Podcast Beta
Questions and Answers
What does the Functional Principle primarily involve in organizational theory?
What concept does the Classical Organizational Theory rely on to ensure the efficiency of production systems?
According to the Scalar Principle, what structure element is emphasized for effective management?
What is an essential feature of organizations according to the definition provided?
Signup and view all the answers
Which principle refers to the number of subordinates a manager has to supervise?
Signup and view all the answers
What is a primary goal of Scientific Management according to Frederick Taylor?
Signup and view all the answers
In Classical Organizational Theory, what ensures cooperation toward goals?
Signup and view all the answers
What is the primary focus of organizations according to Classical Organizational Theory?
Signup and view all the answers
How should organizations address their structure according to Classical Organizational Theory?
Signup and view all the answers
What are Line Functions primarily responsible for in an organization?
Signup and view all the answers
Which of the following parts of an organization is directly responsible for transforming raw goods into sellable products?
Signup and view all the answers
What function of management involves the responsibility to ensure that work is carried out in adherence with pre-established plans?
Signup and view all the answers
In structural theory, which of the following is considered a side effect of ideology and causes divisiveness and conflict within an organization?
Signup and view all the answers
Under the Neoclassical Theory of Management, what is emphasized alongside the importance of individual or group behavior?
Signup and view all the answers
Who is responsible for ensuring that the overall goals set by the strategic apex are carried out by the operating core?
Signup and view all the answers
Which function of management is focused on setting objectives and determining what actions should be taken to achieve them?
Signup and view all the answers
Which part of an organization is associated with the executive leadership responsible for the overall success of the organization?
Signup and view all the answers
What term is used to describe the function within an organization that possesses specific technical expertise such as accounting, HR, or IT?
Signup and view all the answers
What theory suggests that employees will attempt to perform in a manner consistent with their self-esteem?
Signup and view all the answers
Employees who are motivated by the challenge of a task demonstrate which type of motivation?
Signup and view all the answers
Which effect describes the negative impact of low expectations on an employee’s performance?
Signup and view all the answers
Which of the following is NOT a type of self-esteem discussed?
Signup and view all the answers
According to Hackman and Oldham's Job Characteristics Theory, which characteristic involves providing employees with feedback about their performance?
Signup and view all the answers
In the context of the Needs for Achievement and Power, employees with a strong need for affiliation are motivated by jobs that involve what?
Signup and view all the answers
The Work Preference Inventory is used to measure what?
Signup and view all the answers
What is the term for the relationship between self-expectations and performance?
Signup and view all the answers
What core job characteristic refers to the degree to which a job affects the organization or society?
Signup and view all the answers
Which effect states that an employee's self-esteem will rise if their manager has confidence in them?
Signup and view all the answers
What is the main focus of Humanistic Theory in the context of organizational success?
Signup and view all the answers
Which belief is a cornerstone of McGregor's Theory X?
Signup and view all the answers
How does Theory Y differ in its perspective on employees from Theory X?
Signup and view all the answers
What is the role of self-esteem in work motivation, according to the text?
Signup and view all the answers
Which of the following is NOT a characteristic of managers' behavior according to Theory X?
Signup and view all the answers
Which of the following best describes the concept of Self-Fulfilling Prophecy in the workplace?
Signup and view all the answers
According to the content, what does motivation in the workplace entail?
Signup and view all the answers
According to McGregor's Theories, what is considered a manager's responsibility under Theory Y?
Signup and view all the answers
What is the primary characteristic of a bureaucratic organization according to Max Weber?
Signup and view all the answers
Which principle is NOT included in the scientific approach to organization?
Signup and view all the answers
What issue can arise from the division of labor within an organization?
Signup and view all the answers
Which concept is characterized by a limited set of activities to improve proficiency and output?
Signup and view all the answers
What does the 'Delegation of Authority' approach primarily involve?
Signup and view all the answers
What is the characteristic of a span of control?
Signup and view all the answers
What type of organization is described as having a top-down, pyramidal structure?
Signup and view all the answers
Which principle emphasizes equal treatment and the absence of bias in selection?
Signup and view all the answers
According to Herzberg's Two-Factor Theory, which of the following is considered a hygiene factor?
Signup and view all the answers
What is the primary premise of the Reinforcement Theory?
Signup and view all the answers
Which need is considered the highest in Maslow's hierarchy of needs?
Signup and view all the answers
In Alderfer's ERG Theory, which of the following components is NOT directly included?
