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Unit 1st
Nature of Management
1. Universality: Management is an universal phenomenon in the sense that it is common
and essential element in all enterprises. Managers perform more or less the same functions
irrespective of their position or nature of the organization. The basic principles of
management can be applied in all managerial situations regardless of the size, nature and
location of the organization. Universality of managerial tasks and principles also implies that
managerial skills are transferable and managers can be trained and developed.
2. Purposeful: Management is always aimed at achieving organizational goals and
purposes. The success of management is measured by the extent to which the desiredobjectives are attained. In both economic and non-economic enterprises, the tasks of
management are directed towards effectiveness (i.e., attainment of organizational goals)
and efficiency (i.e., goal attainment with economy of resource use).
3. Social process: Management essentially involves managing people organized in work
groups. It includes retaining, Developing and motivating people at work, as well as taking
care of their satisfaction as social beings. All these interpersonal relations and interactions
makes the management as asocial process.
4. Coordinating force: Management coordinates the efforts of organization membersthrough orderly arrangement of inter-related activities so as to avoid duplication and
overlapping. Management reconciles the individual goals with the organizational goals and
integrates human and physical resources.
5. Intangible: Management is intangible. It is an unseen force. Its presence can be felt
everywhere by the results of its effort which comes in the form of orderliness, adequate
work output, satisfactory working climate, employees satisfaction etc.
6. Continuous process: Management is a dynamic and an on-going process. The cycle of
management continues to operate so long as there is organised action for the achievement
of group goals.
7. Composite process: Functions of management cannot be undertaken sequentially,
independent of each other. Management is a composite process made up of individual
ingredients. All the functions are performed by involving several ingredients. Therefore, the
whole process is integrative and performed in a network fashion.
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8. Creative organ: Management creates energetics effect by producing results which are
more than the sum of individual efforts of the group members. It provides sequence to
operations, matches jobs to goals, connects work to physical and financial resources. It
provides creative ideas, new imaginations and visions to group efforts. It is not a passive
force adopting to external environment but a dynamic life giving element in every
organization.
The Six Different Types of Managers and
How to Work with Their Styles Posted byResources for Humanson December 12, 2004 at 3:00am
View BlogOver a period of severalyears we have researched the different types of managers in Corporate America,and we have identified the following six types of bosses and their leadershipstyles. Read through the descriptions below to find your own manager and discover the beststrategies for dealing with his/her particular management style. We encourageyou to read through all the types, as it is most likely that your boss will be heavily identifiedwith one type, but may have some characteristics and influences of the others.
The Control Freak: This person needs to have everything that is going
on in the palm of her/his hand. She doesnt like subordinates making anydecisions, no matter how small or innocuous, without first consulting his
opinion. Control Freaks will also tend to hoard information. They mayassign you to work on a task, but then not tell you everything you need to
know to complete the task. You could spend hours working on the taskonly to find out that half the information you needed was sitting on your
boss desk and that he already knew it.
Things a Control Freak would never dream of doing:
Running into you in the hall and not asking about the status of a
project Let you enjoy your lunch in peace without interrupting to get the latest
update on what you are working on Allowing you to make a decision without being involved
Coaching you on handling a problem independently Delegating responsibilityHow to get along with a Control Freak
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Control Freaks need constant information. The best way to deal with aControl Freak is to status report them to death.This can be a time-
consuming pain, but continuously keeping him in the loop is one of thesurest ways to keep him off your back. For example, if you are working on
a presentation for a Control Freak and you decide to change the
background color to better match your corporate color scheme, send himan e-mail just to let him know before sending him the updatedpresentation. Another way to keep yourself sane while working with a
Control Freak is to ask lots of questions about assignments or projects he
may give you. Control Freaks use information as power. As long as he hasthe information, he has the power. As discussed above, Control Freaks
have been known to withhold information that was critical to the successof a project. Asking questions will help you to get a better feel for what he
knows. Keep in mind that Control Freaks do not withhold information tomake you fail. They do it because it assures them that you will return to
them for more information/ assistance, etc. When you return it givesthem a sense of importance, being needed, and most importantly, still
being in control.Unfortunately, Control Freaks do not trust anyone easily. They tend to live
in fear of what if. For example, What if my boss asks me a questionand I dont know the answer? He might think Im incompetent and so
forth. So they use manipulative tactics to keep others pandering to themand to ensure that they will be involved in everything that is going on in
their department. The trick to keeping your own sanity is to surrender to
the knowledge that you cant change your boss. However, delivering whatthey want and gaining their confidence and trust are critical for your
success while working with them. Give him his status reports daily, evenhourly if thats what it takes. Send him drafts of your emails and memos.Know that it will take twice as long to complete projects because you willhave to wait in line with everyone else to have him review your work.
Therefore, keep several projects going concurrently so you can switchback and forth between them while you are waiting to hear back on other
projects.
The Autocrat: This manager has one objective, his own. He does not care about hisemployees, and nothing anyone ever does is good enough to satisfy him. He isimpossible to get along with and is convinced that he is the only competent person
working in the company.Things an Autocrat would never dream of doing: Ask how you think a problem should be solved Admit to making a mistake Tell you what a great job you did
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Tell you how much he appreciates your efforts Empower you to make appropriate decisions at your levelHow to get along with an Autocrat:
Autocrats are tough, no doubt about it. They typically have one objective. If you can getthem to share that objective with you, it will make your job that much easier, because
what you want to do is make their objective your objective. For example, if your boss
objective is to be promoted to vice president, then you need to do everything in yourpower to help him achieve that objective. You might even be promoted along with him.If not, at least you will have made your life easier while coping with him or her. While
there is a lot out of your direct control, such as what your boss boss thinks of him, you
can demonstrate to your boss that you are a team player (and on his team), and as hestarts to see you working for his benefit, he will hopefully begin to gain some confidence
and respect in you. Just dont expect him to verbally express as much. You will knowthat your plan is working when he makes you his go to person with any problem that
arises.Autocrats and Control Freaks have a lot in common, but the difference is that Autocratsare usually pretty clear about what they want. Control Freaks are less definate aboutwhat they want, so they try to control everything in order to keep their options open if
they need to change direction at a later date. That being said, there are many tactics
that will work for both, such as keeping them apprised of the status of your projects andclearing any decisions you may be making with them before moving ahead. One critical
difference between the two is that an Autocrat will respect you if you take a clear
position on a problem or situation. Even if the Autocrat does not agree with you, theywill typically recognize you for your position. However, if you take a position but are notclear or are unsure about yourself look out. The Autocrat will smell your insecurity and
crush you for it. Control Freaks, on the other hand, will not appreciate you having your
own opinions, unless, of course, it is completely in line with his or hers.
