Herzberg Theory PDF
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This document is a study on the Herzberg's motivation-hygiene theory, which distinguishes between factors that lead to job satisfaction (motivators) and job dissatisfaction (hygiene factors). It outlines the key findings and categorizes these factors. The aim is to understand what motivates employees.
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Hygiene Theory Frederick Herzberg May 04, 2022 Born in 1923, Frederick Herzberg grew up in New York City and went to college at City University there. Herzberg was a self-confessed humanist, as became increasingly evident as his th...
Hygiene Theory Frederick Herzberg May 04, 2022 Born in 1923, Frederick Herzberg grew up in New York City and went to college at City University there. Herzberg was a self-confessed humanist, as became increasingly evident as his thinking progressed. His motivation-hygiene theory is presented in three volumes ( Herzberg, Mausner, and Snyderman 1959; Herzberg 1966, 1976). The most recent of these is primarily a compendium of articles previously published, the majority of them in the early 1970s. To better understand employee attitudes and motivation, Frederick Herzberg performed studies to determine which factors in an employee's work environment caused satisfaction or dissatisfaction. He published his findings in the 1959 book The Motivation to Work. He called the satisfiers, motivators, and the dissatisfiers hygiene factors, using the term "hygiene" in the sense that they are considered maintenance factors that are necessary to avoid dissatisfaction but that by themselves do not provide satisfaction May 04, 2022 Leading to Dissatisfaction 1 Company Policy 4 Work Conditions 2 Supervision 5 Salary 3 Relationship with Boss 6 Relationship with Peers May 04, 2022 Leading to Satisfaction 1 Achievement 4 Responsibility 2 Recognition 5 Advancement 3 Work itself 6 Growth Herzberg reasoned that because the factors causing satisfaction are different from those causing dissatisfaction, the two feelings cannot simply be treated as opposites of one another. The opposite of satisfaction is not dissatisfaction, but rather, no satisfaction. Similarly, the opposite of dissatisfaction is no dissatisfaction. From the above table of results, one observes that the factors that determine whether there is dissatisfaction or no dissatisfaction are not part of the work itself, but rather, are external factors. Herzberg often referred to these hygiene factors as "KITA" factors, where KITA is an acronym for Kick In The A..., the process of providing incentives or a threat of punishment to cause someone to do May 04, 2022 The job should have sufficient 1 challenge to utilize the full ability of the employee. Herzberg argued that job enrichment is required for 2 Employees who demonstrate increasing levels of ability should be given intrinsic motivation, and increasing levels of responsibility. that it is a continuous If a job cannot be designed to use an management process. employee's full abilities, then the firm should 3 consider automating the task or replacing the employee with one who has a lower level of skill. If a person cannot be fully utilized, then there will be a motivation problem. May 04, 2022 Herzberg's theory has been broadly read and despite its weaknesses its enduring value is that it recognizes that true motivation comes from within a person and not from KITA factors. May 04, 2022 1 2 3 Hannah Marie Rotia May 04, 2022 REPORTERS JANIN DIANE LEPITINE NIXIE JAY YLANAN REPORTERS JEDDAH FRANS ALBURO SHAIRA JANE DAMAYO Objectives: Upon completion of this lesson, the student will be able to: Understand Maslow’s Hierarchy of human needs Identify human needs according to Maslow’s Hierarchy of Human Needs Recognize that all human beings have basic needs Identify personal needs, especially aesthetic and self- actualization WHAT YOU MOTIVATED? ❑ Maslow was an important contributor in the United States “ABRAHAM to humanistic psychology, which HAROLD was sometimes called the “third force,” in opposition to MASLOW’S” behaviourism and psychoanalysis. ❑ He was a psychology professor at Brandeis University, Brooklyn College, New School for Social Research and Columbia university. ❑ A Review of General Born:(April 1, Psychology survey, published in 1908) Brooklyn, 2002, ranked Maslow as the New York City, US 10TH most cited psychologist of the 20TH century. Nationality: American ❑ In his major works, Motivation and Personality (1954) and Toward a Psychology of Being (1962), Maslow argued that each person has a hierarchy of needs that must be satisfied, ranging from basic physiological requirements to love, esteem, and, finally, self-actualization. ❑ As each need is satisfied, the next higher level in the emotional hierarchy dominates conscious functioning. WHAT IS MASLOW’S HIERARCHY OF NEEDS? ✔ Abraham Maslow’s Hierarchy of needs is one of the best-known theories of motivation. ✔ Theory of psychological health predicated on fulfilling innate human