Lecture 1 - Essentials of Management

Question 1

Classical Approach

Answer 1

Emphasis on purpose, formal structure, hierarchy of management, technical requirements, common principles of management. Clearly defined goals. Minimal/no consideration of employeee’s view.

Question 2

Human Relations Approach

Answer 2

Attention to social factors at work, groups (formal and sub-groups), appropriate leadership, informal organisation and behaviour of people

Question 3

Systems Approach

Answer 3

Integration of classical and human relations approach. Structure, management and success of organisation dependent on a range of situational variables. Systems have inputs, processes, outputs and outcomes. Systems share feedback. If one part of the system is removed the nature of the system changes eg. car without exhaust. eg. environment of hospital system includes a supra-system (society), systems (healthcare, education, industrial) and sub-systems (nurse, allied health prof.)

Question 4

People related to Scientific Management Theory

Answer 4

Fredrich Taylor, The Gilbreths, Henry Gnatt

Question 5

Who is related to Bureaucratic Management Theory

Answer 5

Max Weber

Question 6

Who is related to Administrative Management Theory

Answer 6

Henri Fayol

Question 7

Fayol’s Administrative Theory involves what?

Answer 7

Five Elements of Management, 14 Principles of Management. These keep the machine functioning effectively and efficiently. Any part or process that does not contribute to objectives must be replaced quickly.

Question 8

Scientific Management is also known as what?

Answer 8

Taylorism

Question 9

Taylorism/Scientific Management

Answer 9

strict control, regulation, supervision. Productivity achieved by direct and continuous managerial control.

Question 10

How does Taylorism view employees?

Answer 10

recalcitrant (obstinately uncooperative)

Question 11

Principles of Taylorism

Answer 11

• true science of each person’s work (scientific analysis of work process)
• monetary incentives main motivator for higher productivity
• hierarchy
• scientific selection, training + development of workers
• division of work and responsibility between managers and workers

Question 12

Criticisms of Taylorism

Answer 12

• maximum earnings seen as main motivator of success, may not be true ie. altruism
• fails to consider subjective side of work especially social interaction
• fails to appreciate worker reactions to new procedures and close supervision.
• too simplistic regarding productivity + morale especially regarding fatigue.

Question 13

Features of Bureaucratic Management

Answer 13

Specialisation, authority hierarchy, system of rules, impersonality, meticulous record keeping

Question 14

Fundamental principles of Classical Theory

Answer 14

personal goal setting, management by objectives (MBO)

Question 15

What does Classical Theory’s “one best way” mean

Answer 15

bench marking, standardisation, evidence-based practice

Question 16

Classical theory incentives

Answer 16

pay bonus/performance related pay eg.commission

Question 17

Limitations of Classical Theory

Answer 17

• Not evidenced - intellectual theory not result of empirical work.
• Treats men as machines - no social aspects
• Overemphasis on rules and procedures not relevant to modern, lean, adaptable organisations.

Question 18

What is Contingency Theory?

Answer 18

Managers must consider all aspects of a situation an use leadership style best suited for that situation

Question 19

What were the Hawthorne Studies?

Answer 19

Western Electric Company (1924-32) by Elton Mays
study recognised that informal organisation and group norms influence worker behaviour. Individuals have psychological and social needs.

Question 20

What is the “Hawthorne effect”?

Answer 20

awareness of being studied may affect behaviour of participants/workers

Question 21

Criticisms of Human Relations Theory

Answer 21

Oversimplified

“Hawthorne effect”

Question 22

14 Principles of Management

Answer 22

1. Division of work
2. Authority and Responsibility
3. Discipline
4. Unity of Command
5. Unity of Direction
6. Subordination of individual interest to general interest
7. Remuneration of Personnel
8. Centralisation
9. Scalar chain/Fayol’s bridge
10. Order
11. Equity
12. Stability of tenure of personnel (sufficient time for familiarity with role and organisation)
13. Initiative of workers
14. Espirit de corps

Question 23

What does “Espirit de corps” mean?

Answer 23

“union is strength” or “loyal members”

Question 24

What is the scalar chain/ fayol’s bridge

Answer 24

One of Fayol’s 14 Principles of Management - refers to the chain of supervisors from top to bottom of an organisation