A bird’s eye-view of what is Managerial A bird’s eye-view of what is Managerial Behaviour and EffectivenessBehaviour and Effectiveness

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Managerial Behaviour and Managerial Behaviour and Effectiveness-An IntroductionEffectiveness-An Introduction

Managerial style & behaviourManagerial style & behaviour

• The successful manager has the ability to The successful manager has the ability to handle people effectivelyhandle people effectively

• People respond according to the manner in People respond according to the manner in which they are treatedwhich they are treated

• The behaviour of managers & their style of The behaviour of managers & their style of management will influence the level of management will influence the level of performance achieved by subordinate staffperformance achieved by subordinate staff

Assumptions about human natureAssumptions about human natureTheory X Theory X

Theory X assumes that –Theory X assumes that –

• The average person is lazy & has an inherent dislike of The average person is lazy & has an inherent dislike of workwork

• Most people must be coerced, controlled, directed & Most people must be coerced, controlled, directed & threatened with punishments if the organisation is to threatened with punishments if the organisation is to achieve its objectivesachieve its objectives

• The average person avoids responsibility, preferring to The average person avoids responsibility, preferring to be directedbe directed

• Motivation occurs only at the physiological & security Motivation occurs only at the physiological & security levelslevels

Assumptions about human natureAssumptions about human natureTheory Y Theory Y

Theory Y assumes that – Theory Y assumes that –

• For most people work is as natural as play or For most people work is as natural as play or restrest

• People will exercise self-direction & self-controlPeople will exercise self-direction & self-control• Commitment to objectives is a function of Commitment to objectives is a function of

rewards associated with their achievementrewards associated with their achievement• Given the right conditions, the average worker Given the right conditions, the average worker

can accept and seek responsibilitycan accept and seek responsibility

Assumptions about human natureAssumptions about human natureTheory YTheory Y

Theory Y assumes that -Theory Y assumes that -

• The capacity for creativity in solving The capacity for creativity in solving organisational problems is distributed widelyorganisational problems is distributed widely

• The intellectual potential of the average person The intellectual potential of the average person is only partially utilisedis only partially utilised

• Motivation occurs at the affiliation, esteem & Motivation occurs at the affiliation, esteem & self-actualisation levelsself-actualisation levels

As situations demandsAs situations demands

• Theory X and Y represent extremes of the Theory X and Y represent extremes of the natural inclination of managers towards a natural inclination of managers towards a particular style of behaviourparticular style of behaviour

• In practice the actual management style In practice the actual management style adopted is influenced by the demands of the adopted is influenced by the demands of the given situationgiven situation

Japanese Theory ZJapanese Theory ZCharacteristics of a Theory Z organisation –Characteristics of a Theory Z organisation –

• Long-term employment, often for a lifetimeLong-term employment, often for a lifetime• Relatively slow process of evaluation and Relatively slow process of evaluation and

promotionpromotion• Development of company-specific skills & Development of company-specific skills &

moderately specialised career pathmoderately specialised career path

OuchiOuchi

Japanese Theory ZJapanese Theory Z

Characteristics of a Theory Z organisation –Characteristics of a Theory Z organisation –

• Implicit, informal control mechanisms supported Implicit, informal control mechanisms supported by explicit, formal measuresby explicit, formal measures

• Participative decision-making but individual Participative decision-making but individual ultimate responsibilityultimate responsibility

• Broad concern for the welfare of subordinates & Broad concern for the welfare of subordinates & co-workers as a natural part of a working co-workers as a natural part of a working relationship & informal relationships among relationship & informal relationships among peoplepeople

OuchiOuchi

Blake & MoutonBlake & MoutonManagerial / leadership gridManagerial / leadership grid

The grid provides a basis for a comparison of The grid provides a basis for a comparison of managerial styles in terms of –managerial styles in terms of –

• A concern for productionA concern for production

• A concern for peopleA concern for people

Managerial / leadership gridManagerial / leadership grid

SourceSource: Blake, R.R. and McCanse, A.A. (1991) : Blake, R.R. and McCanse, A.A. (1991) Leadership Dilemmas – Grid SolutionsLeadership Dilemmas – Grid Solutions, Gulf Publishing , Gulf Publishing Co., Houston (1991), Grid Figure, p.29. Reproduced by permission of Grid International, Inc.Co., Houston (1991), Grid Figure, p.29. Reproduced by permission of Grid International, Inc.

