Introduction to People,

Organisations and
Management

Approaches to
Organisation and
Management (1)
Hermione McIntosh
Learning outcomes
By the end of this session, you should be able to:

identify the early developments in management
and organisational behaviour

evaluate the relevance of these approaches to
the present-day management of organisations
Classical approach to management
Novatel Hotel - Darwin (NSW)
Manhattan skyline
Classical writers thought of organisations in
terms of purpose and formal structure.
Classical management theory
one, best organisation
structure which would suit all
organisations

based on key principles and
logic of efficiency
functional division of work
hierarchical relationships
bureaucratic forms of
control
narrow supervisory span
closely prescribed roles
(Huczynski and Buchanan, 2010)
Classical approach to management

emphasis was placed on:
the planning of work;
technical requirements of the organisation;
principles of management, and
the assumption of rational and logical behaviour.

a clear understanding of the purpose of the
organisation was essential to understand how
the organisation works and how its working
methods can be improved.
Henri Fayol (1841-1925) and classical
management theory
Six managerial activities (Fayol, 1949)
Controlling
Co-ordinating
Commanding
(directing and
motivating
Organising
Forecasting
Planning
Authoritarian
leadership
style
His is a normative and prescriptive model: it indicates how managers
should conduct their activity in order to achieve efficiency (Brooks, 2010,
p.159).
Fayols 14 principles of management
(Fayol, 1949 cited by Brooks, 2009, p. 160)
Primarily structural
principles
division of work
authority and responsibility
unity of command
unity of direction
centralisation
scalar chain
order
Other principles
discipline
subordination of individual
interest to general interest
remuneration of personnel
equity
stability of tenure of
personnel
initiative
esprit de corps

Common principles of the
classical approach to management
Principle of coordination the need for people
to act together with unity of action, and need for
discipline

The scalar principle the hierarchy of
organisation, the grading of duties and process of
delegation

Functional principle specialisation and
distinction between different kinds of duties.

Mooney & Reiley, 1947
Classical Approach
SCIENTIFIC MANAGEMENT
The use of the scientific method to define the ONE BEST WAY for
a job to be done.

F.W. Taylor (1856-1915) Principles of Scientific Management
1911

Systematic soldering the conscious and deliberate restriction of
output by operators (Buchanan and Huczynski, 2010, p. 423)

Taylors objectives were to achieve efficiency, predictability of job
performance and control

There is a best machine for each job, so there is a best working
method by which people should undertake their jobs

All job processes should be analysed into discrete tasks and via this
management find the one best way to perform each task

Taylorism

Taylors Five Principles of Scientific
Management (Buchanan and Huczynski, 2010
A clear division of tasks and
responsibilities between
management and workers
Use of scientific methods to
determine the best way of
doing a job
Scientific selection of the
person to do the newly
designed job
The training of the selected
worker to perform the job in
the way specified
Surveillance of workers
through the use of hierarchies
of authority and close
supervision
Bethlehem Steel Works
Development of Taylorism Time and
motion studies
Gilbreth refined
Taylors techniques
for measuring work
focused on motion
used research
techniques to analyse
and improve workers
body movements
developed Therbligs
ascertained a
standard time for
each job element
time and motion
studies - still used
today

Fordism developed out of
Taylorism
Jobs analysed using
time-and-motion
techniques
Single purpose
machine tools
installed to
manufacture
standardised parts
Introduction of the
mechanised assembly
line

Fords first moving assembly line
The birth of mass production
Characteristics of mass production
(Buchanan and Huczynski, 2010, p. 434)
Mechanical pacing
of work
No choice of tools
or methods
Repetitiveness
Minute subdivision
of product
Minimum skill
requirements
Surface mental
attention
Classical Approach
Bureaucracy the main features
specialisation

hierarchy of
authority

system of rules

impersonality


Max Weber (1864-1920) and
bureaucracy
three ideal types of organisation
charismatic
traditional
legal-rational (known as the bureaucratic type of
organisation)

a bureaucratic organisation has:
written specifications for every position
succession to and occupation of jobs by qualified,
trained personnel
continuity and impersonality
The bureau which is a written record of every move
(central files)
(Weber, 1947)

