THE EVOLUTION OF MANAGEMENT THOUGHT, 6TH EDITION Electronic Resource by: Regina Greenwood and Julia Teahen Chapter Fifteen People and Organizations People and Organizations Eduard C. Lindeman (1885-1953) Jacob L. Moreno (1889-1974) Kurt Lewin (1890-1947) Abraham H. Maslow (1908-1970) Joseph N. Scanlon (1899-1956) James F. Lincoln (1883-1965) Charles P. McCormick (1876-1970) William Foote Whyte (1914-2000) Leadership Studies at Michigan and Ohio State with Rensis Likert (1903-1981), Ralph Stogdill (1904-1978) and Carroll L. Shartle (1903-1993). People at Work – Micro View Eduard C. Lindeman Early study of group behavior in member interaction, participation, and attitudes Origin of phrase “participant-observer” Lindeman was a cohort of Mary Parker Follett and they appear to have influenced each other. Reproduced from the encyclopedia of informal education, www.infed.org People at Work – Micro View Jacob Moreno Jacob Moreno, courtesy of Dr. Walter Logeman Sociometry, trying to classify individuals into groups that were capable of harmonious relationships. Sociogram, mapping interpersonal preferences…there was a difference when preferences were for social vs. task mates. Psychodrama, a cathartic experience for an individual in a group setting Sociodrama, the basis of role playing. Role reversal, taking the role of others and a useful technique for working with culturally diverse groups. People at Work – Micro View Kurt Lewin Group dynamics and field theory – Gestalt notions for understanding individuals in groups. Quasi-stationary equilibrium. Groups never achieved a steady state but were continuously in a process of mutual adaptation. People at Work – Micro View Kurt Lewin and Leadership During leadership studies, Lewin asked his counselors to role play democratic or authoritarian styles and found what he expected in boy’s reactions. One counselor, however, misplayed his role and, rather than throwing the data out, Lewin called this “laissezfaire,” meaning no leadership. This style has persisted in the literature despite its inaccuracy. People at Work – Micro View Kurt Lewin and Changing Behavior Lewin’s found that group participation facilitated the change process. His three step model is still a foundation for modern theory: “unfreezing” through participation “moving” to the new level “freezing” (reinforcing) the desired new behavior. Lewin’s work became the basis for sensitivity training through his influence on Leland Bradford. Kurt Lewin. (2008). In Encyclopædia Britannica. Retrieved December 10, 2008, from Encyclopædia Britannica Online: http://www.britannica.com/EBchecked/topic/338099/Kurt-Lewin Changing Assumptions about People at Work Motivation Job Enlargement Participation Leadership Motivation – Abraham H. Maslow Abraham Maslow’s “humanistic psychology” was a revolt against behaviorism leading to the Third Force in psychology. His contact with industry led to the book Eupsychian Management. Motivation – Abraham H. Maslow Dynamics of need fulfillment or deprivation Hierarchy of Needs Motivation – A.H. Maslow The Journals of Abraham Maslow by Abraham Maslow. The Lewis Publishing Company, 1982. Joseph Scanlon Union official and later a colleague of Douglas McGregor at MIT. The Scanlon Plan A union-management productivity plan whereby groups of workers got bonuses for proposing savings in labor costs Group oriented Not profit sharing. James F. Lincoln Lincoln believed in rewarding individual efforts based on skill ratings. Wages and benefits were comparable to the Cleveland area labor market In addition, bonuses were paid for performance based on quality and quantity of output as well as selfmanagement. Bonuses are substantial. Job Enlargement Research in the 1940’s by Walker and Guest indicated some possible improvements if jobs were designed to lengthen (broaden) the work cycle. This concerned combining jobs rather than increasing job depth. Participation Participation was a power-equalization thesis of this period to play down the importance of the organizational hierarchy. James Worthy (1910-1998) Worthy at Sears, Roebuck argued for flatter structures and decentralization. Also worked with the University of Chicago’s Committee on Human Relations to study the impact of structure on employee morale. Participation William B. Given, Jr. – “bottom-up” approach Charles P. McCormick – a plan for participation which is still operative in the McCormick Company (tea, spice, and extract firm). Junior Boards were created (“multiple management”) to improve communications, manager development, and coordination through participation. The Golden Rule was the basis for his successful technique for managing people. Rensis Likert – University of Michigan Studies Rensis Likert found a two dimensional orientation: An employee orientation stressing interpersonal relations A production orientation focusing on producing An employee orientation coupled with more general supervision led to higher productivity, better morale, lower turnover, greater group cohesiveness and less employee anxiety. Ohio State University Studies Ralph M. Stogdill Carroll L. Shartle Ohio State University Studies Summary of Michigan and OSU Leadership Studies Despite differing terminology, leadership was viewed by each as a two-by-two matrix of leader behaviors in which people-oriented was not mutually exclusive of a production orientation. People at Work: The Macro View William Foote Whyte (1914-2000) – restaurant studies E. Wight Bakke (1903-1971) – formal and informal systems Herbert A. Simon (1916-2001) – how choices were made George C. Homans (1910-1989) – activities, interactions, sentiments People at Work: The Macro View William F. Whyte’s restaurant study: Status ran counter to workflow and who initiated work for others. Whyte's work was key to the idea of sociotechnical systems. Whyte is noted for “participatory action research.” People at Work: The Macro View E. Wight Bakke the interactions of the formal and informal systems; the "bonds" of organization; the "fusion" process involving organizational position and personal views of standing or status. People at Work: The Macro View Herbert A. Simon, Nobel Laureate, was influenced by Barnard. Wrote about limits that “bound the area of rationality.“ This led to “satisficing" or "good enough" decisions. People at Work: The Macro View For Simon, composite decisions are better due to limits on a person's ability to achieve better solutions; participation by different groups would be an improvement. With James March (1928-), Simon wrote the influential book Organizations. People at Work: The Macro View George Homans was influenced by Pareto. His study of relationships in work and social systems found dimensions such as: Activities, formal or informal. Interactions, prescribed or emergent. Sentiments, the elusive nature of feelings. Summary Evolving management thought had two phases in this period: Micro level inquiry into sociometry, group dynamics, participation, leadership and motivation Macro level search for models to explain interactions between the formal and informal organization. Human relation additions to concepts of management include: An increasing emphasis on the social Enlarging jobs to counteract overspecialization Less emphasis on hierarchy, more on participation Recognition of the informal organization Developing the means to study the interaction of the formal and informal organization.