The Blame Fixer: This type of boss makes it his/her job to make everyone else
responsible for fixing his/her problems. He/she takes no responsibility for his ownemployees, department, or results. He/she is however, the first to take credit forsomething which went well.Things a Blame Fixer would never dream of doing: Standing up at a meeting and accepting full responsibility for a problem Accepting responsibility for the mistake of one of his/her employees Actually getting something accomplished Creating an environment of creativity and openness on his team Sharing the credit with his team on a successful projectHow to get along with a Blame FixerBlame Fixers are great at going around an organization and finding all the problems in
everyone elses job, department, team, project, etc. The problem is that all they do ispoint out the problems and then wipe their hands of any responsibility to fix them. There
is a Dilbert cartoon that shows Dilbert, his boss and co-workers sitting around a tablehaving a meeting. Every time one of the characters mentions an issue, Wally pipes upand says, Someone should fix that problem or Someone should do something aboutthat. Wally is a Blame Fixer.Blame Fixers will also be the first to point out any potential problems with an idea
someone has. Nothing will ever work because any potential solution has problems thatthe Blame Fixer will say are insurmountable.The important thing to remember is that fixing blame and responsibility does not ever fix
the problem. It is easy to get sidetracked by a blame fixer because we all want to take
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pride in our work and we get offended when someone tries to blame us for somethingthat went wrong. Everyone makes mistakes and no one is perfect. The Blame Fixers
strategy is to get ahead by making everyone else look bad. But the strategy never really
works, and the people who get ahead are the ones who actually solve the problems andget the team behind them. So in a situation like this, try fix the problem, not the
accusation.
While it isnt exactly fun to have a Blame Fixer for a boss, we suggest that you do. Makean effort to document everything that occurs between you and your boss, particularly onprojects, task, assignments and goals. This way, if your boss screws up his work, you
will have your own alibi. Be aware than in the event of an extreme blow up, he or she
will try to evade accountability, and may try to blame you. However, if you havedocumented what you were told to do and how to do it, you will be more likely to come
through unscathed.
The Soft Heart: When you first meet this person you will at first think that you havejust met the sweetest, most wonderful boss in the world. You will initially get the warm
fuzzies and youll believe that its going to be a great job. Do not be fooled. This person
is actually spineless. They will tell you exactly what you want to hear, then turn aroundand do the exact opposite. He or she will leave you hanging out to dry and will be
anything but supportive.Things a Soft Heart would never dream of doing Giving you honest and direct feedback Being up front and open with you Consistently aligning their words and actions Being sincere Openly vacillate about a decision How to get along with a Soft HeartHow to get along with a Soft HeartSoft Hearts are generally good people, they usually just dont have the intestinal
fortitude to be a manager, or they have just been promoted to the position. Being amanger takes guts to tell people what they need to hear, regardless of whether or notthe employee likes it. Soft Hearts want their employees to like them, so they try to act
nice and supportive. Unfortunately, it is impossible to be a good manager and not piss
your employees off every once in a while. Good managers have to make tough decisions,like asking employees to work overtime or to change their behavior. The best way todeal with a Soft Heart is to let them know up front that you would rather they be frank
with you instead of telling you what they think you want to hear. Every once in while,challenge his or her praises on you. Ask why he really believes everything is fine andbeautiful. Share your concerns and your perception of reality. Demand that when
receiving feedback, he or she also gives you your areas for development and how you
can overcome them. Do take note that once you have asked for your boss to be up frontand honest with you, you will then need to back up your request by listening to what
they have to say and respecting it. If you fail to back up your words by not listening toyour boss, you will destroy any chance of having the Soft Heart be honest with you inthe future.
The Politician: This person is charismatic and is always the life of the party. Always fun
to be around, the Politican always has something positive to say. The problem is thatthere is rarely any truth or substance behind it. This person has no real competence,
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they got to where they are by schmoozing the right people. Your companysorganizational culture and values weigh heavily on whether these type of individuals can
flourish and thrive, but be assured that you will always find one of this kind at any
employer. Politicians depend on individuals who are competent to make them look good,then turn on them and make them a scapegoat when the employee gets tired of being
used.
Things a Politician would never dream of doing: Actually being competent at their job Telling the whole truth Having achievement orientation on their own Working their way up the corporate ladder Not blaming a problem on a disgruntled employeeHow to Get Along with a Politician:Politicians are naturally gregarious people. When Bill Clinton went on the Arsenio Hall
Show and played the saxophone, everyone loved him for it. Bill Clintons ability to be the
President had nothing to do with playing the saxophone. However, It did make for greatentertainment, just like his presidency.Politicians need someone to make them look good. Politicians may never admit to their
weak spots but they do know the value of covering their ass with someone who makes
them look the part. You need to be that person. The Politician will recognize you for itand take you with them as they get promoted and move through an organization.The best part about working for a politician is that they know everyone, as well as
knowing how to talk to them. Use this opportunity for networking potential. Since youwill be the Politicians right hand man, you will get the chance to meet everyone he/shemeets. Get their business cards and get to know them yourself. This network will be
invaluable to you in the event your relationship with the politician sours. The worst part
about working for a Politician is that you will never really get the full spotlight for youraccomplishments. The Politician will always be center stage. And if he/she does share
the spotlight with you, believe us when we tell you that they will make sure you know
that its his/her spotlight and that you are only there because they allowed it. Once youget tired of being the brains in the Politicians organization, put that network to use and
find another job or boss within your current company.
The Team-Builder: This is the kind of manager we all want to work for. They arecompetent at what they do, they know how to be open, and they solicit ideas andcreativity from their employees. They are a pleasure to work with. They know how to
make the tough decisions, but can do it in a way that is respectful and professional to allinvolved.Things a Team-Builder would never Dream of Doing Blocking a subordinates promotion/transfer Ignoring what an employee had to say Not keeping his word on a promise Telling a lie or withholding the truth Being disrespectful to an employee Taking credit for something one of his team members did How to get along with a Team-Builder
Team-Builders are truly the best kind of manager to work for. They know that their
success is your success and vice versa. They give you the tools you need to succeed andenough rope to hang yourself if you want to. However they will also be there to catch
you when you fall. Team-Builders will coach you while letting you grow at your own
pace. The best way to work with a Team Builder is to be open with them. Dont hold
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anything back. Tell them what you want and what you think. Dont be afraid to shareyour ideas and creativity. They may not always agree with you, but know that they will
respect any idea you bring to the table. Ask them for help when you need it. Dont
expect them to fix your problems for you, but know that they will be there to help youthink through problems and provide you with additional resources so that you can solve
them. Be aware that Team Builders delegate and empower their team members, and in
exchange they expect commitment and involvement. Like in a football team, they willmake sure that a player who isnt doing his/her part will be addressed. Make sure youunderstand your role in the team and know what is expected of you. You need to work
well with both, if you only focus on your boss and not the team, this type of behavior will
bite you back sooner rather than later.