Figure 7.1Figure 7.1

Managerial / leadership grid Managerial / leadership grid combinationscombinations

9,1 – autocratic, relying on centralised systems & authority9,1 – autocratic, relying on centralised systems & authority

1,9 – hold a belief that contented staff will undertake what 1,9 – hold a belief that contented staff will undertake what is required of them & achieve a reasonable level of is required of them & achieve a reasonable level of outputoutput

5,5 – middle-of-the-road, live & let live approach with a 5,5 – middle-of-the-road, live & let live approach with a tendency to avoid the real issuestendency to avoid the real issues

9,9 – integrate task needs & concern for people9,9 – integrate task needs & concern for people

Managerial / leadership gridManagerial / leadership gridAdditional stylesAdditional styles

• Opportunistic managementOpportunistic management - organisational - organisational performance occurs according to a system of performance occurs according to a system of exchangesexchanges

• Paternalistic /maternalistic managementPaternalistic /maternalistic management - reward & - reward & approval are granted to people in return for loyalty & approval are granted to people in return for loyalty & obedience; punishment is threatened for failure to obedience; punishment is threatened for failure to complycomply

Dominant style of managementDominant style of managementThe dominant style of management is influenced in any The dominant style of management is influenced in any

particular situation by:particular situation by:

• Organisation - tOrganisation - the nature of the organisation in which he nature of the organisation in which a manager is employeda manager is employed

• Values Values - the personal values, beliefs or ideals of the - the personal values, beliefs or ideals of the managermanager

• Personal history - tPersonal history - the deep rooted personal history of he deep rooted personal history of the managerthe manager

• Chance Chance - chance has not provided the manager with an - chance has not provided the manager with an opportunity to learnopportunity to learn

Likert’s management systemLikert’s management system

1.1. Exploitive authoritativeExploitive authoritative – decisions imposed on staff – decisions imposed on staff & motivation is based on threats& motivation is based on threats

2.2. Benevolent authoritativeBenevolent authoritative – condescending form of – condescending form of leadership with motivation based on system of leadership with motivation based on system of rewards rewards

3.3. ConsultativeConsultative – some trust in staff, motivation based – some trust in staff, motivation based on rewards & also some involvementon rewards & also some involvement

4.4. ParticipativeParticipative – involves trust & confidence in staff – involves trust & confidence in staff with motivation based on rewards for achievement of with motivation based on rewards for achievement of agreed goalsagreed goals

Supportive relationshipsSupportive relationships

These relationships are intended to enhance self- These relationships are intended to enhance self- esteem and ego building. They contribute to esteem and ego building. They contribute to subordinates’ sense of personal worth, subordinates’ sense of personal worth, significance and dignity.significance and dignity.

Supportive relationshipsSupportive relationships

A superior’s behaviour is supportive when there is: A superior’s behaviour is supportive when there is:

• Mutual confidence & trustMutual confidence & trust• Opportunity to maintain a good incomeOpportunity to maintain a good income• An understanding of work problems & help in doing An understanding of work problems & help in doing

the jobthe job• Genuine interest in personal problemsGenuine interest in personal problems• Help with training to assist promotionHelp with training to assist promotion• A sharing of informationA sharing of information

Management by objectives (MBO)Management by objectives (MBO)

A management style or system that relates organisational A management style or system that relates organisational goals to individual performance & development through goals to individual performance & development through involvement of all levels of managementinvolvement of all levels of management

The basis for MBO is – The basis for MBO is – • The setting of objectives & targetsThe setting of objectives & targets• Participation by individual managers in agreeing unit Participation by individual managers in agreeing unit objectives & criteria of performanceobjectives & criteria of performance• The continual review & appraisal of resultsThe continual review & appraisal of results

Figure 7.4The cycle of The cycle of

MBO activitiesMBO activities

MBO advantages & constraintsMBO advantages & constraints

• Provides the opportunity Provides the opportunity for staff to accept greater for staff to accept greater responsibility & make responsibility & make higher level of personal higher level of personal contributioncontribution

