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THEORIES OF MANAGEMENT

INTRODUCTION
Administer-Latin word ad+ministraire to care for or to look after people-to manage affairs. Administraire serve

ADMINISTRATION

ORGANIZATION

MANAGEMENT

ADMINISTRATION
DEFINITION: It is the organisation and direction of human and material resources to achieve desired ends. -pfiffner&presthus it is the direction, co-ordination and control of many persons to achieve purposes or objectives. -LD White

contd
It has to do with getting things done; with the accomplishment of defined objectives -Luther gullick It is the activities of groups co-operating to accomplish common goals -Herbert

NATURE OF ADMINISTRATION
It is universal It is holistic It is intangible It is continuous & on going process It is goal oriented It is social& human It is dynamic It is creative & innovative

MANAGEMENT
DEFINITION:
The process by which a co-operative group directs action towards common goals - Joseph It is the distinct process consisting of planning,organising,actuating,activating &controlling, performed to determine and accomplish the objectives by the use of people and resources George It is the process and agency which directs &guides the operations of an organisation in realizing established aims -O Tead

contd
The art of getting things done through people. Working with and through individual and groups to accomplish organizational goals -parker follet

DEFINITION OF NURSING MANAGEMENT

The co-ordination and integration of nursing resources by applying the management process to accomplish nursing care and service goals and objectives

concept of management

early management approaches

modern management approaches

SCIENTIFIC

ADMINIS TRATIVE

HUMAN RELATION

BEHAVOURAL

SYSTEM

CONTINGENCY

ADMINISTRATION & MANAGEMENT

COST EFFECTIVENESS

FLEXIBILITY IN CERTAIN SITUATION

EXECUTION & CONTROL OF WORK PLANS

PHILOSOPHY

DELEGATION OF RESPONSIBILITY & AUTHORITY

HUMAN RELATIONS & GOOD MORALE

EFFECTIVE COMMUNICATION

PRINCIPLES OF ADMINISTRATION

ONENESS

SPECIALISM & THE WHOLE

SELFADMINISTRATION

HIERARCHY AND REGIMENTATION

MORALE

BUREAUCRACY

FUNCTIONS OF ADMINISTRATION
POSDCORB LUTHER GULLICK
P o s d co r b --- planning --- organising --- staffing --- directing --- co-ordinating --- reporting --- budgeting

Contd
PlanningWorking out the things that need to be done & the methods for doing them to accomplish the purpose set for the enterprise. Organizing- Establishment of the formal structure of authority through which work subdivisions are arranged, designed & co-ordinate for the defined objective.

Contd
Staffing - The whole personnel function of bringing in & training the staff,& maintaining favourable conditions of work. Directing- Continuous task of making decisions & embodying them in specific & general orders & instructions,& serving as the leader of the enterprise. CoOrdinating-All important duties of interrelating the various parts of the work.

Contd
Reporting -Keeping the executive informed as to what is going on, which includes keeping himself & his subordinates informed through records, research & inspection Budgeting -All that goes with budgeting in the form of fiscal planning, accounting & control

PRINCIPLES OF MANAGEMENT
Division of work Authority Discipline Unity of command Unity of direction Subordination of individual interest to general interest Remuneration

Contd
Centralisation or decentralisation Scalar chain Order Equity Stability&Tenure Initiative Esprit de corps

THE MANAGEMENT PROCESS

PLANNING

ORGANIZING

CONTROLLING

STAFFING

DIRECTING

CO-ORDINATION
It is the integration, synchronization or orderly pattern of group efforts in the institution/organization towards the accomplishment of common objectives. to ensure harmonious & smooth working of an organization with a number of its divisions, departments or units the activities in all areas are required to be pulled together, unified & blended so as to give them a commonners & purposes.