Why Organizations Need Managers Who Can Both Manage and
Lead
Good management and leadership are critical for organizations to function and thrive.
When organizations are well managed, they operate effectively and efficiently. They
have clear plans, organized structures, systems, and processes. Staff are able to carry
out activities efficiently and monitor and evaluate results. When organizations are
well led, they adapt to changes in the environment and develop cultures that inspire
commitment and innovation. Both good management and good leadership are
necessary to sustain organizational performance.
When an organization is managed well, managers effectively perform four essential
management functions: planning, organizing, implementing, and monitoring and
evaluating. They work with their staff to:
plan how to achieve a set of intentional results in a work group or organization;
organizeresources, structures, and processes over time to facilitate operations
and actions;
implement plans by carrying out activities and expediting efforts so that
everyone can contribute toward results;
monitor and evaluate actions and results against plans and use feedback from
the evaluation to adjust plans, structures, and processes for future results.
Good management does not, however, ensure results in all circumstances. When
conditions are variable, intricate, and interconnected, managers must do more than
apply traditional management functions to a consistent process of delivering services.
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They must also lead their staff through a change process that enables them to face
strategic challenges and focus their energy on achieving sustainable results that will
satisfy clients. Managers need to support their staff in questioning assumptions,
altering beliefs, and changing ways of working to overcome obstacles that would
otherwise undermine the quality of the services their organization provides to clients.
Unit 2nd
The Classical School of ManagementThe classical school is the oldest formal school of management thought. Its roots pre-date
the twentieth century. The classical school of thought generally concerns ways to manage
work and organizations more efficiently. Three areas of study that can be grouped under theclassical school are scientific management, administrative management, and bureaucraticmanagement.
The classical school (of management) has sought to define the essence of management in
the form of universal fundamental functions. These, it was hoped, would form the cognitive
basis for a set of relevant skills to be acquired, by all would-be managers through formaleducation.
Body of the classical school's management thought was based on the belief that employees
have only economical and physical needs, and that social needs and need for job-satisfaction either don't exist or are unimportant. Accordingly, this school advocates high
specialization of labor, centralized decision making, and profit maximization. See alsobehavioral school of management, contingency school of management, quantitative schoolof management, and systems school of management.
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Weaknesses of the Classical Management Theoriesmanagement, classical management theories, weaknesses of classical managementtheories, administration, managers, managerial roles
Classical theories and the principles derived from them continue to be popular today withsome modifications. Many criticisms have been directed at the classicists. Several majorones are discussed here.
Reliance on experienceMany of the writers in the classical school of management developed their ideas on the
basis of their experiences as managers or consultants with only certain types of
organizations. For instance, Taylor's and Fayol's work came primarily from their experiences
with large manufacturing firms that were experiencing stable environments. It may beunwise to generalize from those situations to othersespecially to young, high-technologyfirms of today that are confronted daily with changes in their competitors' products.
Untested assumptionsMany of the assumptions made by classical writers were based not on scientific tests but on
value judgments that expressed what they believed to be proper life-styles, moral codes,and attitudes toward success. For instance, the classical approaches seem to view the life of
a worker as beginning and ending at the plant door. Their basic assumption is that workersare primarily motivated by money and that they work only for more money. They also
assume that productivity is the best measure of how well a firm is performing. These
assumptions fail to recognize that employees may have wants and needs unrelated to theworkplace or may view their jobs only as a necessary evil.
Failure ot consider the informal organizationIn their stress on formal relationships in the organization, classical approaches tend to
ignore informal relations as characterized by social interchange among workers, theemergence of group leaders apart from those specified by the formal organization, and soforth. When such things are not considered, it is likely that many important factors affecting
satisfaction and performance, such as letting employees participate in decision making andtask planning, will never be explored or tried.
Unintended consequencesClassical approaches aim at achieving high productivity, at making behaviors predictable,
and at achieving fairness among workers and between managers and workers; yet they fail
to recognize that several unintended consequences can occur in practice. For instance, aheavy emphasis on rules and regulations may cause people to obey rules blindly without
remembering their original intent. Oftentimes, since rules establish a minimum level ofperformance expected of employees, a minimum level is all they achieve. Perhaps muchmore could be achieved if the rules were not so explicit.
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Human machineryClassical theories leave the impression that the organization is a machine and that workers
are simply parts to be fitted into the machine to make it run efficiently. Thus, many of the
principles are concerned first with making the organization efficient, with the assumptionthat workers will conform to the work setting if the financial incentives are agreeable.
Static conditions
Organizations are influenced by external conditions that often fluctuate over time, yetclassical management, theory presents an image of an organization that is not shaped byexternal influences.
Since many of these criticisms of the classical school are harsh, several points need to bemade in defense of writers during this period. First, the work force was not highly educatedor trained to perform many of the jobs that existed at the time. It was not common for
workers to think in terms of what "career" they were going to pursue. Rather, for many, theopportunity to obtain a secure job and a level of wages to provide for their families was allthey demanded from the work setting.
Second, much of the writing took place when technology was undergoing a rapidtransformation, particularly in the area of manufacturing. Indeed, for many writers,technology was the driving force behind organizational and social change. Thus, their focuswas on finding ways to increase efficiency. It was assumed that all humankind could do was
to adapt to the rapidly changing conditions.
Finally, very little had been done previously in terms of generating a coherent and usefulbody of management theory. Many of the classical theorists were writing from scratch,
obliged for the most part to rely on their own experience and observations. Thus their focusis understandably narrow.
The strength and weakness of Classical School?As Oliver Wendel Holmes quoted, When we want to know what is going on today or want tomake sure what will happen tomorrow, I will look back the past.
We can find out the process of development from this sphere to nowadays in a deep-goingway by reviewing organizational behavior history which has gone through Classical School of
Management, Behavioral School of Management and Human Relations School ofManagement.
Organizations can be viewed as two or more people coordinate and combine in use of their
knowledge as well as technique for the purpose of accomplishing common objectives thattransform resources into goods and service which are needed by consumers.
Organizational behavior refers to the systematic study that primarily access influence of
individuals, groups and structure on interior organizational conducts in order thatorganizational effectiveness can be improved and perceived.
