Different Approaches to Management
Management has the multi-disciplinary influence so Koontz referred to management
as jungle.
One of the way to classify management approaches is from the analysis of John G.
Hutchinson which considers the development of management from five different
perspectives, the history of management can be broadly classified into three
groups
1) The classical approach
2) The neo-classical approach
3) The modern approach.
The Classical Approach ( traditionally accepted views) : This approach emphasizes
organizational efficiency to increase organizational success. It believes in functional
relationship, following of certain principles based on experience, a bureaucratic
structure and reward-punishment nexus.
The classical school of thought developed in three different directions
The Scientific management approach(Taylor), the administrative approach( Fayol), and
the bureaucratic approach(Weber). Bureaucratic approach also fall under
administrative school of thought.
The neo-classical approach emphasizes human relations, individual as well as group
relationships, and social aspects. This approach was pioneered by Mayo and his
associates. This was further extended to behavioural sciences approach pioneered
by Maslow, Chris Argyris, Douglas McGregor and Rensis Likert.
The quantitative approach and contingency approach also also form a part of the
neo-classical approach.
Modern management thought combines concepts of the classical school with social
and natural sciences. It basically emerged from systems analysis.
Contribution of pre-classical theorists is useful to appreciate the process of
development in management thoughts
MANAGEMENT THEORIES
Management theories can be classifiedinto four main school of thought
1) Pre classical approach
2) Classical approach
3) Neo-classical approach 4) Modern approach
Pre-classical school of thought
Contributor
Pioneering
Robert Owen(1771-1858)
He is considered to be the pioneer of the
human resource management process. He
advocated the necessity of concern for the
welfare of workers.
Charles Babbage(1792-1871)
As an inventor and a management scientist,
he built the practical mechanical calculator,
which is considered to be the basis of the
modern computer.
Andrew Ure and Charles Duplin(17781857)
They emphasizes the necessity of
management education, which further
paved the way to professionalize
management functions.
Henry Robinson Towne(1844-1924)
He emphasized the significance of skills in
running a business.
CLASSICAL SCHOOL OF THOUGHT
SCIENTIFIC
SCHOOL(MANAGEMENT)
Frederick W. Taylor(1856-1915)
Development of scientific
management.
Frank B. and L.M. Gilbreth18681972)
Time and motion studies
Henry L. Gantt(1861-1919)
The Gantt chart
ADMINISTRATIVE
SCHOOL(THEORY)
Henri Fayol(1841-1925)
General theory of management
Max Weber(1868-1920)
Rules of management
The classical viewpoint includes management theories that provide foundation to the
modern management theory
With increase in size and complexity of organizations, the need for systematic
approach to management became inevitable. Attempts were made to increase
industrial production. Financial incentives were viewed as important contributors
to increase organizational production.
Features of classical school of thought :
1. It involves some of the early works on management which provides foundation to
the modern management theory.
2. It attempts to find ways to increase output of workers.
3. Employees have strong economic needs which can be satisfied through financial
incentives.
4. It stresses on formal structure of jobs and work schedules to satisfy organizational
and individual needs.
5. It views organizations as closed system which do not interact with the external
environment.
6. It develops a set of management principles which are universally applicable to all
Scientific management is a classical approach that emphasizes the scientific study of
work methods to improve efficiency of workers Among all the contributors to this
school of thought, the contribution of Taylor is thought to be the most important.
TAYLORS SCIENTIFIC MANAGEMENT THEORY
Regarded as the father of scientific management, Taylor developed specific principles
for this field. He started his experiment with the concept of scientific management
at Midvale Steel Co. He saw that the employees were deliberately working at a
pace slower than one capabilities. He found three reasons behind it
a) Fear of losing their jobs if they increase their output
b) Faulty wage systems
c) Outdated methods of working.
He suggested some principles to overcome this problems. These principles formed the
basis of scientific management theory.
1) Rule of thumb should be replaced with science : Trial and error approach should not
be used for taking decisions, rather scientific way of working should be followed.
Scientific working involves use of organized knowledge, precision and exactness as
against rule of thumb which is based on mere estimates.
2) There should be harmony and not discord in group action : All the members of the
organization should work as a team.
Conflicts should be solved by mutual discussion and coordination and
disagreements should be eliminated. All group actions should be based on mutual
understanding so that group as a whole, contributes to organizational output.
