theory of management and organization

7/31/2019 Theory of Management and Organization

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Theory of Management and

Organization

Submitted to: Engr. Telesforo M. Aba Jr.

Submitted by: Christian A. Diaz


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MINTZBERGS MANAGERIAL

ROLESHenri Fayol (Istanbul, 29 July 1841 Paris, 19November 1925) was a French mining engineer and

director of mines who developed a general theory of

business administration often known as Fayolism. He

and his colleagues developed this theory independently

of scientific management but roughlycontemporaneously. He was one of the most influential

contributors to modern concepts of management.

Professor Henry Mintzberg, OC, OQ, FRSC (born inMontreal, September 2, 1939) is an internationally

renowned academic and author on business andmanagement. He is currently the Cleghorn Professor of

Management Studies at the Desautels Faculty of

Management of McGill University in Montreal, Quebec,

Canada, where he has been teaching since 1968, after

earning his Master's degree in Management and Ph.D.

from the MIT Sloan School of Management in 1965 and1968 respectively


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ROLES

Managerial Role is an organized set of behavior identified with aposition

We give Mintzberg special attention for two reasons:

1. His contemporary views of management have not attracted agreat deal of criticism and are generally regarded as good

descriptions of what managers do.

2. Although Mintzberg does not speak highly of computer-based

information system (CBIS), his role concept provides an excellent

framework for designing better CBISs.


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ROLES

LeaderMonitorLiaison

Disseminato

r

Spokesperso

nSuperior

s

Subordinates

Internal

Support

units

Other

Operatin

g

units

Environmen

t

Negotiato

r

Resourc

e

Allocato

r

Entrepreneu

r

Disturbanc

e Handler


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ROLESInterpersonal Roles

As Figure Head consist of ceremonial duties such as giving visitingdignitaries tours of the facilities;

As Leader the manager maintains the unit by hiring and training the staffand providing motivation and encouragement;

As Liaison contacts are made with people outside the managers own

unit peers and others in the units environment for the purpose of attending

to business matters;

Informational Roles

This category recognizes information as an important ingredient in

management work.

As Monitor the manager constantly looks for information bearing on theperformance of the unit. The managers sensory preceptors scan both the

internal activity of the unit and its environment.


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ROLES

As Disseminator the manager passed valuable information received

along to others in the unit;

As Spokesperson passing information along to those outside the unitsuperiors and person in the environment;

Decisional Roles

This category recognizes the manager as a decision maker.

As Entrepreneur making permanent improvements to the unit such aschanging the organizational structure;

As Disturbance Handler manager reacts to unanticipated events suchas the devaluation of the dollar in a foreign country where firms has

operations;

As Resource Allocator manager controls the purse strings of the unit,determining which subsidiary units get which resources;

As Negotiator resolving disputes both within the unit and between theunit and its environment;


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IMPORTANCE OF

MANAGEMENT THEORY TO

INFORMATION MANAGEMENT

The CBIS is intended to help managers manage. In order that it do so,

the system designers must understand management. This is why the

managers must directly involved in the design of the CBIS. They are

more likely to have this understanding than are to the information

specialists.

The information specialists, however, should not leave all of the designresponsibility to the managers. The information specialists can increase

the level of participation by becoming familiar with management theory.

The CBIS can then be design to apply this theory.


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ORGANIZATIONAL THEORYPresident

VP for

Finance

VP for

Marketing

VP for

Manufacturing

VP for Information

Service

Controller

Manager ofAccounting

Manager of

Financial

Planning

Director ofbudgets

Sales

Manager

Advertising

Manager

Manger of

Marketing

Research

Manager of

Product

Planning

Manager of

Physical

Distribution

Plant

Superintendent

Manager of

Planning

& Control

Manager of

Engineering

Manager of

Quality Control

Manager of

Inventory

Director of

Purchasing

Manager of

Systems Analysis

Manager of

Programming

Manger of

Operations

Database

Administrator

Network Manager


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ORGANIZATIONAL THEORY

Concerns the arrangement or assembly of a firms resources. It deals withstructure, which is usually thought to relate only to personnel.

Organizational Chart the diagram that shows both the vertical and

horizontal alignment of personnel in the organization. This arrangement

of personnel, however, also includes other resources such as money,

machines, and materials.

