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1、People and OrganizationsLecture Two: Scientific Management and Human RelationsHistorical contextGrowth in size of work enterprises in the early 20th centuryRequired specialised involvement of some people in managerial aspects of organising.Search for new more effective & efficient ways (compared wit
2、h traditional ways).Classical thinking about managementTaylors Theory of Scientific Management (tasks)Fayols Administrative Theory (management)Webers Theory of Bureaucracy (org structure)All 3 theories attempt to enhance managements ability to predict and control the behaviour of their workers.Consi
3、dered only the task function of work (ignored relational aspects of work)Scientific Management: Taylors Four PrinciplesFour inter-related elements (proposed in 1911):A science of each element of work (time and motion )Scientific selection and training of workersDivision of labour between workers and
4、 managersCo-operation between managers and workers The Purpose of the Four Principles?Intended to eliminate discretion from work processesWorkers e components: “factors of production”Control sought by avoiding human relationshipsRedistributed “power” to managementDehumanise labour? Taylor on Motivat
5、ionTaylor put forward the idea that workers are motivated mainly by pay.Workers are then paid according to the number of items they produce in a set period of time- piece-rate pay. As a result workers are encouraged to work hard and maximize their productivity. Development of piece rate systems of o
6、utput/pay.Taylors approach has close links with the concept of an autocratic management style (managers take all the decisions and simply give orders to those below them)Taylorism and FordismFrederick Taylor (1856-1915) pioneered Taylorism as job design.Henry Ford then adopted the principles of Tayl
7、orism. Henry Ford and Fordism accelerated both job fragmentation and short task cycle times in flow line principle of assembly work.Fordism accelerated both job fragmentation and short task cycle times in flow line principle of assembly work.Taylorism and FordismFordism was not without its problemse
8、.g. in 1913 Ford required about 13,500 workers to operate his factories and in that year alone the turnover was more than 50,000 workers. Annual employee turnover rate 400%Daily absenteeism rate 10%-20%Quote from Henry Ford: The jobs were “so monotonous that it seems scarcely possible that any man w
9、ould continue long at the same job”.Makes sense for managers to design jobs that workers are fitted to?Jobs are designed to be simple so they can be done by a minimally qualified worker.Costs are kept low and output increased. Worker repeatedly perform a limited number of tasks in accordance with in
10、structions given by management.Makes sense for managers to design jobs that workers are fitted to?This increases efficiency, results in uniform products and gives management increased control - as they dont have to rely on workers to tell them how long a task takes, how many people are required, how
11、 much can be completed in a given time, etc Systems-control approachManagerial work = design, control & maintain organisationOrganisation = big, social machineManagers do managerial work (skilled, org engineers, designers)Neutral technical expertiseManagers pursue organisational goals NOT own intere
12、stsThe Machine MetaphorShould we try to manage organizations as if they are machines?If we do so, what challenges will we face?The Metaphor of the MachineOrganizations are viewed as if they are machines.Managerial principlesModes of operationTreatment of workersCommunication in the organizationPrope
13、rties of MachinesVery predictableRarely deviates from the normReplace defective parts with other “standard” partsSpecific rules exist regarding repair and specific rolesOrganizational ApplicationWorkers behave predictably-management knows what to expectWorkers operating outside expectations are repl
14、acedOrganizations as MachinesThe machine metaphor appeals to minds that like orderliness - such as engineers.MacDonalds and similar service businesses are examples - they offer essentially the same product everywhere all the time at minimum cost and maximum quality - this is machine-like.Is it a goo
15、d metaphor for organizations that need to react to changing environments? If the environment changes, does a machine change? Machines can only be repaired or replaced, can they evolve or develop?It as an engineering view of organizations, rather than a rich understanding of how organizations work in
16、 reality.Scientific Management Today.Although scientific management originated at the beginning of the 20th century, its legacy is found in the design of work in service industries, call centres and elsewhere.Especially for those who do jobs that are low in skill, discretion, autonomyQuestioning Sci
17、entific ManagementScientific Management is now an old idea, but we can still see examples of it today. Where?Question: From your own personal view point what do you think are the strengths and weaknesses of Scientific Management?The effects of Taylors “scientific” systemLed to the routinization and
18、deskilling of jobs.Measured work techniques separated conception from execution and led to feelings of alienation.Video illustrationMachine metaphor examined at two restaurants.Comparative study examining division of labour, standardisation and predictability in terms of atmosphere/customer experien
