UNIT ONETHEORETICAL FOUNDATIONSCHAPTER TWOClassical Theories of Organizations

PREVIEWReview Chapter OneTheoretical RelevancyMinimizing MisunderstandingsClassical Theories of OrganizationsTaylors Theory of Scientific ManagementFayols Administrative TheoryWebers Theory of Bureaucracy

Organizational CommunicationFoundations REVIEWthe process of creating, exchanging, interpreting (correctly or incorrectly), and storing oral, nonverbal, and written messages within (and across the boundaries of) a system of interrelated and interdependent people working to accomplish common tasks and goals within an organization.

MESSAGE-CENTERED DEFINITION

Assumptions and FeaturesCommunication is central to the existence of the organization

Organizational communication is a complex process (creating, exchanging, interpreting, and storing messages)

Misunderstandings occur

Misunderstandings Instances in which people who are communicating dont share meanings as well as situations in which features of organizational life serve to impinge upon the efficient and effective functioning of organizational members.

Three Important ConstructsOrganizational Identification (process & product)An active process by which individuals link themselves to elements (people, policies, products, services, customers, values) in the social scene.Involves an individuals sense of membership in and connection with an organization.Job SatisfactionThe degree to which employees feel fulfilled by their job and related experiences.A pleasurable or positive emotional state from the appraisal of ones job or experiences Linked to absenteeism and turnoverCommunication SatisfactionThe degree to which employees feel that communication is appropriate and satisfies their need for information and work relationships

Communication Satisfaction (CSQ)Eight Factors concerned with communication information, relationships, channels, and climateCommunication ClimateRelationship to SupervisorsOrganizational IntegrationMedia QualityHorizontal and Informal CommunicationOrganizational PerspectiveRelationship with SubordinatesPersonal Feedback

Communication satisfaction is often considered the sum of an individuals satisfaction with the above dimensions.

Primary Goal Reduce misunderstandings through communication.

Theory An explanation for how or why something occurs. . .

Question: What is the most efficient and effective means of running an organization?

Functions of TheoryDescribeExplainPredictControl

Classical approaches to organizational management and early organizational theories were designed to predict and control behavior in organizations.

Classical Theories of OrganizationsEmerged in early part of the twentieth century.Models were military and the Catholic Church.FeaturesStrict CONTROL of workersAbsolute CHAINS of COMMANDPREDICTABILITY of behaviorUNIDIRECTIONAL downward influence

Classical Theories of Organizations:Relevancy and MetaphorHow and Why does studying classical theory help us to understand how modern organizations function and particularly the role that communication plays in effective organizing?

What is the metaphor which characterizes the classical approach to organizations?

The Metaphor of the MachineOrganizations are viewed as if they are machines.Managerial principlesModes of operationTreatment of workersCommunication in the organizationProperties 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 replaced

Minimizing MisunderstandingsSimple: Promote principles of SPECIALIZATION, STANDARDIZATION, and PREDICTABILITY

STRICT RULES & REGULATIONS regarding . . .how work is accomplished, who could speak to whom and when, and managing through fear.

PROBLEMS Creativity and intelligence are underutilizedIncreased dissatisfactionDecreased motivation and commitment to task and organizationDecreased communication effectiveness and satisfaction

Distinguishing Classical TheoriesCreative Application SkitTheory Matchbook DefinitionDescribe the theory in a nutshellPrinciples of ManagementMajor Elements of the TheoryApplication in the Modern WorkplacePersonal Example(s)How are misunderstandings minimized?What new forms of misunderstandings are created?Unintentional by-productsContributions to occurrences of different problems

Taylors Theory of Scientific ManagementFrederick Taylor (1856-1915) The Father of Scientific ManagementMaximize worker capacity and profitsPROBLEM: Get employees to work at their maximum capacityPRIMARY FOCUS: TASKShttp://www.northstar.k12.ak.us/schools/ryn/projects/inventors/taylor/taylor.htmlSystematic SoldieringDeliberately working slowly as to avoid expanding more effort than deemed necessaryReasonsReduction in workforce due to decreased needPiecework system of remuneration - raise production requirements without increasing payRule of thumb training methods - inefficient

