PROJECT & RELATIONSHIP

MANAGEMENT
Year 2 | Semester 2
THE HUMAN ASPECTS OF THE
ORGANISATION
20%
Leadership & Management
 What is management?

Management is the process of

getting things done through
the efforts of other people.

Fayol identified the common

functions of management as:
Mintzberg
Managerial
Roles
CONCEPTS IN
MANAGEMENT
• Power
• Authority
• Responsibility
• Accountability
• Delegation
 Power is the capacity to exert influence, to make
someone act according to your own preferences.
Power French & Raven
Power
POSITIONAL POWER PERSONAL POWER

• Legitimate Power • Referent Power

• The Boss • I like you
• Reward Power • Expert Power
• Bribery • Special abilities
• Coercive Power • Information Power
• Gun • It’s what you know
• Resource Power • Connection Power
• Controlling Access • And who you know
 Sources of Power

Legitimate Reward Coercive Resource Referent

Power Power Power Power Power
• Controlling
• The Boss • Bribery • Gun • I like you
Access
 Authority
The right to exercise power
 The obligation of an individual who occupies a
position in the organization to perform certain
duties, tasks or make certain decisions.
Responsibility The responsibility must correspond to the scope
of authority given
 Responsibility without the necessary
authority renders a manager powerless to
achieve the levels upon which his
performance is being judged.

Responsibility
•Authority without clear responsibility for
achieving specified targets or without
having to report to a more senior manager
will result in a manager not knowing how
to use their authority wisely.
 • The need for individuals to explain and justify
any failure to fulfill their responsibilities to their
ACCOUNTABILITY superiors in the hierarchy.
 • Employee empowerment is where employees
EMPOWERMENT are given autonomy and responsibility to
undertake tasks without being directed at each
step by management.
 Empowerment

To be able to empower staff, management has to have trust in their

capabilities and be willing to allow employees to make decisions, within
set limits.
 • The process whereby a manager assigns part of
his authority to a subordinate to fulfill his
DELEGATION duties.
PROS & CONS OF DELEGATION
ADVANTAGES DISADVANTAGES

• Builds Trust and Understanding • Misuse of Power

• Motivates Employees • Failure to Fulfill the Tasks
• Tests Employee Skills • Delay
• Provides Training • Impact on Quality of Work
• Achieves Work Distribution
• Gives Scope for Innovation
• Builds Team Spirit
https://www.youtube.com/watch?v=GsnkWGuPReU
THEORIES OF MANAGEMENT
Theories of management
CLASSICAL THEORIES
• The classical approach to management
emphasises the technical and economic aspects
of organisations.
• It assumes that behaviour in organisations is
rational and logical
 One best approach to the job, using work
study methods

Scientific Once employees were trained in the best

Management approach then payment should be based on
piece-rate (believed money to be a motivator)
(Taylor)
Well-trained employees delivered high
Objective of management is to productivity
secure the maximum prosperity for
both employer and employee

Win:win for both employee and organisation.

 Fayol's approach was to view problems from
the managerial aspects and to specifically
analyse the work of management, stressing

Administrative
that most management features had universal
application.

Management
(Fayol) As well as the 5 main functions of
management (already covered), Fayol also
proposed 14 principles of management.
 Bureaucratic Based on hierarchy of authority
Management
(Weber)
Strict rules and regulations
Max Weber developed his model of the
‘ideal type’ of bureaucracy, in which he govern decision making
explored the characteristics of a rational
form of organisation.

He believed this to be potentially the most

efficient form of organisation. Weber's Specialisation in duties,
bureaucracy is based on formalization
and standardization. segregated 'offices' and levels.
 • Qualification based hiring
• Merit based promotion
• Chain of command
Elements of Bureaucracy • Division of labour
• Impartial application of rules
• Manager vs. Owners
Negative connotations with Bureaucratic

Little need for

Slow response to Lack of speedy
involving staff in
change communication
decision-making

Rules stifle No recognition of

initiative and important informal
innovative ideas relationships.
HUMAN RELATIONS SCHOOL
An approach which seeks to understand and prescribe for
workplace behaviour based on the importance of work group
norms, communication and supervisory skills.
Mayo Experiments
• Demonstrated the “Experimenter effect” and the importance of
groups
• In the Hawthorne investigations, Over a period of five years Mayo’s
team altered the worker’s working conditions and then monitored
how the working conditions affected the workers morale and
productivity.
• The changes in working conditions included changes in working
hours, rest breaks, lighting, humidity, and temperature.

https://www.youtube.com/watch?v=SAfMfMgErlk
https://www.youtube.com/watch?v=z03FQGlGgo0
• At the end of the five year period, the working conditions, reverted
back to the conditions before the experiment began. Unexpectedly
the workers morale and productivity rose to levels higher than before
and during the experiments.
• This led to the conclusion that the need for recognition, security and
sense of belonging is more important in determining workers’ morale
and productivity than the physical conditions under which he/she
works.
Maslow’s Hierarchy of Needs

https://www.youtube.com/watch?v=O-4ithG_07Q
SYSTEMS THEORY
Systems theory is an approach to organisational work design which
takes account of social aspects and technical aspects.
It looks at the interaction between people and technology within
the organisation
 Close-knit groups had been broken up

Trist and
Bamforth Communication was difficult because of the geographical
spread of workers

The duo carried out research into

the structure & operation of the New payment schemes caused jealousy among the workforce
'longwall’ method of mining in County
Durham in the 1940s.

