Management and Organisational Behaviour 7th Edition CHAPTER 3 Approaches to Organisation and Management Mullins: Management and Organisational Behaviour, 7th edition © Pearson Education Limited 2005 OHT 3.2 The importance of management theory • What leading writers say is an important part of the study of management • The relationships between the development of theory, behaviour in organisations & management practice are explored • Knowledge of the development of management thinking helps in understanding the principles that underlie the process of management • Knowledge of history helps in understanding the nature of management and OB • Many earlier ideas are of continuing importance Mullins: Management and Organisational Behaviour, 7th edition © Pearson Education Limited 2005 OHT 3.3 Figure 3.1 Main approaches to organisation, structure, & management Mullins: Management and Organisational Behaviour, 7th edition © Pearson Education Limited 2005 OHT 3.4 Classical approach to management • Classical writers thought of organisations in terms of purpose & formal structure • Emphasis was placed on the planning of work, technical requirements of the organisation, principles of management, and the assumption of rational and logical behaviour • A clear understanding of the purpose of the organisation was essential to understand how the organisation works and how its working methods can be improved Mullins: Management and Organisational Behaviour, 7th edition © Pearson Education Limited 2005 OHT 3.5 Common principles to the classical approach to management • Principle of coordination – the need for people to act together with unity of action, and need for discipline • The scalar principle – the hierarchy of organisation, the grading of duties and process of delegation • Functional principle – specialisation & distinction between different kinds of duties Mooney & Reiley Mullins: Management and Organisational Behaviour, 7th edition © Pearson Education Limited 2005 OHT 3.6 Criticisms of the classical approach • Insufficient account taken of personality factors • Creates organisational structures where people can exercise only limited control over their work environment • Out-of-date approach Mullins: Management and Organisational Behaviour, 7th edition © Pearson Education Limited 2005 OHT 3.7 Scientific management There is a best machine for each job, so there is a best working method by which people should undertake their jobs All job processes should be analysed into discrete tasks & via this management find the ‘one best’ way to perform each task Taylor Mullins: Management and Organisational Behaviour, 7th edition © Pearson Education Limited 2005 OHT 3.8 Principles of scientific management • The development of a true science for each person’s work • The scientific selection, training and development of workers • Co-operation with workers to ensure work is carried out in prescribed way • The division of work and responsibility between management and workers Mullins: Management and Organisational Behaviour, 7th edition © Pearson Education Limited 2005 OHT 3.9 Bureaucracy – the main characteristics • Tasks are allocated as official duties among the various positions • An implied clear-cut division of labour and a high level of specialisation • Uniformity of decisions and actions achieved through formally established systems of rules & regulations • An impersonal orientation expected from officials in their dealing with clients • Employment is based on technical qualifications Mullins: Management and Organisational Behaviour, 7th edition © Pearson Education Limited 2005 OHT 3.10 Bureaucracy – the main features • Specialisation • Hierarchy of authority • System of rules • Impersonality Stewart Mullins: Management and Organisational Behaviour, 7th edition © Pearson Education Limited 2005 OHT 3.11 Criticism of bureaucracy • Over-emphasis on rules and procedures, record keeping and paperwork • Lack of flexibility and stifling of initiative • Position and responsibilities can lead to officious bureaucratic behaviour • Impersonal relations can lead to stereotyped behaviour and lack of responsiveness to individual incidents or problems Weber Mullins: Management and Organisational Behaviour, 7th edition © Pearson Education Limited 2005 OHT 3.12 Human relations approach • Is based on the consideration of the social factors at work and the behaviour of employees within an organisation • Particular importance is paid to the informal organisation and the satisfaction of individuals’ needs through groups at work • Hawthorne experiments acted as a turning point in the development of the Human Relations movement Mullins: Management and Organisational Behaviour, 7th edition © Pearson Education Limited 2005 OHT 3.13 Human relations approach – the criticisms • Weak methodology of Hawthorne experiments, including failure to take sufficient account of environmental factors • Adoption of a management approach, a ‘unitary frame of reference’ and over simplification of theories • Insufficiently scientific and takes too narrow a view, ignoring the role of the organisation within society Mullins: Management and Organisational Behaviour, 7th edition © Pearson Education Limited 2005 OHT 3.14 The systems approach Attempts to reconcile the classical and human relations approaches Attention is focused on: • the total work of the organisation • the inter-relationships of structures & behaviour • the range of variables within the organisation The organisation is viewed within its total environment and the importance of multiple channels in interaction is emphasised Mullins: Management and Organisational Behaviour, 7th edition © Pearson Education Limited 2005 OHT 3.15 The contingency approach Views the structure of an organisation and its success as dependent on: • the nature of tasks that are undertaken • the nature of environmental influences There is no one best way to structure or manage organisations - it is dependent on the contingencies of the situation Mullins: Management and Organisational Behaviour, 7th edition © Pearson Education Limited 2005 OHT 3.16 Post modernism A more recent view of organisations and management • Rejects a rational, systems approach and accepted explanations of society and behaviour • Places greater emphasis on the use of language and attempts to portray a particular set of assumptions or versions of the truth Mullins: Management and Organisational Behaviour, 7th edition © Pearson Education Limited 2005 OHT 3.17 Advantages of different approaches / categorisations • Provides a setting in which to view the field of management • Traces the major lines of argument developed by different writers • Provides a framework in which principles can be set and comparisons of management practice made • Helps in organisational analysis and identification of problem areas • Enables managers to select those ideas which best suit the requirements of their job Mullins: Management and Organisational Behaviour, 7th edition © Pearson Education Limited 2005 OHT 3.18 Caveats • The various approaches represent a progression of ideas and a pattern of complementary studies • Not all writers can be neatly categorised • Whilst there may be acceptance of the need for a framework there is no agreement on its shape • The distinction between certain ‘schools’ of thought are not clear cut Mullins: Management and Organisational Behaviour, 7th edition © Pearson Education Limited 2005 OHT 3.19 Management theory – comparing Western & Japanese thinking 1960s – Western management lacked curiosity about competition from Japan, with British and European managers obsessed by American examples 1970 & 80s - many sought to emulate the characteristics of Japanese management Japanese methods have produced: • high levels of teamwork • an atmosphere of innovative ideas • a willingness to continually improve (Kaizen) Mullins: Management and Organisational Behaviour, 7th edition © Pearson Education Limited 2005