MANAGING PEOPLE IN ORGANIZATIONS I THE HUMAN RELATIONS APPROACH, THE BEHAVIOURAL SCIENCE APPROACH

THE HUMAN RELATIONS APPROACH

• The classical school did not give importance to the human aspects of the workers the human relations movement

• Importance of people for productivity – not machines

• People desire to be part of a supportive team

• Employees receive special attention and are encouraged to participate, they perceive their work has significance, and they are motivated to be more productive, resulting in high quality work.

THE HUMAN RELATIONS APPROACH

Human relations management theory basics:

1. Individual attention and recognition aligns with the human relations theory

2. Many theorists supported the motivational theory

3. Studies supported the importance of human relations in business

THE HUMAN RELATIONS APPROACH

• Understand the human relations theory of management

• Know how the motivational theory fits with human relations in management

• Use the bottom line results of human relations management theories

Principles of Human Relations Approach

1. Human beings are not interested only in financial gains. They also need recognition and appreciation.

2. Workers are human beings. So they must be treated like human beings and not like machines. Managers should try to understand the feelings and emotions of the workers.

3. An organisation works not only through formal relations, but also through informal relations. Therefore, managers should encourage informal relations in the organisation along with formal relations.

4. Workers need a high degree of job security and job satisfaction. Therefore, management should give job security and job satisfaction to the workers.

5. Workers want good communication from the managers. Therefore, managers should communicate effectively without feelings of ego and superiority complex.

6. In any organisation, members do not like conflicts and misunderstandings. Therefore, managers should try to stop conflicts and misunderstandings among the members of the organisation.

7. Workers want freedom. They do not want strict supervision. Therefore, managers should avoid strict supervision and control over the workers.

8. Employees would like to participate in decision making, especially, in those matters affecting their interests. Therefore, management must encourage workers' participation in management. This will increase productivity and job satisfaction.

Behavioural Science Approach

• Extension of the human relations approach

• More complex research methods

• Also called "human resource approach".

• Importance to attitudes, behaviour and performance of individuals and groups in the organisations

• Behavioural scientists brought two new aspects to the study of management:

• More complex view of human beings and their needs and motives

• Scientific methods to study the group behaviour in organisations

Assumptions of Behavioural Science Approach

1. Organisations are socio-technical systems. The management must integrateboth the systems.

2. Work and interpersonal behaviour of people in the organisation is influenced by many factors.

3. Employees are motivated not only by physiological needs but also by social and psychological needs.

4. Different people have different perceptions, attitudes, needs and values. These differences must be found out and recognised by management.

5. In an organisation conflicts are unavoidable.

6. Personal goals and Organisational goals must be joined together.

Contributions of Behavioural Scientists (Shorter Version)

Abraham Maslow's Hierarchy of Needs Theory

• Human beings have many needs. Some are lower-level needs like physiological needs, safety and security needs, and social needs, these needs must be satisfied first. The higher level needs are ego needs, and self-actualisation needs. These needs are satisfied after satisfying lower-level needs.

James March and Herbert Simon

• There are many types of communication in an organisation. This is essential for the performance of the organisation.

Contributions of Behavioural Scientists (Shorter Version)

Douglas McGregor's Theory X and Y

• Different managers have different assumptions about people. This depends on the situation. Managers may have negative assumptions about people. That is, human beings hate to work and therefore, they must be forced, controlled, directed, and threatened with punishment to make them work. (Theory X). Managers may have positive assumptions about people, i.e. people love to work, and that people have self-control and self-direction. (Theory Y).

Victor Vroom's Expectancy Theory of Motivation

• People will be motivated to reach a goal, if they believe (i) in the worth of the goal, and (ii) in the steps taken to reach that goal.

Contributions of Behavioural Scientists (Shorter Version)

Fredrick Herzberg's Two Factor Theory

• There are many factors that influence behaviour and work of people in an organisation. One group of factors is called "hygiene factors". They are salary, working conditions. Supervision, etc. If these factors exist in the organisation then there will be no dissatisfaction. However, these factors will not motivate the workers. The second group of factors is called "motivators". They are recognition, achievement, challenging work, etc. These factors bring satisfaction and motivation.

Chester Barnard

• The managers must maintain a system of co-operation in the organisation.

BEHAVIORAL THEORIES OF MANAGEMENT

• Early Advocates

Robert Owen

Hugo Munsterberg

Mary Parker Follett

Chester Barnard

• The Hawthorne Studies

• Human Relations Movement

Abraham Maslow (1908-1970)

Douglas McGregor (1906-1964)

Robert Owen

• A successful Scottish businessman, proposed a utopian workplace.

Hugo Munsterberg

• Created the field of industrial psychology, the scientific study of individuals at work to maximize their productivity and adjustment

• Attempted to develop practical applications of psychology

• Argued that psychologists could help industry in three major areas:

Finding ways to identify individuals best suited to particular jobs

Identifying the psychological conditions for optimum efficiency

Finding ways to influence individual behaviour to be congruent with management's objectives

• In 1911 he cautioned managers to be concerned with “all the questions of the mind…like fatigue, monotony, interest, learning, work satisfaction, and rewards.”

Chester Barnard

• President of new jersey bell telephone company

• Saw organizations as social systems that required human cooperation

• Managers' major roles were to communicate and stimulate subordinates to high levels of effort

• Introduced the idea that managers have to examine the environment and then adjust the organization to maintain a state of equilibrium

Mary Parker Follett

• Social philosopher who thought the manager's job was to harmonize and coordinate group efforts

• Brought to management the perspectives of political science and social work.

Identified:

• The importance of the functioning of groups, not just individuals, in organization

• The principle of "power with" rather than "power over" in management-employee relations

• Conflict resolution through integration, i.e., finding a solution to a conflict that would satisfy both parties

• The achievement of integrative unity, whereby the organization operates as a functional whole, with the various interrelated parts working together effectively to achieve organizational goals

The Hawthorne Studies

• A series of studies conducted at the western electric company works in cicero, illinois

• A scientific management experiment

• Examine the effect of various illumination levels on worker productivity

• Control and experimental groups were set up with: The experimental group being exposed to various lighting intensities

The control group working under a constant intensity

• They found that as the level of light was increased in the experimental group, output for both groups increased

• As the light level was decreased the productivity decrease was observed in the experimental group only when the level of light was reduced to that of a moonlit night

The Hawthorne Studies

• Numerous experiments in:

The redesign of jobs

Changes in workday and workweek length

Introduction of rest periods

Individual versus group wage plans

• Hawthorne studies reflected the scientific management tradition of seeking greater efficiency by improving the tools and methods of work, in this case, lighting

• Http://www.Accel-team.Com/motivation/hawthorne_02.Html

Abraham Maslow (1908-1970)

A theory of motivation based on three assumptions about human nature:

• Human beings have needs that are never completely satisfied

• Human behaviour is aimed at satisfying the needs that are yet unsatisfied at a given point in time

• Needs fit into a somewhat predictable hierarchy ranging from basic, lower-level needs to higher-level needs

Abraham Maslow (1908-1970)

Douglas McGregor (1906-1964)

Theory X and Theory Y

• Dichotomy about the assumptions managers make about workers and how these assumptions affect behaviour

Contributions of the Behavioural Viewpoint

• Spotlight the managerial importance of such factors as communication, group dynamics, motivation, and leaders.

• Articulates practical applications of behavioural studies.

• Draws on the findings of a number of disciplines such as management, psychology, sociology, anthropology, and economics.

• Highlights the importance of an organization's members as active human resources rather than passive tools.

Thank you.Contact: lucie.povolna@ujep.cz