Signup and view all the answers
Which drive in the Four-Drive Theory is associated with the need to discover answers to unknown questions?
Signup and view all the answers
Which of the following needs is central to McClelland's Achievement Motivation Theory?
Signup and view all the answers
According to Herzberg's theory, which factor is directly related to job satisfaction?
Signup and view all the answers
Which of the following describes the concept of self-regulation in motivation theories?
Signup and view all the answers
From McClelland's Achievement Motivation Theory, what distinguishes institutional power from personal power?
Signup and view all the answers
What is the central idea behind Clayton Alderfer's ERG Theory?
Signup and view all the answers
Which type of reward involves giving personal attention and signs of approval?
Signup and view all the answers
What is a key determinant of motivation according to Edwin Locke's Goal Setting Theory?
Signup and view all the answers
According to J. Stacey Adam's Equity Theory, what leads to job dissatisfaction?
Signup and view all the answers
What type of incentive plan is known as earnings-at-risk (EAR) plans?
Signup and view all the answers
Which type of schedule is defined by responses being rewarded after a specific number of responses?
Signup and view all the answers
Which principle implies that a seemingly insignificant item can be used as a reinforcer?
Signup and view all the answers
What is a key aspect of Organizational Behavior Modification?
Signup and view all the answers
In J. Stacey Adam's Equity Theory, what are elements that employees put into their jobs referred to as?
Signup and view all the answers
Which leadership style in Path-Goal Theory focuses on planning, organizing, and controlling the activities of employees?
Signup and view all the answers
What is a primary characteristic of the 'In-Group' in Leader-Member Exchange Theory?
Signup and view all the answers
What occurs when an organization experiences too much negative entropy?
Signup and view all the answers
Which component of Ryan and Deci's Self-Determination Theory is related to an individual's need to feel in control of their own behaviors and goals?
Signup and view all the answers
Which type of organization, according to Lawrence and Lorsch’s model, is suited for a stable environment?
Signup and view all the answers
According to Katz & Kahn, what is necessary for an organization to continue as a unified process?
Signup and view all the answers
In Situational Leadership Theory, which style is used when a leader encounters employees who are willing but unable?
Signup and view all the answers
What does the Systems Approach recognize about an organization's interaction with its environment?
Signup and view all the answers
What does Fiedler's contingency model suggest about leadership style?
Signup and view all the answers
Which approach focuses on ensuring a balance between social and technical systems within an organization?
Signup and view all the answers
What is the best approach according to Mintzberg’s contingency model, when describing an organization?
Signup and view all the answers
Within the Systems Approach, what constitutes 'Subsystems'?
Signup and view all the answers
What is the principle behind Equifinality in open systems theory?
Signup and view all the answers
What is the primary focus of Modern Organization Theory?
Signup and view all the answers
What concept did Joan Woodward's contingency model match with organizational structure for maximum performance?
Signup and view all the answers
Which style in Situational Leadership Theory is used when an employee is unwilling and unable?
Signup and view all the answers
What resource type is considered an 'input' in open systems theory?
Signup and view all the answers
In Leader-Member Exchange Theory, what differentiates the 'Out-Group' from the 'In-Group'?
Signup and view all the answers
According to Lawrence and Lorsch, what must an organic organization rely on?
Signup and view all the answers
How do organizations avoid the negative impact of entropy?
Signup and view all the answers
According to Vroom's Expectancy Theory, which component directly relates to the perceived likelihood that a specific behavior will lead to a desired outcome?
Signup and view all the answers
In the MARS Model, which factor refers to how clearly people understand their job duties?
Signup and view all the answers
Which personality trait in Costa & McCrae's Five Factor Model is characterized by being imaginative, creative, and curious?
Signup and view all the answers
Which of the following is NOT one of the components of the MARS Model that influences performance?
Signup and view all the answers
What is the primary focus of Distributive Justice in the context of Organizational Justice Theory?
Signup and view all the answers
Which factor in the MARS Model includes both natural aptitudes and learned capabilities?
Signup and view all the answers
In Vroom's Expectancy Theory, which component refers to the extent to which the effort exerted will result in the desired outcome?
Signup and view all the answers
What does the 'Intensity' aspect of motivation specifically refer to according to the MARS Model?
Signup and view all the answers
Which component of Organizational Justice Theory emphasizes the fairness of procedures used in decision-making?
Signup and view all the answers
Which personality trait involves being outgoing, talkative, and energetic according to Costa & McCrae's Five Factor Model?
