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Management 300. Week 5 Notes. Chapter 2

by: Annalisa Notetaker

Management 300. Week 5 Notes. Chapter 2 MGT 300

Marketplace > Ball State University > Business, management > MGT 300 > Management 300 Week 5 Notes Chapter 2
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These cover in class lecture and book materials
Managing Behavior in Organizations
Charles Michael Horvath
Class Notes
MGT 300 Chapter 2
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This 5 page Class Notes was uploaded by Annalisa Notetaker on Tuesday February 9, 2016. The Class Notes belongs to MGT 300 at Ball State University taught by Charles Michael Horvath in Fall 2016. Since its upload, it has received 56 views. For similar materials see Managing Behavior in Organizations in Business, management at Ball State University.

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Date Created: 02/09/16
Week 5 Chapter 2 Management 300 Scientific Management Theory =the systematic study of relationships between people and tasks for the purpose of redesigning the work process to increase efficiency.  Most well defined by Frederick W. Taylor. Job specialization= —the process by which a division of labor occurs as different  workers specialize in tasks—improves efficiency and leads to higher organizational  performance.   Specialized jobs became very dull, boring, and repetitive  Scientific Management  Principle1 : Study the way workers perform their tasks, gather all the informal  job knowledge that workers possess, and experiment with ways of improving how tasks are performed.  Principle 2: Codify the new methods of performing tasks into written rules and  standard operating procedures.  Principle 3 : Carefully select workers who possess skills and abilities that match  the needs of the task, and train them to perform the task according to the  established rules and procedures.  Principle 4 : Establish a fair or acceptable level of performance for a task, and  then develop a pay system that rewards performance above the acceptable level. Gilbreths   Followers of Taylor   Studied fatigue and how physical characteristics of the workplace affected job  stress and performance. Administrative Management = The study of how to create an organizational structure  and control system that leads to high efficiency and effectiveness. Organizational structure – system of task and authority relationships that control how  employees use resources to achieve the organization’s goals Max Weber = created principles of bureaucracy Principle 1: In a bureaucracy, a manager’s formal authority derives from the position he or she  holds in the organization. Principle 2: In a bureaucracy, people should occupy positions because of their performance, not  because of their social standing or personal contacts. Principle 3: The extent of each position’s formal authority and task responsibilities, and its  relationship to other positions in an organization, should be clearly specified. Principle 4: Authority can be exercised effectively in an organization when positions are  arranged hierarchically, so employees know whom to report to and who reports to them. 20 Principle 5: Managers must create a well­defined system of rules, standard operating procedures, and norms so they can effectively control behavior within an organization. Authority=  The power to hold people accountable for their actions and to make decisions concerning the use of organizational resources. Rules=  are formal written instructions that specify actions to be taken under different circumstances to  achieve specific goals Standard Operating Procedures=  Specific sets of written instructions about how to perform a  certain aspect of a task. Norms:  Unwritten, informal codes of conduct that prescribe how people should act in particular  situations and are considered important by most members of a group or organization. Fayol’s Principles of Management Division of labor= Job specialization and the division of labor should increase efficiency, especially if  managers take steps to lessen workers’ boredom.  Authority and responsibility= Managers have the right to give orders and the power to exhort  subordinates for obedience.  Unity of command= An employee should receive orders from only one superior.  Line of authority= The length of the chain of command that extends from the top to the bot­ tom of an  organization should be limited.  Centralization= Authority should not be concentrated at the top of the chain of command.  Unity of direction= The organization should have a single plan of action to guide managers and workers.  Equity =All organizational members are entitled to be treated with justice and respect.  Order = Arrangement of organizational positions should maximize organizational efficiency and provide  employees with satisfying career opportunities.  Initiative =Managers should allow employees to be innovative and creative.  Discipline= Managers need to create a workforce that strives to achieve organizational goals.  Remuneration of personnel =The system that managers use to reward employees should be equitable for  both employees and the organization.  Stability of tenure of personnel= Long­term employees develop skills that can improve organizational  efficiency.  Subordination of individual interests to the common interest =Employees should under­ stand how  their performance affects the performance of the whole organization.  Esprit de corps =Managers should encourage the development of shared feelings of comrade­ ship,  enthusiasm, or devotion to a common cause. Behavioral Management Theory  = study of how managers should personally behave to motivate employees and encourage them to perform at high levels and be committed to achieving organizational goals. Mary Parker Follett  Brought out the human side of the organization   Suggested that workers help with analyzing the work  Workers should be in control of the work process, and managers should be  coaches and facilitators—not as monitors and supervisors. Hawthorne Studies   Worker productivity was measured at various levels of light  illumination.  Whether the light levels were raised or lowered, worker productivity  increased. >Hawthorne Effect: manager’s behavior or leadership approach can  affect workers’ level of performance Human relations movement  = which advocates that supervisors be behaviorally trained to manage subordinates in ways that elicit their cooperation and increase their  productivity. Informal organization =The system of behavioral rules and norms that emerge in a group. Organizational behavior =The study of the factors that have an impact on how individuals and  groups respond to and act in organizations. Theory X and Y  Theory X=  A set of negative assumptions about workers that leads to the conclusion that a  manager’s task is to supervise workers closely and control their behavior. Theory Y= A set of positive assumptions about workers that leads to the conclusion  that a manager’s task is to create a work setting that encourages commitment to  organizational goals and provides opportunities for workers to be imaginative and to  exercise initiative and self­direction. Theory X  o The average employee is lazy, dislikes work, and will try to do as little as possible.  o To ensure that employees work hard, managers should closely supervise employees.  o Managers should create strict work rules and implement a well­defined system of rewards and  punishments to control employees. Theory Y  o Employees are not inherently lazy. Given the chance, employees will do what is good for the  organization. o  To allow employees to work in the organization’s interest, managers must create a work setting  that provides opportunities for workers to exercise initiative and self­direction.  o Managers should decentralize authority to employees and make sure employees have the resources necessary to achieve organizational goals. Management Science Theory =Contemporary approach to management that focuses on the use of rigorous quantitative  techniques to help managers make maximum use of organizational resources to produce  goods and services. Open System=  A system that takes in resources from its external environment and converts them into  goods and services that are sent back to that environment for purchase by customers. Closed System=  A system that is self­contained and thus not affected by changes occurring in its  external environment. Entropy=  The tendency of a closed system to lose its ability to control itself and thus to dissolve and  disintegrate. Synergy=  Performance gains that result when individuals and departments coordinate their actions. Contingency Theory =The idea that the organizational structures and control systems manager  choose are contingent on characteristics of the external environment in  which the organization operates.  Tom Burns and G.M.  Stalker  “there is no one best way to organize”  Mechanistic Structure =An organizational structure in which authority is centralized, tasks and  rules are clearly specified, and employees are closely supervised. Organic Structure =An organizational structure in which authority is decentralized to middle  and first­line managers and tasks and roles are left ambiguous to encourage  employees to cooperate and respond quickly to the unexpected


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