4.Organizational performance (org-n, effectiveness, efficiency) Level 3
Organizational Performance
Organizations bring together knowledge, people, and raw materials to perform tasks
Effectiveness is the degree to which the organizations achieves goals.If organization achieve its stated goals within a specified period of time period then such organization is effective.
Efficiency is the use of minimal resources to produce desired output.If organization uses minimum resources to produce maximum output then such organization is efficient.
Organization is a social entity that is goal directed and deliberately structured.
Social entity means being made up of two or more people. Goal directed means designed to achieve some outcome, such as make a profit, meet spiritual needs or provide social satisfaction. Deliberately structured means that tasks are divided and responsibility for their performance is assigned to organization members.
5. The writings of Fayol, Taylor, and Weber provide the foundation for modern management. Identify the school of thought associated with each writer and compare the focus that each writer takes in relation to the organization.
Classical Perspective
Scientific Management
Bureaucratic Organizations
Administrative Principles
1)Scientific Management
Frederick Winslow Taylor (1856-1915), father of scientific management
Scientific Management – a theory that emphasizes improvement of labor productivity by means of scientific methods. Founder: F. Taylor (1856-1915)
Focus on improving efficiency and labor productivity
Workers could be retooled like machines
Managers would need to change
Incentive systems for meeting standards
To use this approach, managers develop precise, standardized procedures for doing each job, select workers with appropriate abilities, train workers in the standard procedures, plan work and provide wage incentives to increase output.
2)Bureaucratic Organizations
Max Weber (1864-1920), a German theorist introduced the bureaucratic theories
Bureaucratic Organizations – a theory according to which authority and responsibilities should be clearly defined, formal recordkeeping should be maintained and management and ownership should be separated. Founder: Max Weber (1864-1920)
Rational authority—more efficient and adaptable to change
Selection and advancement would be focused on competence and technical qualifications
The term bureaucracy has taken on a negative tone, associated with endless “red tape”
3)Administrative Principles
Henri Foyal (1841-1925), French mining engineer and other contributors led the ideas
Administrative theory-a theory that focuses on management of the whole organization rather individual workers,and described such functions of management as Planning, Organizing, Commanding, Coordinating, and Controlling.
Foyal identified five functions of management: Planning, Organizing, Commanding, Coordinating, and Controlling.
6.Advantages and disadvantages of Taylor's Scientific Management.
Characteristics of Scientific Management