Signup and view all the answers
Study Notes
Organizational Theory
- An organization is a collectivity of parts that cannot accomplish their goals effectively if they operated separately.
- It is a tool people use to coordinate their actions to obtain something they desire or value to achieve a goal.
- An organization is a social entity, made up of people that agree on, and work towards goals.
- Organizations create value, or else they "die".
- Organizations create value through the following process: Environment (Customers, Suppliers) > Input (Raw Materials, IT, HR) > Process (Machines, Computers, KSAOs) > Output (Products, Services).
Classical Theory
- Classical Organizational Theory states that organizations exist for economic reasons and to accomplish productivity goals.
- The basic ingredient of any organization is a system of differentiated activities.
- People perform tasks and exercise authority.
- Cooperation towards a goal is achieved through unity of purpose in pursuit of common goals.
- Authority ensures cooperation among people pursuing their goals.
- There is a "right" structure for an organization, which assumes there is one best configuration to accomplish goals.
- Scientific analysis will identify the one best way to organize for production.
- The theory deals with the formal organization and concepts to increase management efficiency.
- Both people and organizations act in accordance with rational economic principles.
Key Principles
- Functional Principle: concept behind division of labor, which divides organizations into units that perform similar functions into areas of specialization.
- Scalar Principle: deals with the organization's vertical growth and refers to the chain of command that grows with levels added to the organization.
- Line/Staff Principle: distinguishes between line functions (primary responsibilities for meeting the major goals of the organization) and staff functions (supporting line activities).
- Span-of-Control Principle: refers to the number of subordinates a manager is responsible for supervising.
Scientific Management
- Frederick Taylor believed that scientific principles could be applied to the study of work behavior to help increase worker efficiency and productivity.
- Scientific management is based on the concept of planning of work to achieve efficiency, standardization, specialization, and simplification.
- The advantages of productivity improvement should go to workers.
- Physical stress and anxiety should be eliminated.
- Capabilities of workers should be developed through training.
- The traditional boss concept should be eliminated.
Structural Theory
- Harry Mintzberg proposed that organizations evolve to reach a certain form and shape (structure) which permits the organization to function in its surroundings.
- The structure of an organization is an adaptive mechanism that permits the organization to function in its surroundings.
Seven Basic Parts of an Organization
- Operating Core: responsible for conducting basic work duties that give the organization its defining purpose.
- Strategic Apex: responsible for the overall success of the entire organization.
- Middle Line: ensures that overall goals set by strategic apex are being carried out by the operating core.
- Technostructure: possesses specific technical expertise that facilitates overall operation of the organization.
- Support Staff: aids the basic mission of the organization.
- Ideology: belief system that compels commitment to a particular value.
- Politics: side effect of ideology, causes divisiveness and conflict.
Neoclassical Theory
- Neoclassical Theory recognizes the importance of individual or group behavior and emphasizes human relations.
- Also known as Behavioral Theory of Organization, Human Relations, or New Classical Theory of Management.
Bureaucracy
- Described by Max Weber, bureaucracy is the ideal form of organization.
- Includes formal hierarchy, division of labor, and a clear set of operating procedures.
- Well-defined authority hierarchy with strict rules for governing behavior.
- Increase productivity by reducing inefficiencies in organizational operations.
Characteristics of a Bureaucratic Organization
- Specialization of labor.
- Well-defined authority hierarchy.
- Formal rules and procedures.
- Impersonality: behavior is based on logical reasoning rather than emotional thinking.
Administrative Management
- Aims to improve organizational productivity by focusing on methods that managers can use to synchronize internal processes.
- Elements of administrative theory include line and staff, committee, and function of management.
- Principles of administrative management include division of specialization, employed, and underemployed.
Humanistic Theory
- Humanistic Theory views organizational success in terms of employee motivation and the interpersonal relationships that emerge within the organization.
- Theory X and Theory Y (McGregor) describe managers' beliefs and assumptions about their employees.
- Self-fulfilling prophecy is a key concept in humanistic theory.
Theory X and Theory Y
- Theory X: employees are viewed as lazy, selfish, uninterested in work, lack in ambition, and not very intelligent.
- Theory Y: emphasizes the inherent goodness, capacity, and potential of employees, and their readiness to develop those inherent characteristics in the workplace.
Motivation
- The internal force that drives a worker to action, as well as the external factors that encourage that action.