Taylors Theory of Scientific ManagementElements of Scientific ManagementScientific design of every aspect of every taskTime and Motion StudiesCareful selection and training of every taskProper remuneration for fast and high-quality workMaximize output - increase payEqual division of work and responsibility between worker and managerUnderlying ThemesManagers are intelligent; workers are and should be ignorantProvide opportunities for workers to achieve greater financial rewardsWorkers are motivated almost solely by wagesMaximum effort = Higher wagesManager is responsible for planning, training, and evaluating

Taylors Theory of Scientific ManagementApplication in the Modern WorkplaceAssembly Line Plants as Prototypical ExamplesPrisoners of TaylorismSystem of Remuneration (quotas - commission)Re-Design - ReengineeringBenchmarkingData are used to refine, improve, change, modify, and eliminate organizational processesLean Manufacturing

Fayols Administrative TheoryHenri Fayol (1841-1925)General and Industrial ManagementPrinciples and Elements of Management - how managers should accomplish their managerial dutiesPRIMARY FOCUS: Management(Functions of Administration)More Respect for Worker than TaylorWorkers are motivated by more than moneyEquity in worker treatmentMore PRESCRIPTIVEhttp://www.lib.uwo.ca/business/fayol.html

Fayols Administrative TheoryFive Elements of Management -- Managerial ObjectivesPlanningOrganizingCommandCoordinationControlKeep machine functioning effectively and efficientlyReplace quickly and efficiently any part or process that did not contribute to the objectives

Fayols Administrative TheoryFourteen Principles of Management (Tools for Accomplishing Objectives)Division of work - limited set of tasksAuthority and Responsibility - right to give ordersDiscipline - agreements and sanctionsUnity of Command - only one supervisorUnity of Direction - one manager per set of activitiesSubordination of Individual Interest to General InterestRemuneration of Personnel - fair price for servicesCentralization - reduce importance of subordinates roleScalar Chain - Fayols bridgeOrder - effective and efficient operationsEquity - kindliness and justiceStability of Tenure of Personnel - sufficient time for familiarityInitiative - managers should rely on workers initiativeEsprit de corps - union is strength loyal members

Fayols Administrative TheoryPositioned communication as a necessary ingredient to successful management

Application in the Modern WorkplaceFayols elements of management are recognized as the main objectives of modern managersPlanning - more participatoryOrganizing - human relationships and communicationIMPORTANT TABLE 2.1 Comparison of Managerial Skills (p. 32)Especially applicable for large organizations (military)

Webers Theory of BureaucracyMax Weber (1864-1920)German SociologistTheory of Social and Economic Organization (1947)Principles and Elements of Management - describe an ideal or pure form of organizational structure (general policy and specific commandsPRIMARY FOCUS: Organizational StructureWorker should respect the right of managers to direct activities dictated by organizational rules and proceduresMore DESCRIPTIVEhttp://www2.pfeiffer.edu/~lridener/DSS/Weber/WEBRPER.HTML

Webers Theory of BureaucracyBureaucracy allows for the optimal form of authority - rational authority

Three types of Legitimate AuthorityTraditional Authority - past customs; personal loyaltyCharismatic Authority - personal trust in character and skillsRational Authority - rational application of rules or laws

Webers Theory of BureaucracyTenets of Bureaucracy RulesSpecified sphere of competenceHierarchySpecialized TrainingWorkers do not own technologyNo entitlement to official position by incumbentEverything written downMaintenance of ideal type - bureaucracy

Webers Theory of BureaucracyConcerned with describing the ideal structure of an organizationCornerstone: existence of written rules

The rational application of written rules ensures the promotion of legitimate authority and the effective and efficient functioning of the organization.

Webers Theory of BureaucracyApplication in the Modern WorkplaceLarge organizations guided by countless rules are bureaucraciesLinked with inefficient, slow-moving organizationsOrganizations have several characteristics of bureaucracies

SUMMARYClassical Theories of Organizations (p. 36)Taylors Theory of Scientific ManagementFayols Administrative TheoryWebers Theory of BureaucracyAll 3 theories attempt to enhance managements ability to predict and control the behavior of their workersConsidered only the task function of communication (ignored relational and maintenance functions of communication)Designed to predict and control behavior in organizations

NEXT WEEKRead CHAPTER 3: Humanistic Theories of Organizations(pp. 39-62)Human Relations TheoryThe Hawthorne StudiesMcGregors Theory X and Theory YHuman Resources TheoryLikerts Systems Theory (Four Systems of Management)Blake and Moutons (a.k.a. Blake and McCanse) Managerial Grid