• Modern form of scientific Modern form of scientific managementmanagement

• Places too much Places too much emphasis on individual emphasis on individual job definition & job definition & management authority management authority structurestructure

• Assumes no conflict Assumes no conflict between individual & between individual & organisational goalsorganisational goals

• Not always easy to set Not always easy to set specific targets or figures specific targets or figures for senior jobsfor senior jobs

Five essential principlesFive essential principlesSuccessful management of people is based on:Successful management of people is based on:• honesty, trust, openness, mutual respect, co-operation & honesty, trust, openness, mutual respect, co-operation &

supportsupport• a perception of employees as an essential asset to be a perception of employees as an essential asset to be

invested ininvested in• a clearly established set of principles applied in daily a clearly established set of principles applied in daily

taskstasks• fundamental leadership relating to vision, charisma & fundamental leadership relating to vision, charisma &

ability to gain team commitment & co-operationability to gain team commitment & co-operation• the establishment of essential practices such as setting the establishment of essential practices such as setting

high standards & achieving themhigh standards & achieving them

The effective management of peopleThe effective management of peopleFigure 7.5

The golden rule management The golden rule management philosophyphilosophy

• Trust people fairly but according to meritTrust people fairly but according to merit• Make others feel importantMake others feel important• Motivate people by praiseMotivate people by praise• Encourage feedbackEncourage feedback• Sandwich every bit of criticism between two Sandwich every bit of criticism between two

layers of heavy praiselayers of heavy praise• Have an open-door philosophyHave an open-door philosophy• Help other people get what they wantHelp other people get what they want• Never hide behind policy or pomposityNever hide behind policy or pomposity

Figure 7.6:Figure 7.6:How to get along How to get along with people you with people you work withwork with

Managerial effectivenessManagerial effectiveness

A study by A study by Proudfoot ConsultingProudfoot Consulting reported that – reported that –

Poor planning & inadequate management are still Poor planning & inadequate management are still the key reasons for the majority of time wasted the key reasons for the majority of time wasted globally in the workplaceglobally in the workplace

Effective & successful managersEffective & successful managers

LuthansLuthans makes the following distinction: makes the following distinction:

• Effective managersEffective managers – defined in terms of the – defined in terms of the quantity & quality of standards of performance & quantity & quality of standards of performance & the satisfaction & commitment of subordinatesthe satisfaction & commitment of subordinates

• Successful managersSuccessful managers – defined operationally – defined operationally in terms of the speed of their performance within in terms of the speed of their performance within the organisationthe organisation

Assessing a manager’s effectivenessAssessing a manager’s effectiveness

A manager’s effectiveness can be assessedA manager’s effectiveness can be assessed using the following: using the following:

• The strength of motivation & The strength of motivation & the morale of staffthe morale of staff

• The success of their training & The success of their training & developmentdevelopment

• The creation of an The creation of an organisational environment in organisational environment in which staff work willingly & which staff work willingly & effectivelyeffectively

• Meeting important deadlinesMeeting important deadlines

• Accuracy of workAccuracy of work

• Level of complaintsLevel of complaints

• Adherence to quality standardsAdherence to quality standards

• ProductivityProductivity

• Adhering to budgets setAdhering to budgets set

Apparent Effectiveness and Personal EffectivenessApparent Effectiveness and Personal Effectiveness

Me or LeMe or Le Me or LeMe or Le

ME or LeME or Le Me or LeMe or Le

Me Me

Le Le

The 3-D model of managerial effectivenessThe 3-D model of managerial effectivenessMORE EFFECTIVEMORE EFFECTIVE

The 3-D model of managerial effectivenessThe 3-D model of managerial effectivenessLESS EFFECTIVELESS EFFECTIVE

General criteria of managerial General criteria of managerial effectivenesseffectiveness

• The manager’s workThe manager’s work• The manager him/herselfThe manager him/herself• The manager’s relationship with other peopleThe manager’s relationship with other people• The manager as part of the organisationThe manager as part of the organisation• Criterion of general effectivenessCriterion of general effectiveness