DEFINITION OF CO-ORDINATION
It is the orderly synchronization or orderly pattern of group efforts to provide the proper amount, timing,& directing of execution resulting in harmonious & unified actions to a stated objectives. IT is the adjustment of the parts of each other & of the movement & operation of party in times so that each can make in maximum contribution to the product of the whole. -Terry

Contd
It is the balancing & keeping the team together by ensuring a suitable allocation of working activities to the various members,& seeing that these are performed with due harmony among the members them selves. -Brech

NEED FOR CO-ORDINATION


Diverse & specialised activities Empire building Personal rivalries & prejudice Conflict of interest

IMPORTANCE OF CO-ORDINATION

Quintessence of management Creative force Unity of direction High employee morale

PRINCIPLES OF CO-ORDINATION
a. As the thinking function of management proceeds the doing function, co-ordination Endeavour must start at the planning stage , otherwise it becomes impossible to secure co-ordination of activities & efforts in the execution of work. b. There is need for importance of direct personal contact in removing misunderstanding & conflict between departments.

Contd
c. Co-ordination is a continual activity that permeates through each managerial function. d. There should be an integration of all efforts, actions & interests towards common purpose.

TYPES TYPES OFOF CO-ORDINATION CO-ORDINATION

INTERNAL
PLANNING ORGANIZING DIRECTION CONTROL

EXTERNAL
3 INTERESTING PARTIES OTHER ENTERPRISES GOVERNMENTAL REGULATION TECHNOLOGICAL ADVANCES

HINDRANCES OF CO-ORDINATION
The uncertainty of the future, as to the behaviour of the individuals & of people. The lack of knowledge, experience wisdom & character among leaders & their confused &conflicting ideas & objectives. The lack of administration skill & technique. Size & complexity, personalities & political factors

The vast number of variables involved & the incompleteness of human knowledge, particularly with regard to men & life. The lack of orderly methods developing, considering, perfecting & adopting new ideas & programmes. The lack of leaders with wisdom & knowledge pertaining to public administration. The accelerated expansion of public administration of international dimension.

Contd

THEORIES OF ADMINISTRATION& MANAGEMENT


Frederic Winslow Taylor(1857-1915)-Scientific management Henri Fayol(1841-1925)-Management functions Luther Gullick-Activities of management Lynda Urwick Max Weber(1864-1920)-Bureaucratic organisations Mary Follett(1869-1933)-Partcipative management Elton Mayo(1927-1933)-Hawthorne effect Kurt Lewin

Contd
Abraham Maslow -Human Motivation Douglas McGregor-theory x &theory Y Chris Argyris-Employee Participation Renesis Likert Herbert Simon Chester Barnard Henry Mintzberg W.Ouchi-theory Z

FREDERIC WINSLOW TAYLOR


A mechanical engineer, Born in pennsylvania, Educated in a steel company &a paper mill invented several industrial tools, Conducted research on methods of training workers for increased production, BEST MANAGEMENT IS A TRUE SCIENCE

Contd
SCIENCE-a body of knowledge,ascertained through observation & experimentation. It is a systematized & critically tested body of knowledge. Objective of management is To secure the maximum prosperity for the employer, coupled with the maximum prosperity for each employee. His philosophy of Scientific management is no inherent conflict in the interest of employers, employees & consumers. It was the result of higher productivity should equally benefit all people. He advocated in the interest of societal prosperity, close collaboration & deliberate co-operation between the employers & employees.

Contd
4 basic principles of Scientific management The development of true science The scientific selection of employees The scientific education & development of employees Intimate &friendly co-operation between employees & employers.

Contd
Scientific management requires a mental revolution by both managers & workers, regarding their duties, towards their work, towards their follow workers, & towards all of their daily problems to achieve the objectives.

Taylor specifies 9 qualities of which will make a good foreman / workman Education Special technical knowledge Manual dexterity& strength Tact Energy Spirit Honesty Judgement & Good health

1. 2. 3. 4. 5. 6.

Taylors system for work improvement consists Observing the workers performance through time & motion study Scientifically selecting the best worker to perform each job Training the selected worker Paying the worker a differential piece rate Appointing a few highly skilled worker to managerial positions Appointing foreman for each aspect of the work & instructing the production worker to report to a different functional foreman for each aspect of the job.

Henri Fayol-Management functions


Born in France Educated as an engineer at the National school of Mines & employed as mining engineer & then as GM of a coal & steel company. He divided all activities in an organization into 6 groups-technical, commercial,financial,security, accounting &administrative.