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The Classical School of Management was effectively the first coherent set of theoretical
perspectives about organization and management coveringScientificManagement,Administrative Managementand Structuralized Management.
As we know,F.W.Taylor,Henri Fayol, andMax Weberare outstanding contributors of
Classical School of management thought who made great contribution and laid a foundation
for contemporary management.
F W TaylorTayloris the founding father of Classical School of management thought, who advocates
scientific management and attached importance to heighten effectiveness of workersthrough greatly improving workers productivity leading to maximized benefit of workersand employers caused due to scientific management.
His works named The Principles of Scientific Management was published in the early1900s. In the initial stage, Taylor was being affected by some moral principles; therefore,he had a profound respect for the following principles:
Brought up scientific working methods for basic formative section of each staffs job. Scientifically selected, trained, fostered and cultivated the workers. Cooperated with staffs enthusiastically so that ensuring jobs done are suitable to
scientific theory which has been set forth. Basically actualized equal division of labor between jobs and responsibilities of the
managements and the workers. All work processes should be systematically analyzed and broke down into
specialized discrete tasks. Payment depended on piecework basis which taken as an incentive to maximize
productivity and produce high wages for the workers.
At the same time, his insufficient understanding towards organizational behavior gave riseto the following situations:
Changed workers role into that was required to strictly abide by methods and
procedures of affairs on which they had no discretions. Fragmentation of work due to its emphasis on the analysis and organization of
individual tasks and operation, His thought over payment that was mainly reliance on output performance rather
than giving remuneration to workers in accordance with overall performance of the
workers. His inclination to consider planning and control of workforce activities which wereonly in the managements hands rather than allowing staffs to involve.
Every job which was measured, timed, and rated. Occurrence of boredom stemmed from repetitive jobs and tight management control. Poor understanding between grass-roots workers and managements.
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Henri FayolFayolis the representative of Classical School of management thought. Administrative
management is the managerial mode he stood for where it applied essential points toadministrative management principles of controllers.
Fayol's famous works, Industrial management and common management ,divided
management into five segments. Therefore, it denoted controllers were to carry out the fivesegments, i.e. to forecast , to organize, to command, to coordinate, to control. By now,these five segments are still the functional basis and basic process by which controllersresearch into management.
According to his thought over management, therefore, 14 principles of organization cameinto being.
14 universal principals of organization
Division of work. Professionally increased output through improving effectiveness of
the workers. Authority.The managers were required to be good at giving commands as authority
conferred them right to do so but responsibility were accompanying authority. Discipline. The workers must adhere to and respect organizational rules and
regulations. The managers and workers must have clear understanding towards
organizational rules and regulations. Organization must enforce effective sanctionupon those workers who broke organizational rules and regulations.
Interests of the individual should subordinate to interests of the collective. Interestsof Any individuals or groups should not exceed organizational interest as the
collective. Remuneration. It was required to improve the workersjobs and offer equal wages
treatment. Concentration of power. It refers the level of the workers involvement in decision-
making. Scalar chain. The establishment of a lineof authority by which communication
must comply with the chain by levels of authority from the seniors to the
subordinate. Order. The workers and substance should be on the corresponding position at
appropriate time. Equality. Managers ought to keep kindness and equality for the workers. Stability of employees terms of office as high mobile labor would lead to low
effectiveness and efficiency. Initiative. When being allowed to participate in formulation and enforcement of
planning, employees would complete works with their great efforts. Stability of employees terms of office. High mobile labor would lead to low
effectiveness. The managers should formulate plans of human affairs in order as tofind the right substitute as positions appeared vacant.
Espirt de corps. It publicized that esprit de corps would be established and unifiedharmoniously.
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There is no doubt thatFayoldid have misunderstanding towards the organizational
behavior. This can be discerned from which he hypothesized universal principles that were
applicable to all organizational situations; only acknowledged the formal organization andfocused on the structure of organizations; took management as critical paternalistic; hisideas was stiff to desires and needs of both individuals and groups; his rational and
deterministic approach lacked suitability towards structures and behaviors of people as
individuals and groups; the 14 universal principles set forth by him were not will fit into anorganic organization;
Hawthorne effectThe Hawthorne effect is a form ofreactivitywhereby subjects improve or modify an aspect of
their behavior being experimentally measured simply in response to the fact that they are being
studied,[1][2]not in response to any particular experimental manipulation.
The term was coined in 1950 by Henry A. Landsberger[3]when analysing older experiments
from 1927-1932 at theHawthorne Works(aWestern Electricfactory outside Chicago).
Hawthorne Works had commissioned a study to see if its workers would become more
productive in higher or lower levels of light. The workers' productivity seemed to improve when
changes were made and slumped when the study was concluded. It was suggested that the
productivity gain occurred due to the impact of the motivational effect on the workers as a result
of the interest being shown in them. Although illumination research of workplace lighting formed
the basis of the Hawthorne effect, other changes such as maintaining clean work stations,
clearing floors of obstacles, and even relocating workstations resulted in increased productivity
for short periods. Thus the term is used to identify any type of short-lived increase in
productivity.[3][4][5]
[edit]Relay assembly experiments
In one of the studies, experimenters chose two women as test subjects and asked them to
choose four other workers to join the test group. Together the women worked in a separate
room over the course of five years (19271932) assembling telephone relays.
Output was measured mechanically by counting how many finished relays each worker dropped
down a chute. This measuring began in secret two weeks before moving the women to an
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experiment room and continued throughout the study. In the experiment room, they had a
supervisor who discussed changes with them and at times used their suggestions. Then the
researchers spent five years measuring how different variables impacted the group's and
individuals' productivity. Some of the variables were:
giving two 5-minute breaks (after a discussion with them on the best length of time), and
then changing to two 10-minute breaks (not their preference). Productivity increased, but
when they received six 5-minute rests, they disliked it and reduced output.
providing food during the breaks
shortening the day by 30 minutes (output went up); shortening it more (output per hour went
up, but overall output decreased); returning to the first condition (where output peaked).
Changing a variable usually increased productivity, even if the variable was just a change back
to the original condition. However it is said that this is the natural process of the human being toadapt to the environment without knowing the objective of the experiment occurring.
Researchers concluded that the workers worked harder because they thought that they were
being monitored individually.
Researchers hypothesized that choosing one's own coworkers, working as a group, being
treated as special (as evidenced by working in a separate room), and having a sympathetic
supervisor were the real reasons for the productivity increase. One interpretation, mainly due
toElton Mayo,[citation needed] was that "the six individuals became a team and the team gave itself
wholeheartedly and spontaneously to cooperation in the experiment." (There was a secondrelay assembly test room study whose results were not as significant as the first experiment.)
