.
• Built the 1st practical mechanical
• The “Father of modern calculator & a prototype of modern
computing”. computers
• He saw that work specialization
could apply to mental tasks as well
as physical ones.
• He devised ways to motivate workers
through bonuses & profit sharing.
3) HENRY TOWNE

BACKGROUND PIONEERING IDEAS

• President of the Yale & Towne • Realized the importance of
Manufacturing Company both good business skills &
• A mechanical engineer good engineering skills in
running a company.
• Outlined the importance of
management as a science &
called for the development of
management principles
2) CLASSICAL Viewpoint

• A perspective on management that emphasizes finding ways to manage work &

organizations more efficiently.
CLASSICAL CONTRIBUTORS

1) SCIENTIFIC MNGT –
Frederick Winslow Taylor (1856- 1915), Frank (1868-1924) & Lillian
Gilbreth ( 1878-1972), Henry L. Gantt (1862-1919)
2) BUREAUCRATIC MNGT –
Max Weber ( 1864-1920)
3) ADMINISTRATIVE MNGT –
Henri Fayol (1841 – 1925), Chester Barnard ( 1886- 1961)
A. Scientific Management

An approach that emphasizes the scientific study of work methods

in order to improve work efficiency.

This management theory makes use of the step by step, scientific

methods for finding the single best way for doing a job.
 1) FREDERICK W. TAYLOR
(scientific management)

BACKGROUND PIONEERING IDEAS

• “Father of scientific management” • He took up Henry Towne’s
• Born into a relatively wealthy Philadelphia challenge to develop specific
family. principles of scientific mngt.
• Became an apprentice pattern maker & • His ideas included time &
machinist for a local firm before moving on to
Midvale Steel. motion studies (time study) &
• At Midvale, his meteoric rise from laborer to
wage incentives.
chief engineer in 6 yrs gave him an opportunity
to tackle a serious problem that he had
observed – SOLDIERING BY WORKERS.
1) FREDERICK W. TAYLOR
(scientific management)

• He could not help but notice the workers' mistakes and inefficiencies in
doing their routine jobs, their lack of enthusiasm, and the discrepancy
between their abilities and aptitudes and their job assignments; thus
resulting in low output.

• Because of these observations, he tried to identify clear guidelines for the

improvement of their productivity.
SOLDIERING

• Is deliberately working at less than full capacity.

• Taylor believed that workers engaged in soldiering for 3 main
reasons:
1) they feared that increasing their productivity would cause them or
other workers to lose their jobs.
2) faulty wage systems set up by management encouraged workers to
operate at slow pace.
3) general methods of working & rules of thumb handed down from
generation to generation were often very inefficient.
TAYLOR’S 4 PRINCIPLES OF SCIENTIFIC MNGT.

1 2 3 4
Scientifically study each part of Carefully select workers & train Cooperate fully with workers to Divide work & responsibility so
a task & develop the best them to perform the task by ensure that they use the proper that management is responsible
method for performing the task. using the scientifically method. for planning work methods using
developed method. scientific principles & workers
are responsible for executing
the work accordingly.
 2) FRANK & LILLIAN GILBRETH
(scientific management)

BACKGROUND PIONEERING IDEAS

• Husband & wife • Proposed using motion studies –
eliminating unnecessary motions.
• With a dozen children (ranging in age from
• Expanded their interests to exploring ways
2 to 19).
of reducing task fatigue.
• 2 of the children wrote a book, “Cheaper• Pioneered the use of motion picture
by the Dozen”, that describes life with technology in studying jobs.
their efficiency-minded parents. • Application of psychology to the
workplace.
• Interest in the human applications of
scientific mngt.
 3) HENRY L. GANTT
(scientific management)

