PUBADM2U

HUMAN RELATION THEORY: - (ELTON MAYO)

TAYALORIAN PRINCIPLES & CLASSICAL MAXIMUM 2E’S MAXIMUM PRODUCTION.

Up to 1927 production started decrease through all the principles & theories advocated by the Taylor and other behavioural scholars applied. It became the big problem as the management was getting very less benefit.

FIRST ENQUIRY:-

TEXTILE MILL

Aabsentism of worker

Worker were leaving the job frequently

2E’S Decreases

Production decreases

Elton mayo was Para psychologist.

Mayo was conducting a seminar and giving very new idea related to H.R.

The textile mill called mayo to provide remedy.

Mayo and his team observed the problem in the mill. And found that fatigue due to which the workers were leaving the job.

SOLUTION:-

REST

Two breaks 1^st meeting /half

2^nd break 2^nd half

Supervisor gets annoyed they were not getting rest.

Solution:- switch of the machines during break.

Result 2 E’S INCREASES

PRODUCTION INCREASES

WESTREN ELECTRIC COMPANY HAWTHRONE (U.S.A)

Problem – production decrease.

Manager of the company was retired colonel. (Disciplined, very careful and caring)

He also applied all the principles known up to them but result was low production. Then mayo was called by the manager. Mayo was conducting a series of experiment in the company.

The 1^st experiment was:-

GREAT ILLUMINATION: - To examine whether work condition effect the production or not. Two groups of 6-6 girls were made and were put separated. One group got always stable and good light. Other got fluctuated and poor light. But both produce more. Finally they concluded that work condition do not affect the production.

RELAY ASSEmbly:- Two group of 5-5 girls.

Both produce more.

BANK WIRING ROOM EXPERIMENT:-

The purpose of the next study was to find out how payment incentives would affect productivity. The surprising result was that productivity actually decreased. Worker apparently had become suspicious that their productivity may have been boosted to justify firing some of the workers. Later on the study was conducted by Elton mayo and w. Lloyd worker between 1931 and 1932 on a group of fourteen mans who put together telephone switching equipment. The researcher found that although the workers were paid according to individual productivity. Productivity decreases. Because the men were afraid that the company would lower the base rate. Detailed observation of the men revealed. The existence of informal groups or “cliques” within the formal groups. These cliques developed informal rule of behaviour as well as mechanism to enforce them. The cliques served to control group members and to manage bosses; when bosses asked questions, clique members gave the same responses, even if they were UN true. This result shows that workers were more responsive to the social force of their peer groups than to control and the incentives of management.

PERSONAL OBSERVATION /INTERVIEWS:-

Nurses were given by the researcher a form of questionnaire.

Questions

They concluded that worker followed the social norms divided by the worker and social group. These social norms were as follows.

1) Rate buster:- one who produce more than the social norm.

2) Chiseler:- the one who produces less than the norm.

3) Squaller :- the one who complain the management about his peer.

No one should not act officious.

RESULT:- in this way mayo and his team concluded that human being are the social man they do not follow the pre-determined rule and regulation rather social norms.

Organisation must be completely informal can be motivated by the social & psychological satisfaction. They are not the instrument of production.

LUTHER GULICK AND LYNDALL URWICK

LUTHER GULICK AND LYNDALL URWICK

FORMAL ORGANISAION THEORY

- PAPER ON THE SCIENCE OF ADMINISTRATION 1937

GULICK SPECIFIED THE FOLLOWING TEN PRINCIPLES OF ORGANISATIONS:

1) DIVISION OF WORK OR SPECIALISATION

2) BASIS OF DEPARTMENTAL ORGANISATIONS

3) COORDINATION THROUGH HIERARCHY

4) DELIBERATE COORDINATION

5) COORDINATION THROUGH COMMITTES

6) DECENTRALISATION OR THE HOLDING COMPANY IDEA

7) UNITY OF COMMAND

8) STAFF AND LINE

9) DELEGATION

10) SPAIN OF CONTROL

However, the most important principle, according to gulick is division of work (specialisation). Thus, he wrote. “work division is the foundation of organisation; indeed the reason for organisation. Division of work and integration are the bootstraps by which mankind lifts itself in the process of civilisation.”