3) Cooperation not individualism : People should not promote their individual
interests at the cost of organizational interest. They should cooperate with each
other, solve each other’s problems and work as a team to achieve organizational
goals.
4) Maximum output, not restricted output : People should not restrict production.
They should increase the output and share the benefits of increased output with
the management.
5) Development of workers to their fullest capacity : Development of workers through
formal education, training and motivation will enable them to give their best to
organizational output. Which will benefit both the organization and workers.
Training should be provided at the work place so that workers learn about new
technologies and methods of working.
Taylor also introduced a ‘ differential rate system’ where management paid higher
wage to those who finished their work in less than standard time i.e. higher wage
to productive workers.
The phases of scientific management can be illustrated as below.
Total task
M
Phase1
W
1
M
T1
T2
T3
W
3
W
4
W
5
Phase2
T4
W
1
T5
M
Phase3
W
2
W
2
W
3
W
4
W
5
M
Phase4
W
1
W
2
W
3
W
4
W
5
W
1
W
2
W
3
W
4
W
5
T1
T1
T1
T1
T1
T1
T2
T3
T4
T5
Phase1 : Work situation. In any work situation, there are three elements– a work
to be done, a pool of workers, and a manager. The total task might consist of
coordinating a machine territory, and the company might assign a route manager
and five workers to handle the territory.
Phase2 : Task analysis. Phase2 represents management’s scientific study the task
wherein it is determined what elements the task consist of, what skill each aspect
demands, and how many workers should be assigned to each.
Phase3 : Matching tasks with workers. The manager then matches the available
personnel with the skills required for each task
Phase4 : Continued management. Finally, the manager continues to cooperate
with the workers by supervising the work and serving as primary planner for the
work group.
Evaluation
1) Taylor’s theory gained wide popularity in the managerial world, in both
business and non-business world. It introduced better management
through scientific methods such as work study, incentive plans,
introduction of rest hours etc
2) It introduced techniques of time and motion studies to increase workers
contribution. Standards are decided using time and motion study. Time
study helps in the determination of time required, duly defining the art
of recording, analysing and synthesizing the time elements of each
operation. Motion study on the other hand, involves the study of
movements in doing a job in parts. It eleminates wasteful movements
and retain only the necessary one. Thus it makes a job simple, easier and
better. This system requires workers to perform at some pre-decided
standard rate to earn their basic wages. If workers are able to produce
more, then in addition to their base rate they get incentives on the
number of excess units produced over and above the standard units.
It emphasized on scientific selection, education and development of workers, so
that problem solving is not based on random decision-making. It advocated
selection of workers on the basis of job requirement. Training methods were also
scientifically designed to develop workers to perform the jobs they are best suited
for.
4) He identified planning and execution of plans as two distinct jobs.
5) He advocated mental revolution on the part of both employers and employees.
This revolution changed the attitude of management and workers towards their
work.
Drawbacks of Scientific management :
1) Taylor focused only on physical and economic needs of workers. He overlooked
the importance of social and ego needs that affect their behaviour. Taylor viewed
workers as mere factor of production and not as human being with social and
emotional ties.
2) His theory was opposed by workers and labour unions as they felt that scientific
ways would increase production but reduce the work force
c)Focus on scientific ways of performing the job can make work monotonous so
that workers work along pre defined lines of action and lose interest in their jobs.
This results in worker resentment and increased labour absenteeism.
Administrative Theory
Administrative theory, another part of the classical school of thought, focuses on
principles to coordinate the internal activities in an organization. The contribution
of Henri Fayol is thought to be the most important.
While Taylor emphasised on productivity of workers at the shop level, Fayol
focussed on managing the organization as a whole. Fayol was concerned with
general management and overall control of the organization and not with
supervision and control of operation at lower level of management. His work was
thus related more to the top level of management. He was regarded as the first
person to systematise the administrative approach to management.
Fayol classified the business operations of an organization into six activities and
then outlined 14 principles of management.
Six activities are
1. Technical : It relates to production and manufacturing of goods.
2. Commercial : It relates to buying raw materials and selling or exchanging the
finished goods
3. Financial : It relates to search, acquisition and optimum use of financial
resources.
4. Security : It relates to protecting human and non-human resources.
5. Accounting : It concerned with costs, profits, and liabilities, maintaining balance
sheets, and compiling statistics.