Fayol broke down the key function of administration into 5 main aspects; To plan To organise To command To co-ordinate & To control these aspects of administration, falling into 2 main groups-process & effect

Contd

PROCESS
FORECASTING ORGANISATION COMMAND

EFFECTS
PLAN CO-ORDINATION CONTROL

PRINCIPLES
INVESTIGATION

PROCESS
FORE CASTING

OBJECTIVE

FFECT

REALITY

ORGANISATION

PLAN

COORDINATION & CONTROL

ORDER

COMMAND

FAYOLS 14 PRINCIPLES OFADMINISTRATION

Division of work Authority Discipline Unity of command Unity of direction Subordination of individual interest to general interest Remuneration

Contd
Centralization or decentralization Scalar chain Order Equity Stability &Tenure Initiative Esprit de corps

LUTHER GULICK
POSDCORB
P --- planning O --- organising S --- staffing D --- directing CO --- co-ordinating R --- reporting B --- budgeting

PRINCIPLES OFADMINISTRATION Division of work or specialization Bases of departmental organisation Co-ordination through hierarchy Deliberate Co-ordination Co-ordination through committees Decentralization Unity of command Staff & line Delegation & Span of control

4Ps of Gulick
The Purposes they serve (function) The process they use The persons or things which they deal with (clientele) The place where they work

LYNDA URWICK
Classical theorist More importance to the structure of organisation than the role of the people in the organisation (design) He further considered lack of design as illogical, cruel, wasteful, & inefficient.

Urwick- PRINCIPLES OFADMINISTRATION


1. 2. 3. 4. 5. 6. 7. 8. The principal of objective The principal of correspondence The principal of responsibility The scalar principal The principal of span of control The principal of specialisation The principal of co-ordination The principal of definition

MAX WEBER-BUREAUCRATIC ORGANIZATIONS


German intellectual with no managerial experience, Studied at the university of Heidelberg, taught law at the university of Berlin & Economics of Frieberg university, Studied Politics, sociology, &economics as a private scholar.

Contd Bureaucracy as having a welldefined hierarchy of authority, division of work based on specialisation,highly specific rules governing workers duties & rights, deputed work procedures, impersonal interpersonal relationships & promotion based on technical competence.

Contd
It was superior to other forms of organisation It provides greater stability, precision & reliability in controlling employees . Bureaucracy- highly efficient in dealing with changing circumstances, is seen as too rigid & ponderous to respond to todays rapid societal change.

MARY FOLLETT-PARTICIPATIVE MANAGEMENT


o An American who studied government & business administration at Radcliffe and abroad. o Management as a social process aimed at motivating individuals & groups to work towards a common goal. o She advised managers on avoid arbitrary authority, o Manager should never give orders to an employee, instead Manager & employee should analyse the situation together,& both should take orders from the situation.

Elton Mayo-Hawthorne effect


Mayo & fritz Roethlisberger conducted studies at Chicago's Hawthorne western electric plant, To test Several assumptions of scientific management, Purpose to determine relationship between intensity of illuminations & workers productivity Result when research increased the level of illumination of the experimental group work output increased,

Contd
When illumination was decreased, output continue to increase, Conclusion an unidentified psychological factor had influenced work output.

human relation refers to relations between workers & employer, which are not regulated by legal norms. These relations are concerned with moral & psychological factors rather than legal factors

KURT LEWIN
A social psychologist, Field theory of human behaviour(1951), He claimed that a workers on- the job behaviour is influenced by interactions between workers personality, work group structure & socio- technical climate of the work place. The process of behaviour changes occurs in 3 phases:

BEHAVIOUR CHANGE

UNFREEZING
CHANGING REFREEZING

Abraham Maslow -Human Motivation

SELF ACTUALISATION

SELF ESTEEM

SOCIAL NEEDS SECURITY NEEDS PHYSIOLOGICAL NEEDS

Douglas McGregor-theory x &theory Y


A behavioural scientist, A strong believe in the potentialities of human beings in contributing organizational performance. His focus is on utilizing human potentials in organisations & getting the best out of people by creating a conducive & harmonious environment.