needs in priority, culminating in self-actualization ✔ Maslow’s theory states that our actions are motivated by certain physiological needs. It is often represented by a pyramid of needs, with the most basic needs at the bottom and more complex needs at the top. ✔ Maslow's hierarchy of needs is a charted set of human requirements that are important for an individual to achieve complete development and self-actualization. NEEDS ⮚ Physiological needs are the base of the hierarchy. ⮚ According to Maslow's hierarchy of needs, physiological needs are factored in internal motivation. ⮚ Humans are compelled to satisfy physiological needs first in order to pursue higher levels of intrinsic satisfaction. ⮚ In order to advance higher-level needs in Maslow's hierarchy, physiological needs must be met first. These physiological needs must be met in order for the human body to remain in homeostasis. ⮚ Air, for example, is a physiological need; a human being requires air more urgently than higher-level needs, such as a sense of social belonging. ⮚ Physiological needs are critical in order to "meet the very basic essentials of life “.This allows for cravings such as hunger and thirst to be satisfied and not disrupt regulation of the body. PHYSIOLOGICAL NEED INCLUDES: Air Heat Light Water Urination Food Excretion Clothes Hygiene Sleep Shelter Sexual intercourse NEEDS ⮚ A person's physiological needs are satisfied, their safety needs take precedence and dominate behavior. ⮚ In the absence of physical safety – due to war, natural disaster, family violence, childhood abuse, etc. and/or in the absence of economic safety – (due to an economic crisis and lack of work opportunities) these safety needs manifest themselves in ways such as a preference for job security, grievance procedures for protecting the individual from unilateral authority, savings accounts, insurance policies, disability accommodations, etc. ⮚ If a person does not feel safe in an environment, they will seek safety before attempting to meet any higher level of survival. ⮚ This is why the " goal of consistently meeting the need for safety is to have stability in one's life,“ stability brings back the concept of homeostasis for humans which our bodies need. EMOTIONAL HEALTH SECURITY SAFETY NEEDS PERSONAL FINANCIAL SECURITY SECURITY ⮚ After physiological and safety needs are fulfilled, the third level of human needs is interpersonal and involves feelings of belongingness. ⮚ According to Maslow, humans possess an effective need for a sense of belonging and acceptance among social groups, regardless of whether these groups are large or small; being a part of a group is crucial, regardless if it is work, sports, friends or family. ⮚ The sense of belongingness is "being comfortable with and connection to others that results from receiving acceptance, respect, and love.“ ⮚ Mental health can be a huge factor when it comes to an individual's needs and development. ⮚ When an individual grows up in a higher-income family, it is much more likely that they will have a lower rate of depression. Social belonging needs include: FAMILY INTIMACY FRIENDSHIP TRUST ACCEPTANCE RECEIVING AND GIVING AFFECTION NEEDS Most people have a need for a stable esteem, meaning which is soundly based on real capacity or achievement. Maslow noted two versions of esteem needs. The "lower" version of esteem is the need for respect from others, and may include a need for status, recognition, fame, prestige, and attention. The "higher" version of esteem is the need for self-respect, and can include a need for strength, competence, mastery, self- confidence, independence, and freedom. This means that esteem and the subsequent levels are not strictly separated; instead, the levels are closely related. The 12 Characteristics of a Self-Actualized Person 1) Self-actualized people embrace the unknown and the ambiguous. 2) They accept themselves, together with all their flaws. 3) They prioritize and enjoy the journey, not just the destination. 4) While they are inherently unconventional, they do not seek to shock or disturb. 5) They are motivated by growth, not by the satisfaction of needs. 6) Self-actualized people have purpose. 7) They are not troubled by the small things. 8.)Self-actualized people are grateful 9) They share deep relationships with a few, but also feel identification and affection towards the entire human race. 10) Self-actualized people are humble. 11) Self-actualized people resist enculturation. 12) Despite all this, self-actualized people are not perfect. McClelland's Theory of Needs REPORTERS: MALOU CAAYON LYNSY FATIMA ROSE MALANG SANCHEZ David McClelland - was a well-known American Psychological Theory who was the founder of Need Theory. - Born on May 20th, 1917 in Mt. Vernon, New York, USA. 3 -his PhD in psychology acquired from Yale -Before that, he had obtained his bachelor of arts from Wesleyan University in 1938 and following year he had done his MA from University of Missouri. 