Management of People

Question 1

What is management?

Answer 1

The act of getting things done through others. It is the process of achieving objectives by planning, organizing, controlling and motivating resources.

Question 2

The Classical Theory

Answer 2

Had little concern for human element. FW Taylor (1856-1917) the father of Scientific Management viewed man as an economic animal.

Question 3

Principles of Scientific Management

Answer 3

1) Management should have rules, laws and principles
2) Workers needed to be trained and given best suited jobs
3) Equal division of tasks and responsibility between workers and management
4) Consistent co-operation between management and employees

Question 4

Elements of Scientific Management

Answer 4

1) Separate planning from actual performance
2) Careful selection of workers for tasks
3) Closely monitor workers performance and document findings
4) Job analysis
5) Standardization of tasks based on job analysis

Question 5

Success and Applications of SM

Answer 5

1) Factory benefited from increased profuctivity
2) Some organizations benefited from increased profits
3) Theories led to development of specialization

Question 6

Limitations of SM

Answer 6

1) Tasks become boring
2) Output was the only measure of workers day tasks
3) His view of man as only motivated by money was criticized

Question 7

Contributions of SM to society

Answer 7

1) Specialization
2) Piece rate system of payment
3) Economic Man principle
4) Staff Appraisals
5) Recruitment and Selection Process

Question 8

Administrative Management

Answer 8

Popularized by french industrialist Henry Fayol who is regarded as Father of Modern Day Management

Question 9

Six Business Activity Groups

Answer 9

1) Technical - Production
2) Commercial -Buying or selling
3) Financial - raising capital
4) Security - job or physical
5) Accountant - record keeping
6) Managerial

Question 10

Five Functions of Management

Answer 10

1) Planning - establishing objectives and developing strategies
2) Organising - delegation of responsibility to get job done
3) Commanding - giving clear instructions
4) Coordinating - harmonizing the activities of employees towards a common goal

Question 11

Fayol’s 14 Principles of Management

Answer 11

1) Division of Labour
2) Authority or Responsibility
3) Obedience or Discipline
4) Unity of Command
5) Unity of Direction
5) Co-ordination of individual interest with general interest of firm
7) Remuneration - workers must be paid fairly
8) Centralization - degree of which subordinates are involved in decision making
9) Scalar Chain - must be clear line of authority
10) Equity - employees should be traeted fairly
11) Order
12) Stability of the Tenure or Personnel - high turnover rates are deemed inefficient
13) Initiative - employees should bde allowed to orginate and implement plans
14) Espirit De Corp - Siprit of Co- operation

Question 12

Bureaucratic Management

Answer 12

Founding Father Max Weber

Question 13

Three Types of Legitimate Authority

Answer 13

1) Traditional Authority - monarchies, tribal hierarchies
2)Charismatic Authority - Acceptance from personal qualities of a ruler of leader
3) Legal or Rational Authority - Acceptance arises from position or rank in organization

Question 14

Main Features of Bureaucratic Management

Answer 14

1) Division of Labour
2) Authority if Hierarchy
3) Formal Selection
4) Career Orientation
5) Formal rules and control
6) Impersonality - rules and controls should be applied and adhered impersonally

Question 15

Advantages of Bureaucracy

Answer 15

1) Ideal for Standardized routine
2) Efficiency
3) Rigid adherence to procedures is necessary for fairness
4) Some people like structure

Question 16

Disadvantages of Bureaucracy

Answer 16

1) Slow decision making because organization’s complexity
2) inhabits people’s growth
3) Represses creativity and initiative
4) Communication is restricted
5) Difficult to deal with change in environment

Question 17

Contributions to modern organizations

Answer 17

1) Design prototype for large organizations
2) Offices, positions and skills needed to be organized into a hierarchy
3) Employees still depend heavily on formal selection and rules
4) Importance of accountability

Question 18

The Human Relations or Behavioural School

Answer 18

Emphasized the importance of human attitudes, values and relationships for effective functioning

Question 19

Elton Mayo (1880-1890)

Answer 19

The Hawthrone Study - conducted at electronic company Hawthrone plant to determine the effects of working conditions on productivity. With help of Fitz Roethlisberger the study switch from effect if lightning to effect when female workers could supervise themselves. The study reveaked the privilege boosted workers morale

Question 20

Outlines of Hawthrone Study

Answer 20

1) Workers were not only motivate by money
2) Management needed to analyse employee’s atitudes
3) Effective supervision should be place on informal groups

Question 21

Contributions of Hawthrone study to Modern Organizations

Answer 21

1) Brought human dimension of working into management
2) Paved way and justified modern-day employee assistance
3) Developed the feild of HRM

Question 22

Limitations of Hawthrone Study

Answer 22

Complexity - People were motivated by more than one need and there was no simple formula

Question 23

The Douglas McGregor Theory

Answer 23

Behavioural Theorists who formed Theory X and Theory Y

Question 24

Theory X

Answer 24

Assures some employees are lazy , unmotivated, unambitious, avoid responsibility, self-centered, in-different about organizational goals and prefer to be directed. This calls for a proactive leader managing who will most likely use the Authoritative Style of Management

Question 25

Theory Y

Answer 25

Assumes subordinates are self motivated, seeks responsibility, can be creative and self directed. Leaders must use a Participative style of management.

Question 26

The Classical View

Answer 26

1) People try to satisfy economic needs at work
2) No conflict between individual and organizational needs
3) People believe more money = better work
4) People act to satisfy individual needs

Question 27

Human Behavioural View

Answer 27

1) People are motivated by many needs
2) We are independent - behaviour is shaped by social context
3) Management is only factor affecting behaviour
4) Teamwork is essential for co-operation
5) Job Satisfaction leads to Productivity
6) Good managers need social and technical skills

Question 28

The Systems Approach

Answer 28

Katz & Khan - focuses on organization as a system that transform inputs and outputs. There are a number of subsystems that connect to accomplish a purpose/task

Question 29

Four Elements of a Organization (Systems Approach)

Answer 29

1) Input - people, material, money or information
2) Transformation - managerial or technological process
3) Output - goods and services that are produces
4) Feedback - includes possible reactions from enviroment

Question 30

Characteristics of Systems Theory

Answer 30

1) Subsystems - e.g production, marketing, and accounting are all dependent
2) Entropy - natural pricess which things die, if a sytsem is closed (shuts out effects of external enviroment) the system will not survive
3) Cyclical - returns of outputs are plunged back to gain inputs to complete the cycle of production once again.
4) Synergy - this is the concept that total output of the system is greater than sum of parts

Question 31

The Contingency Theory

Answer 31

Popularized by Joan Woodward (1950s) and Lawerence and Lorsch (1967). Based on premise that management was dependent on variables of situation faced. “It all depends”

Question 32

Main Ideas of Contingency Theory

Answer 32

1) A universale one best way to manage does not exist
2) Organisations should ensure coordination between design and subsystems and enviroment
3) For organizations to be effective, subsystems must be in sync

Question 33

Contributions of Contingency Theory

Answer 33

1)It can be applied to alomst any organization
2) To experiment until you find the right means
3) To think outside the box

Question 34

Functions of Management

Answer 34

Planning
Organizing
Staffing
Leading
Controlling