6. It relates to functions performed by a manager.
Activities of a Business
Technical
Planning
Commercial
Financial
Organizing
Security
Commanding
Accounting
Managerial
Coordinating
Controlling
General Theory of Management : The French industrialist Fayol , through his
pioneering work, “ General and Industrial Management”(1949) explained that
satisfactory results can be achieved with scientific forecasting and proper methods
of management. Fayol listed fourteen principles of management based purely on
his experience. He described these principles as flexible and not exhaustive. They
can be changed according to situations. The principles too, are flexible can be
adapted to meet every need; It is just a question of knowing how to use them.
These 14 principles are
1. Division of labour : Division of work leads to specialisation resulting in higher
output. This principle recommends grouping of people as per their area of
specialization. If people are specialized at their work, they can perform their task
better.
2. Authority : Managers must have the authority to issue orders and instructions to
the subordinates. Yet , formal authority alone may not help to compel obedience
from subordinates; managers must have the expertise to exert personal authority.
3. Discipline : Discipline means respect for rules and agreements. People working in
an organization need to comply with rules and agreements that govern the
organization. Without discipline results cannot be achieved.
Discipline can be brought by a) effective leadership, guidance and motivation. B)
good supervision at all levels, and c) clear and fair agreement with employees.
iv) Unity of command : There should be one boss for one subordinate. Conflict will
arise when one receives order and instructions from multiple managers.
v) Unity of direction : All operations in an organization need to be directed
towards one objective. Without this achievement of goal cannot be ensured.
vi) Subordination of individual interest to general interest : If there is a conflict
between the individual goals and organizational goals, preference should be given
to organizational goals, i.e., individual goals should not supersede the goals of the
organization.
vii) Remuneration : There should be a fair system of remuneration that ensures
equal pay for equal work. It should be fair to both employees and employers.
viii) Centralisation : It refers to declining role of subordinates in the decision
making. Though major decisions are taken by the managers at the top level, but at
the same time enough authority should be given to the subordinates to do the
jobs properly.
ix) Scalar Chain (Hierarchy) : This the line of authority running from top level to lower
level of management. It is also known as hierarchy of authority. It illustrated in the
form of an organizational chart clearly showing the structure of authority from the
top management to employees down the line.
x)
Order : People and material should be in the right place at the right time. Fayol
followed the concept of ‘ A place for everything and everything in its place ‘.
When human beings are kept at the right place( right man at the right place) it is
social order, and when non-human or material resources are kept at the right
place, it is material order.
xi) Equity : Managers should be fair to their subordinates.
xii) Stability of staff : Employee turnover should be less to ensure efficiency of an
organization.
xiii) Initiative : Subordinates should have the freedom to conceive new ideas and do
their task, even though they commit mistakes.
xiv) Esprit de corps : ‘ Unity is strength’. People should work as a team to enjoy the
benefits of synergy.
Evaluation
Positive attributes of Fayol’s theory are summarised below :
1.Fayol pioneered in distinguishing management functions from other
functions/activities of a business.
2. He was first to highlight the universality of management principles.
3. His contribution to management theory provided foundation to development of
management thought. The functions of management developed by him provide
systematic understanding to the process of management.
Self study : Limitations of Fayol’s theory, Comparisions of Fayol’s and Taylor’s theory.
Bureaucratic Theory : This theory pioneered by Max Weber, which falls under the
administrative school of thought, emphasizes authority structures. Weber
propagated the need for organizations to be managed in a more rational manner.
He introduced rational-legal authority system rather than charismatic and
traditional authority system, for managing business organization.
According to Weber, a bureaucracy is highly structured, formalized, and impersonal
organization. He has advocated the necessity of a formal organization structure
with set rules and regulations. He identified a set of characteristics of large
organizations which helped in their rational operation. Such organizations were
known as bureaucratic organizations.
Characteristics of Bureaucratic Theory
Characteristics
Description
Specialization of labour
Formal rules and
procedures
Impersonality
Jobs are broken down into routine well defined
tasks co that members of the organization
know what is expected from them and they
can become competent enough to perform a
particular task.
Well defined hierarchy
Multiple levels of positions must be
designed carefully keeping in mind the
reporting relationships among levels.
This should provide for supervision,
handling of exceptions, and ability to
establish accountability of actions.
Career advancement based on merit
Selection and promotion should be based
on the qualification and performance of
members.