4 -served as a teacher at Connecticut College and Wesleyan University before becoming a faculty member at the prestigious Harvard University in 1956. -David McClelland most famous theory of needs earned him many prestigious accolades and 5 awards. The theory of needs is found in different degrees in almost all the workers and managers. He categorized the need theory into three sub-categories: need for achievement (n-ach) need for authority and power (n-pow) need for affiliation (n-affil) 6 Need for achievement (n- ach) ◈ The need for achievement defines the type of personality who has an innate desire to achieve, which seeks achievement through the attainment of realistic and possible but challenging goals. 7 Need for authority and power(n- pow) ◈ The second type of person who has innate need for power and authority. He has the desire to be influential and effective through power and authority. He wants to gain a personal reputation and social status by fulfilling his need for exercising power. 8 Need for affiliation (n-affil) ◈ The third need is the need for affiliation which says that a person with this need is motivated by maintaining friendly relations and effective interactions with the people. People with this need also possess great team playing capabilities. They have a need to be liked and becoming popular. 9 Unlike Maslow, McClleland did not differentiate between any certain transition among the needs. He indicates that some people have higher levels of one need than others. 10 People who have high achievement needs are different from others in the following ways: 1. They seek personal responsibility for finding solutions to problems. This means they take the initiative to find results, sometimes even when it isn't their problem. 2. They need rapid feedback on their performance. They are usually very frustrated by not receiving feedback,and the quicker the 11 better. 3. They are not gamblers, but instead set appropriately challenging goals. High achievers like to control their own success; they don't like to "win the lottery" or anything by chance. 4. They want to stretch themselves, so they set goals that are challenging but ones that they perceive they have at least 12 a 50% chance of attaining. People who have a high need for power are not power- managers. Instead, they understand the use of power and that it enables people to get things done and make a difference in a positive way. 13 (See my power lecture for more information on this phenomenon). Keep in mind that power is not negative construct. It is necessary to use these processes to make change and to make a difference. 14 People who have a healthy need for power have the following characteristics: 1. They like to be " in charge", Part of this is because they know their own strengths and weaknesses and know they can trust their own judgment and skills. They are often uncertain about the abilities of others, so they want to be in charge. 15 2. Since they know they can be effective, they strive for influence over others. 3. High power people enjoy competition and status-oriented positions. 4. They do enjoy prestige and sometimes this gets in the way of their effectiveness on the actual job. 16 McClleland found that people who have a high need for affiliation have the following characteristics: 1. They enjoy being with people and being accepted and liked by the people around them. 2. They prefer cooperation over competition. 3. They strive to make and keep relationships with a high amount of trust and mutual understanding. 17 Manager's use of McClleland's Research: 18 The Ah-Ha here is again tied to matching the individual to the position he/she is holding within the company. Whenever possible, evaluate the individual's needs for achievement, power, and affiliation and see how it stacks up with the job requirements. 19 A person with a high need for affiliation may hate being a computer programmer because it requires so much time alone in the cubicle writing code. Someone with a high need for power will be frustrated and will likely frustrate his/her co-workers if put in a position at the bottom of the ladder with no opportunity to advance. 20 Employees who have a high need to achieve will often be satisfied with their work any time they have an opportunity to feel a part of something that they perceive to be meaningful and worthwhile. 