- Ability and skill determine whether a worker can do the job, but motivation determines whether a worker can do it properly.
Consistency Theory
- Employees who feel good about themselves are motivated to perform better at work than employees who do not feel that they are valuable and worthy people.
- Employees try to perform at levels consistent with self-esteem.
Types of Self-Esteem
- Chronic self-esteem: a person's overall feeling about themselves.
- Situational self-esteem: a person's feeling about themselves in a particular situation.
- Socially influenced self-esteem: how a person feels about themselves on the basis of the expectations of others.
Increasing Self-Esteem
- Employees can attend workshops to gain insights into their strengths.
- Experience-with-success: giving employees tasks that are easy to succeed at.
- Galatea effect: the relationship between self-expectations and performance.
- Train supervisors to communicate a feeling of confidence in an employee.
- Pygmalion effect: if an employee feels that the manager has confidence in them, their self-esteem will increase.
- Golem effect: occurs when negative expectations of an individual cause a decrease in that individual's actual performance.### Pay for Performance and Merit Pay
- Pay for Performance (also called earnings-at-risk plans): pays employees based on how much they produce
- Merit Pay: bases incentives on performance appraisal scores rather than objective performance measures (sales, productivity)
Group Incentive Plans
- Profit Sharing: provides employees with a percentage of profits above a specific amount
Fairness of the Reward System
- Reinforcement: increases behavior
- Positive: adding something to increase behavior
- Negative: removing something to increase behavior
- Punishment: decreases behavior
4 Types of Schedules
- Fixed Interval
- Fixed Ratio
- Variable Interval
- Variable Ratio
Organizational Behavior Modification
- Certain target behaviors are specified, measured, and rewarded
Edwin Locke's Goal Setting Theory
- Emphasizes the role of specific, challenging goals and worker's commitment to those goals as key determinants of motivation
- Difficult or challenging goals will result in greater levels of motivation if they are accepted by the workers
- Goals should be SMART (Specific, Measurable, Attainable, Relevant, Time-Bound)
J. Stacey Adam's Equity Theory
- Based on the premise that our levels of motivation and job satisfaction are related to how fairly we believe we are treated in comparison with others
- Inputs: the elements we put into our jobs
- Outputs: the elements we receive from our jobs
- Employees subconsciously list all their outputs and inputs and then compute an input/output ratio by dividing the output value by input value
- If an employee's ratio is lower than those of others, they will become dissatisfied
Open Systems Theory by Katz & Kahn
- Organization develops and changes over time as a result of both external and internal forces
- Must interact with the environment in order to survive
3 Key Elements of Open Systems Theory
- Inputs: raw materials, human resources, energy, machinery
- Throughputs: production processes, service, training
- Outputs/Feedback: products, services, knowledge
Characteristics of Open Systems
- Organizations must be open to its environment to be effective
- Organizations thrive only as long as there is a continuous flow of energy from the external environment into the system and continuous export of products out of the system
- Too much Negative Entropy: (all forms of organization move towards disorganization or death), so orgs must avoid this movement
- The negative feedback loop provides information about where and how the organization is getting off-course; therefore, they could correct or adjust the course
- Equifinality: a system can reach the same end state in different ways (there isn't just one way to achieve a particular outcome)
Contingency Theory
- The "it depends" theory
- Behavior must be selected to fit the particular circumstance
A. Joan Woodward's Contingency Model
- For maximal performance, org structure needed to match the type of production technology
- 3 types of manufacturers:
- Small-batch, mass production, and continuous production
- Producers of small batches of specialty products required a span of control that was moderate in size and a short chain of command
- Mass Production, large span of control and long chain of command
- Continuous process, largest span of control
- Deals only with manufacturing organizations
B. Lawrence and Lorsch's Model
- Asserted that two processes determine the company's ability to keep up with external changes: differentiation and integration
- Proposed that the stability of the environment dictates the most effective form of organization:
- Depends on the environment of the company
- Mechanistic Organization: an organization that depends on formal rules and regulations, makes decisions at higher levels of the organization and has smaller spans of control (for stable environments)
- Organic Organization: organization with a large span of control, less formalized procedures, and decision-making at middle levels (for unstable environments)
- Differentiation: complexity of the org structure - number of units, various orientations and philosophies of the managers, and the goals and interests of the organization's members
- Integration: amount and quality of collaboration
C. Fiedler's Contingency Model
- Any individual's leadership style is effective only in certain situations
