Southwestern University – PHINMA

MA Public Administration
Module 1

Organization and Management

MPAd2

Management Theories:
Modern Management

By: Guendolyn P. Lloren

October 30, 2020

P/SUPT Delia G. Rayoso PNP (Ret), DPA

Professor
I. A. The Modern Management Theory

The Modern Management Theory developed with the growth of

social-economics and the scientific institution. It is a direct response to

Classical Management Theory which was founded on the idea that

employees only have physical needs, and focuses on the economics of

organizing workers. Modern Management, on the other hand, embraces

the idea that people are complex resulting to having employees’ whose

needs vary over time, and possess a range of talents and skills that can be

developed through trainings or other programs.

Modern Management Theory states that a worker does not work

only for money but also for their satisfaction and a balanced living

lifestyle. In this theory, the non-financial reward is given importance. There

is an emphasis in the use of systematic mathematical techniques in

analysing and understanding the inter-relationship of management and

workers.

Businesses in the modern age are challenged with the rapid

changes and complexities that unceasingly develop overnight. With this, it

is seen that technology is both the cause and solution for this problem. For

this reason, businesses incorporate the Modern Management Theory into

their operations aiming to combine technology and mathematical

analysis with the human and traditional elements of the organization.

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 There are three streams of thinking which are: (1) Systems

Approach; (2) Contingency Approach; and (3) Quantitative Approach.

I. B. Three Streams

a. Systems Approach

The Systems Approach sees the system defined in two ways:

externally, by its purpose where the concept dictates that each

system plays a role at the higher level; and internally, by its

subsystems and internal functions where systems are believed to be

interrelated and contribute to the overall purpose of the parent

system.

b. Contingency Approach

The Contingency Approach, otherwise known as the

Situational Approach, believes that effective management of an

organization is influenced by various factors that cannot be easily

predicted. It identifies the internal and external variables that are

critical in influencing managerial revolution and organisational

performance.

c. Quantitative Approach

The Quantitative Approach, otherwise known as

Mathematical Approach, is a scientific method that emphasizes the

use of statistical model and systematic mathematical techniques to

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 solve complex management problems. This approach only suggests

alternatives based on statistics and cannot take the final decision.

II. Office Practice

I am currently connected with Mactan-Cebu International Airport

Authority (MCIAA) under the Human Resource Management Division

(HRMD). There have been efforts to shift the management style to the

Modern Management Theory as there is a steady increase of new hires.

The traditional practices in the office are gradually integrated with the

new practices slowly emerging in the organizational world.

As mandated by the Civil Service Commission, we are given a

mandatory set number of days in a year to take a break from work. Our

immediate supervisors encourage us to make use of the said days which

helps us achieve a work-life-balance and avoid potential burnouts. There

is also a program that recognizes outstanding employees who are

nominated by their immediate supervisors or fellow colleagues. This helps

in increasing morale and motivation as there is an evident result to the

efforts that they exert at work.

This practice is advantageous in the sense that it helps employees

achieve the work-life-balance that they aim for. Looking forward to the

paid vacation leaves act as an extrinsic motivation for them. However,

this may also be seen as a disadvantage as with the impeding vacation

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 leave just around the corner, there are some employees who get too

distracted doing last minute preparations, making them unable to focus

on their work. The act of recognizing an outstanding employee is

advantageous as it gives the awardee the spotlight and highlights their

efforts – big or small – in helping the office become better. The

disadvantage of doing this practice is that there may be employees who

feel that they have had bigger and better contributions than the

awardee, and thus, feel demotivated.

III. Emergent Management Theory

An emergent management theory that may resolve the challenges

presented in our office may be the Equity Theory of Employee Motivation.

This theory argues that employees are motivated when they perceive that

the treatment in the workplace is fair and unmotivated when they

perceive that the treatment is unfair. Blatant favouritism for recognition

may result to a largely unhappy and demotivated group of employees.

The theory also states that providing an employee with recognition

for the outstanding work that they have done is essential. At the same

time, it asks that the employees be given a fair chance to advance their

skills and earn bonuses or other rewards. The office or management

should ensure that employees would not feel as though their inputs, which

are the work that they have done, are greater than the outputs, which is

the tangible and intangible benefits and rewards they get from the office.

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Works Cited

Chand, S. (n.d.). Modern Management Theory: Quantitative, System and

Contingency Approaches to Management. Retrieved October 27, 2020,
from Your Article Library:
https://www.yourarticlelibrary.com/management/modern-management-
theory-quantitative-system-and-contingency-approaches-to-
management/25621

Freedom Learning Group. (n.d.). Modern Management Theories. Retrieved

September 28, 2020, from https://courses.lumenlearning.com/wm-
organizationalbehavior/chapter/modern-management-theories/

Shukla, R. (2012, September 2). Modern Management theory in principle of

management. Retrieved October 28, 2020, from
http://managementlearningcenter.blogspot.com/2012/09/modern-
management-theory-in-
principle.html#:~:text=Modern%20management%20theory%20focuses%20
the,and%20workers%20in%20all%20aspect

Zeiger, S. (2019, January 31). Theories on Motivation in Organizations and

Management. Retrieved from https://smallbusiness.chron.com/theories-
motivation-organizations-management-25221.html

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