21 Keep in mind that even though this is a goal, it is not likely that every person in every company will be able to completely satisfy his/her needs while on the job. This is often the explanation for people who act out their needs at home when they are not met on the job. 22 Thanks for Listening! Porter and LawLers expectancy theory MEMBERS OF THE TEAM CATHERINE CHRISTIAN MAE PAGOBO GROUP FERNAN LYMAN PORTER Lyman W. Porter was an American academic administrator. He was the dean of the Paul Merage School of Business at the University of California, Irvine from 1972 to 1983. He was the co-author of many books of management, and “one of the primary founders of the study of organizational behavior.” Dr. Porter’s research focused on the fundamental aspects of employee-Organization relationship. EDWARD LAWLERS Ed Lawler is Director of the Center for Effective Organizations Distinguished Professor at the University of Southern California, Marshall School of Business. He is the author of over 450 articles and 52 books; his most recent book is Human Resource Excellence: An Assessment of Strategies and Trends (2018). Introduction to Porter and Lawler Model Porter and Lawler used Victor Vroom’s expectancy theory as a foundation to develop their expectancy model. Similar to Vroom’s theory, Porter and Lawler concluded that an individual’s motivation to complete a task is affected by the reward they expect to receive for completing the task. Porter and Lawler Model MOTIVATION Motivation is the inner state causing an individual to behave in a way that ensures accomplishment of some goal. When managers understand what motivates different individuals, they can better influence their employees to accomplish organizational objectives. Motivation explains why people behave the way they do. Expectancy Theory Motivation depends on how much we want something and how likely we are to get it. Different people have different Assumes that: types of needs, desires, and People make goals. decisions about Behavior is their own determined by a behavior in combination of On the basis of their personal and organizations. expectations, environmental individuals decide forces. between alternate behaviours and such decided behaviour will lead to a desired outcome. The Porter-Lawler Model The model predicts that satisfaction is determined by the perceived equity of intrinsic and extrinsic rewards for high-level performance. PORTER AND LAWLER EXPENTANCY THEORY Relevance of Porter and Lawler Model The Porter-Lawler theory is a more complete theory because it stresses: (1) intrinsic and extrinsic rewards, (2) task requirements and ability, (3) the perceived fairness of rewards. Porter Lawler Model Interestingly, the Porter Lawler model is extension of the Vroom expectancy theory. It’s a theo that assumes that behavior is driven by conscio choices made among alternatives within that seek maximize pleasure and, by all accounts, reduce pain. Porter and Lawler Mode The model postulated that the performance of an employee is driven by multiple factors that include personality, skills, experience, knowledge, and abilities. 1. Effort 2. Performance Porter and Lawler expectancy theory, 3. Rewards it’s dependent on six core elements. These are: 4. Value of Rewards 5. Perceived Effort Reward Probability 6. Satisfaction 1. EFFORT This is the quantum of energy an employee exerts on a given task. This again is contingent on two factors: magnitude of reward and attitude toward effort-reward probability. 3. REWARDS Employee performance always leads to 2. PERFORMANCE two kinds of outcomes: extrinsic and Efforts are directly correlated to intrinsic rewards. The former relates to employee performance. But the external recognition received by others in quantum of performance the form of recognition, money, and depends on the amount of labor, praise. While the latter pertains to an enhanced sense of self-esteem and an employee’s ability, and the competence the employee experiences role perspective of the when the job matches the expectations employee. set forth. 4. VALUE OF REWARD Right at the onset, the reason for an employee choosing a job depends on the reward they’re likely to receive. For instance, a potential employee looking for enhanced monetary benefits may not find an extra vacation to be an attractive reward. 5. PERCEIVED EFFORT REWARD PROBABILITY Before employees put in any kind of effort, they like to assess the probability of a certain level of effort leading to the desired level of performance. This, in turn, will make them a candidate for certain kinds of rewards. 6. SATISFACTION This is a feeling experienced as a result of both extrinsic and intrinsic rewards. However, employees are always likely to compare their actual rewards with their perceived rewards. SIGNIFICANCE AND APPLICABILITY OF PORTER AND LAWLER EXPECTANCY THEORY The Porter and Lawler model of motivation or Porter Lawler model stands out from other motivational theories because it doesn’t postulate motivation to be a direct cause-effect relationship. The model has great applicability in the modern world, especially in the corporate world, as it nudges managers to focus on the following points to keep the employees motivated: 1. Match abilities and traits to put the right individual for the right job. 2. Articulate properly to their subordinates the reward mechanism in place. 3. Set clear expectations on the level of performance from subordinates. 