Contd
Trational managers in a bureaucracy operates on a set of assumptions about human nature & human behaviour THEORY X a. The average human being has an inherent dislike of work & will avoid it, b. Because of dislike of a work, most people must be coaxed, controlled, directed, threatened with punishment to get through, put forth adequate effort towards the achievement of organizational objectives

Contd c. The average human being prefers to be directed, wishes to avoid responsibility, has rationally little ambition & is more interested in financial increments & wants security above all than personal achievements. Theory X assumes human beings as lazy, lacking in ambition, resisting change,non-creative,capable of being deceived easily etc.

Contd
Management has 2 strategies-hard & soft. Hard strategy - close supervision, tight centre, coercion & threat. Soft strategy more permissible, meets the demands & attempts to harmonize the demands of the organizations & that of employees. Theory X represents classical

administrative theory, lays stress on efficiency & economy by putting direction & control.

Contd Theory Y provide a more accurate assessment of human nature, one that encourages workers to develop their full potential.
a. The average individual does not inherently dislike work. b. External control & threat of punishment are not only means of bringing about efforts towards organizational objectives. People will exercise self-control & self direction when pursuing goals to which they are personally committed.

Contd
c. Commitment to objectives is a function of the rewards associated with their achievement. d. The average human being learns, under proper conditions, not only to accept but ti seek responsibility. e. The capacity to exercise a relatively high degree of imagination,ingenity & creativity in the solution of organizational problems is widely not narrowly, distributed in the population. f. Under the conditions of modern industrial life, the intellectual potentialities of the average human being are only partially utilized.

Contd
The theory Y underlines the importance of maintaining an organisation where people feel confident & motivated. It emphasize on developing & improving performance orientation of the people working in the organisation.it involves lot of leadership skills on the part of the manager to achieve these objectives. the corner stone of McGregor framework, is self- restraint, self- direction goal orientation & human values in the organisation.

CHRIS ARGYRIS-EMPLOYEE PARTICIPATION


During maturation, the individual moves to a condition of greater independence, more achievements, musts & activities, longer time perspective & increased self-control.

Argyris claimed that the rigid structure & stringent rules of a bureaucracy block normal maturation, encouraging employees to become passive & dependent & decreasing their job satisfaction & emotional health

RENESIS LIKERT
Likert advocated SYSTEM 4 approach to organisational development in which organisational structure facilitates continuous interaction among various groups in the organisation, so work is controlled through mutual influence by employees.

Contd
ASYSTEM 4 organisation is one in which superiors & subordinates trust each other in all matters, information flows freely throughout the organisation,employees participate in setting high but achieve goals, decisions are made at all levels, training is provided to upgrade personnel & control mechanism stimulates workers to solve their own problems.

HERBERT SIMON
A decision theorist, Business &service institutions are networks decision makers. He analyzed the human behaviour in terms of its preference in decision making process. The decision making process involves 3 phases of activities.

3 PHASES OF DECISION MAKING PROCESS


1. INTELLIGENCE ACTIVITY 2. DESIGN ACTIVITY

3. CHOICE ACTIVITY

INTELLIGENCE ACTIVITY
It involves finding, access to taking

decision, for which executive has to analyses the organisational environment & identify the conditions that need decision. He likes the alternative strategies for problem solving.

DESIGN ACTIVITY
It involves development of alternatives to do a particular job. here also the executive identifies the merits & demerits as well as problem involved in each of the alternatives, determining likely consequences of each alternative.

CHOICE ACTIVITY
Decision maker should choose or select one of the alternative or course of action ,keeping in view the organisational goals. here the executive evaluates consequences & select the course of actions.

Contd Herbert contrasts 2 approaches to decision- making; optimising, the approach applied by so called ECONOMIC MAN & satisfying the method used by so called ADMINISTRATIVE MAN

CHESTER BARNARD
Organisation as a social system.