Bank wiring room experiments
The purpose of the next study was to find out how payment incentives would affect productivity.
The surprising result was that productivity actually decreased. Workers apparently had become
suspicious that their productivity may have been boosted to justify firing some of the workers
later on.[11]The study was conducted byElton MayoandW. Lloyd Warnerbetween 1931 and
1932 on a group of fourteen men who put together telephone switching equipment. The
researchers found that although the workers were paid according to individual productivity,
productivity decreased because the men were afraid that the company would lower the base
rate. Detailed observation between the men revealed the existence of informal groups or
"cliques" within the formal groups. These cliques developed informal rules of behavior as well as
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mechanisms to enforce them. The cliques served to control group members and to manage
bosses; when bosses asked questions, clique members gave the same responses, even if they
were untrue. These results show that workers were more responsive to the social force of their
peer groups than to the control and incentives of management.
behavioral school of management
Definition
Body ofmanagement thought based on the belief that use
ofpsychological techniques in motivating employees worksbetter
than rules and regulations proposed by classical school of management. See
also contingency school of management, quantitative school of management,
andsystems school ofmanagement.
Unit 4th
Planning, Organizing, Leading, and Controlling
A managers primary challenge is to solve problems creatively. While
drawing from a variety of academic disciplines, and to help managers
respond to the challenge of creative problem solving, principles of
management have long been categorized into the four major functions of
planning, organizing, leading, and controlling (the P-O-L-C framework). The
four functions, summarized in the P-O-L-C figure, are actually highly
integrated when carried out in the day-to-day realities of running an
organization. Therefore, you should not get caught up in trying to analyze
and understand a complete, clear rationale for categorizing skills and
practices that compose the whole of the P-O-L-C framework.
It is important to note that this framework is not without criticism.
Specifically, these criticisms stem from the observation that the P-O-L-C
functions might be ideal but that they do not accurately depict the day-to-
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day actions of actual managers.[5] The typical day in the life of a manager at
any level can be fragmented and hectic, with the constant threat of having
priorities dictated by the law of the trivial many and important few (i.e., the
80/20 rule). However, the general conclusion seems to be that the P-O-L-C
functions of management still provide a very useful way of classifying the
activities managers engage in as they attempt to achieve organizationalgoals.[6]
Planning
Planning is the function of management that involves setting objectives and
determining a course of action for achieving those objectives. Planning
requires that managers be aware of environmental conditions facing theirorganization and forecast future conditions. It also requires that managers
be good decision makers.
Planning is a process consisting of several steps. The process begins
withenvironmental scanning which simply means that planners must be
aware of the critical contingencies facing their organization in terms of
economic conditions, their competitors, and their customers. Planners must
then attempt to forecast future conditions. These forecasts form the basis
for planning.
Planners must establish objectives, which are statements of what needs to
be achieved and when. Planners must then identify alternative courses of
action for achieving objectives. After evaluating the various alternatives,
planners must make decisions about the best courses of action for achieving
objectives. They must then formulate necessary steps and ensure effective
implementation of plans. Finally, planners must constantly evaluate the
success of their plans and take corrective action when necessary.
There are many different types of plans and planning.
Strategic planning involves analyzing competitive opportunities andthreats, as well as the strengths and weaknesses of the organization, and
then determining how to position the organization to compete effectively in
their environment. Strategic planning has a long time frame, often three
years or more. Strategic planning generally includes the entire organization
and includes formulation of objectives. Strategic planning is often based on
the organizations mission, which is its fundamental reason for existence. An
organizations top management most often conducts strategic planning.
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Tactical planning is intermediate-range (one to three years) planning that
is designed to develop relatively concrete and specific means to implement
the strategic plan. Middle-level managers often engage in tactical planning.
Operational planning generally assumes the existence of organization-
wide or subunit goals and objectives and specifies ways to achieve them.Operational planning is short-range (less than a year) planning that is
designed to develop specific action steps that support the strategic and
tactical plans.
Organizing
Organizing is the function of management that involves developing an
organizational structure and allocating human resources to ensure the
accomplishment of objectives. The structure of the organization is the
framework within which effort is coordinated. The structure is usually
represented by an organization chart, which provides a graphic
representation of the chain of command within an organization. Decisions
made about the structure of an organization are generally referred to
as organizational design decisions.
Organizing also involves the design of individual jobs within the organization.
Decisions must be made about the duties and responsibilities of individual
jobs, as well as the manner in which the duties should be carried out.
Decisions made about the nature of jobs within the organization are
generally called job design decisions.
Organizing at the level of the organization involves deciding how best to
departmentalize, or cluster, jobs into departments to coordinate effort
effectively. There are many different ways to departmentalize, including
organizing by function, product, geography, or customer. Many larger
organizations use multiple methods of departmentalization.
Organizing at the level of a particular job involves how best to design
individual jobs to most effectively use human resources. Traditionally,job
design was based on principles of division of labor and specialization, which
assumed that the more narrow the job content, the more proficient the
individual performing the job could become. However, experience has shown
that it is possible for jobs to become too narrow and specialized. For
example, how would you like to screw lids on jars one day after another, as
you might have done many decades ago if you worked in company that
made and sold jellies and jams? When this happens, negative outcomes
result, including decreased job satisfaction and organizational commitment,
increased absenteeism, and turnover.
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Recently, many organizations have attempted to strike a balance between
the need for worker specialization and the need for workers to have jobs
that entail variety and autonomy. Many jobs are now designed based on
such principles as empowerment,job enrichmentand teamwork. For
example, HUI Manufacturing, a custom sheet metal fabricator, has done
away with traditional departments to focus on listening and responding tocustomer needs. From company-wide meetings to team huddles, HUI
employees know and understand their customers and how HUI might service
them best.[7]
Leading
Leading involves the social and informal sources of influence that you use to
inspire action taken by others. If managers are effective leaders, their
subordinates will be enthusiastic about exerting effort to attain
organizational objectives.
The behavioral sciences have made many contributions to understanding
this function of management. Personality research and studies of job
attitudes provide important information as to how managers can most
effectively lead subordinates. For example, this research tells us that to
become effective at leading, managers must first understand their
subordinates personalities, values, attitudes, and emotions.
Studies of motivation and motivation theory provide important information
about the ways in which workers can be energized to put forth productive
effort. Studies of communication provide direction as to how managers caneffectively and persuasively communicate. Studies of leadership and
leadership style provide information regarding questions, such as, What
makes a manager a good leader? and In what situations are certain
leadership styles most appropriate and effect.
