H/SS/11/1342 ASSIGNMENT ON: OTM 31 QUESTION: ADVANTAGES & DISADVANTAGES OF BUREAUCRACY

SOME ADVANTAGE OF BUREAUCRACY: Clear division of work with boundaries to responsibilities. Formal (written) rules and procedures resulting in predictability and reutilization. A well-defined hierarchy of authority. Appointments to posts based on technical competence. Formal (written) documentation of actions and decisions. Bureaucratic control system is a strategic was based around internal labor market and the winning of employee commitment through the prospect of long term career advancement includes job security, pension packages and Training & development. Bureaucracies helped HRM in recruitment, performance appraisal, and other systems. A bureaucratic system brings to the overall running and efficiency of a business and its employees. In a bureaucracy each employee of the organization knows precisely what their duties are within the organization, and therefore many tasks will be performed a lot quicker and more efficiently. The clear-cut rules set by bureaucratic systems also enable the organization...

THE DISADVANTAGE OF BUREAUCRACY:

Emphasis on control can prompt rigidity of behavior and defensive routines. Division of task and responsibility can elevate departmental goals above whole system, resulting in sub-optimizing behavior. Minimal acceptable standards can become transformed into targets and behavioral norms. Rules and procedures can become ends in themselves. A bureaucracy was used to command and control. One important strand in the driver against bureaucracy has been the ideological shift which urged the primacy of the market. There is a shift from internal labor market techniques to external methods. Throughout the world, many large companies are still bureaucracies. The primacies of the market along with de-regulations have put pressure on large companies Anonymous

FEDERAL POLYTECHNIC, ILARO

P.M.B. 50. ILARO. OGUN STATE.

ASSIGNMENT ON: OFFICE ADMINISTRATION MANAGEMENT

COURSE CODE: OTM 314

MATRIC NO:

H/SS/11/1342

QUESTION:
FIND THE THEORY OF MANAGEMENT OF THE FOLLOWING: (I) (II) (III) HENRI FRAYOL THEORY FEDERICK TAYLOR THEORY VICTOR VROOM THEORY

Submitted to: MR. ORIJA

December, 2011

(1)

HENRY FRAYOL'S THEORY OF MANAGEMENT

Henri Fayol (born 1841 in Istanbul; died 1925 in Paris) was a French management theorist. Henri Fayol was one of the most influential contributors to modern concepts of management, having proposed that there are five primary functions of management: (1) Planning, (2) Organizing, (3) Commanding, (4) Coordinating, and (5) Controlling (Fayol, 1949, 1987). Controlling is described in the sense that a manager must receive feedback on a process in order to make necessary adjustments. Fayol's work has stood the test of time and has been shown to be relevant and appropriate to contemporary management. Many of todays management texts including Daft (2005) have reduced the five functions to four: (1) Planning, (2) organizing, (3) leading, and (4) controlling. Drafts text is organized around Fayol's four functions. Fayol believed management theories could be developed, then taught. His theories were published in a monograph titled General and Industrial Management (1916). This is an extraordinary little book that offers the first theory of general management and statement of management principles. Fayol suggested that it is important to have unity of command: a concept that suggests there should be only one supervisor for each person in an organization. Like Socrates, Fayol suggested that management is a universal human activity that applies equally well to the family as it does to the corporation. Fayol has been described as the father of modern operational management theory (George, p. 146). Although his ideas have become a universal part of the modern management concepts, some writers continue to associate him with Frederick Winslow Taylor. Taylor's scientific management deals with the efficient organization of production in the context of a competitive enterprise that has to control its production costs. That was only one of the many areas that Fayol addressed. Perhaps the connection with Taylor is more one of time, than of perspective. According to Claude George (1968), a primary difference

