Definition of management Mary Parker defines the term management as “the art of getting things done through others.” According to Taylor “Management is the art of knowing what you want to do and then seeing, that itis done in the best and cheapest way.” According to Henry Fayol “To manage is to forecast and to plan, to organize, to co-ordinate and to control.” Characteristics of Management Or Nature of Management 1, Goal oriented Process: It is a goal oriented process, which is undertaken to achieve already specified and desired objectives by proper utilization of available resources. 2, Pervasive: Management is universal in nature, It is used in all types of organizations whether economic, social or political irrespective of its size, nature and location and at every level. 3. Multidimensional: It is multidimensional as it involves management of work, people and operations. 4. Continuous: It consists of a series of flmétion and its functions are being performed by all managers simultancously. The ptocess of management continues till an organization exists for attaining its objectives. 5, Group Activity: It is a group activity since it involves managing and Coordinating activities of different people as a team to attain the desired objectives. 6, Dynamic function: It is a dynamic function sinee it has to adapt according to need, time and situation of the changing environment. For example, Mc Donald’s made major changes in its “Menw’ to survive in the Indian market. 7, Antangible Force : Ic is intangible force as it can't be seen but its effects can be felt in the form of results like whether the objectives are met and whether people are motivated or not and there is orderliness and coordination in the work environment. Scope of Management It is difficult to precisely define the scope of management, yet the following areas are included in it 1, Subjeet-matter of management: Planning, organizing, directing, coordinating and controlling are the activities included in the subject matter of management 2, Functional areas of management: These include:Financial management includes accounting, budgetary control, quality control, financial planning and managing the overall finances of an organization. Personnel management includes recruitment, training, transfer promotion, demotion, retirement, termination, labor-welfare and social security industrial relations. Purchasing management includes inviting tenders for raw materials, placing orders, entering into contracts and materials control. Production management inchides production planning, production control techniques, quality control and inspection and time and motion studies Maintenance management involves proper care and maintenance of the buildings, plant and machinery. ‘Transport management includes packing, warehousing and transportation by rail, road and air. Distribution management includes marketing, marks arch, price-determination, taking market risk and advertising, publicity and sales promotion. Office Management includes activities to properly manage the layout, staffing and equipment of the office. Dey markets, ete. pment management involves experimentation and rescarch of production techniques, 3. Management is an inter-disciplinary approach: For the correct implementation of the ‘management, itis important to have knowledge of commerce, economics, sociology, psychology and mathematics 4. Universal application: The principles of management can be applied to all types of organizations irrespective of the nature of tasks that they perform. 5, Essentials of management: Three essentials of management are: * Scientific method © Human relations Quantitative technique 6. Modern management is an agent of change: The management techniques can be modified by proper research and development to improve the performance of an organization.Importance of Management Ithelps in Achieving Group Goals - It arranges the factors of production, assembles and ‘organizes the resources, integrates the resources in effective manner to achieve goals. Tt directs group efforts towards achievement of pre-determined goals. By defining objective ‘of organization clearly there would be no wastage of time, money and effort Management converts disorganized resources of men, machines, money ete. into useful enterprise. These resources are coordinated, directed and controlled in such a manner that enterprise work towards attainment of goals, Optimum Utilization of Resources -Management utilizes all the physical & human resources productively. This leads to efficacy in management, Management provides maximum utilization of scarce resources by selecting its best possible alternate use in industry from out of various uses. It makes use of experts, professional and these services leads to use of their skills, knowledge, and proper utilization and avoids wastage. If ‘employees and machines are producing its maximum there is no under employment of any resources. Reduces Costs - It gets maximum results through minimum input by proper planning and by using minimum input & getting maximum output. Management uses physical, human and financial resources in such a manner which results in best combination. ‘This helps in cost reduction. Establishes Sound Organization - No overlapping of efforts (smooth and coordinated functions). To