Neo-classical School of Thoughts
Neo classical approach emphasized human relations, the importance of
individual as well as group relationship and social aspects. It was further
extended to the behavioural sciences approach. The quantitative
approach and the contingency approach also form a part of the neoclassical approach.
The classical theorist viewed people as means of production and suggested
ways to increase production. But, unfortunately, managers could not
achieve the targets of production as people at work place did not always
behave rationally.
Behavioural Theories
The behavioural school of management emphasizes the human element in an
organization. It put more importance on individual attitude and behaviour and on
group processes.
Mary Parker Follett : Was the pioneer of the behavioural approach to
management. Follett was a social worker and studied issues related to working
conditions of employees. She believed in group behaviour and mutuality of
interests between employers and employees. She recognized the significance of
the human elements and attributed greater significance to the functioning of
groups in the workplace. The critical role of managers should be to bring
constructive change in the organization, following the principle of ‘power with’
rather than ‘power over’.
Major Contributor to the Behavioural School
Contributors
Contributions
Mary Parker
Group influences in the workplace
Elton Mayo
Effect of human motivation on productivity and
output
Abraham Maslow
Relates human motivation to a hierarchy of
needs
Douglas McGregor
Emphasizes human characteristics- theory X and
theory Y and the corresponding style of
leadership
Chris Argyris
Human and organizational development- model I
and model II
WHAT CONTRIBUTIONS DID MARY PARKER FOLLETT MAKE TO MANAGEMENT
One of the earliest writers to recognize that organizations could be viewed from the
perspective of individual and group behaviour was Mary Parker Follett. Follett was
a social philosopher whose ideas had clear implications for management practice.
She thought that organizations should be based on a group ethic rather than on
individualism. Individual potential, she argued, remained as potential until
released through group association. The manager’s job was to harmonize and
coordinate group efforts – the notion of “power with” rather than “power over”
employees. Managers and workers should view themselves as partners – as part of
a common group. Follett’s humanistic ideas influenced the way we look at
motivation, leadership, power, and authority.
Elton Mayo : He is recognized as the father of human relations approach. Mayo and
his associates conducted their study at Western Electrict’s Hawthorne Plant
between 1927-1932, to evaluate the attitude and psychcological reaction of
workers in on-the-job situation. Their experiments were carried out in four phases.
1) Illumination experiment 2) Relay assembly test room experiments
3) Interview phase
4) Bank wiring observation room experiment.
Scholars generally agree that the Hawthorne studies, under the leadership of Elton
Mayo, had a dramatic impact on the direction of management thought. Mayo
concluded that behaviour and sentiments are closely related, that group
influences significantly affects individual behaviour, that group standards establish
individual worker output, and that money is less a factor in determining output
than are group standards, group sentiments and security.
1) Illumination experiments : This experiment involved manipulation of illumination
for one group of workers, called test group and comparing their productivity and
performance with another group for whom illumination was not manipulated,
called controlled group. In the first spell of experiment, for the test group,
productivity and performance improved. However it did not last long. In fact the
control group’s performance also rose in between with the alteration in lighting
conditions for the test group, even though for the control group there was no
change in the lighting conditions. With such contradictory results, researchers
concluded that intensity of illumination was not related to productivity of workers.
There had to be something besides illumination which influenced the performance
of the workers in Western Electric Company.
2) Relay assembly test room experiment : This set of experiments was conducted
under the guidance of Elton Mayo. The researchers selected six women employees
of the relay assembly test room, and were put in a separate room. In the test
room, a number of variables were altered, like increased wages and rest period,
shortened workday and workweek etc.
In addition the sample workers were given the freedom to leave their workstation
without permission and were also given special attention. Productivity increased
during the study period. Such results led the researcher to believe that better
treatment of subordinates made them more productive. They highlighted the
significance of social relations. Workers would perform better if management
looked after their welfare and supervisors paid special attention to them. This
condition was later lebelled as the Hawthorne effect.