It highlighted the interaction between

social needs and technological Too much specialization & individuality was built into the jobs.
activities. Their findings highlighted:

The mine owners had not considered the effects on the

workforce, showing an ignorance of individual and group
needs at work.
CONTINGENCY THEORY
The contingency view suggests that the effectiveness of various
managerial practices, styles and techniques will vary according to
the circumstances of the situation.
This contradicts the classical theories which thought that there was
one right way to run an organisation

Burns and Stalker
Distinguished between two
major types of organisations –
Mechanistic
Organic
The mechanistic system was seen to be
appropriate in stable conditions where
the management of change was not seen
to be an important factor.
The organic system is seen to be more
responsive to change, and is therefore
recommended for organisations moving
into periods of rapid changes in
technology, market orientation, or tasks.
LEADERSHIP
What is Leadership?
Leadership is the process of influencing others to work willingly
towards goals, to the best of their capabilities, or 'getting other people
to do things willingly
 CHARISMATIC - Influence from personality

TRADITIONAL - Influence from social prejudice

SITUATIONAL - Being in the right place and the right time

APPOINTED - Influence from the position held

FUNCTIONAL - Influence by doing things well

Types of Leaders
 CHARISMATIC - Influence from personality

TRADITIONAL - Influence from social prejudice

SITUATIONAL - Being in the right place and the right time

APPOINTED - Influence from the position held

FUNCTIONAL - Influence by doing things well

Types of Leaders
LEADERSHIP THEORIES
PERSONALITY OR TRAIT THEORIES

• Physical traits - Drive, energy, appearance and height

• Personality traits - Adaptability, enthusiasm & self-confidence

• Social traits - Co-operation, courtesy and respectability

Certain other writers selected other personal qualities which were

thought to be desirable in leaders, who are ‘born and not made’
 STYLE
THEORIES

The essence of leadership style theories is that a successful leader will

exhibit a pattern of behaviour (i.e. 'style') in gaining the confidence of
those they wish to lead.
McGregor’s Theory X and Theory Y
Kurt Lewin
Rank Lewin’s Leadership styles based on the
following;
- Productivity
- Satisfaction 3

1 2
Blake & Mouton – Managerial Grid
The Blake Mouton grid is a matrix that
characterizes leaders based on two dimensions:
- Concern for production
- Concern for people
Plot your manager with justifications
CONTINGENCY THEORY
Contingency theory suggests that here is that there is no one best
approach to leadership.

A good leader will change their style to suit the situation.

Adair – Action-centered leadership
 Fielder identified two distinct styles of
Fielder – leadership:
• Psychologically distant managers
Contingency (PDMs)
Model • Psychologically close managers
(PCMs)
Fielder – Contingency Model
Fiedler suggested that the most effective style of leadership would be
determined by the situation, which would be influenced by three
factors:
• Leader/member relations –
The nature of the relationship between the leader and the group
• Task structure
The extent to which the task is structured
• Leader position power
The degree of formal authority/responsibility allocated to the position
Psychologically distant managers
(PDMs)
• Maintain distance from their subordinates by formalising
roles and relationships within the team.
• Are withdrawn and reserved in their interpersonal
relationships.
• Prefer formal communication and consultation methods
rather than seek informal opinion.
• Judge subordinates on the basis of performance and are
primarily task-orientated.
• Fiedler found that leaders of the most effective work
groups actually tend to be PDMs.
Psychologically close managers
(PCMs)
• Do not seek to formalise roles and relationships.
• Prefer informal contacts to regular formal staff meetings.
• They are more concerned to maintain good human
relationships at work to ensure that tasks are carried out
efficiently.
• Fiedler concluded that a structured (or psychologically distant)
style works best when the situation is either very favourable or
very unfavourable to the leader.
• On the other hand, a supportive (or psychologically close) style
works best when the situation is moderately favourable to the
leader.
• He further suggested that group performance would be
contingent upon the appropriate matching of leadership styles
and the degree of favourableness of the group situation for
the leader.
RECENT THINKING ON LEADERSHIP
Transformational/transactional leadership – Bennis
Distributed leadership
• A distributed, or shared, leadership perspective recognises that there
are multiple leaders