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Lecture The evolution of management thought (6th edition) - Chapter 15: People and organizations

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In this chapter we focus on the dynamic nature of the economy, and the corresponding dynamic characteristics of economic data. We recognize that a change in the level of an explanatory variable may have behavioral implications beyond the time period in which it occurred. The consequences of economic decisions that result in changes in economic variables can last a long time.

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THE EVOLUTION OF MANAGEMENT

THOUGHT, 6TH

EDITION

Electronic Resource by:

Regina Greenwood and Julia Teahen

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People and Organizations

Chapter Fifteen

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People and Organizations

 William Foote Whyte (1914-2000)

 Leadership Studies at Michigan and Ohio State with Rensis Likert (1903-1981), Ralph Stogdill (1904-1978) and Carroll L Shartle (1903-1993)

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People at Work – Micro View

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People at Work – Micro View

 Jacob Moreno

 Sociometry, trying to classify individuals into groups that were capable

of harmonious relationships.

 Sociogram, mapping interpersonal preferences… there was a difference when preferences were for social vs task mates.

 Psychodrama, a cathartic experience for an individual

Jacob Moreno,

courtesy of Dr Walter Logeman

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People at Work – Micro View

 Kurt Lewin

 Group dynamics and field theory – Gestalt notions for understanding individuals in groups.

 Quasi-stationary equilibrium Groups never achieved a steady state but were continuously

in a process of mutual adaptation.

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People at Work – Micro View

 Kurt Lewin and Leadership

 During leadership studies, Lewin asked his counselors to role play democratic or

authoritarian styles and found what he

expected in boy’s reactions

 One counselor, however, misplayed his

role and, rather than throwing the data

out, Lewin called this “laissez-faire,”

meaning no leadership

 This style has persisted in the literature despite its inaccuracy

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People at Work – Micro View

 Kurt Lewin and Changing

Behavior

 Lewin’s found that group

participation facilitated

the change process.

 His three step model is

still a foundation for

 Lewin’s work became the

basis for sensitivity

training through his

influence on Leland

Bradford.Kurt Lewin (2008) In Encyclopædia Britannica. Retrieved December 10, 2008, from Encyclopædia Britannica Online:  http://www.britannica.com/EBchecked/topic/338099/Kurt­Lewin

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Changing Assumptions about People at Work

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Motivation – Abraham H Maslow

“humanistic psychology” was a revolt against

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Dynamics of need fulfillment or deprivation Hierarchy of Needs

Motivation – Abraham H Maslow

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The Journals of Abraham Maslow by Abraham Maslow The Lewis Publishing Company, 1982

Motivation – A.H Maslow

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Joseph Scanlon

 Union official and

later a colleague of Douglas McGregor

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James F Lincoln

individual efforts based on skill ratings.

 Wages and benefits were

comparable to the Cleveland area labor market

 In addition, bonuses were paid for performance based on

quality and quantity of output

as well as self-management

 Bonuses are substantial

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 Worthy at Sears, Roebuck argued for

flatter structures and decentralization

 Also worked with the University of

Chicago’s Committee on Human Relations

to study the impact of structure on

employee morale

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 William B Given, Jr – “bottom-up”

approach

 Charles P McCormick – a plan for

participation which is still operative in

and extract firm).

 Junior Boards were created (“multiple

management”) to improve

communications, manager development, and coordination through participation

 The Golden Rule was the basis for his

successful technique for managing

people

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Rensis Likert – University of

 A production orientation focusing on producing

 An employee orientation coupled with more

general supervision led

to higher productivity, better morale, lower turnover, greater group cohesiveness and less employee anxiety.

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Ohio State University Studies

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Ohio State University Studies

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Despite differing terminology, leadership was viewed by each as a two-by-two

matrix of leader behaviors in which

people-oriented was not mutually

exclusive of a production orientation.

Summary of Michigan and OSU Leadership Studies

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People at Work: The Macro View

 William Foote Whyte (1914-2000) –

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People at Work: The Macro View

 Whyte's work was

key to the idea of

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People at Work: The Macro View

 E Wight Bakke

 the interactions of the formal and informal systems;

 the "bonds" of organization;

 the "fusion" process involving

organizational position and personal views

of standing or status

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People at Work: The Macro View

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People at Work: The Macro View

 For Simon, composite

decisions are better due to

limits on a person's ability to

achieve better solutions;

participation by different

groups would be an

improvement.

 With James March (1928-),

Simon wrote the influential

book Organizations.

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People at Work: The Macro View

 George Homans was

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 An increasing emphasis on the social

 Enlarging jobs to counteract overspecialization

 Less emphasis on hierarchy, more on participation

 Recognition of the informal organization

 Developing the means to study the interaction of the formal and informal organization.

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