INTERVIEW PHASE : In this phase of the experiments, about 21000 people were
interviewed. The purpose of the interviews was to explore the attitude of workers
in depth. The conclusions that emerged were.
a) A complaint is not necessarily an objective of recital of facts; it may also reflect
personal disturbance of cause of which may be deep rooted.
b) All objects, persons, and events carry some social meaning. They relate to
employee’s satisfaction or dissatisfaction.
c) Workers’ personal situations are the results of configurations of relationships,
involving sentiments, desires, and interest. Such relational variables, when related
to the worker’s own past and present interpersonal relations, result in their
personal situation.
d) Workers assign meaning to their status in the organization and give value to
events, objects, and specific features of their environment
d) Workers derive satisfaction or dissatisfaction from the social status of an
organization. This means that they also look for social rewards, associating them
with an organization.
e) Workers’ social demands are influenced by social experiences in groups, both inside
and outside the workplace.
BANK WIRING OBSERVATION ROOM EXPERIMENT
 In this experiment there were fourteen participants including wiremen, solder
men and inspectors.
 There was no change in the physical working conditions.
 Sample workers were paid based on an incentive pay plan, relating their pay to
output. They had the opportunity to earn more by increasing the output.
 However, it was observed that the output was constant at a certain level.
 Analysis of the results showed that the group encourages neither too much nor
too little work.
 They enforce ‘a fair day’s work’ on their own. Group norms, therefore more
important to the worker than money.
 This study, thus provided, some insight into informal social relations within groups.
In the behavioural school of thought, other contributors like Abraham Maslow,
Douglas McGregor, and Chris Argyris also left a significant impact.
The Human Relations Movement ; The human relations movement grew from the
Hawthorne experiment. The classical management theory in particular assumed a
simple stimulus-response relationship in the workplace. If jobs were properly
designed and appropriate incentives established, predictable result would follow.
Workers would perform their jobs as they were told and would maximize output to
get high wages and compensation.
Human relations school of thought, suggested a more complex process. It proposed
that workers respond primarily to the social context, including social conditioning,
sentiments and the interpersonal situation at work.
The Scientific Management Perspective on Work
LEADS TO
Worker Response
The Work Situation
The Human Relations Perspective on Work
The work
situation
is part of
The social
Context
Which leads to
Worker
response
ABRAHAM A. MASLOW(1908-1970)
Maslow focused on human needs. In 1943, he suggested that number of different
human needs exists and he felt that people are motivated by a sequence of needs.
So organizations which solely rely on money as a motivator may be ignoring
important needs. He introduced a new concept, viz., hierarchy of needs. He felt
that people are motivated by five distinct types of needs which are arranged in a
hierarchy in order of their power to motivate human behaviour:
1.
2.
3.
4.
5.
Physical or physiological needs
Safety or security needs
Social needs
Ego or status needs
Self-actualisation, self realisation, self-fulfilment needs.
DOUGLAS McGREGOR9(1906-1964)
McGregor’s major contribution in the emerging areas of human relations lies in
developing two alternative management views of subordinates, popularly known
as theory X and theory Y.
Theory X managers believe that their subordinates basically try to avoid responsibility
and work assignments. So they can not be inspired or motivated. Thus theory X
takes a relatively pessimistic and negative view of workers. On the contrary, Theory
Y managers hold progressive outlook and are dynamic in nature. They view work
as rewarding if given the chance by superiors. In McGregor’s view theory Y was a
more appropriate philosophy for managers to adhere to.
Chris Argyris : A contemporary advocate of the behavioural school of management
thought, Argyris has argued in his book “Personality and Organization” that people
normally progress from a stage of immaturity and dependence to maturity and
independence and that many modern organization keep their employees in a
dependent state, thus preventing the individual from achieving his or her fullest
potential . Furthermore he felt that various concepts and principles of modern
management such as specialisation inhibit the natural development of a healthy
personality.-
Modern Management Theory
With increasing complexities of organizations, the modern management
theories(thoughts) are developed.
The modern management thought is characterised by the following features :
1)Management is responsive to environmental changes. Successful organizations
adopt environmental changes in the principles and practices of management.
2) Business organizations are dynamic institutions composed of inter-related divisions
and sub divisions.
3) Business firms have multiple objectives. Managers balance economic and noneconomic objectives and maximize the interests of diverse groups of stakeholders.
4) Management is multi-disciplinary in nature. It draws knowledge from various
discipline and synthesises it for solving managerial problems.
5) Management is future oriented. It forecasts environment through scientific
technique of forecasting and discounts it to make decisions in the present.
MODERN MANAGEMENT THEORIES
Quantitative Theory
System Theory
Contingency
Theory
Operational
Theory
QUANTITATIVE THEORY : This theory became an acceptable theory during world war II
, when Britain wanted to solve the problem of war. The problem was that the rader
system did not perform well at field sites as it performed at the testing stations.