Similarly, urwick specified eight principles of organisation:

1) PRINCIPLE OF OBJECTIVE:- an organisation should have an expressed objective.

2) PRINCIPLE OF CORRESPONDANCE:- at all levels authority and responsibility must be coterminous and coequal.

3) PRINCIPLE OF RESPONSIBILITY:- the superior must take absolute responsibility for the work of their subordinates.

4) SCALAR CHAIN:- a pyramidical type of structure should be built in an organisation.

5) PRINCIPLE OF SPAIN OF CONTROL:- No supervisor can supervise the work of more than five or at the six subordinates whose work inter- locks.

6) PRINCIPLE OF SPECIALISATION:- Limiting one’s work to a single function.

7) PRICIPLE OF COORDINATION:- Harmonious functioning of different parts of the organisation.

8) PRINCIPLE OF DEFINATION:- Clear prescription(defining in writing) of duties, authority and responsibility of each position and its relationship with other positions.

BASIS OF DEPARTMENTAL ORGANISATION.

Gulick has given 4P formula regard with the establishment of departments, universally.

- P purpose

- P process

- P person

- P place

According to him the organisation made on the basis of purpose, process, person or place.

1) Purpose based organisation: means the organisation which are formed for a particular purpose such as conducting coordination.

2) Process based organisation: refer the organisation in which basically the processing is done like ministry of law, statistic department, accounting department etc.

3) Person based organisation: are the organisation which are formed to serve any particular target group, community or society like department of scheduled caste, minorities etc.

4) Placed based organisation: are basically formed to serves any particular territory.

Though gulick has given separate basis idea. but in the modern organisation are having all the basis inherent. Whether, they are formed on any basis of purpose. It must have some process serve a particular target group will be located in a particular territory.

FUCTIONS OF EXECUTIVE/MANAGER

LUTHER GULICK explains Seven element of administration (or function of the chief executive ) in following ways:-

P---PLANNING:- this is the working out in broad outline the things that need to be done and the methods for doing them to accomplish the purpose set for the enterprise.

O---ORGANISING:- that is the establishment of the formal structure of authority through which work sub-divisons are arranged , defined and coordinated for the defined objectives.

S---STAFFING:- this is the whole personnel function of bringing in and training the staff and maintaining favourable conditions of work.

D---DIRECTING:- this is the continuous task of making decisions and embodying them in specific and general orders and instructions and serving as the leader of the enterprise.

CO---COORDINATING:- that is all important duty of interrelating the various parts of the work.

R---REPORTING:- that is keeping informed those to whom the executive is responsible as to what is going on. This includes keeping oneself and one’s subordinates informed through records, research and inspection.

B---BUDGETING:- all that goes with budgeting in the form of fiscal planning ,accounting and control.

HENRY FAYOL (FRENCH) (CLASSICAL SCHOLARRS).

HENRY FAYOL (FRENCH) (CLASSICAL SCHOLARRS).

( GENERAL AND INDUSTRIAL MANAGEMET 1916)

Categorised the activities of industrial undertaking into following six activities.

1) TECHNICAL

2) COMMERCIAL

3) FINANCIAL

4) ACCOUNTING

5) SECURITY

6) ADMINISTRATIVE OR MANAGERIAL

Fayol said that 1^st five activities are segmental. While, 6^th is polistic activity.

For the segmental activity exclusive and expert knowledge required (technical knowledge). While the administrative/managerial activity need generalistic knowledge (knowledge of several fields).

The administrative activity cover all the segmental activities. Therefore manager need more and more attention in the organisation.

Fayol advocated that an administrator or manager has to perform following 5 type of function (element of management or administration.