establish sound organizational structure-is one of the objective of management which is in tune with objective of organization and for fulfillment of this, it establishes effective authority & responsibility relationship i.e. who is accountable to whom, who can give instructions to whom, who are superiors & who ate subordinates. Management fills up various positions with right persons, having right skills, training and qualification. Ail jobs should be cleared to everyone. ibrium -It enables the organization to survive in changing environment. It keeps in touch with the changing environment. With the change is external environment, the initial co-ordination of organization must be changed. So it adapts organization to changing demand of market / changing needs of societies. It is responsible for growth and survival of organization. Essentials for Prosperity of Society - Efficient management leads to better economical production which helps in turn to inctease the welfare of people. Good management makes a difficult task easier by avoiding wastage of scarce resource. It improves standard of living. It increases the profit which is beneficial to business and society will get maximum output at minimum cost by creating employment opportunities which generate income in hands. Organization comes with new products and researches beneficial for society. Challenges of Management|. Increasing Opportunities as a result of all round globalization, privatization and liberalization 2. The changing lifestyles and changing values, 3. More expectations of customers and employees, in particular, and society as a whole, in general 4. Eroding business ethies. $. Depleting financial and non-financial resources 6. Chan ing technology 7. Bottlenecks in the basic infrastructure 8. Environmental degradation, through pollution Functions of management Management has been deseribed as a social process involving responsibility for economical and effective planning & regulation of operation of an enterprise in the fulfillment of given purposes. Itis.a dynamic process consisting of various elements and activities. These activities are different from operative functions like marketing, finance, purchase etc. Rather these acti common to each and every manger irrespective of his level or status, Different experts have classified functions of management. According to George & Jerry, “There are four fundamental. functions of management i.¢. planning, organizing, actuating and controlling”. According to Henry Fayol, “To manage is fo forecast and plan, to organize, to command, & to control”. Whereas Luther Gullick has given @ keyword "POSDCORB® where P stands for Planning, O for Organizing, $ for Staffing, D for Directing, Co for Co-ordination, R for reporting & B for Budgeting. But the most widely accepted are functions of management given by KOONTZ and O'DONNEL i.e. Planning, Organizing, Staffing, Directing and Controlling. For theoretical purposes, it may be convenient to separate the function of management but practically these functions are overlapping in nature ic, they are highly inseparable. Each function blends into the other & each affects the performance of others, Contromna, c oof : _ Sresnining 1, PlanningIt is the basic function of management. It deals with chalking out a future course of action & deciding in advance the most appropriate course of actions for achievement of pre- determined goals. According to KOONTZ, “Planning is deciding in advance - what to do, when to do & how to do. It bridges the gap from where we are & where we want to be”, A plan is a future course of actions. It is an exercise in problem solving & decision making. Planning is determination of courses of action to achieve desired goals. Thus planning is a systematic thinking about ways & means for accomplishment of pre- determined goals. Planning is necessary to ensue proper utilization of human & non- human resources, Tt is all pervasive, it is an intellectual activity and it also helps in avoiding confusion, uncertainties, risks, wastages etc. Organizing It is the process of bringing together physical, financial and human resources and developing productive relationship amongst them for achievement of organizational goals, According to Henry Fayol, “To organize a business is to provide it with everything useful or its funetioning ie. raw material, tools, capital and personnel’s”. To organize a business involves determining & providing uman and non-human resources to the organizational structure, Organizing as a process involves: * Identification of activities + Classification of grouping of activities © Assignment of duties, * Delegation of authority and creation of responsibility, * Coordinating authority and responsibility relationships. Stamng It is the function of manning the organization structure and keeping it manned. Staffing hhas assumed greater importance in the recent years due to advancement of technology, increase in size of business, complexity of human behavior etc. The main purpose o staffing is to put right man on right job i. square pegs in square holes and round pegs in round holes. According to Kootz & O’Donell, “Managerial function of staffing involves ‘manning the organization structure through proper and effective selection, appraisal & development of personnel to fill the roles designed un the structure”, Staffing irvolves: © Manpower Planning (estimating man power in terms of searching, choose the person and giving the right place). + Recruitment, Selection & Placement. + Training & Development.