Controlling
Controlling involves ensuring that performance does not deviate from
standards. Controlling consists of three steps, which include (1) establishingperformance standards, (2) comparing actual performance against
standards, and (3) taking corrective action when necessary. Performance
standards are often stated in monetary terms such as revenue, costs, or
profits but may also be stated in other terms, such as units produced,
number of defective products, or levels of quality or customer service.
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Unit 8th
Family business.
family business is abusinessin which one or more members of one or morefamilieshave a
significant ownership interest and significant commitments toward the business overallwell-
being.
In some countries, many of the largest publicly listed firms are family-owned. A firm is said to be
family-owned if a person is the controlling shareholder; that is, a person (rather than a state,
corporation, management trust, or mutual fund) can garner enough shares to assure at least
20% of the voting rights and the highest percentage of voting rights in comparison to other
shareholders.[1]
[edit]DefinitionIn a family business, one or more members within the management team are drawn from the
owning family. Family businesses can have owners who are not family members. Family
businesses may also be managed by individuals who are not members of the family. However,
family members are often involved in the operations of their family business in some capacity
and, in smaller companies, usually one or more family members are the senior officers and
managers. Many businesses that are nowpublic companieswere family businesses.
Family participation as managers and/or owners of a business can strengthen the company
because family members are often loyal and dedicated to the family enterprise. However, family
participation as managers and/or owners of a business can present unique problems because
the dynamics of the family system and the dynamics of the business systems are often not in
balance.
[edit]Problems
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The interests of a family member may not be aligned with the interest of the business. For
example, if a family member wants to be president but is not as competent as a non-family
member, the personal interest of the family member and the well being of the business may be
in conflict.
Or, the interests of the entire family may not be balanced with the interests of their business. For
example, if a family needs its business to distribute funds for living expenses and retirement but
the business requires those to stay competitive, the interests of the entire family and the
business are not aligned.
Finally, the interest of one family member may not be aligned with another family member. For
example, a family member who is an owner may want to sell the business to maximize their
return, but a family member who is an owner and also a manager may want to keep the
company because it represents their career and they want their children to have the opportunity
to work in the business.
[edit]Structuring
When the family business is basically owned and operated by one person, that person usually
does the necessary balancing automatically. For example, the founder may decide the business
needs to build a new plant and take less money out of the business for a period so the business
can accumulate cash needed to expand. In making this decision, the founder is balancing his
personal interests (taking cash out) with the needs of the business (expansion).
Most first generation owner/managers make the majority of the decisions. When the second
generation (sibling partnership) is in control, the decision making becomes more consultative.
When the larger third generation (cousin consortium) is in control, the decision making becomes
more consensual, the family members often take a vote. In this manner, the decision making
throughout generations becomes more rational (Alderson, K., 2011).
[edit]Scenarios
But balancing competing interests often become difficult in three situations. The first situation is
when the founder wants to change the nature of their involvement in the business. Usually the
founder begins this transition by involving others to manage the business. Involving someone
else to manage the company requires the founder to be more conscious and formal in balancing
personal interests with the interests of the business because they can no longer do this
alignment automaticallysomeone else is involved.
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The second situation is when more than one person owns the business and no single person
has the power and support of the other owners to determine collective interests. For example, if
a founder intends to transfer ownership in the family business to their four children, two of whom
work in the business, how do they balance these unequal differences? The four siblings need a
system to do this themselves when the founder is no longer involved.
The third situation is when there are multiple owners and some or all of the owners are not in
management. Given the situation above, there is a higher chance that the interests of the two
sons not employed in the family business may be different than the interests of the two sons
who are employed in the business. Their potential for differences does not mean that the
interests cannot be aligned, it just means that there is a greater need for the four owners to
have a system in place that differences can be identified and balanced.
These three scenarios can be mitigated by following the guidelines of TMP, or "The Maria
Principle"
[edit]Succession
There appear to be two main factors affecting the development of family business and
succession process: the size of the family, in relative terms the volume of business, and
suitability to lead the organization, in terms of managerial ability, technical and commitment
(Arieu, 2010). Arieu proposed a model in order to classify family firms into four scenarios:
political, openness, foreign management and natural succession (SeeSuccession planning).
One of the largest trends in family business is the amount of women who are taking over their
family firms. In the past, succession was reserved for the first born son, then it moved on to any
male heir. Now, women account for approx. 11-12% of all family firm leaders, an increase of
close to 40% since 1996. Daughters are now considered to be one of the most underutilized
resources in family businesses. To encourage the next generation of women to be valuable
members of the business, potential female successors should be nurtured by assimilation into
the family firm, mentoring, sharing of important tacit knowledge and having positive role models
within the business (Alderson, 2011).
[edit]Success
Successfully balancing the differing interests of family members and/or the interests of one or
more family members on the one hand and the interests of the business on the other hand
require the people involved to have the competencies, character and commitment to do this
work.
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Family-owned companies present special challenges to those who run them. The reason? They
can be quirky, developing unique cultures and procedures as they grow and mature. That's fine,
as long as they continue to be managed by people who are steeped in the traditions, or at least
able to adapt to them.[2]
Often family members can benefit from involving more than one professional advisor, each
having the particular skill set needed by the family. Some of the skill sets that might be needed
include communication,conflict resolution, family systems, finance, legal, accounting,
insurance, investing, leadership development, management development, andstrategic
planning.[3]
Ownership in a family business will also show maturity of the business. If all the shares rest with
one individual, a family business is still in its infant stage, even if the revenue is strong .[4]
[edit]
Family Businesses Examples
Samsung
Trump Organization
Wal-Mart
Ford
Dillard's
Unit 10
Theory z
Theory Z is a name applied to three distinctly different psychological theories. One was developed
byAbraham H. Maslowin his paper Theory Zand the other isDr. William Ouchi'sso-called "Japanese
Management" style popularized during theAsian economic boomof the 1980s. The third was developed
byW. J. Reddinin Managerial Effectiveness (19 Situation guides) man:
Reason motivates him.
Interdependence is man's primary mode of discourse.
Interaction is man's social unit of importance.
"Objective" best and succinctly describes man's concept of man.
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McGregor's Theory Y in contrast toTheory X, which stated that workers inherently dislike and avoid work
and must be driven to it, andTheory Y, which stated that work is natural and can be a source of
satisfaction when aimed at higher order human psychological needs.
For Ouchi, Theory Z focused on increasing employee loyalty to the company by providing a job for life
with a strong focus on the well-being of the employee, both on and off the job. According toOuchi, Theory
Z management tends to promote stable employment, high productivity, and high employee morale and
satisfaction.