A system is defined as a set of arrangements of things so related or connected as to form a unity or organic whole. It composes of elements under one related & dependent upon one another but that where in interaction form a unity whole.

Contd
Organisation as a co-operative systems.

Gives risk to formal Organisation. He defines Organisation as a system of consciously co-ordinated personal activities or forces.

Contd
The organisation came into existence when: There are persons able to communicate with each other Who are willing to contribute action To accomplish a common purpose the elements of organisation are communication, willingness & common purpose.

Contd the process of co-operation in an organisation requires the following to make it effective. The place where work is done The time which work is done The person with whom work is done The things upon which work is done The method or process by which work is done

1. 2. 3. 4. 5.

Contd
Barnard also laid emphasis on the ACCEPTANCE OF AUTHORITY by others in the organisation.

Authority as the character of communication (order) in a formal organisation by virtue of which it is accepted by a contributor or member of the organisation as governing the action he contributes.

HENRY MINTZBERG
He asserts that managerial activities are more reactive than productive & are characterized by brevity, variety & discontinuity. Mintzberg reports that the topical manger or administrator patrons 10 roles;

ROLES OF MANAGER

INTERPERSONAL
FIGURE HEAD LEADER
LIASION

INFORMATIONAL

MONITOR DISSEMINATOR SPOKESMAN

DECISIONAL ENTERPRENEUR HANDLER RESOURCE ALLOCATOR NEGOTIATOR

W.OUCHI-THEORY Z
Life long employment on the same firm Infrequent evaluation & promotions Non-specialised carpet path development Implicit control of worker behaviour Collective decision making Group responsibility for quality & Holistic concern for the employees welfare.

Contd
Theory Z calls for long term employment, a combination of specialised & generalised training. For carrier development, slow promotion based on non- threatening peer evaluation, group decision making based on both qualitative & quantitative data,decentralised control of performance quality & concern for both employee & agency welfare is required

Contd
The principles of group decision making & decentralised control of quality & implemented through quality circles. In a quality circles the managers & members of the primary work group meet for an hour each week to solve work problems & improve work processes & outcomes.

Contd
Yoshida Japanese management principles To improve service delivery. each employee must start with a clear conception of what the most desirable service could include. A manager can eliminate the need for continuous inspection by building quality into the process or product in the first place. If employee do not understand the fundamental institutional purposes, single application of rules & procedures will not improve productivity & quality.

Contd
The notion of replacing unsatisfactory worker with a more satisfactory worker, requires that one perceives the total organisation as a complex that is composed of separate & replaceable parts. Replacement of an unsatisfactory worker with a more satisfactory worker causes insecurity for remaining worker. Too close linking of responsibility to authority produces feeling of sectionalism & decreases loyalty to the organisation as a whole.

CURRENT ISSUES AND TRENDS


Management of populations with chronic illnesses Resources to acquire technology on an ongoing basis The need for primary & preventive services & programs, including complementary and alternative programs Integration & seamlessness of clinical & financial services 7 information Protection of consumers privacy

Contd
Shortages of key personnel, especially registered nurses Financing structures such as capitation & managed care Care delivery & process management Management of knowledge workers & personal accountability Pressures for quality & sustainable outcomes Leadership skills related to change management

Contd

Non- involvement of nursing administrators in planning & decision- making in the governmental hospital administration. No specific power has been assigned to nursing superintendents, but he/she has been made in-charge of all inventories & linen of hospital. Nursing superintendents will have no authorities to sanction leave to their subordinates.

Lack of knowledge in management of hospital among nursing/medical administrators. Administrator, always dependent on the advice of clerical staff in all matters including technical aspects. Prevalence of role ambiguity, among administration & administrators. Unnecessary interference of non nursing personnel in nursing administration.

Contd

Contd No written nursing policies & manuals. No proper job description for various nursing cadres. No organised staff development programme. No special incentives. Inefficiency of nursing councils of state & union to maintain standards in nursing. No efforts at higher level for implementation of separate directorate of nursing.

CONCLUSION
A managers job is to coordinate and integrate resources, nurses have valuable related skills of coordination and integration. all nurses are managers; they coordinate and deliver health services to clients