© Remuneration + Performance Appraisal. + Promotions & Transfer. 4. Directing It is that part of managerial function which actuates the organizational methods to work efficiently for achievement of organizational purposes. It is considered life-spark of the enterprise which sets it in motion the action of people because planning, organizing and staffing are the mere preparations for doing the work. Direction is that inert-personnel aspect of management which deals directly with influencing, guiding, supervising, motivating sub-ordinate for the achievement of organizational goals. Direction has, following elements: + Supervision + Motivation © Leadership © Communication 1. Supervision- implies overseeing the work of subordinates by their superiors. It is the act of watching & directing work & workers 2. Motivation- meai to work, Positive, purpose. inspiring, stimulating or encouraging, the sub-ordinates with zeal sgative, monetary, non-monetary incentives may be used for this 3. Leadership- may be defined as a process by which manager guides and influences the work of subordinates in desired direction, 4, Communications-is the process of passing information, experience, opinion ete from one person to another. It is a bridge of understanding, 5. Controlling It implies measurement of accomplishment against the standards and comection of deviation if any to ensure achievement of organizational goals. The purpose of controlling is to ensure that everything occurs in conformities with the standards. An efficient system of control helps to predict deviations before they actuelly occur. According to Theo Haimann, “Controlling is the process of checking wheter or not proper progress is being made towards the objectives and goals and acting if necessary, to correct any deviation”. According to Koontz & O'Donell “Controlling is the measurement & correction of performance activities of subordinates in order to makesure that the enterprise objectives and plans dk accomplished”. Therefore controlling has following steps: to obtain them as being ‘© Establishment of standard performance ‘+ Measurement of actual performance. © Comparison of actual performance with the standards and finding out deviation if any, © Comeetive action, Levels of Management Levels of Management are a term referred to line of differentiation among various administrative positions in a company. The levels may increase as and when the size of the business increases and vice versa. Level of Management determines the chain of control and the quantity of power and position that is given to any management role to an individual in.an organization. Levels of Management are broadly classified into three: 1, Managerial or the Top Level Management: This level consists of the board of directors and managing director, It is the, supreme source of power since it manages the policies and procedures of an entity. Their main responsibility lies in planning and coordinating. The roles ‘and responsibilities of this ‘creamy’ level can be summed up as follows: (a), It is at this level that all the objectives and major policies are laid down, (6). Instructions are given for preparing the necessary budgets for various departments, schedules and policies (©). Preparation of premeditated plans and policies are done at this level. (d). Appointment of executives at central level or departmental heads, (@). Since it consists of Board of Director the top administration is accountable towards the shareholders for performance of the organization, (0. Harmonization and control are the two major roles played by the top management.(g). It guides the organization in the right direction towards achieving the goals and objectives. 2, Executive or Middle Level Management: The line and departmental managers form this level of management. These people are directly accountable to the top management fot functioning of their respective departments. Their main role comes under the directional and ‘managerial functions of an organization, The roles of managers at this level are as follows: (a), the main role lies in the implementation of policies and plans as per the directives of the top management. (b). Preparing plans for the sub units of their respective departments. (©), Actively contribute in guidance and employment of supervisory level of management. (d). Their duty is to understand and elucidate the policies of the top management to the lower management, (e). Bringing together the activities within the department is another role at this level of ‘management, (1), Assessment of performance of junior managers. & ‘Timely and important reports or data to be sent to the top management. (h), Motivation of supervisory managers is a vital role of this level of management 3. Supervisory or Operative Level Management: This level constitutes mostly of supervisor foremen and first line managers. The main roles of these people are: (a). Handing over jobs or responsibilities to a variety of workers, (b). Guidance towards day to day activities of the organization, (©). These managers are directly responsible for quality and amount of production. (d). They act as mediators in communicating the problems of workers and also undertake recommending solutions to higher level of organization. (c). They take stock of the machines and material required for the work to be done. (1), They ate the role models for the workers as they are directly and constantly in touch them, (g). It is their duty to uphold discipline and decorum in the organization. Managerial RolesFigurehead Leader Interpersonal Liaison Monitor Disseminator Informational Spokesperson Entrepreneur Disturbance Handler Resource —_Allocator Decisional Negotiator Let's look at each of the ten managerial roles in greater detail Interpersonal Roles ‘The managerial roles in this category involve providing information and ideas. 