1) P --------------- PLANNING

2) O--------------- ORGANISING

3) C--------------- COMMANDING

4) C--------------- COORDINATION

5) C--------------- CONTROL

For Fayol planning was PREVOYANCE i.e. to for see and plan. That is having the futuristic vision and planned accordingly. Infect all the administrative function according to fayol depend on planning.

In the organisation for the performance activities one needs skills. Technical and managerial skills. Fayol have listed managerial skills as follows.

1) Physical and mental capacity

2) General education

3) Specialised knowledge

4) Experience and morale

Further fayol said that in the organisation both technical and managerial skills are required. In at the lowest level of organisation only technical skills are required as one goes to the hierarchy. At the middle level both are required. While, at the top level only managerial skills are required.

Fayol believed that leaders can be made. He opined that management can be taught and should be taught. In other words according to fayol in the educational istitutions management as a discipline or subject or course must be started. He said that it should be started at school level. It is very unfortunate that it was highly ignored. Its has been brought in the educational institutions.

Fayol was concerned with the maximisation of production. And for this purpose he also believed that the efficiency and economy has to be maximised in the organisation.

In this regard he said that there might be no of principles of administration but the most important is following fourteen principles which have to be applied by the management in the organisation to get maximum production

Fayol’s principles are listed below:-

1) DIVISON OF WORK: when employees are specialized, output can increase because they became increasingly skilled and efficient.

2) AUTORITY: managers must have authority to give orders, but they must also keep in mind that with authority comes responsibility.

3) DISCIPLINE: discipline must be upheld in organisations, but methods for doing so can vary.

4) UNITY OF COMMAND: employees should have only one direct supervisor.

5) UNITY OF DIRECTION: teams with the same objective should be working under the direction of one manager, using one plan. This will ensure that action is properly coordinated.

6) SUBORDINATION OF INDIVIDUAL INTEREST TO THE GENERAL INTEREST: The interest of one employee should not be allowed to become more important than those of group. This include manager.

7) REMUNERATION: employee satisfaction depends on fair remuneration for everyone. This include financial and non- financial compensation.

8) CENTRALISATION: This principle refers to how close employees are to decision –making process. It is important to aim for appropriate balance.

9) SCALAR CHAIN: employees should be aware of where they stand in the organisation’s hierarchy, or chain of command.

10) ORDER: The workplace facilities must be clean, tidy and safe for employees. Everything should have its place.

11) EQUITY: Managers should be fair to staff at all times, both maintaining discipline as necessary and acting kindness where appropriate.

12) STABILITY OF TENURE OF PERSONNEL: Managers should strive to minimize employee turnover. Personnel planning should be priority.

13) INITATIVE: Employee should be given the necessary level of freedom to create and carry out plans.

14) ESPRIT DE CORPS: Organisations should strive to promote team spirit and unity.

NO EMBIQUITY

QUESTION DOES NOT ARISES.

HOW TO FOLLOW?

WHEN TO FOLLOW WILL NEVER DISTURBED THE FUNCTIONING.

- IN MULTIPLEX COMMAND SUCH PROBLEMS EMERGED. MULTIPLE COMMAND GIVEN BY TAYLOR.

SCALAR CHAIN

Fayol opined that the organisation should be based on the superior subordinate relationship. He suggested that the chain of superiors ranging from ultimate authority to lower ranks from the top to bottom.

The chain of authority should not be broken at each level and employer must have an immediate loss who himself as a boss and they should go up to the level of managing director. No body must be out of the chain. According to him it serves multiple purpose such as.

1) Provide channel for authority

2) Or communication upward, downward & sideways.

3) Decision making

4) Maintenance of discipline etc.