Human relations approach
based on the consideration
of the social factors at work
and the behaviour of
employees within an
organisation

importance is paid to the
informal organisation and
the satisfaction of
individuals needs through
groups at work

Hawthorne experiments
(1924-33), started by Elton
Mayo, acted as a turning
point in the development of
the Human Relations
movement
Hawthorne experiments
The Hawthorne effect
the effect of changes
in the light on workers
productivity

The Relay Assembly
Test Room study

The Bank Wiring
Observation Room
Study
Conclusions from the Hawthorne
studies
People are motivated by things other than
money.
People need recognition and a sense of
belonging at their workplace.
A persons attitude is strongly affected by
the group to which they belong in the
organisation.
The informal group has a powerful effect
on motivating individual members, and
this is not always in the interests of the
organisation.
Human relations approach
the criticisms
weak methodology of Hawthorne experiments,
including failure to take sufficient account of
environmental factors

sex power differential

adoption of a management approach, a unitary
frame of reference and over simplification of
theories

insufficiently scientific and takes too narrow a
view, ignoring the role of the organisation within
society
(Mullins, 2010)
Neo-Human Relations
a more psychological orientation was adopted in
the 1950s and 1960s
a major focus of concern was the personal
adjustment of the individual within the work
organisation and the effects of group
relationships and leadership styles (Mullins,
2010, p. 56)
best know contributors Maslow, McGregor and
Herzberg
overview now, more detailed examination of
these and other theories of motivation in section
A.
Maslows Hierarchy of Needs (1954)
Self-
Actualization
Needs
Esteem Needs
Social Needs
Security Needs
Physiological Needs
Self-
actualization
needs
Esteem needs
Social needs
Security needs
Physiological needs

Hygiene Factors
Supervisors
Working Conditions
Interpersonal Relations
Pay & Security
Company Policies &
Administration
Motivation Factors
Achievement
Recognition
The Work Itself
Responsibility
Advancement & Growth
Herzbergs Two Factor Theory
(1968)
Dissatisfaction Satisfaction
McGregors Thoery X and Theory Y
(1960)
THEORY X managers
assume employees:

dislike work
are lazy
avoid responsibility
must be coerced to
perform



McGregors Thoery X and Theory Y
(1960)
THEORY Y managers
assume employees:

are creative
seek responsibility
can exercise self-
direction
Summary
Classical theories - see organisations in terms of
purpose, structure and identify one best way
Scientific management (a classical approach developed
by Taylor) argues that work should be broken down into
discrete tasks and one best way found to perform each
task
Bureaucracy based on specialisation of tasks, hierarchy
of authority and decision-making, system of rules and
regulations and an impersonal orientation (Mullins, 2010,
p. 822)
Human relations approach sees organisations
in terms of individuals working in them and
specific attention is paid to the informal
organisation and satisfaction of individuals needs
though groups at work
Neo-human relations approach adopts a more
psychological orientation

References
Brooks, I. 2009. Organisational behaviour: individuals,
groups and organisation. 3
rd
ed. Harlow: Pearson/FT
Prentice Hall.
Buchanan, D. and Huczynski, A. 2010. Organizational
behaviour. 7
th
ed. Harlow: Pearson/FT Prentice Hall.
Fayol, H. 1949. Administration industrielle et gnrale.
Paris: Dunot et Pinot.
Mooney, J.D. and Reiley, A.C. 1947. The principles of
organization. New York: Harper Row.
Mullins, L. 2010. Management and organisational behaviour.
9
th
ed. Harlow: Pearson/FT Prentice Hall.
Taylor F.W. 1911. Principles of Scientific Management. New
York: Harper.
Weber, M. 1947. The theory of social and economic
organization. Oxford: Oxford University Press.