- Decision-making should be under the purview of the management. This ensures that emotions are not the governing factor for a business. More so, decision-making is more professional in the hands of managers because they can be unbiased and have a scientific approach towards management.
- Developing a standard method to perform each job. This helps in having uniformity in the production. Standard methods speed up the production process and create an environment of expertise.
- Selecting workers with appropriate abilities for each job to create an environment of excellence and complete understanding of the task.
- Workers to be trained on the standard methods that were previously developed and fine-tuned.
- Providing complete support to employees so that they can plan their work and eliminate interruptions.
- In case of increased output by a certain employee, he/she is rewarded with a wage incentive, or bonus.
~ Division of work
~ Unity of command
~ Unity of direction
~ Subordination of Individual Interests to the common Interest
~ Remuneration of personnel
~ Scalar chain
~ Stability of personnel tenure
~ Esprit de corps (Union is strength)
Fayolism believed that each organization has 16 management duties. These are:
- To give serious thought to the plans of the company and have them firmly executed.
- To have the required number of employees and equipment, with which the plans of the organization can be executed.
- To set up a 'unique direction' (top management) which is skilled and vigorous.
- To consult others before taking actions, in order to coordinate efforts
- To work on formulating decisions in a clear, clean, and precise way.
- To have an efficient recruitment system, with each department being led by a skilled and active person, and selecting an employee for the position where he can perform to his potential.
- To define clearly the job description of each and every employee so that deadlines and expectations are set.
- To encourage people so that they take up initiatives and responsibilities.
- To pay appropriately, fairly, and expertly, for the services provided to the organization.
- To have a system of correcting faults and errors made by the employees.
- To ensure discipline in the organization.
- To aim at having individual interests subordinated to the organization's interest.
- To give special attention to the 'unity of command'.
- To supervise social order; keeping the place tidy, and avoiding strikes.
- To verify output by applying quality control on every operation.
- To conquer the "red ribbon" attitude.
- Health and vigor
- Moral qualities
- General knowledge (culture)
- Management capacity
- Notions about other functions (activities)
- The strongest skills in the function managed
- People are not the rational and economic beings assumed by classical theorists.
- Social interaction is important and people work well if they feel valued.
♣ In the first part, a set of changes were made to the general work environment and timings.
- The rules governing salary were modified and the employees were paid for overall production, and not on the basis of their individual production.
- The employees were given two 5-minute breaks (after a discussion with them on the best length of time) and afterwards it was changed to two 10-minute breaks (not their preference). Productivity increased, but when the employees were given six 5-minute rests, the output was reduced.
- The employees were provided food during the breaks.
- On shortening the day by 30 minutes, the output went up; upon shortening it more, the output per hour went up, but overall output decreased.
♣ The third part involved checking if incentives had any impact on the productivity of employees. As a result, it was found that peer compatibility and comparison had more consequential impact as compared to payment incentives.
The Hawthorne experiments highlighted the fact that human beings were the main resources for any organization and had to be kept happy to ensure high productivity.
- Warmth, etc.
- Personal security
- Financial security
- Health and well-being
- Safety net against accidents/illness
♣ Self-actualization Need: Once the esteem needs are met, an individual goes higher up the ladder. This is when he feels the need for self-actualizing. He needs to identify and realize the maximum of his potential. This is the motive that all the lower motives lead to. People who are at this stage have a high level of self-motivation. Self-actualization is the final step in the motivation ladder.
Maslow's hierarchy of needs is followed to quite an extent today by many organizations. It is used as a guide for employee satisfaction and needs.
♣ Motivation: Participative environment that includes employees in goal setting, which motivates them to come to work.
♣ Better Communication and Coordination: This method has made general communication and coordination much easier and smoother. Regular reviews, feedback, and an open-door policy help in creating an amicable environment in the organization.
♣ Clarity of Goals: With MBO, the objectives are "SMART":
- S - Specific
- M - Measurable
- A - Achievable
- R - Relevant
- T - Time bound
As management encompasses man, money, and material needs, there are several aspects that govern and are governed by management styles. As man is the first and foremost consideration, the leadership styles followed by different managers have led to forging different management styles as well.
- No single management style could succeed in improving the performance of all workers.
- The motives of individuals were extremely complex and liable to change over time.
- A high level of satisfaction did not necessarily lead to increased productivity.
- Prioritization of safety over production.
- Maintaining a high profile for safety in meetings.
- Personal attendance of managers at safety meetings and walkabouts.
- Face-to-face meetings with employees that featured safety as a topic.
- Job description that included safety contracts.
- Communication about safety issues, including pervasive channels of formal and informal communication and regular communication between the management, supervisors, and the workforce.
- Involvement of employees for the delegation of responsibility to maintain safety in the organization.
The management styles outlined above are more closely linked to the personality and leadership qualities of a manager. They are based on the style and principles followed by a manager in particular, not by the organization as a whole. If there is a change in a manager, an autocratically managed organization can become a paternalistic one.