Fayol advocated the functioning of the organisation must be based on the principle through proper channel i.e. in the functioning no anywhere should be skipped. It helps the chief of organisation to be informed above each and every activity activity in the organisation. And also help to integrate the entire organisation. It also provide several level of scrutinizing. The biggest problem is that it delay’s the work. Fayol was aware of this fact then also he emphasized that it should not be violated but for the emergency type of work he suggested alternative method known as GANG PLANK

Gang plank provide for level jumping in the organisation be precaution again. But in normal condition the principle through proper channel has to adhere closely. The gang plank should be applied during emergency type of work. Under the gang plank he said that a subordinate with the prior permission of his immediate superior can jump the level e.g. D can directly contact to B

But after the complition of task the subordinate has to report his immediate superior. Thus the gang plank may work to be performed pastly and with the permission of immediate superior. The chief of the organisation always informed.

SCIENTIFIC MANAGEMENT THEORY

Scientific Management Theory- given by Fredrick Winslow Taylor

This theory is only related to the workshop level of organisation/shop level

-this theory only related to workers or laboures or foreman.

- in the organisation there should be science not rule of thumb.

- scientific selection of worker is not in organisation.

- training

- harmony not discord.

- soldering phenomenon- (avoidence of work).

- conflict between manager and workers:- avoidence of responsibility of production.

- workshop level is not scientifically structure, that is why he suggested functional foremanship.

Taylor started his carrer as an apprentice and reached upto the top level of organisation. In his carrer he experinced a lot of problem in the organisation which wer restricting the production. Actually the production was very low, what taylor found was, lack of efficiency and economy in the organisation resonsible for low production. He find out several factors responsible for the low level of efficiency and economy.

He saw that there is, rule of thumb in the working of the organisation. The workers at the workshop level working on the basis of their own knowledge and experence and even with their tools, taylor found it highly unscientific. Hence forth suggested that scientific selection of worker and empowering Training, to make them skill and inturned improvement in the individual efficiency, similarly he suggested use of scientific rules to maximize the efficiency and economy and there by production.

SOLDERING PHENOMENON:- taylor found that in the organisation there is tendency of avoidence of work he termed it as the soldering phenomenon. He identified two type of soldering namely.

1) Natural

2) Systematic

He believed that the tendency of workers to avoid the work can also be removed from the organisation, in this regard he suggested.

- Standardization of work for a day

He advocated that everyone has to achieve the standard; he suggested use of TIME STUDY & MOTION STUDY. With the help of stopwatch. He suggested that every workers to achieve the standard.

NEW WAGE SYSTEM:- after the standardization of work Taylor suggested a new wage system popularly known as differential piece rate system. Under this system he propose per unit wage in this manner, those worker who performed better get more wage or salary then the poor performance. Further, he propose bonus to be given, if any worker produces more then the standard. The bonus was also based on per unit. Therefore, it is clear that Taylor considered the human being as an economic man.

According to Taylor the workers who produces more will get more and the less producer get less. Taylor advocates that human being can only be motivated by monetary incentives. Similarly, for the motivation of worker he suggested “carrot and stick theory of worker.”

AVOIDENCE OF RESPONSIBILITY: - Taylor found both managements and workers work not taking the responsibility of production. Workers were complaining that management have shaded all the responsibility of production on us, while it is the responsibility of management. Management was saying the production is the responsibility of workers.

In this regard Taylor has given the idea of management by exception. Under this principles Taylor suggested that management should interfere in the day to day functioning of workshop exceptionally. Further, he said that worker also should not complain to the management unnecessarily. The both should take the responsibility of production in their own area of work and responsibility. The both should take the responsibility of production in their own area of work and responsibility.

DISCORD:- Taylor identified that the reason of discord /conflict between management and worker is sharing of profit. Management complain that they are getting less profit as they are paying much to the workers. While, worker complain that they are getting very less in compare to their contribution.

According to Taylor once the production is maximized the conflict will be removed automatically as both the management and worker will get more profit. But Taylor concerned by saying that “management are not only the two party in an industrial organisation” Taylor said that the consumer are the third party at they should also be benefitted due to the increase to raise as maximization of production.

It is the responsibility of management to produce product in lesser cost and supply to the consumer in lesser cost. It is kind of social concerned of Taylor.

