Republic of the Philippines

NUEVA ECIJA UNIVERSITY OF SCIENCE AND TECHNOLOGY

Cabanatuan City

Program: MASTER OF ENGINEERING MANAGEMENT

Course: 211 Organization and Management

Submitted by: KEITH REN V. RIVERA

Submitted to: Dr. HONORATO P. PANAHON

DATE: March 10, 2018

 CLASS THEORIES ASSUMPTION CONCEPTS ELEMENTS PRINCIPLES
CLASSICAL Max Weber- a structure was  All regular  Task
Bureaucratic indispensable in activities within a specialization-
theory of large bureaucracy can tasks are divided
management organizations in be regarded as into simple,
structurally official duties routine categories
performing all  Management has on the basis of
tasks by a great the authority to competencies and
number of impose rules functional
employees  Rules can easily specializations.
be respected on  Hierarchical
the basis of Authority-
established Managers are
methods organized into
hierarchical
layers, where
each layer of
management is
responsible for its
staff and overall
performance
 Formal
selection- All
employees are
selected on the
basis of technical
skills and
competences,
which have been
acquired through
training,
education and
experience
 Rules and
requirements-
Formal rules and
requirements are
required to
ensure
uniformity, so
that employees
know exactly
what is expected
of them
 Impersonal-
Regulations and
clear
requirements
create distant and
impersonal
relationships
between
employees, with
the additional
advantage of
preventing
nepotism or
involvement from
outsiders or
politics
 Career
Orientation-
Employees are
selected on the
basis of their
expertise
Frederick  Scientific task  Replacing rule of
 The primary setting thumb with
Taylor-
goal of labor and
Scientific  Differential science
thought is
Management payment system  Harmony in
efficiency.
 Reorganization of group action
 Technical supervision  Co-operation
calculation in all  Scientific  Maximum output
respects is recruiting and  Development of
superior to training workers
human  Economy
judgment.  Mental revolution
 Human
judgment cannot
be trusted
because it is
plagued by
laxity,
ambiguity, and
unnecessary
complexity.
 Subjectivity is
an obstacle to
clear thinking.
 What cannot be
measured either
does not exist or
is of no value.
 The affairs of
citizens are best
guided and
conducted by
experts.
Henri Fayol- Management is a Theory which based  Forecasting.  Division of Work –
Administrative continuous process on how the
When employees are
theory beginning with management should  Planning.
planning and ending interact with the specialized, output
with controlling employees  Organizing. can increase because
they become
 Commanding. increasingly skilled
and efficient.
 Coordinating.
 Authority –
 Controlling. Managers must have
the authority to give
orders, but they must
also keep in mind that
with authority comes
responsibility.
 Discipline –
Discipline must be
upheld in
organizations, but
methods for doing so
can vary.
 Unity of
Command –
Employees should
have only one direct
supervisor.
 Unity of Direction –
Teams with the same
 objective should be
working under the
direction of one
manager, using one
plan. This will ensure
that action is properly
coordinated.
 Subordination of
Individual Interests
to the General
Interest – The
interests of one
employee should not
be allowed to become
more important than
those of the group.
This includes
managers.
 Remuneration –
Employee satisfaction
depends on fair
remuneration for
everyone. This
includes financial and
non-financial
compensation.
 Centralization – This
principle refers to
 how close employees
are to the decision-
making process. It is
important to aim for
an appropriate
balance.
 Scalar Chain –
Employees should be
aware of where they
stand in the
organization's
hierarchy, or chain of
command.
 Order – The
workplace facilities
must be clean, tidy
and safe for
employees.
Everything should
have its place.
 Equity – Managers
should be fair to staff
at all times, both
maintaining discipline
as necessary and
acting with kindness
where appropriate.
 Stability of Tenure
of Personnel –
Managers should
strive to minimize
employee turnover.
Personnel planning
should be a priority.
 Initiative –
Employees should be
given the necessary
level of freedom to
create and carry out
plans.
 Esprit de Corps –
Organizations should
strive to promote
team spirit and unity.
NEOCLASSICAL Luther Gulick  Planning
(1892-1993) and  Organizing
Lyndall Urwick  Directing
(1891-1983)-  Staffing
Papers on the  Coordinating
Science of  Reporting
Administration  Budgeting
(1937)founders
of
Administrative
Science
Quarterly
Frank (1868- Gilbreth was Their studies of work
1924) and Lillian interested in included the use of a
(1878-1972) developing the one cyclograph, a form of
Gilbreth -The best way of doing stereoscopic movie
work. His system later camera, whereby the time
Psychology of
became known as and motions of a worker
Management "speed work" which could be carefully studied.
was achieved by
eliminating
unnecessary motions.
 Douglas Theory X
McGregor
(1906-1964) -  Employees
Theory X and normally do not
Theory Y like to work and
will try to avoid
it.
 Since employees
do not like
working, they
have to coerced,
controlled,
directed and
threatened with
punishment to
motivate them to
work.
 The average
employee is lazy,
shuns
responsibility, is
not ambitious,
needs direction
and principally
desires security.