Ironically, "Japanese Management" and Theory Z itself were based on Dr.W. Edwards Deming's famous
"14 points". Deming, an American scholar whose management and motivation theories were rejected in
the United States, went on to help lay the foundation of Japanese organizational development during their
expansion in the world economy in the 1980s. Deming's theories are summarized in his two books, Out of
the Crisisand The New Economics, in which he spells out his "System of Profound Knowledge". He was
a frequent advisor to Japanese business and government leaders, and eventually became a revered
counselor. Deming was awarded theSecond Order of the Sacred Treasuresby the formerEmperor
Hirohito, and American businesses ultimately tried unsuccessfully to use his "Japanese" approach to
improve their competitive position.
Pre Theory Z
Abraham Maslow, a psychologist and the first theorist to develop a theory of motivation based
upon human needs produced a theory that had three assumptions. First, human needs are
never completely satisfied. Second, human behavior is purposeful and is motivated by need forsatisfaction. Third, these needs can be classified according to a hierarchical structure of
importance from the lowest to highest (Maslow, 1970).
1. Physiological need
2. Safety needs
3. Belongingness and love needs
4. The esteem needs self-confidence
5. The need for self-actualization the need to reach your full potential
Maslow's hierarchy of needstheory helps the manager to understand what motivates an
employee. By understanding what needs must be met in order for an employee to achieve the
highest-level of motivation, managers are then able to get the most out of production.Theory X,
Y and Z all play a role in how a company should manage successfully.Theory Xand Theory Y
were both written by Douglas McGregor, a social psychologist who is believed to be a key
element in the area of management theory. In McGregors book The Human Side of Enterprise
http://en.wikipedia.org/wiki/Theory_X_and_theory_Yhttp://en.wikipedia.org/wiki/Theory_X_and_theory_Yhttp://en.wikipedia.org/wiki/Theory_X_and_theory_Yhttp://en.wikipedia.org/wiki/Theory_X_and_theory_Yhttp://en.wikipedia.org/wiki/Theory_X_and_theory_Yhttp://en.wikipedia.org/wiki/Theory_X_and_theory_Yhttp://en.wikipedia.org/wiki/William_Ouchihttp://en.wikipedia.org/wiki/William_Ouchihttp://en.wikipedia.org/wiki/W._Edwards_Deminghttp://en.wikipedia.org/wiki/W._Edwards_Deminghttp://en.wikipedia.org/wiki/W._Edwards_Deminghttp://en.wikipedia.org/wiki/W._Edwards_Deming#Deming.27s_14_Pointshttp://en.wikipedia.org/wiki/W._Edwards_Deming#Deming.27s_14_Pointshttp://en.wikipedia.org/wiki/W._Edwards_Deming#Deming.27s_14_Pointshttp://en.wikipedia.org/wiki/Second_Order_of_the_Sacred_Treasureshttp://en.wikipedia.org/wiki/Second_Order_of_the_Sacred_Treasureshttp://en.wikipedia.org/wiki/Second_Order_of_the_Sacred_Treasureshttp://en.wikipedia.org/wiki/Emperor_Hirohitohttp://en.wikipedia.org/wiki/Emperor_Hirohitohttp://en.wikipedia.org/wiki/Emperor_Hirohitohttp://en.wikipedia.org/wiki/Emperor_Hirohitohttp://en.wikipedia.org/wiki/Abraham_Maslowhttp://en.wikipedia.org/wiki/Abraham_Maslowhttp://en.wikipedia.org/wiki/Maslow%27s_hierarchy_of_needshttp://en.wikipedia.org/wiki/Maslow%27s_hierarchy_of_needshttp://en.wikipedia.org/wiki/Theory_Xhttp://en.wikipedia.org/wiki/Theory_Xhttp://en.wikipedia.org/wiki/Theory_Xhttp://en.wikipedia.org/wiki/Theory_Xhttp://en.wikipedia.org/wiki/Theory_Xhttp://en.wikipedia.org/wiki/Theory_Xhttp://en.wikipedia.org/wiki/Theory_Xhttp://en.wikipedia.org/wiki/Theory_Xhttp://en.wikipedia.org/wiki/Maslow%27s_hierarchy_of_needshttp://en.wikipedia.org/wiki/Abraham_Maslowhttp://en.wikipedia.org/wiki/Emperor_Hirohitohttp://en.wikipedia.org/wiki/Emperor_Hirohitohttp://en.wikipedia.org/wiki/Second_Order_of_the_Sacred_Treasureshttp://en.wikipedia.org/wiki/W._Edwards_Deming#Deming.27s_14_Pointshttp://en.wikipedia.org/wiki/W._Edwards_Deminghttp://en.wikipedia.org/wiki/William_Ouchihttp://en.wikipedia.org/wiki/Theory_X_and_theory_Yhttp://en.wikipedia.org/wiki/Theory_X_and_theory_Y7/31/2019 Management Process Pati
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(1960), McGregor describes Theory X and Theory Y based upon Maslows hierarchy of needs,
where McGregor grouped the hierarchy into a lower order (Theory X) needs and a higher order
(Theory Y) needs. McGregor suggested that management could use either set of needs to
motivate employees, but better results could be gained by the use of Theory Y, rather than
Theory X (Heil, Bennis, & Stephens, 2000).
Implications of these types of theories for leaders in modernorganizations
As theorist through the past many years worked towards thE Human Relations Movement,
many other fields of expertise joined in to create a stronger force of knowledge and growth.
From Psychology that helps to explain changes in human behavior, to Sociology, where we
actually study people in their relationships with other human beings. Social Psychology was
created when the two concepts were blended so that we can focus on actual influences of
people on one another to Anthropology and Political Science. All of these pieces are a part of
the growth and success of human development in not only the success of work force
development but in human relationships in general.
With Theories X, Y, and Z implications for the modern organization include new challenges and
opportunities. As we learn from these theories and work to implement the ideas in them we
must be aware of the modern issues of working with people from different cultures and
overseeing movements of jobs to countries with low-cost labor. Also, we must embrace diversity
as the U.S. demographics change and understand that our new managers must recognize and
respond to the different culture changes that will surely ensue with their growing diverse working
population.
These theories have proven with many fortune 500 companies and others that when applied, do
improve quality and productivity and also help to strengthen company labor issues. In addition
to the changing work demographic, new problems and issues have risen since the X, Y and Z
theories were formed. Some issues include fewer skilled laborers, early retirements, and older
workers. Other opportunities that have been implied while companies use Theory Y and Z
include, an improvement of people skills, empowering their employees, stimulating change,
helping employees balance work with life conflicts, and improving ethical behavior.