1, Figurehead— As a manager, you haye social, ceremonial and legal. responsibilities. You're expected to be a source of inspiration. People look up to you as a person with authority, and as a figurehead. 2, Leader — This is where you provide leadership for your team, your department or perhaps your entire organization; and it's where you manage the performance and responsibilities of everyone in the group. 3. Liaison — Managers must communicate with intemal and external contacts. You heed to be able to network effectively on behalf of your organization. Informational Roles ‘The managerial roles in this category involve processing information. 4. Monitor ~ In this role, you regularly seek out information related to your organization and industry, looking for relevant changes in the environment, You also monitor your team, in terms of both their productivity, and their well-being, 5. Disseminator— This is where you communicate potentially useful information to your colleagues and your team. 6. Spokesperson — Managers represent and speak for their organization. In this role you're responsible for transmitting information about your organization and its goals to the people outside it Decisional RolesThe managerial roles in this category involve using information 7. Entrepreneur ~ As a manager, you create and control change within the organization. This ‘means solving problems, generating new ideas, and implementing them, 8, Disturbance Handler — When an organization or team hits an unexpected roadblock, it's the manager who must take charge. You also need to help mediate disputes within it. 9. Resource Allocator — You'll also need to determine where organizational resources are best applied. This involves allocating funding, as well as assigning staff and other organizational resources 10. Negotiator — You may be needed to take part in, and direct, important negotiations within ‘your team, department, or organization. Managerial Skills To be a successful manager, you'll have to master a number of skills, To get an entry-level position, you'll have to be technically competent at the tasks you're asked to perform, To advance, you'll need to develop strong interpersonal and conceptual skills. The relative importance of different skills varies from job to job and organization to organization, but to some extent, you'll need them all to forge a managerial career. Throughout your eateer, you'll also be expected to communicate ideas clearly, use your time efficiently, and reach sound decisions. ‘Technical Skills You'll probably be hited for your first job based on your techitical skills—the ones you need to perform specific tasks—and you'll use them extensively during your early career. If your college ‘major is accounting, you'll use what you've learned to prepare financial statements. If you have a marketing degree and you join an ad agency, you'll use what you know about promotion to prepare ad campaigns, Technical skills will come in handy when you move up to a first-line managerial job and oversee the task performance of subordinates. Technical skills, though developed through job training and work experience, are generally acquired during the course of your formal education Interpersonal Skills ‘As you move up the corporate ladder, you'll find that you can’t do everything yourself: you'll haye to rely on other people to help you achieve the goals for which you're responsible, That's ‘why interpersonal skills—the ability to get along with and motivate other people—are critical for ‘managers in mid-level positions, These managers play a pivotal role because they report to top-level managers while overseeing the activities of first-line managers. Thus, they need strong working relationships with individuals at all levels and in all areas. Conceptual Skills Managers at the top, who are responsible for deciding what's good for the organizction from the broadest perspective, rely on conceptual skills—the ability to reason abstractly and analyze complex situations, Senior executives are often called on to “think outside the box”—to arrive at creative solutions to complex, sometimes ambiguous problems. They need both strong analytical abilities and strong creative talents, Communication Skills Effective communication skills are crucial to just about everyone. At all levels of an organization, you'll often be judged on your ability to communicate, both orally aad in writing, Whether you're talking informally or making a formal presentation, you must express yourself clearly and