19、ce; menu options and skills/ training.What does the video imply about the limitations of the machine metaphor?QUESTIONSWhy do you think many managers prefer to see organizations as machines?Why do many managers talk as if workers/people are objects like cogs in machine?Issues with the Machine Metaph
20、orSeeing and treating organizations like they are machines avoids awkward questions about interests, values, and choice of goals. Dealing with people as humans with individual needs and goals can be a messy business. It might be more comfortable for managers to ignore this and pretend that people ar
21、e cogs in a machineProblems with SMWorkers soon came to dislike Taylors approach as they were only given boring, repetitive tasks to carry out. Firms could also afford to lay off workers as productivity levels increased. This led to an increase in strikes and other forms of industrial action by diss
22、atisfied workersContemporary issues. See Amazon and Fox ConnHuman RelationsHuman relations theory is characterized by a shift in emphasis from TASK to WORKER.SOCIAL RELATIONSHIPS are at the heart of organizational behaviour.Organizational effectiveness is contingent on the social well-being of worke
23、rsWorkers communicate opinions, complaints, suggestions, and feelings to increase satisfaction and productionOrigins (Hawthorne Studies & work of Chester Barnard)Human Relations School of Management - Elton MayoHuman RelationsEmerged during First World WarHawthorne Experiments (Chicago plant of the
24、Western Electric Company)Four waves of investigations in late1920s and early 1930s (Harvard researchers, Elton Mayo) including:“Relay Assembly Experiments” 1927-1929 “Bank Wiring Room Study” 1928-1931Relay Assembly ExperimentsIndependent variables: physical conditionsDependent variable: productivity
25、Two groups of workers: experimental and controlProductivity increased in both group So, any change in work environment (better or worse) increased productivity - - “Hawthorne Effect” - -Bank Wiring Room Study14 male workers observed producing electrical components financial incentive scheme then int
26、roduced to reward increased outputKey Findings:Promise of extra pay had no effectGroup had established informal regulatory norms for production levels that they considered “fair” for the pay they receivedSub-optimal performance enforced by peer pressure, “binging”, and unofficial “leader”Informal as
27、pects of organisation may be more important than official rules and hierarchyExamples of these Informal AspectsRestriction of output: groups norms & sanctions You should not turn out too much work. If you do, you are a “rate-buster”You should not turn out too little work. If you do you are a “chisel
28、er” (liar)You should not tell a supervisor anything that will react to the detriment of an associate. If you do you are a “squealer.”You should not attempt to maintain a social distance or act officious. If you are an inspector, for example, you should not act like one.So, Mayo concluded thatThe nee
29、d for recognition, security, and sense of belonging is more important in determining a workers morale and productivity than the physical conditions under which he works. (Mayo, 1933)Mayos view is different from Taylors assumption that “society is a horde of unorganized individuals.acting in a manner
30、 calculated to secure his self-preservation or self-interest”Human Relations: the implicationsIndustrial malaise defeated by more “human” managementNeed to develop social skills of managersMorale and motivation can be improved if managers sensitive to workers social needsManagers should intervene in
31、 “informal” organization to build a “new moral order” based on co-operation and consentControl sought through interpersonal relationshipsAssembly lines 1920sAssembly line 1930sAlternative framingOrganisations are NOT best framed or understood as goal-based systems which can be designed managed and c
32、ontrolled like an engineer designs manages & controls a machineThey are MORE USEFULLY framed as ongoing human relationships involving processes of constant negotiation, exchange, persuasion, power etc.This is a shift from a systems-control framework to a process-relational one (Tony Watson )Process
33、relational framingManagerial work NOT application of science, technology etcARTSocial, moral, political, economic Skills of negotiation, persuasion, political awareness etcCRAFT requiringAbility to interpret thoughts & wants of others (sensitively)Facility to shape meanings, values, commitmentsWhy?
34、Organisations involve people with a huge range of different goals and expectationsProductive cooperation has to be worked for and wonHuman Relations Movement and job redesignManagers need to do more than concentrate on more than economic incentives.Recognition and social cohesion important.Need to c
35、ultivate a climate that meets the social needs of the workers.Neo human relations movement1960s and 70s- Also known as quality of working life movement.Emphasised fulfilment of social needs by posing fragmented jobs.Created five principles of good job design that challenged the core principles of scientific management.SM and HR compared?SM and HR at first sight appear to be very different.How they both share the same purpose, even if their methods
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