between Fayol and Taylor was that Taylor viewed management processes from the bottom up, while Fayol viewed it from the top down. George's comment may have originated from Fayol himself. In the classic General and Industrial Management Fayol wrote that "Taylor's approach differs from the one we have outlined in that he examines the firm from the "bottom up." He starts with the most elemental units of activity -- the workers' actions -- then studies the effects of their actions on productivity, devises new methods for making them more efficient, and applies what he learns at lower levels to the hierarchy... (Fayol, 1987, p. 43)." He suggests that Taylor has staff analysts and advisors working with individuals at lower levels of the organization to identify the ways to improve efficiency. According to Fayol, the approach results in a "negation of the principle of unity of command (p. 44)." Fayol criticized Taylor? Functional management in this way. ?? the most marked outward characteristics of functional management lies in the fact that each workman, instead of coming in direct contact with the management at one point only, ? Receives his daily orders and help from eight different bosses? (Fayol, 1949, p. 68.)? Those eight, Fayol said, were (1) route clerks, (2) instruction card men, (3) cost and time clerks, (4) gang bosses, (5) speed bosses, (6) inspectors, (7) repair bosses, and the (8) shop disciplinarian (p. 68). This, he said, was an unworkable situation, and that Taylor must have somehow reconciled the dichotomy in some way not described in Taylor's works. Fayol graduated from the mining academy of St. Etienne des Mines de Saintin 1860. The nineteen-year old engineer started at the mining company Compagnie de Commentry-Fourchambeau-Decazeville, ultimately acting as its managing director from 1888 to 1918. Based largely on his own management experience, Fayol developed his concept of administration. The 14 principles of management were discussed in detail in his book published in 1917, Administration industrielle et. It was first published in English as General and Industrial Management in 1949 and is widely considered a foundational work in classical management theory. In 1987 Irwin Gray edited and published a revised version of Fayol? classic that was intended to ?free the reader from the difficulties of sifting through language and thought that are limited to the time and place of composition (Fayol, 1987, p. ix).? Gray retained the 14 points shown below.

Fayol 14 Principles of Management

1. 2. 3. 4. 5. Specialization of labour. Specializing encourages continuous improvement in skills and the development of improvements in methods. Authority. The right to give orders and the power to exact obedience. Discipline. No slacking, bending of rules. The workers should be obedient and respectful of the organization. Unity of command. Each employee has one and only one boss. Unity of direction. A single mind generates a single plan and all play their part in that plan.

6.

Subordination of Individual Interests. When at work, only work things should be pursued or thought about. 7. Remuneration. Employees receive fair payment for services, not what the company can get away with. 8. Centralization. Consolidation of management functions. Decisions are made from the top. 9. Chain of Superiors (line of authority). Formal chain of command running from top to bottom of the organization, like military 10. Order. All materials and personnel have a prescribed place, and they must remain there. 11. Equity. Equality of treatment (but not necessarily identical treatment) 12. Personnel Tenure. Limited turnover of personnel. Lifetime employment for good workers. 13. Initiative. Thinking out a plan and do what it takes to make it happen. 14. Esprit de corps. Harmony, cohesion among personnel. It's a great source of strength in the organisation. Fayol stated that for promoting esprit de corps, the principle of unity of command should be observed and the dangers of divide and rule and the abuse of written communication should be avoided.

(2)

FREDERICK TAYLOR'S THEORY OF MANAGEMENT

Frederick Winslow Taylor (1856-1915) Frederick Winslow Taylor devised a system he called scientific management, a form of industrial engineering that established the organization of work as in Ford's assembly line. This discipline, along with the industrial psychology established by others at the Hawthorne Works of Western Electic in the 1920s, moved management theory from early time-and-motion studies to the latest total quality control ideas. Taylor, born in Philadelphia, prepared for college at Philips Academy in Exeter, N.H., and was accepted at Harvard. His eyesight failed and he became an industrial apprentice in the depression of 1873. At Exeter he was influenced by the classification system invented by Melvil Dewey in 1872 (Dewey Decimal System). He became in 1878 a machine shop laborer at Midvale Steel Company. In the following book he describes some of his promotions to gangboss, foreman, and finally, chief engineer. He introduced time-motion studies in 1881 (with ideas of Frank B. and Lillian M. Gilbreth, strong personalities immortalized in books by their dozen children, such as Cheaper By the Dozen.) In 1883 he earned a degree by night study from Stevens Institute of Technology (which now archives his papers and has announced plans to put them online See special collections). He became general manager of