4. Select attractive rewards that keep junior employees motivated and engaged. THANK YOU! T H E O RY O F M AT U R I T Y TO I M M AT U R I T Y (Chris Argyris) Presented by: Ivy Espinosa Mae Anne Batictic Cindy Ramirez Chris Argyris was an American business theorist and professor emeritus at Harvard Business School. Argyris, like Richard Beckhard, Edgar Schein and Warren Bennis, is known as a co-founder of organization development, and known for seminal work on learning organizations. Argyris Maturity Theory, is one of the many theories that seek to explain the human nature and behavior. According to this theory, a persons' development is processed along a continuous break of an immaturity situation to a maturity situation. The purpose of this theory is to explore maturity in regards to organizational environments. What is Immature? an individual will be regarded as immature, irrespective of his chronological age, when he will be basically dependent and submissive with a few shallow interests and having only a short time perspective What is Maturity? a mature personality will be endowed with relative independence, autonomy, self-control, many abilities and deep-rooted not superficial interests in life. He will also have long time orientation unlike the immature personality. Unit 1 Argyris (1971) views the growth process in seven specific stages that transform immature infants into mature adults. First, people are transformed from a passive state to a state of a c t i v i t y, b e c o m i n g m o r e a c t i v e. Second, people seek interdependence with others and grow to an independent state (rather than being dependent). Third, people in immature state behave within limited behavior patterns, but when they become mature, they behave in diverse ways exhibiting unlimited behavior patterns. Click here to add the title Four, immature people have erratic and shallow interests w hile mature people develop deep and intense interests (not shallow ). Fifth, people move from a concern only for the here and now (a short time perspective) to a concern for the past, present, and future (a long time perspective). Sixth, people move from a subordinate position to an equal or superordinate position. Seventh, people develop high aw areness and control over self in contrast to low Conclusion.. Hello! Hello! I am Mary Joy Ortega I am here because I love to give presentations. You can find me at @[email protected] 2 VROOM’S EXPECTANCY THEORY OF MOTIVATION Victor Harold Vroom (born August 9, 1932,] in Montreal, Quebec, Canada). He is a business school professor at the Yale School of Management. He holds a PhD from University of Michigan and an MS and BS from McGil l University. His most well-known books are Work and Motivation, Leadership and Decision Making and The New Leadership. 4 > Victor Vroom also personally created the Expectancy Theory of Motivation in 1964. 5 WHAT IS EXPECTANCY THEORY? ❖ Vroom’s expectancy theory assumes that behavior results from conscious choices among alternatives whose purpose it is to maximize pleasure and to minimize pain. 7 ❖ Vroom realized that an employee’s performance is based on individual factors such as personality, skills, knowledge, experience and abilities. 8 ❖He stated that effort, performance and motivation are linked in a person’s motivation. ❖ He uses the variables Expectancy, Instrumentality and Valence to account for this. 9 Hello! I am Angelene Tillor I am here because I love to give presentations. 10 EXPECTANCY Is the belief that increased effort will lead to increased performance i.e. if I work harder then this will be better. This is affected by such things as: 1. Having the right resources available (e.g. raw materials, time). 2. Having the right skills to do the job. 3. Having the necessary support to get the job done (e.g. supervisor support, or correct information on the job). INSTRUMENTALITY Is the belief that if you perform well that a valued outcome will be received. The degree to which a first level outcome will lead to the second level outcome. i.e. if I do a good job, there is something in it for me. This is affected by such things as: 1. Clear understanding of the relationship between performance and outcomes – e.g. the rules of the reward ‘game’ 2. Trust in the people who will take the decisions on who gets what outcome 3. Transparency of the process that decides who gets what outcome. VALENCE Is the importance that the individual places upon the expected outcome. For the valence to be positive, the person must prefer attaining the outcome to not attaining it. The three elements are important behind choosing one element over another because they are clearly defined: effort-performance expectancy (E>P expectancy) and performance-outcome expectancy (P>O expectancy). E>P expectancy: our assessment of the probability that our efforts will lead to the required performance level. P>O expectancy: our assessment of the probability that our successful performance will lead to certain outcomes. Hello! I am Maricel Desabille I am here because I love to give presentations. 