concisely. ‘Time-Management Skills Managers face multiple demands on their time, and their days are usually filled with interruptions. Ironically, some technologies that were supposed to save time, such as voicemsil and e-mail, have actually increased workloads. Unless you deyelop certain time-management skills, you risk reaching the end of the day feeling that you've worked a lot but accomplished little, What ean managers do to ease the burden? Here are a few common-sense suggestions: * Prioritize tasks, focusing on the most important things fist © Set aside a certain time each day to return phone calls and aiiswer e-mail, © Delegate rontine tasks. © Don't procrastinate, © Insist that meetings start and end on time, and stick to an agenda, Decision-Making Skills Every manager is expected to make decisions, whether alone or as part of @ team. Drawing on your decision-making skills is often a process in which you must define a problem, analyze possible solutions, and select the best outcome. Evolution of Management Thought L. _ Classieal Approaches1. Taylor’s scientific management Frederick Winslow Taylor (1856-1915) is called the father of Scientific Management. His experience from the bottom-most level in the organization gave him an opportunity to know at first the problems of the workers, Taylor's principal concern was that of increasing efficieney in production, not only to lower costs and raise profits but also to make possible increased pay for workers through their higher productivity. “Scientific management is concerned with knowing exactly what you want men to do and then see in that they do it in the best and cheapest way”. Elements and tools of scientific management 1. Separation of planning and doing: - Taylor emphasized the separation of planning aspect from actual doing of the work. Before Taylor’s scientific management, a work used to plan about how he had to work and what instruments were necessary for that. The worker ‘was put under the supervision of a supervisor commonly known as gang boss. Functional foremanship: - Separation of planning from doing resulted into development of supervision system which could take planning work adequately besides keeping supervisions on workers. 3. Job analysis: - Job analysis is undertaken to find out the one best way of dcing the thing. The best way of doing a jab is one which requires the last movements, consequently les time and cost. The best way of doing the thing can be determined by taking up time motion fatigue studies. 4, Standardization:- As far as possible, standardization should be maintained in respect of instruments and tools, period of work, amount of work, work conditions, cost of production cet. 5. Scientific selection & Training of workers: - Taylor has suggested that workers should be selected on scientific basis taking into account their education, work experienee, aptitude, physical strength 6. Financial incentives: - Financial incentives can motivate workers to put in their maximum efforts. If provisions exist to earn higher wages by putting ir extra effort, workers will be motivated to earn more. 7. Economy: - While applying scientific management, not only scientific & technical aspects should be considered but adequate consideration should be given ty economy & profit, For this purpose, techniques of cost estimates and control should be adopted, 8, Mental revolution: - scientific management depends on the mutual co-operation between management and workers. For this co-operation, there should be mental change in both parties from conflict to co-operation, The fundamental principles that Taylor saw underlying the scientific approach to management may be summarized as follows: 1. Replace rule-of-thumb work methods with methods based on a scientific study of the tasks 2. Scientifically select, train, and develop each worker rather than passively leaving them to train themselves.3. Cooperate with the workers fo ensure that the scientifically developed methods are being followed. 4, Divide work nearly equally between managers and workers, so that the managers apply scientific management principles to planning the work and the workers actually perform the tasks. 2, HENRY FAYOL 14 PRINCIPLES OF MANAGEMENT This topic detailed notes available at the end Management Principles developed by Henri Fayol: 1. Division of work: Work should be divided among individuals and groups to ensure that effort and attention are focused on special portions of the task. Fayol presented work specialization as the best way to use the human resources of the organization. : The concepts of Authority and responsibility are closely related. Authority was defined by Fayol as the right to give orders and the power to exact obedience. Responsibility involves being accountable, and is therefore naturally associated with authority. Whoever assumes authority also assumes responsibility. 3. Discipline: A successful organization requires the common effort of workers. Penalties should be applied judiciously to encourage this common effort. 4 U of command: Workers should receive orders from only one manager. 5. Unity of direction: The er objective in a common direction, organization should: be moying towards a. common 6. Subordination of individual interests to the general interests: ‘The interests of one person should not take priority over the interests of the organization as a whole. 