Theory Y

 Work is as natural
as play and
therefore people
desire to work.
 Employees are
responsible for
accomplishing
 their own work
objectives.
 Comparable
personal rewards
are important for
employee
commitment to
achieving work
goals.
 Under favorable
conditions, the
average employee
will seek and
accept
responsibility.
 Employees can be
innovative in
solving
organizational
problems.
 Most
organizations
utilize only a
small proportion
of their
employees'
abilities.
W. Edwards Concerned with  Create constancy
Deming-14 increased of purpose
Points for organizational toward
Managers productivity by improvement of
applying statistical product and
quality controls as service, with the
well as improving aim to become
organizational competitive, to
communication stay in business,
and to provide
jobs.
 Adopt a new
philosophy. We
are in a new
economic age,
created by Japan.
We can no longer
live with
commonly
accepted styles of
American
management, nor
with commonly
accepted levels of
delays, mistakes,
or defective
products.
 Cease
dependence on
inspection to
achieve quality.
Eliminate the
need for
inspection on a
mass basis by
 building quality
into the product
in the first place
 End the practice
of awarding
business on the
basis of price tag.
Instead, minimize
total cost.
 Improve
constantly and
forever the
system of
production and
service to
improve quality
and productivity,
and thus
constantly
decrease costs.
 Institute training
on the job.
 Institute
supervision: the
aim of
supervision
should be to help
people and
machines and
gadgets do a
better job.
Supervision of
management is in
need of overhaul,
as well as
 supervision of
production
workers.
 Drive out fear, so
that everyone
may work
effectively for the
company.
 Break down the
barriers between
departments.
People in
research, design,
sales, and
production must
work as a team to
foresee problems
of production and
use that may be
encountered with
the product or
service.
 Eliminate
slogans,
exhortations, and
targets for the
work force which
ask for zero
defects and new
levels of
productivity.
Such exhortations
only create
adversarial
relationships. The
 bulk of the causes
of low
productivity
belong to the
system, and thus
lie beyond the
power of the
work force.
 Eliminate work
standards that
prescribe
numerical quotas
for the day.
Substitute aids
and helpful
supervision.
 Remove the
barriers that rob
the hourly worker
of his right to
pride of
workmanship.
The
responsibility of
supervisors must
be changed from
sheer numbers to
quality. Remove
the barriers that
rob people in
management and
engineering of
their right to
pride of
workmanship.
 This means
abolishment of
the annual rating,
or merit rating,
and management
by objective.
 Institute a
vigorous program
of education and
retraining.
 Put everybody in
the company to
work to
accomplish the
transformation.
Chester Barnard Special incentives  The channels of
(1886-1961);
“The Functions  Money and other communication
of the material should be definite
Executive”, The inducements
theories of  Everyone should
 Personal non-
authority and of know of the
incentives. On material
opportunities for channels of
authority
distinction communication
 Desirable physical  Everyone should
conditions of
have access to the
work
formal channels
 Ideal
benefactions, such of
as pride of communication
workmanship etc.  Lines of
General incentives communication
 Associated
attractiveness should be as short
 Adaptation of and as direct as
working
conditions to possible
habitual methods  Competence of
and attitudes
 The opportunity persons serving
for the feeling of as
enlarged
participation in communication
the course of centers should be
events
adequate
 The condition of
 The line of
communing with
others communication
should not be
interrupted when
the organization
is functioning
 Every
communication
should be
authenticated.
Elton Mayo-  understanding  Groups with low  Individual employees
Behavioral of human
norms and low
Management behavior at must be seen as
work, such as cohesiveness are
theory members of a group;
motivation, ineffective; they
conflict, have no impact,  Salary and good
expectations,
since none of the working conditions
and group
dynamics, members are are less important for
improved motivated to
productivity employees and a
excel, according
to Mayo's theory. sense of belonging to
 Groups with low a group;
norms and high  Informal groups in the
cohesiveness have
workplace have a
a negative impact,
since fellow strong influence on
members the behaviour of
encourage employees in said
negative behavior group;
(e.g., gangs).
 Managers must take
 Groups with high
norms and low social needs, such as
cohesiveness have belonging to an
some degree of (informal) group,
positive impact
seriously.
through individual
member
accomplishments.
  Groups with high
norms and high
cohesiveness have
the greatest
positive impact,
Mayo's theory
predicts, since
group members
encourage one
another to excel.