Functional foremanship: - Taylor found that there is ambiguity in in the functioning of workshop. Functions are not divide and structured welled. According to Taylor it was also the reason of lack of efficiency and economy & poor production. Therefore he suggested functional foremanship. Functional foremanship is divided (division of work). He divide the function into planning and executive function and suggested four foreman in each planning shell-

TIME AND CAST CLERK, ROOT CLERK, INSTRUCTION CARD CLERK, SHOP DISCIPLINARIAN.

EXECUTIVE SHELL:-

GANG BOSS, REPAIR BOSS, SPEED BOSS & INSPECTOR.

Therefore he put the worker under the command of 8 foreman. it is multiplicity of command. The later classical scholar advocated unity of command.

MENTAL FREVOLUTION:-

Finally Taylor came to the conclusion that what the technique have suggested under the scientific management are not the scientific management. According to him the essence of scientific management lies in mental revolution . i.e. the change in the mental attitude of both the management and workers. Taylorarian principle are not the abstract principles but are operational instruments. And thus nothing to be achieved unless individual workers and manager are not mentally prepared to apply them. There will not be any use of scientific management. Similarly, both the management and worker have to change their mental attitude to adopt the scientific management theory.

THEORIES

BASIS OF COMPARISION	CLASSICAL SCHOLAR	HUMAN RELATION SCHOLAR	BEHAVIURAL SCHOLAR	POST BEHAVIOURAL SCHOLAR	CONTEMPORARY SCHOLAR
STUDY organisation	Method was normative i.e. “what ought to be” prescriptive based on experience value loaded not based on facts. Lack scientificness Lack universalism claimed they claimed their theories and principles are scientific. i.e. why can be applied universally and in any field of public & private administration. If applied will maximize the efficiency & economy & production. They said that organisation is formal. No personal relation among the employees. They should work on the basis of pre- determined rules and regulation. Thus they consider human being on the basis of instrument of production. Organisation completely close Human being is economic man. i.e. can only be motivated by monetary incentives. Complete rational. i.e. who can choose the best and can full fill his own interest at the best. Theories and principles of management with the emphasis on the function of executives like CEO, MANAGER, etc. CLASSICAL AUTHORITY- POSITIONAL Authority lies in the post/position of the incumbent. -coercive i.e. forcefulness The chief of the organisation has ultimate authority. Therefore the subordinate get authority due to deliberation of authority by chief. Conflict:- classical were almost against the conflict they consider it as destructive for the organisation. That is why they tried that no any conflict should emerged in org. if emerges then supressed forcefully dominance method of conflict resolution Flow of authority TOP to DOWNWARD.	Maximum of production They were also tried to increase economy & efficiency. Observation Observe the behaviour of organisation. They concluded that human being in the organisation work on the basis of the social relation not the basis of pre- determined rule and regulation. Organisation is informal. Completely open. Human being is a social man i.e. can only be motivated by psychological aspects not by the economic incentives. Human being is complete irrational.	Based on empirical study Based on positivism The knowledge that can inject through the body senses empirically is truth. That is why factual analysis. Classical studies was highly un scientific because that was based on the experiences. therefore he suggested that the need is scientific study and that can achieve through empirical study. Empirical study emphasis “what is” i.e. the reality or actuality of the organisation. Organisation is both formal and informal. Half open half closed. Human being is administrative man can be motivated by both intrinsic (work) and extrinsic (social). Human being is bounded rationality (limited)choses satisficing (satisfactory + suffice) Value free idea i.e. scientific idea	It is based on NEW PUBLIC ADMINISTRATION. In the study of new public administration the need is relevant knowledge whether it is science or not does not matter that should have values, Can being changed should establish social equity in society	It is based on CHOICE OF PUBLIC. ---liberalisation ---privatization ---globalisation Challenge to public administration is:- 1) Cope of the fast changing global environment. 2) Effective supplies of good & services to uplift the deprived section of society