7. Remuneration: Many variables, such as cost of living, supply of qualified personnel, general business conditions, and success of the business, should be considered in determining a worker's rate of pay. 8. Centralization: Fayol defined centralization as lowering the importance of the subordinate role. Decentralization is increasing the importance. The degree to which centralization or decentralization should be adopted depends on the specitfie organization in Which the manager is working, 9, Sealar chain: Managers in hierarchies are part of a chain like authority seale, Each manager, from the first line supervisor to the president, possess certain amounts of authority. The President possesses the most authority; the first line supervisor the leastLower level managers should always keep upper level managers informed of their work activities. The existence of a scalar chain and adherence to it are necessary if the organization is to be successful 10, Order: For the sake of efficiency and coordination, all materials and people related to a specific kind of work should be treated as equally as possible. 11, Equity: All employees should be treated as eq ually as possible. 12. Stability of tenure of personnel: Retaining productive employees shoule always be a high priority of management, Recruitment and Selection Costs, as well as increased product-reject rates are usually associated with hiring new workers. 13. Initiative: Management should take steps to encourage worker initiative, which is defined as new or additional work activity undertaken through self direction 14, Espirit de corps: Management should encourage harmony and general zood feelings among employees 3. Bureaucratic Management Theory by Max Weber (Not in syllabus don’t go in detail) Max Weber was a German sociologist who was a pioneer in the field of Bureaucticy theory of management which is the foundation of management in many of the government and military organization. Bureaucracy theory is based on strict rules and expert authority guidance which he believed would improve the efficiency of the organization's performance. This system of management avoids biasness and made the job description very clear to everyone in the organizational hierarchy. Max Webber believed that bureaucracy structure of management is the most rational and logical form of management which would make an organization highly efficient and successful ‘Max Weber described 6(six) principles of Bureaucratic management approach. Principles of Bureaucratic Management Approach 1) Job specialization: — Jobs are divided into simple, routine and fixed category based on competence and functional specialization. 2) Authority hierarchy: — Officers are organized in a n hierarchy in which higher officer controls lower position holders i.e. superior controls subordinates and their performance of subordinates and lower staff could be controlled. 3) Formal selection: — Ail organizational members are to be selected on the basis of technical qualifications and competence demonstrated by training, education or formal examination.4) Formal rules and regulations: —To ensure uniformity and to regulate actions of employees, managers must depend heavily upon formal organizational rules and regulations. Thus, rules of law lead to impersonality in interpersonal relations, 5) Impersonality: — Rules and controls are applied uniformly, avoiding involvement with personalities and preferences of employees. Nepotism and favoritism are not preferred. 6) Career orientation: — Career building opportunity is offered highly. Lifelong employment and adequate protection of individuals against arbitrary dismissal is guaranteed, Here managers are professional officials rather than owners units they manage. They work for a fixed salaries, and pursue their career within the organization. Limitations of bureaueratic theory 1) Informal relationship is not considered: — It does not consider the informal relationships between individuals working in the organizations, 2) Outdated system: — Its system of control and authority are outdated which can’t work in such a changed environment 3) Inadequate means; — Bureaucratic theory does not posses adequate means resolving differences and conflicts arising between funetional groups TI. Behavioral Approaches 1, Maslow’s need hierarchy theory y oN a All human behavior is directed towards fulfilling their needs. Abhram Maslow’s needs hierarchy theory is based upon the needs of human beings, According to this theory, each and every people have certain needs. In response to that need, s/he is motivated fo do work. Human needs have hierarchy. That’s why to motivate any people to work. The need of that person should be fulfilled according to hierarchy because as one need of that person is satisfied, another need will be created respectively. The needs have been classified in a hierarchy as follows: > Physiological needs: These needs are fundamental or basic need of human being such as food, water, clothes, shelter etc. Without these needs human being cannot survive, Therefore, these needs are necessary to operate the human life. In organization, the manager can provide the adequate lighting, comfortabletemperatures and ventilation etc to