Discuss about the Foundation of Management.
The management of the organization plays a crucial role in the betterment of an organization. Harischandrakar et al. (2014) portrays that it helps in achieving group goals for manufacturing goods, assembling and organizing the possessions by using the organization resources optimum. Effective management not only fulfills social responsibility but it will also provide the managers of the organization with useful insight into reality (Cummings and Worley 2014). In order to achieve these organizational success managers and leader plays a significant role and this essay will emphasize on whether there is only one best managerial approach for managing the organization. This piece of writing also highlights management models that are used by the managing authorities from scientific management to emergent approach supported by the contingency theory. Lastly, the essay will wrap up with an overall conclusion of the essay.
The contemporary organization emphasizes on the management models so that every working personnel in the organization can work effectively and efficiently to achieve the organizational goals. Clegg et al. (2015) also depicts that the managers implement effective management styles for improving knowledge, ability and understanding of managers for the better productivity of the organization. The prime objective for these management approaches is to achieve group goals while using optimum usage of organizational resources. As a result, maximum results can be obtained through minimum input by utilizing the best awareness of human and financial resources for best outcomes. Moreover, Galliers and Leidner (2014) also illustrates that managers implement management models to make the organization survive in changing environment in order to meet the demands of the customers. Thus, it can be estimated that for the prosperity of the institute, efficient management models should be followed by every organization.
Griffin (2013) also depicts that according to the contingency theory, there is no particular managerial perspective to organize an institute and it solely depends on the internal and external situation of the organization. Bae et al. (2012) on the other hand, affirms the concept by depicting that organizational management approaches have to be decided based on the requirement of the customer and organizational culture. This essay also focuses on the models of scientific management to emergent approach. Hatch and Cunliffe (2013) states that there are much organizational theory- rational system perspective, modernization theory, division of labor, contingency theory and bureaucratic theory.
In every situation, the managers have first to specify the goals and then choose the best approach to implement models for achieving those goals and it represents the rational system perspective of an organization. Moreover, Zhou (2013) illustrates that in the case of division of labor, certain job roles are provided to the employees who are eligible to perform those responsibilities for increasing output and trade. The bureaucratic theory emphasizes on the concept that these job roles and responsibilities have to be earned by a personnel and is not inherited as in the conventional days the designations are passed on to the family members even if they are not eligible for the position (Samier 2012). Excluding to this, modernization theory also emphasizes on the transitions of organizational procedures from a traditional society to a modern one. Fourie (2012) thus, depicts that changes always occurred in the society as the daily needs and demands are changing due to the modernization of the society. Thus, managers have to identify the social variables that contribute to social progress by changing their organizational procedure. Thus, there is no specific approach for managing the organization.
For instance, Myers et al. (2012) depicts the example of Woolworths, which is a retail industry headquartered in Australia. The author states that conventionally this organization is operating in Australia and they had no plans for expanding their business. People have to purchase their product by visiting their stores and they do not have any loyalty programs for attracting their customers. Price et al. (2014) on the other hand portrays that with modernization the organization has adopted the concept of globalization. Introducing Globalization needs expertise managerial concept that deals with the market demand and the competitiveness of their organization in that demography. Moreover, Bonds and Downey (2015) demonstrates that implementation of the online retailing concept is also an example of modernization perspective that supports the contingency theory.
The manager also take initiative to implement the modern technology in order to comply with the customer’s demand for a facility for shopping and they have initiated the concept of virtual shopping hubs, where no real products are being displayed only the products image along with the barcodes is displayed (See Appendix- Figure 1). Moreover, this organization also emphasizes on green technology to maintain the ecosystem and not to increase the risk of global warming and climate change for the sustainability of the globe and their organisation. Customers can scan the barcodes for placing their orders and decide the delivery date according to their convenience. The advantage the customer gets with this concept is that they can shop for the grocery when they are traveling to some other place or went for a holiday trip, they do not have to see an empty fridge when they returned home (Trollvik 2012). Thus, this modernization enhances the preference of Woolworth in all the 961 locations where they serve their service for the benefit of the customers (Woolworths Online 2016).
Robbins and Judge (2012) also depicts in this context that this success can be obtained from the effective contribution to the team and by focusing on the group behavior. Buschgens et al. (2013) affirms that if members are able to form a team within the workplace, they will not only enhance the organizational effectiveness but it will also result in increased responsiveness to customers and often motivate the existing as well as new employees to associated with the organization in the long-run along with the competitive advantage. Eccles (2012) illustrates the difference by stating the in conventional days, workers work for daily wages and they are not rewarded for their extraordinary performance; however, in contemporary organizations, managers emphasizes more on the employee and customer retention and implements new approaches, application of which these two things can be achieved. As it is mentioned that the managerial approach of an organization relies on the culture followed by the company and the demand of the market, Shahzad et al. (2012) illustrates some of the aspects relating to organizational culture. Corporate culture shared beliefs and values among the working personnel by following ten basic principles shown in the image below.
Figure 1: Principles of Organizational Culture
(Source: Shahzad et al. 2012)
Buschgens et al. (2013) also highlighted an excellent example, in the conventional era, companies and their managers allocate costs on the basis of volume and thus costs of high-volume products tend to be overrated and they then focus on the high production of the products the company manufactures. Thus, they have applied Frederick Taylor’s theory by placing a time-watch for each employee for measuring their efficiency during the working hours. This technique no doubt increases the production line of the manufacturing organization but this principle treated human as machines. Shafritz et al. (2015) also portrays that during this phase, employees skip their meals to show more productivity; otherwise they can lose their jobs that provide them a good salary. Burke (2013) depicts that in recent times, managers implement Taylor's theory of management along with motivation models like Hierarchy of Needs theory and Hygiene Theory. On one side, managing authorities assign the job to workers based on capability and train them to work to ensure that they’re using the most of their time for maximum efficiency, on the other side. They applied Maslow hierarchy of need by satisfying their physiological, safety, social, and self-esteem and self-actualization demands.
Jerome (2013) affirms that if an organization employee values these needs will surely give their maximum productivity for the betterment of an organization. Rahardjo et al. (2013) further support the former author by depicting that contemporary organizations do not treat their employees as engines like Taylor theory does. Modern managers emphasize on offering employee hygiene factors like work and life balance, status and good working condition; the employee will improve their performance by adopting the motivator factor like the achievement of organizational goals, responsibility towards the company and work for the growth of the sales and name of the organization. Thus, it can be stated that Taylor’s principle if combined with motivational models, it can ensure the success of the organization.
It can be concluded from the entire discussion that there is no particular managerial approach for organizing a company. Every organization has different demands and culture for achieving the organizational goals. In such perspective, following a single managerial aspect will not ensure the success of a company. Thus, various administrative models can be combined with the motivational models or the principles of employee and customer retention so that better productivity and profitability can be obtained. Thus, like leadership role of managers that have to be changed according to the need of the employee and workplace, the principle for managing a company can also be changed and based on a number of perspective like- organizational culture, employees demand, need for innovation and availability of resources.
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