BACKGROUND PIONEERING IDEAS

• One of Taylor’s closest associates. • Proponent of Gantt chart – graphic
aid to planning, scheduling, &
control that is still in use today.
• Devised a unique pay incentive
system that not only paid workers
extra for reaching standard in the
allotted time but also awarded
bonuses to supervisors when workers
reached standard.
• Thus the system encouraged
supervisors to coach workers who
were having difficulties.
Schedule of Activities 33

• Review of Schedule milestones

Phase 1
Phase 2
Phase 3

Jan Feb Mar Apr May Jun July Sep Oct Nov Dec
B. Bureaucratic Management

• An approach that emphasizes the need for

organizations to operation in a rational
manner rather then relying on the arbitrary
whims of owners & managers.
 MAX WEBER
(bureaucratic management)

BACKGROUND PIONEERING IDEAS

• German sociologist • His ideas on the need for
organizations to operate on a
• Was born into an affluent family with
strong political & social connections.
more rational basis.
• He pursued a career as a consultant, • His reacting to the prevailing
professor, & author. norms of class consciousness &
nepotism.
• IDEAL BUREAUCRACY
• Buro - office
 1) SPECIALIZATION OF LABOR

2) FORMAL RULES & PROCEDURES

Major
Characteristics
3) IMPERSONALITY
of Weber’s Ideal
Bureaucrary
4) WELL-DEFINED HIERARCHY

5) CAREER ADVANCEMENT BASED ON

MERIT
C. Administrative Management

• An approach that focuses on principles

that can be used by managers to
coordinate the internal activities of
organizations.
1) HENRI FAYOL
(administrative management)

BACKGROUND PIONEERING IDEAS

• French industrialist • Functional approach to
• Was born into a middle-class family near management
Lyon, France • Planning
• Trained as a mining engineer, he joined a • Organizing
coal-&-iron combine as an apprentice & • Commanding
rose to the top position of managing • Coordinating
director in 1888. • Controlling

• Retirement age - 77
• 14 Principles of Management
Fayol’s 14 General Principles of Management:

2) Authority – the right to

1) Division of work – work
give orders & the power 3) Discipline
specialization
to exact obedience.

4) Unity of Command – an
6) Subordination of
employee should receive
5) Unity of direction individual interest to
orders from 1 superior
general interest
only.

7) Remuneration-
compensation should be
fair to both the employee
& the employer.
Fayol’s 14 General Principles of
Management:

8) Centralization / Decentralization
9) Scalar Chain (Hierarchical)
10) Order
11) Equity – employees should be treated with
kindness & justice.
12) Stability of personnel tenure
13) Initiative
14) Esprit de corps – since union is strength, harmony
& teamwork are essential.
2) CHESTER BARNARD

• He suggested that cooperation is required in organizations

since it is, mainly, a social system.
• He was the proponent of the acceptance theory of authority.
• He believed that authority flows from the bottom to the top
which means that ees are willing to accept directions from the
manager if:
A) they understand the communication
B) see the consistency of the communication to the
purposes of the organization
C) they feel that the actions indicated are in line with their
needs & those of other ees
D) view themselves as mentally & physically able to comply.
BEHAVIORAL VIEWPOINT

• This emphasizes the importance of

attempting to understand the
various factors that affect human
behavior in organizations.
1) HUGO MUNSTERBERG

• He proposed 3 ideas:
1) application of scientific management where
psychologists study jobs and find ways of
identifying individuals suited for the job;

2) identify the psychological conditions under

which individuals are likely to do their best work;

3) develop strategies that would influence ees to

behave in ways that are compatible with
management interests.
2) MARY PARKER FOLLET

• She believed in power with rather than

power over in any organization.
• She advocated on power-sharing similar to
Barnard’s acceptance theory although the
difference was Barnard emphasized
response from below.
3) HAWTHORNE STUDIES –
Hawthorne Plant
• Elton Mayo
• 1st set – Illumination studies (relationship of lighting & workers
productivity)
• 2nd set – test on productivity with varying working conditions,
which revealed the factor on supervision mattered so much
• Wages - increased, rest period – introduced, workdays
& work week – shortened
• Workers will work harder if they know that the
management are concern about their welfare & they
are supported by the supervisor.