17 How to use the Expectancy Theory of motivation in the workplace *Make sure your promises to your team align with company policy. *Create challenging but achievable goals. *Ensure the assigned tasks match the team member's skill set. *Set clear connections between performance and reward. *Make reward distribution fair and logical. Advantages of the Expectancy Theory *It is based on self-interest individual who want to achieve maximum satisfaction and who wants to minimize dissatisfaction. *This theory stresses upon the expectations and perception; what is real and actual is immaterial. It emphasizes on rewards or pay-offs. *It focuses on psychological extravagance where final objective of individual is to attain maximum pleasure and less pain. Limitations of the Expectancy Theory *The expectancy theory seems to be idealistic because quite a few individuals perceive high degree correlation between performance and rewards. *The application of this theory is limited as reward is not directly correlated with performance in many organizations. It is related to other parameters also such as position, effort, responsibility, education, etc. 21 PARTICIPATION THEORY Theory X and Theory Y Douglas Mcgregor Reporters: Cabarles, Jamaica S. Ngoho, Besil Jane V. DOUGLAS MCGREGOR Born in Detroit, Michigan in 1906 The McGregor Institute founded 1985. Attended Oberlin College and Wayne University (1923-1932. Worked up from Gas Station attendant to district manager. In his 1960 management book, “The Human Side of Enterprise”, Douglas McGregor proposed two theories by which managers view employee motivation. PARTICIPATION THEORY Theory X and Theory Y are theories of human motivation created and develop by Douglas McGregor at the MIT Sloan School of Management in the 1960. They describe two contrasting models of workforce motivation Theory X and Theory Y have to do with the perceptions managers hold on their employees, not the way they generally behave. It is attitude not attributes. His works is based upon Maslow’s Hierarchy of needs He suggested that management could use either set of needs to motivate employees, but better results would be gained by the use of theory Y, rather than theory X. THEORY X & THEORY Y Theory X Theory X assumes that employees are naturally unmotivated and dislike working, and this encourages an authoritarian style of management. Dislike working Avoid responsibility and need to be directed Have to be controlled, forced, and threatened to deliver what’s needed. Need to be supervised at every step, with controls put in place. Need to be enticed to produce result; otherwise they have no ambition or motivation to work. X-Type organizations tend to be top heavy, with managers and supervisors required at every step to control workers. There is little delegation of authority and control remains centralized. Theory Y Theory Y shows a participation style of management that is de- centralized. It assumes that employees are happy to work, are self-motivated and creative, and enjoy working with greater responsibility. Take responsibility and are motivated to fulfill the goals they are given. Seek and accept responsibility and do not need much direction. Effective Presentation Tips Consider work as a natural part of life and solve work problems imaginatively. This management style tends to be more widely appropriate. In Y-Type organizations, people at lower levels of the organization are involved in decision making and have more responsibility. UNDERSTANDING THEORIES When to use Theory X and Y Our management style is strongly influenced by our beliefs and assumptions about what motivates members of your team: If you believe that team members dislike work, you will have an authoritarian style of management; On the other hand, if you assume that employees take pride in doing a good job, you will tend to adopt a more participation style. You may use a Theory X style of management for new starters who will likely need a lot of guidance, or in a situation that requires you to take control such as a crisis. But you wouldn't use it when managing a team of experts , who are used to working under their own initiative, and need little direction. If you did, it would likely have a demotivating effect and may even damage your relationship. Circumstance can also affect your management style. Theory X, for instance, is generally more prevalent in larger organizations, or in teams where work can be repetitive and target-driven. In contrast, Theory Y tends to be favored by organizations that have a flatter structure, and where people at the lower levels are involved in decision making and have some responsibility. The disadvantages of Theory X and Theory Y Theory X can cause people to become demotivated and non-cooperative Theory X can lead to hihg staff turnover and could damage ones reputation in the long term. Theory Y approach gives people too much freedom. Theory Y allows people to stary from key objectives or lose focus. Theory Y- Less motivated individuals may also take advantage of this more relaxed working environment by shirking their work. “The limits on human collaboration in the organizational setting are not limits of human nature but of management’s ingenuity in discovering how to realize the potential represented by its human resources.” GROUP 5 URWICK'S THEORY Z