Manufacturing Investment Company, 1890, and then a consulting engineer to management. Taylor's ideas, clearly enunciated in his writings, were widely misinterpreted. Employers used time and motion studies simply to extract more work from employees at less pay. Unions condemned speedups and the lack of voice in their work that "Taylorism" gave them. Quality and productivity declined when his principles were simplistically instituted. Modern management theorists, such as Edward Deming, often credit Taylor, however, with generating the principles upon which they act. Others, such as Juran, though, continue to denigrate his work. Modern theorists generally place more emphasis on worker input and teamwork than was usual in much of Taylor's time. A careful reading of Taylor's work will reveal that he placed the worker's interest as high as the employer's in his studies, and recognized the importance of the suggestion box, for example, in a machine shop. According to the Toronto Globe and Mail, (1995) January 26, pp. B26, one of the popular current "re-engineering" gurus, G. Hamel, has this to say about Taylor's ideas today: "When I am in a mean mood, I call re-engineering '21st century Taylorism'. If you read Frederick Winslow Taylor from the beginning of the century, there are three fundamental things he taught: 1. Find the best practice wherever it exists. Today we call it benchmarking. 2. Decompose the task into its constituent elements. We call it business process re-design. 3. Get rid of things that don't add value. Work out, we call it now. "So we're doing these things one more time and we need to do them. But my argument is that simply getting better is usually not enough. Whether it involves cycle time, quality or whatever, most of re-engineering has been about catching up." This continuous quality improvement process was originated by Taylor, it is fair to say, and we are still trying to catch up. The standard biography of Taylor is Frederick W. Taylor, Father of Scientific Management, 1923, by Frank Barkley Copley, in two volumes. We give here the classic work for modern readers. This paper is an overview of four important areas of management theory: Frederick Taylor's Scientific Management, Elton Mayo's Hawthorne Works experiments and the human relations movement, Max Weber's idealized bureaucracy, and Henri Fayol's views on administration. It will provide a general description of each of these management theories together with observations on the environment in which these theories were applied and the successes that they achieved. (3) VICTOR VROOM THEORY OF MANAGEMENT

Victor Vroom Expectancy Theory: PowerPoint on Vroom The focus of Vroom quotes Expectancy Theory quote is that an employee quotes motivation to complete a task is influenced by their personal views regarding: 1. 2. The probability of completing the task and The possible outcome or consequence of completing the task.

Expectancy Theory states that, individuals make decisions, which they believe will lead to reward or reduce the likelihood of pain. The ultimate goal does not matter, the important factor is the impact that achieving the goal will have on the individual. An individual quote s opinion is formed by a combination of three factors which Vroom categorized as follows 1. Expectancy endash Does the individual believe that they can achieve the task 2. Valence endash Does the individual believe that completing the task will benefit them or cause detriment. 3. Instrumentality endash What is the probability of completing the task leading to an outcome desired by the individual Expectancy is the individual quote s belief about whether they can achieve the task. This view will be influenced by a number of things including The type of skills needed for the task, Support expectations of co-workers and line managers, Type of equipment/materials and Availability of pertinent information.

Another factor influencing expectancy is previous experience. If the task has been successfully completed in the past then expectancy will be high but if the task has failed in the past or was difficult to perform then expectancy will be low. There is a positive correlation between efforts and performance, Favorable performance will result in a desirable reward, The reward will satisfy an important need, The desire to satisfy the need is strong enough to make the effort worthwhile If an individual feels that they can achieve the task then expectancy is measured as 1. On the other hand if they feel that the task can not be completed then expectancy is measured a 0. If the individual feels that the task may be achievable then it will be categorized between 0 and 1. Eg. A task measured as 0.75 is believed to be more achievable than one measured as 0.45.

Assumes that behavior results from conscious choices among alternatives whose purpose it is to maximize pleasure and minimize pain. Together with Edward Lawler and Lyman Porter, Victor Vroom suggested that the relationship between people's behavior at work and their goals was not as simple as was first imagined by other scientists. Vroom realized that an employee's performance is based on individuals factors such as personality, skills, knowledge, experience and abilities. The theory suggests that although individuals may have different sets of goals, they can be motivated if they believe that: There is a positive correlation between efforts and performance, Favorable performance will result in a desirable reward, The reward will satisfy an important need, The desire to satisfy the need is strong enough to make the effort worthwhile. The theory is based upon the following beliefs: Valence Valence refers to the emotional orientations people hold with respect to outcomes [rewards]. The depth of the want of an employee for extrinsic [money, promotion, time-off, benefits] or intrinsic [satisfaction] rewards). Management must discover what employees value. Expectancy Employees have different expectations and levels of confidence about what they are capable of doing. Management must discover what resources, training, or supervision employees need. Instrumentality The perception of employees as to whether they will actually get what they desire even if it has been promised by a manager. Management must ensure that promises of rewards are fulfilled and that employees are aware of that. Vroom suggests that an employee's beliefs about Expectancy, Instrumentality, and Valence interact psychologically to create a motivational force such that the employee acts in ways that bring pleasure and avoid pain.