D. Mintzberg's Contingency Model
- Argued that one could describe an organization by looking at several categories of characteristics
Leadership Theories
Path-Goal Theory
- A leader can adopt one of four behavioral leadership styles to handle each situation:
- Instrumental: Calls for planning, organizing, and controlling the activities of employees
- Supportive: Shows concern for employees
- Participative: Shares information with employees and lets them participate in the decision making
- Achievement-Oriented: Challenging goals and rewards increases in performance
Situational Leadership Theory
- A leader typically uses one of the 4 behavioral styles:
- Delegating: Willing and able
- Directing: Unwilling and unable
- Coaching: Willing but unable
- Supporting: Unwilling but able
Leader-Member Exchange Theory (Vertical Dyad Linkage Theory)
- Concentrates on the interactions between leader and subordinates
- Leaders develop different roles and relationships with other people under them and thus act differently with different subordinates
- In-Group: HQ relationship with the leader, developed trusting and friendly relationship
- Out-Group: LQ relationship with the leader, developed
Ryan and Deci's Self-Determination Theory
- Defined as the person’s ability to make choices and manage their own life
- You feel in greater control, as opposed to being non-self-determined, which can leave you feeling that your life is controlled by others
- People are motivated to grow and change by three innate psychological needs:
- Autonomy: People need to feel in control of their own behaviors and goals
- Competence: People need to gain mastery of tasks and learn different skills
- Connection or Relatedness: People need to experience a sense of belonging and attachment to people
Modern Organization Theory
- Based on the concept that the organization is a system which has to adapt to changes in its environment
Organization Approach
Systems Approach
- Considers organization as systems - a system is an organized or complex whole - an assemblage or combination of things or parts which form a complex unitary whole
- Subsystems: Different parts of the system, which are interrelated
- Open: Interact with the environment
- Closed: No interaction with the environment
- Adopts multi-level and multi-dimensional approach, which considers both macro and micro aspects
- Focuses on the internal dynamics of an organization’s structure and behavior
- Applicable to all situations
3 Basic Elements
- Components: Individual, formal and informal structure in an organization, physical environment
- Linking Process: Communication, balance, decision analysis
- Goals of Organization: Growth, stability, interaction
Socio-Technical Approach
- Based on the premise that every organization consists of the people, the technical system, and the environment
- People use tools, techniques, and knowledge to produce goods or services valued by consumers or users
- Equilibrium among the social system, technical system, and the environment is necessary to make the org more effective
- Joint Optimization: The idea that the social and technological systems should be designed to fit one another as well as possible
- Unit Control of Variance: Concerns who handles work problems when they arise
Motivation
- Motivated to make the ratios equal in one or more ways
- Our motivation decreases when our input/output ratios are lower than others
Vroom's Expectancy Theory
- Valence: desirability of a particular outcome to an individual
- Extent to which an employee value a particular consequence
- Gaano mo ka-gusto yung outcome
- Instrumentality: relationship between the performance of a particular behavior and the likelihood that a certain outcome will result
- Link between one outcome and another outcome
- Outcome of a worker's performance, if noticed, results in a particular consequence
- The extent to which the performance will result to the desired outcome
- Kapag bae to yung ginawa ko, yayaman ako?
- Expectancy:
- Perceived relationship between the amount of effort an employee puts in and the resulting outcome
- The extent to which the effort an employee exerted resulted to the outcome she wanted
- Nag-aral ako ng mabuti, nag-trabaho ako ng maayos kaya eto mayaman na ako
Organization Justice Theory
- If employees are treated fairly, they will be more satisfied and motivated
- Focused on fairness of many aspects such as the process of decision making, outcome of decisions, and how it is communicated to employees
- Distributive Justice: fairness of the decision itself
- Procedural Justice: fairness of the procedures used to arrive with the decision
MARS Model of Individual Behavior and Performance
- Performance: is predicted by the Motivation, Ability, Role Perception, and Situational Factors
- All 4 factors are critical influences on an individual's voluntary behavior and performance, if one is low in a given situation, then, the employee will perform poorly
- Motivation, ability, and role perception is clustered together as they are located within the person
Motivation
- Represents the forces within a person that affect his or her direction, intensity, and persistence of voluntary behavior
- Direction: path along which people steer their effort
- Motivation is goal-oriented
Studying That Suits You
Use AI to generate personalized quizzes and flashcards to suit your learning preferences.
Description
Review of organizational theories, models, and concepts in industrial psychology, helpful for board exams and professional development.