Modern implications for companies using these theories have shown improvements in turnover
rates, productivity, effectiveness, efficiency, organizational behavior, and job satisfaction.
[edit]Conclusion
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Many assumptions are made in the work place, based on observations of the workers, and their
relationship with management. The types of tasks being performed, as well as the types of
employees which make up a particular organization can set the stage for the types of leadership
roles which will be assumed by managers (McGregor, 1960). Douglas McGregors Theory X
and Y, and William Ouchis Theory Z have all proven to be useful in the management field.
Many companies have successfully integrated similar economic and human principles in a
management style from Theorys Y and Z. Theorys Y and Z have both shown to be quite
successful framework for American companies. Theory X is not obsolete. Actually, Theory X is
still very prominent in the business world. Most managers however do not see themselves as
using this type of management style until given the opportunity to see how their employees
actually feel about the management style that is being used. Then will an effort be made to look
further into a different, possibly more successful style of managing.
Characteristics of the Theory Z
* Long-term employment and job security
* Collective responsibility* Implicit, informal control with explicit, formalized measures
* Collective decision-making
* Slow evaluation and promotion
* Moderately specialized careers* Concern for a total person, including their family
Theory Z
Theory Z is a form of management in which workers are involved in the work process on the
factory floor. Schedules, division of labor, work assignments, and other aspects of the laborprocess are given over to workers to do as they see best. Investment policies, wages, fringe
benefits and kind of product are not given over to workers to decide; only how best to do
that decided by top management.
Theory Z was developed by William Ouchi, in his book 1981 'Theory Z: How Americanmanagement can Meet the Japanese Challenge'. William Ouchi is professor of managementat UCLA, Los Angeles.
Theory Z is often referred to as the 'Japanese' management style. It's interesting that Ouchi
chose to name his model 'Theory Z', which tends to give the impression that it's a Mcgregoridea.
Theory Z essentially advocates a combination of all that's best about Mcgregor's XY theory
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and modern Japanese management, which places a large amount of freedom and trust with
workers, and assumes that workers have a strong loyalty and interest in team-working and
the organisation.
Theory Z also places more reliance on the attitude and responsibilities of the workers,
whereas Mcgregor's XY theory is mainly focused on management and motivation from the
manager's and organisation's perspective.
A comparison of U.S. and Japanese management styles and unit
effectiveness
This paper reports of a comparative study of American andJapanese management stylesin a
conceptual framework consisting of sixmanagerialdimensions: supervisory style, decision
making, communication pattern, control mechanism, interdepartmental relationships, and
paternalistic orientation.
* The findings indicate that U.S. and Japanese management styles differ significantly both inoverall management styles and in each of the six dimensions. They also show that
managerial perception of departmental (unit) effectiveness in each country differs
significantly. Additionally, the paper discusses the implications of research findings for
management theory and practice.
Key Results
* This study of American and Japanese management styles has identified the salient features
of both systems. To understand and learn from differentmanagement systems, its model
offers an effective tool for comparative studies; but for further research advances the present
model has to be expanded or alternative models have to be developed.
Comparative management has received a lot of attention over the last two decades as global
business has increased tremendously. Critics have claimed that different management styles
account for the level of international competitiveness of firms (Cosier and Dalton 1986,
Harber and Samson 1989, Peters and Waterman 1982). Because of the success of Japanese
companies in world markets, researchers have paid a special attention to the Japanese
management style (Hatvany and Pucik 1981, Koya and McMillan 1981). As a result, many
scholars compared the Japanese management system with the American and European
systems (Buckley and Mirza 1985, Ouchi 1981, Pascale and Athos 1981, Lincoln 1989).
In his popular book, Theory Z, Ouchi (1981) contrasts the principal characteristics of
American and Japanese management. He identifies seven major characteristics of Japanese
organizations: lifetime employment, slow evaluation and promotion of employees, non-
specialized career paths, implicit control mechanism, collective decision making, collective
responsibility, and wholistic concern (building a complete relationship between employer
and employee, including concerning with employee's non-work, personal and family,
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matters). He asserts that these characteristics are not true of a typical American organization.
In his later book, The M-Form Society, Ouchi (1984) elaborates on harmonious relationships
in Japan among financial institutions, industrial organizations, labor, and government to
develop industrial strategy. He argues that integrated planning at the societal level is
responsible for Japanese success. Although Ouchi's Theory Z has become very popular, hisresearch methodology has been criticized because of his small sample size and limited
interviews and observations.
On the other hand, Pascale and Athos (1981) used the "seven S" model developed by the
McKinsey Co., including the following seven components: superordinate goals, strategy,
structure, systems (administrative), staff (the concern for having the right kind of people),
skills (training and developing the people), and style (the manner in which management
handles subordinates, peers, and superiors). They argue that Japanese companies are more
effective because of their integration of these seven components and their concern for staff,
skills, and, most importantly, style. They call these factors "soft S's" which have to do withhuman element. Pascale and Athos stress the importance of managing people as key
resources and the importance of superordinate goals, sense of spirit, or company philosophy.
They draw conclusions from a limited number of case studies and their approach is less
theoretical and more didactic (Schein 1981).
From a human resources perspective, Hatvany and Pucik (1981) offer a model of Japanese
management in which they define three interrelated strategies: (a) to develop an internal
labor market securing a labor force of desired quality and to induce the employees to remain
in the firm; (b) to articulate company philosophy based on concern for employee needs and
cooperation and teamwork; and (c) to engage in intensive socialization. The authors assert
that these general strategies are translated into specific management techniques including job
rotation and slow promotion; evaluation of attributes and behavior; emphasis on work
groups; open communication; consultative decision making; and concern for employee.
Although they do not contrast American and Japanese managerial characteristics explicitly,
they organizational theories developed in the West in their analysis of Japanese attributes.
The authors also argue that the Japanese techniques can be adapted by firms in other
countries.
From an organizational learning perspective (the process of handling information), Sullivan
and Nonaka (1986) compare American and Japanese senior managers. They claim that
Japanese managers handle more information and learn more about their organizations. "This
greater commitment to an organizational learning perspective may be an important source of
differences in the strategy-formulating behavior of Japanese and American executives"
(1986, p. 128).
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Both Hatvany and Pucik and Sullivan and Nonaka have taken a specific perspective to justify
their models, which is a part of the management process, but does not embrace the total
functioning of a managerial system.
The explanations given above imply that although the comparative management studies on
the U.S. and Japan are abundant, a great deal of confusion or disagreement