Human relations approach theories

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PREVIEW

Classical Theory vs. Human Relation Approach Theory

Human Relation Approach Theories of Organizations

Human Relations Theory

The Hawthorne Studies

McGregors Theory X and Theory Y

Human Resources Theory

Likerts Systems Theory (Four Systems of Management)

Blake and Moutons (Blake and McCanse) Managerial Grid


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Classical vs. Human Relation Approach

Classical theory approaches :-

Focused only on job and structure of organization

Fulfilling only workers economic need increases productivity

Considered workers as machine

Only manager had the sole right for decision making neglecting lower managementcooperation

Result:

Inability of employee to use control over work processes Lack of employee understanding about what is the purpose on their job Lack of sense of belonging with the organisation

Human Relation theories were developed to promote the concern for employees socialand emotional needs and hence fulfill them to achieve the organizational goals.


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Principles of Human Relations Theory

Human relations theory is characterized by a shift in emphasis from TASK

to WORKER

Go beyond physical contributions to include creative, cognitive, and

emotional aspects of workers

Workers communicate opinions, complaints, suggestions, and feelings toincrease satisfaction and production

Significance of informal organization that involves within formal

organizational structure

Emphasize teamwork with good communication, motivation

Origins (Hawthorne Studies & McGregors Theory X and Theory Y)


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Origins of Human Relations Theory

The Hawthorne Studies

Hawthorne Works of Western Electric Company

1924 Chicago

Four Important Studies:-

Illumination Study (November 1924)

Relay Assembly Test Room Study (1927-1932)

Interviewing Program (1928-1930)

Bank Wiring Room Observation Study (1931 - May 1932)


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The Hawthorne Studies Illumination Study (November 1924)

The effect of different levels of illumination (lighting) on productivity of labour

The brightness of the light was increased and decreased to find out the effect on the

productivity of the test group

Relay Assembly Test Room Study (1927-1932)

Two small groups of six female telephone relay assemblers were selected

Each group was kept in separate rooms

Changes were made in working hours, rest periods, lunch breaks, etc


21,000 employees were interviewed over a period of three years

To find out reasons for increased productivity

Bank Wiring Room Observation Study (November 1931 - May 1932)

A group of 14 male workers in the bank wiring room were placed under observationfor six months

The researchers thought that the efficient workers would put pressure on the lessefficient workers to complete the work


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Hawthorne Studies - Implications

Illumination Study (November 1924)The productivity increased even when the level of illumination was decreased.It was concluded that factors other than light were also important.

Relay Assembly Test Room Study (1927-1932)Output increased in both the control rooms.It was concluded that social relationship among workers, participation in decisionmaking, etc. had a greater effect on productivity than working conditions.


It was concluded that productivity can be increased if workers are allowed to talkfreely about matters that are important to them

Bank Wiring Room Observation Study (November 1931 - May 1932)It was found that the group established its own standards of output, and socialpressure was used to achieve the standards of output

Taken together, these studies helped to document the powerful nature of socialrelations in the workplace and moved managers more toward the interpersonalaspects of organizing.


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Hawthorne Studies - Criticisms

1. Lacks Validity

2. More Importance to Human Aspects

3. More Emphasis on Group Decision-making

4. Over Importance to Freedom of Workers


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Theory X and Theory Y: Douglas McGregor

The eminent psychologist Douglas McGregor :- Presented the theories in article titled The Human side of Enterprise

Two sets of employees based on the perception of human nature

Theory X- traditional approach to the management

Theory Y- professional approach to the management

Assumptions of Theory X The average human being is inherently lazy by nature and desires to work as little

as possible. He dislikes the work and will like to avoid it, if he can.

He avoids accepting responsibility and prefers to be led or directed by some other.

He is self-centred and indifferent to organizational needs.

He has little ambition, dislikes responsibility, prefers to be led but wants security.

He is not very intelligent and lacks creativity in solving organizational problems.

He by nature resists to change of any type.


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Assumptions of Theory Y Work is as natural as play, provided the work environment is favourable. Work may

act as a source of satisfaction or punishment. An average man is not really against

doing work.

People can be self-directed and creative at work if they are motivated properly.

Self-control on the part of people is useful for achieving organizational goal.

External control and threats of punishment alone do not bring out efforts towards

organizational objectives.

People have capacity to exercise imagination and creativity.

People are not by nature passive or resistant to organizational needs. They have

become so as a result of experience in organisations.

An average human being learns under proper conditions. He is also willing to

accept responsibility.

The intellectual capacity of an average human being is utilised partially under the

conditions of modern industrial life.



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The assumptions in Theory X and Theory Y are

fundamentally distinct.

Theory X is static, rigid, conservative and pessimistic.

Theory Y is optimistic, dynamic, flexible and progressive.

Theory X gives more importance to external control imposed by

the superior on the subordinate.

Theory Y suggests self direction and the integration of individual

needs with organizational needs.


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Rensis Likerts Systems Theory (Four Systems of Management)

Rensis Likert and his associates studied the patterns and styles of managersfor three decades at the University of Michigan, USA, and identified a four-foldmodel of management systems

System 1 - Exploitative Authoritative

System 2 - Benevolent Authoritative

System 3 - Consultative

System 4 - Participative

System 1 - Exploitative Authoritative:Responsibility lies in the hands of the people in upper level of management.

The superior has no trust and confidence in subordinates.

Decisions are imposed on subordinates

Teamwork or communication is very little and the motivation is based on threats.



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System 2 - Benevolent Authoritative: Responsibility lies at the managerial levels but not at the lower levels of the

organizational hierarchy. The superior has condescending confidence and trust in subordinates

Subordinates do not feel free to discuss things about the job with their superior.

Teamwork or communication is very little and motivation is based on a system ofrewards.

System 3 - Consultative:

Responsibility is spread widely through the organizational hierarchy. The superior has substantial but not complete confidence in subordinates.

Some amount of discussion between the superior and subordinates.

Fair amount of teamwork, and communication takes place vertically andhorizontally. The motivation is based on rewards and involvement in the job.

System 4 - Participative:

Responsibility for achieving the organizational goals is widespread There is a high level of confidence that the superior has in his subordinates.

There is a high level of teamwork, communication, and participation.



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Blake and Moutons Managerial Grid

Robert Blake and Jane Mouton (1960s) proposed a graphic portrayalof leadership styles through a managerial grid

The grid depicted two dimensions of leader s behaviour,

Concern for people(accommodating peoples needs andgiving them priority) on y-axis and

Concern for production(keeping tight schedules) on x-axis,

with each dimension ranging from low (1) to high (9), Thus creating 81 different positions in which the leaders stylemay fall.


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Blake and Moutons Managerial Grid

Impoverished Management (1, 1):

Low Concern for employee

Low productivity

Task management (9, 1):

Low Concern for employee

High productivity through

organisation

Middle-of-the-Road (5, 5):

Balance between concern for

employee and productivity

Country Club (1, 9):Highly concerned for employee

Low productivity

Team Management (9, 9):

High employee concern

High productivity


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SUMMARY

Humanistic Theories of Organizations

Human Relations Theory The Hawthorne Studies

McGregors Theory X and Theory Y



Blake and Moutons (Blake and McCanse) Managerial Grid

The principles of human resources theory attempt to integrate the concern forproduction from classical theory with the concern for the worker from humanrelations theory -- more effective and satisfying!


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Human relations approach theories

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