• 3rd set – dealt with social relations and the use of group norms
to restrict output.
4) ABRAHAM MASLOW

• Introduced his theory that workers

have needs beyond the basic
requirement of earning money and
that was Maslow’s Hierarchy of
Needs.
 Hierarchy of Needs

Physiological Needs
 Hierarchy of Needs

Safety Needs

Physiological Needs
 Hierarchy of Needs

Love & Belonging

Needs

Safety Needs

Physiological Needs
 Hierarchy of Needs

Esteem
Needs
Love & Belonging
Needs

Safety Needs

Physiological Needs
 Hierarchy of Needs

Self-Actualization
Needs

Esteem
Needs
Love & Belonging
Needs

Safety Needs

Physiological Needs
5) DOUGLAS McGREGOR

• How ees are treated by their

superiors will obviously show
in their performance &
output

• Theory X and Theory Y

 THEORY X THEORY Y
• The typical person dislikes work & • Work is as natural as play or rest.
will avoid it if possible. • People are not inherently lazy. They have
become that way as a result of experience.
• The typical person lacks
responsibility, has little ambition, & • People will exercise self-direction & self-
control in the service of objectives to which
seeks security above all (resistant to they are committed.
change).
• People have potential. Under proper
• Most people must be coerced, conditions they learn to accept & seek
controlled & threatened with responsibility. They have imagination,
ingenuity, & creativity that can be applied to
punishment to get them to work. work.

• Managerial role: to develop the

• Managerial role: to coerce & potential in ees & help them
control ees release that potential toward
common objectives.
BEHAVIORAL SCIENCE APPROACH

• An approach that emphasizes scientific research as the

basis for developing theories about human behavior in
organizations that can be used to establish practical
guidelines for managers.
• Example: Individuals perform better with challenging
but attainable goals, than they do without goals.
QUANTITATIVE MANAGEMENT VIEWPOINT

• This focuses on the use of mathematics, statistics, & information aids to support managerial
decision making & organizational effectiveness.
• There are 3 main branches:
1) Management Science – an approach aimed at increasing decision effectiveness through the
use of sophisticated mathematical models and statistical methods.
- Operations research is another term for MS.

2) Operations Management – function or field of expertise that is primarily responsible for

managing the production & delivery of an organization’s products or services. This includes
inventory management, work scheduling, etc.

3) Management Information Systems – this refers to the field of management that focuses on
designing and implementing computer-based information systems for use by management.
CONTEMPORARY VIEWPOINT

• Incorporates innovations on management

thinking.
• Contingency
• System
• Emerging Views
CONTIGENCY APPROACH vs Traditional Mngt.

CONTINGENCY APPROACH TRADITIONAL MNGT.

• It means that different • Traditional management relied
situations require different on principles to provide “one
behavioral practices for best way” of managing.
effectiveness. • The correct applied regardless
• The managers need to know of the type of org. or situation
under what conditions they involved.
should choose one behavioral
approach over another. • Management principles were
• No one best way. considered to be universal.
4) Systems Approach

Thus the systems approach compels managers to take holistic Holistic organizational behavior interprets people –
view of the subject. organization relationship in terms of the whole person, whole
group, whole organization, and whole social systems.
TOTAL QUALITY MANAGEMENT (TQM)

• It is a management philosophy
that focuses on the satisfaction of
customers, their needs, and
expectations.
• Quality experts W. Edwards
Deming (1900-1993) and Joseph M.
Juran (1904-2008)
SOURCES:

• Cabrera, H.M., Altarejos, A., & Benjamin, R. (2016). Organization

and Management. Quezon City: Vibal, Group, Inc.
• Daft, R. (2016). Management. Boston: Cengage Learning
• Zarate, C. (2016). Organization and Management for Senior High
School. Quezon City: C & E Publishing, Inc.