Abraham  Human needs Maslow's hierarchy of  Physiological

Maslow- theory are never needs theory helps the needs. Maslow
of motivation completely manager to visualize grouped all
satisfied. employee motivation. physical needs
 Human It helps in necessary for
behavior is understanding the maintaining basic
purposeful motivations and needs human well‐
and is employees have and being, such as
motivated by the requirement to food and drink,
the need for satisfy basic needs in into this category.
satisfaction. order to achieve higher After the need is
 Needs can be level motivation. satisfied,
classified however, it is no
according to a longer is a
hierarchical motivator.
structure of  Safety
importance, needs. These
from the needs include the
lowest to need for basic
highest. security, stability,
protection, and
freedom from
fear. A normal
state exists for an
individual to
have all these
needs generally
satisfied.
Otherwise, they
become primary
motivators.
 Belonging and
love needs. After
the physical and
safety needs are
satisfied and are
no longer
motivators, the
need for
belonging and
love emerges as a
primary
motivator. The
individual strives
to establish
meaningful
relationships with
significant others.
  Esteem
needs. An
individual must
develop self‐
confidence and
wants to achieve
status, reputation,
fame, and glory.
 Self‐
actualization
needs. Assuming
that all the
previous needs in
the hierarchy are
satisfied, an
individual feels a
need to find
himself.

Karl E. Weick –  Enactment- Weick’s “ten

”The Social Organizations pieces of advice” for
Psychology of are enacted, managers:
Organizing” they are
(1969 created by  Don’t panic in the
being talked face of disorder
about  You never do one
 Sense thing all at once
making-  Chaotic action is
0rganizations preferable to
are primarely orderly inaction
“sensemaking  The most
systems”, important
incessantly decisions are
create and often the least
recreate apparent
 conceptions  There is no
about solution
themselves  Stamp out utility
 Loose  The map is the
coupling- the territory
lack of  Rec-hart the
firmness in the organization chart
coupling  Visualize
among some organizations as
of the parts of evolutionary
the systems
organization  Complicate
yourself!

MODERN Systems A system

 is composed of
Theory parts which must
Foundations: – be related
Karl Ludwig von (directly or
Bertalanffy, indirectly), else
Austrian biologist there are really
(1901-1972) – W. two or more
Ross Ashby, distinct systems
English  is encapsulated
psychiatrist (has a boundary)
(1903-1972) –  can be nested
inside another
Kenneth
system and
Boulding,
overlap with
English/American other systems
economist (1910-  is bounded in
1993) – Anatol time and space
Rapaport,  exchanges
Russian/American information
mathematical and/or material
psychologist with its
(1911-2007 environment
 consists of
processes that
transform inputs
into outputs
 is dynamic, it
evolves
 it is self-
regulating, i.e. it
is self-correcting
through feedback
 is often
composed of
entities seeking
equilibrium but
can exhibit
oscillating,
chaotic or
exponential
behavior
 can exhibit both
multi-finality and
equi-finality
Stewart Clegg,  Organizational Organizations are human
“Modern forms and fabrications. They are
Organizations” practices made out of whatever
(1990) cannot be materials come to hand
universal and can be modified or
 Rationality is adopted. Organizations
subjective, are concocted out of
and relative to whatever recipe-
context knowledge is locally
available