MEMBERS: BASTISMO, ILEN ERAN, ETHEL PINOTE, DANICA DALE Lydall Fowner Urwick Lyndall Urwick has been prolific and an enthusiastic writer on the subject od administration and management. In 1952 he produced a consolidated list of 10 principles in administration and management. Lydall Fowner Urwick Much after the propositions of theories X and Y by McGregor, the three theorists- Lyndall Fowner Urwick (March 3, 1891 - Dec. 1983), Rangnekar and William G. Ouchi (born in 1943) propounded the third theory labelled as Z theory. What is theory z? Theory Z is an approach to management based upon a combination of American and Japanese management philosophies and characterized by, among other things. Theory Z according to William ouchi THE THEORY DENOTES THE FOLLOWING POINTS: POINT 1 POINT 3 POINT 2 ORGANIZATION PROPER PROVIDES CONSENSUS ACCOUNTABILITY DECISION OF WORK AND IMPORTANCE REPONSIBILITY TO LONG TERM MAKING OF AN EMPLOYMENT. PROCESS. INDIVIDUAL. THE THEORY DENOTES THE FOLLOWING POINTS: POINT 4 POINT 5 EVALUATION OF PERFORMENCE TO BE CAREER PROSPECTS PROPER AND TO BE MODERATE AND CONSISTENT WITH IN SPECIALIZED PROMOTION. FIELD. characteristics of theory z characteristcs 1. Long term employment and job security 2. Collective responsibility 3. Implicit, informal control with explicit, formalized measures characteristcs 4. Collective decision making 5. Slow evaluation and promotion 6. Moderately specialized careers 7. Concern for a total person, iincluding their family Theory Z according to LYNDALL URWICK propositions #1 the Management is responsible for organizing the propositions of elements of productive theory z enterprise. according to urwick #2 In a free society, econnomic ends are determined by the choice of innumerable individuals in their capacity as consumers. #3 the propositions of theory z according This involves a network of decisions and to urwick communications through which management postulates leadership. #4 #5 In a handicraft economy, the consumer Management groups these choices as: communities diretly with the producer, (a) to facilitate economic production while in modern machine economy and distribution; there are at least 8 points at whhich (b) To enable these same people in consumers choices may be their capacity as producers or misinterpreted in terms of procedures/ distributors, to satisfy their needs. distributor needs. #7 the Man, as a producer or distributor, is not propositions of resistant to theory z organization needs. according to urwick #8 Management can overcome these difficulties of complex communications by devoting more attention to morale. This involves: (a) Discipline (b) confidence two (2) conditions FIRST CONDITIONS The two conditions I. Each individual should know the organizational goals precisely and in Urwicks’s the amount of contribution through theory are his efforts towards these goals. that: SECOND CONDITIONS II. Each individual should also know that the realization of organizational goals is going to satisfy his/her needs positively. 10 GENERAL PRINCIPLES OF MANAGERIAL EFFECTIVENESS GENERAL PRINCIPLES OF MANAGERIAL EFFECTIVENESS 1.THE PRINCIPLE OF OBJECTIVE 2.THE PRINCIPLE OF SPECIALIZATION GENERAL PRINCIPLES OF MANAGERIAL EFFECTIVENESS 3. THE PRINCIPLE OF COORDINATION 4.THE PRINCIPLE OF AUTHORITY GENERAL PRINCIPLES OF MANAGERIAL EFFECTIVENESS 5. THE PRINCIPLE OF RESPONSIBILITY 6.THE PRINCIPLE OF DEFINITION GENERAL PRINCIPLES OF MANAGERIAL EFFECTIVENESS 7.THE PRINCIPLE OF CORRESPONDENCE 8.THE PRINCIPLE OF SPAN OF CONTROL GENERAL PRINCIPLES OF MANAGERIAL EFFECTIVENESS 9. THE PRINCIPLE OF BALANCE 10.THE PRINCIPLE OF CONTINUITY positive points of theory z positive points of theory z The positive points of theory Z are: This theory is based on shared concern for multiple employee needs. Theory Z suggests strong bondage between organization and its employees. positive points of theory z Employee involvement is a prominent factor in this theory. Theory Z encourages the practice of informal organization. Negative points of theory z Theory Z is not free from criticism due to the following drawbacks: It is criticized that the research negative supporting this theory is limited; The other criticism is that this points of theory fails to provide useful criteria theory z for helping managers regarding the correct time to use this theory; The volatile firms in the software industry, information technology and other high technology negative industries cannot provide life time points of employment; and Slow rates of promotions theory z frustrate employees. limitations limitations of theory z Provision of lifetime employment to employees to develop a strong bond between organisation and employees may fail to motivate employees with higher level needs. Participation of employees in the decision-making process is very difficult. limitations of theory z Theory Z suggests organization without any structure. It may not be possible to develop a common culture in the organization. Thank You! 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