motivate the employees at first. These are the lowest order needs and assume top priority > Safety/ security needs: An individual wants to be free from the fear of losing job, food, shelter ete which is known as safety or security needs. It is second important need because after fulfilling physiological need people want the safety and security needs. These needs may be job security, old age provision, pension plans, insurance, security from risk etc ial needs: It is the third hierarchy of needs which comes afier fulfilling safety ;curity needs. Man is social in nature. Therefore, human beings always want to live in society or group which loves him/her the most. These needs include love, affection, friendship, social acceptance etc. So a manager can initiate participation of the employees as part of association to motivate the people. > Esteem/ego needs: After fulfilling the social needs of people, they now want esteem needs by which they can have some special and unique place or status for him/her, They want to be prestigious and respected which is known as esteem or ego need. It is the second last need of Maslow’s need hierarchy theory. This need includes self confident, self respect, prestige, power, status, job title etc. So s/he ‘wants to be strong and want to have immense power from which sfhe can get self satisfaction, A manager can provide the attractive job position to employees to fulfill esteem or ego needs, Self-actualization needs: Maslow said that self actualization is the last and highest nced in his hierarchy. After all needs are fulfilled especially including esteem/ego needs they now want or desire to help others. Itis maximization of ‘one’s potential. In this need people want to be satisfied in their desire? It includes challenging jobs, creativity, risk bearing capacity etc. » 2, Douglas McGregor’s Theory X and Theory Y Douglas McGregor made ‘his. mark (on the “history of organizational management and motivational psychology when he proposed the two theories by which managers perceive employee motivation, He referred to these opposing motivational methods as Theory X and ‘Theory Y management, Each assumes that the manager’s role is to organize resources, including people, to best benefit the company. Theory X Management According to MoGregor, Theory X leadership assumes the following: * Work is inherently distasteful to most people, and they will attempt to avoid work whenever possible. « Mospaopla ox ank-aniGitioos, Tove lil ade fr rsmoniils andi pecker tae directed * Most people have little aptitude for creativity in solving organizational problems, * Motivation occurs only at the physiological and security levels of Maslow’s Needs Hierarchy.© Most people are sel coerced to achieve o1 mtered. As a result, they must be closely controlled and often ;anizational objectives * Most people resist change. * Most people are gullible and unintelligent. ‘The Hard Approach and Soft Approach Under Theory X, management approaches to moti approach, jon range from a hard approach to a soft The hard approach to motivation relies on coercion, implicit threats, micromanagement, and tight controls— essentially an environment of command and control. The soft approach, however, is, to be permissive and seek harmony in the hopes that, in return, employees will cooperate when asked. However, neither of these extremes is optimal. The hard approach results in hostility, purposely low output, and extreme union demands. The soft approach results in increasing desire for greater reward in exchange for diminishing work output. ‘Theory Y ‘The higher-level needs of esteem and self-actualization are continuing needs in that they are never completely satisfied. As such, it is these higher-level needs through which employees can best be motivated. In strong contrast to Theory X, Theory Y leadership makes the following general assumptions: © Work can be as natural as play if the conditions are favorable. * People will be self-directed and creative to meet their work and organizational objectives if they are committed to them. © People will be committed to their quality and productivity objectives if rewards are in place that addresses higher needs such as self-fulfillment © The capacity for creativity spreads throughout organizations * Most people can handle responsibility because creativity and ingenitity are common in the population, * Under these conditions, people will seek respon: ility. 3. George Elton Mayo (1880-1949) was an Australian born psychologist, researcher and organizational theorist. Mayo is known as the founder of the Human Relations Movement. Mayo was known for his famous experiment at thehowthome plant of the westem electric company, 10, USA, for evaluating the attitudes and psychological reaction of workers on the job situation, He carried out a number of investigations to look at ways of improving productivity > Mumination Experiment: These experiments were performed to find out the effect of different levels of illumination (lighting) on productivity of labour. The brightness of the light was increased and decreased to find out the effect on the productivity of the test group. Surprisingly, the productivity increased even when the level of illumination was decreased. It was concluded that factors other than light were also important