The Classical Theory of Organization

Frederick Taylor and his group of scientific management emphasized

making internal operation as efficient, rational, and predictable as

possible. Because high productivity was viewed as a direct result of the

a best work methods. The group believed that the ideal organizational

structure for implementing these methods was one with a clear lines of

authority and responsibility, management control, and economic

(monetary) rewards for good work.


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CLASSICAL THEORY OF

ORGANIZATIONDivision of Labor resources are grouped into specialized units, orsubsystems.

Unity of command there is one control point in the system.Unity of direction Subsystems should work together toward thesystems goals.

Subordination of individual interest to the common goal the goals

of the system performance.

Fayol used the term departmentation, meaning that the firmsresources should be segregated in departments based on purpose,

processes, customers, geographic area, and so on.


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BEHAVIORAL THEORY OF

ORGANIZATION

Horizontal

Vertical

Diagonal

Informal CommunicationFlows


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CONTEGENCY THEORY OF

ORGANIZATION

Function

Product

Manager of

Product

Development

Manager of

Production

Manager of

Distribution

Manager,

Product no. 1

Product

Development

Personnel

Production

Personnel

Distribution

Personnel

Manager,

Product no. 2

Product

Development

Personnel

Production

Personnel

Distribution

Personnel

Manager,

Product no. 3

Product

Development

Personnel

Production

Personnel

Distribution

Personnel

General

Manager

Matrix Organization

Structure


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SYSTEMS THEORY

We recognized that managers use a conceptual system to manage

the physical system of the firm. A system orientation is often

identified as a characteristic of the modern manager. When a

manager has a system orientation, he or she views the firm as a

system with all elements, or subsystems, working toward the

system objective. The firm transforms input resources into output, a

process monitored and controlled by the manager. The manager

use the firms objective to keep the system on course.

General Systems Theory

Was named after Ludwig von Bertalanffy, a German Biologist thetheory was a new discipline dedicated in formulating principles that

apply to systems in general, whatever the nature of their component

elements or the relations or forces between them.


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SYSTEMS THEORY

Open System communicates with its environment, relying onthat environment for life giving inputs and contributing something

to the environment in return.

Closed System is isolated from its environment in terms ofresource flows.

Steady State maintaining a continuous balance flow of inputsand outputs.

Feedback is a process, the system monitors its output so that

its input might be adjusted to maintain the steady state.


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SYSTEMS THEORY

9. The unknown8. Social

organization7. Human systems

6. Animal systems

5. Genetic-societal systems4. Open, self-maintaining

systems3. Cybernetic systems

2. Clockwork systems

1. Framework systems

Complexity

Much

Little

Living

Systems

Nonliving

Systems

Bouldings Hierarchy of

Systems


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A SYSTEMS VIEW OF THE

FIRMDaniel Katz and Robert Kahn identified two problems in understanding

organizations namely:

1. What is included in the organization and what is not.

2. Identifying the organizations goals.

Katz and Kahn viewed the organization as an energetic input-output

system which means the organizations accepts energy from its

environment and transforms this energy into output that reactivates

the system.


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NETWORKS OF RESOURCE

FLOWSThe organization is a flow of energy through the physical system ofthe firm.

Katz and Kahn

Jay W. Foster used five flows namely information, materials,money, manpower and capital equipment to show the need for

all of the functional units to work together.

He used the term industrial dynamics to describe the fluctuations

in business activity caused by sudden changes in certain flows.

Mintzberg use an organization chart as the framework for plottingfive resource flows.

Richard J. Hopeman use five flows namely: materials, money,manpower, information and machines to describe the operation of

a factory.


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NETWORKS OF RESOURCE

FLOWS

Formal Authority Relationships such those exist between

managers and subordinates

Informal Communication

Regulated Activity - shows the flow of regulated activity such asmaterials, information and decision process.

Work Constellations plotting series of work done by managers andemployees in solving problems.

Ad hoc Decision Process can be describe as spur-of-the-momenttypes of activity.

Combined Overlay


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A SYSTEMS THEORY OF

MANAGEMENT AND ORGANIZATION

Managers

Direct

Personnel

FlowMaterial Flow

Machine Flow

Money Flow

Information Flow

Objectives


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The End

Thank You

theory of management and organization

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