Evolution of Management Thought II

Organizational behaviour

  • According to Mintzberg, management is about
    influencing action, often of ‘others’
  • A large majority of what contemporary
    managers do when managing people (e.g.
    motivating, leading, conflict resolution etc.) is
    directly attributed to OB

The Hawthorne Studies

  • A series of studies in 1920s and 1930s that provided new
    insights into behaviour of groups in the workplace
  • Initially undertaken by industrial engineers at Western
    Electric, an American electrical engineering &
    manufacturing company
  • Subsequently headed by Prof. Elton Mayo
    (and associates), an Australian working at
    Harvard University

Pre-Elton Mayo

  • A series of studies in 1920s and 1930s that provided new
    insights into behaviour of groups in the workplace
  • Initially undertaken by industrial engineers at Western
    Electric, an American electrical engineering &
    manufacturing company
    -Subsequently headed by Prof. Elton Mayo
    (and associates), an Australian working at
    Harvard University

Post- Elton Mayo

  • Numerous experiments relating to job design,


    lengths of work day/week, introduction of ‘rest’


    periods, individual vs. group wages etc.


  • Findings indicated:


    Social norms or groups standards (e.g. group/peer


    pressure) key to individual work behaviour


    People’s behaviour & attitudes are intertwined


    Money is less important than group standards,


    attitudes and security

CRITICISM

  • Did not discover anything new, ignored existing
    knowledge
  • Impact due to affiliation with Harvard and being
    published during a period of economic upheaval
  • Methodologically deficient (i.e. sampling bias)
  • Did not consider influences outside the organisation
  • Encouraged manipulative techniques to exploit
    workers – significant managerial bias designed to
    undercut the power of unions

VALUE

  • Research was scientific, statistically sophisticated, and provided rigorous detail in analysis undertaken
  • Provided a more focused analysis of workers’ interactions within organisations
  • Used sociological and psychological concepts to challenge foundations of economic theory - combined multiple academic fields and provided impetus for cross disciplinary research
  • Offered management subtle means of control
  • Critics recognize the importance and originality but
    disagreed with its worldview

IMPACT


– Shifted the attention of managers and researchers away from the work itself (i.e. rationality and efficiency) towards the social setting of workers and their individual attitudes


  • there are many sources of individual job satisfaction and dissatisfaction
  • there are different ways of supervising workers
  • the group, especially informal, is important in work settings
  • managers need good interpersonal skills
  • social relationships at work are important
    – Gave birth to the Human Relations Movement

HUMAN RELATIONS MOVEMENT

Based on the belief that a satisfied worker will be productive
– However, this was unsubstantiated as the views of those within the movement were shaped by personal philosophy than by evidence

Maslow, McGregor

BEHAVIOURAL SCIENCE THEORISTS

Scientific methods used to study OB
– Kept personal beliefs out of their work

THE CONTINGENCY APPROACH

• Also referred to as the situational approach
• There is no one universally applicable set of
management principles (rules) by which to
manage organisations
• Organisations are individually different,
face different situations (contingency
variables), and require different ways of
managing

Contingency Variables
– Organisation size
– Routineness of task technology
– Environmental uncertainty
– Individual differences

As result of its influence on the human relations
movement and behavioural science theorists,
the Hawthorne studies laid the foundation for
research in
– Motivation
– Leadership
– Group behaviour and development
– Other organisational behaviour topics

Current trends & issues in management

Globalisation

Ethics

Sustainability

“…widening, deepening and speeding up of worldwide
interconnectedness in all aspects of contemporary social
life...”

Rules and principles that define right and wrong

Meeting the needs of the present without
compromising the ability of future generations to
meet their own needs