During the war managers ,govt officials, and scientists are brought together to help
the army to utilize the resources effectively. The experts solved many logistic
problems in the war. After the war, such techniques were used by the
organizations to solve their business problems. This school of thoughts uses
statistics, optimization models, information models, and computer simulation to
solve business problems. It has various branches , such as
a) Management science b) Operations Management c) Management information
system
Management Science approach: Also known as the operation research approach,
which is applied in the areas like capital budgeting, production scheduling, product
strategy management, human resource planning and inventory management.
Various mathematical tools like queuing theory, linear programming, PERT, CPM,
decision theory, probability theory and smpling etc are used to minimize the error
in management decisions.
The operations management approach : is primarily concerned with production
management and its related areas. This approach is helpful in decision making in
the functional areas like finance, marketing and human resource management.
The management information system approach focuses on designing and
implementing computer based information systems for use by management.
THE SYSTEMS THEORY APPROACH
In mid 1960s began a decade in which the idea that organizations could be analysed in
a systems framework gained a strong following. The systems approach defines a
system as a set of interrelated and interdependent parts arranged in a manner
that produces a unified whole. Societies are systems and so, too, are computers,
automobiles, organizations, and animal and human bodies.
This approach consider the organization as a whole because of the interdependent
nature of activities, requiring the organization to interact with external
environmental factors.
The two basic types of systems are closed and open. Closed systems are not
influenced by and do not interact with their environment. In contrast, an open
system approach recognizes the dynamic interaction of the system with the
environment. Today when we talk of organizations as systems, we mean open
systems. That is, we acknowledge the organization’s constant interaction with its
environment which can result in negative entropy or synergy.
Features :
Following are the important features of system approach to management
thoughts
1. It considers the organizations as a dynamic and inter-related set of parts.
Continuous and effective interaction of sub systems helps to attain
goalsof the larger system.
2.
It considers the impact of both near and distant future on organizational
activities.
3.
It integrates goals of different parts of the organization(sub systems or
departments) with the organization as a whole. It also integrates goals of
the organization with goals of the environment or society in which it
operates.
It synthesises the knowledge of different fields of study
It enables organizations to frame policies that promote business
objectives and social objectives.
4.
5
Technological
Variables
Social Variables
Competitors
Customer
Employee
Financial
Institute
Suppliers
The
Organization
Labor
Union
Shareholders & Board of
Directors
The Media
Special Interest
Govt
group
Economic Variables
Internal
Stakeholders
Political Variables
External
Stakeholders
Indirect Action Elements
(PEST)
EVALUATION : This theory provides the following benefits
1. It provides the holistic view of the organizations and emphasises on their adaptive
nature. It increases the organization’s adaptability to environmental changes.
2. It analyses the system at different levels and inter-relates and integrates it into a
unified set of direction.
3. It provides a framework for effective interaction of different parts of the
organization for attainment of its goal.
4. It considers the impact of environment on the organization and vice versa.
Interaction of external environment with the organization’s internal environment is
the most significant contribution of the system theory.
5. It synthesizes the classical and behavioural theories into broader framework to
solve managerial problems.
What is a Contingency Approach to the Study of Management
Management, like life itself, is not based on simplistic principles. The
contingency approach( sometime called the situational approach) has
been used to replace simplistic principles of management and to integrate
much of management theory. A contingency approach to the study of
management is logical. Because organizations are diverse- in size,
objectives, tasks being done, and the like- it would be surprising to find
universally applicable principles that would work in all situations. In other
words, managing Oracle’s software design engineers would be different
from managing sales force in LIC. But of course, it is one thing to say, “ It
all depends”, and another to say what it depends on. Advocates of the
contingency approach- a group that includes most management
researchers and practitioners- have been trying to identify the “what”
variables. Table below describes four popular contingency variables. The
contingency variables can have a significant effect on what managers do,
that is, on the way work activities are coordinated and integrated.
FOUR POPULAR CONTINGENCY VARIABLES
Organization Size
The no of people in an organization is a
major influence on what managers do.
As the size increases so the problem of
co-ordination.
Routineness of Task Technology
In order for an organization to achieve its
purpose, it uses technology, that is, it
engages in the process of transforming
input into output
Environmental uncertainty
Individual Differences