Management Theories

manager vs. leader

a leader has interpersonal skills to work with other people. not all managers are leaders

a manager plans, organizes, leads, and controls

why study theories

Provide framework and guidance.

Provide various perspectives.

Help to explain why things may or may not happen.

May help to predict what is likely to happen in certain situations.

May help you determine what action to take.

questions to ask to figure out how to use theories

Do I find it useful for my practice?

Does it have experimental evidence behind it?

Does it correlate with my values and management philosophy?

Can I use it in a specific situation?

early management theories

industrial revolution 1900s-1930s. provided a lot of jobs for people in factories

machines increased productivity and decreased cost which led to an increase in demand and an increase in factory workers

Scientific Management Theory

Scientific Management Theory

Managers were tasked with finding the best possible way for employees to perform their jobs (Efficiency)

Goal was to maximize individual productivity.

Worked for a while, but workers started to feel like a machine. Workers became disgruntled with unfavorable work conditions, long hours, lack of training, etc

steps of scientific management theory

1. Develop a “science” for each job. Studied time, movements, work conditions to determine the most efficient way to produce the product.

2. Hire and train workers based on their fit or match with the job. Promote workers based on their abilities.

3. Help workers see how they fit into the organization and contribute to productivity. Incentivize productivity (if you make x amount of buttons, we will increase your pay).

4. Managers plan and supervise while workers complete specific tasks.

we can thank scientific management theory for

 Organizational Hierarchy (think about those organizational charts)

 A condensed version of POLC

 Division of labor & job descriptions

 Monetary incentives for motivation (extrinsic motivator)

 Autocratic leadership - Leaders make decisions on their own and expect others to follow instructions (leader is not working alongside workers)

Humanistic Management Theories

1950s and 1960s

shaped by Maslow’s hierarchy of needs

Maslow’s Hierarchy of Needs

basic necessities that you need to survive. once you have one, then you can move up to the next level

physiological needs (food, water, breathing), safety and security, love and belonging, self esteem, self actualization

background of Behavioral Management Theory

Foundation = concern for employee satisfaction (emotional factors) and good working conditions can lead to increased productivity

Focused on creating a favorable work environment and make them feel like they belong

Elton Mayo’s Hawthorne Experiment: found incentives like social time and breaks led to greater productivity compared to the group that had no interaction with their coworkers

behavioral management theory

Success depends on satisfied, motivated, skilled workers committed to organizational goals. Managers aim to provide a supportive environment

Greater concern for employee needs lead to higher satisfaction levels which increased overall performance

what can we thank behavioral management theory for

Bringing a human element to the workplace (people are not machines)

Less formal workplace structures – allowing lower-level staff to engage in decision making

Linking human behavior & motivation (persuasion over demanding)

Recognizing intrinsic motivators

Employee incentive programs (not monetary. ex: pick a restaurant for your bday and lunch is on the company)

Encouraging positive supervisor & employee relations (you cannot pick out who is the manager and who are the employees because they work so closely)

Theory X (Douglas McGregor)

the assumption that employees dislike work, are lazy, dislike responsibility, and must be coerced to perform (micro manage)

Theory Y (Douglas McGregor)

the assumption that employees like to work, are creative, seek responsibility, and can exercise self-direction

theory x vs. theory y

Theory Y takes a more optimistic approach with employees

McGregor believed that Theory Y was the more appropriate viewpoint for managers to adopt

Encourages employees to be self-directed and have more self-control

If the job is satisfying, the more likely the employee will commit to the job

Allows for creativity

Get to know your employees and set up an environment that is conducive to everyone

Theory Z

Extension of Theory X & Y – premise came from Japanese business practices

Managers aim to enhance collective / participative decision making.

May enhance collective responsibility so the group is working towards a shared goal.

When one person shines, you all shine

General Systems Theory background

All of the little things are connected (think of Legos, or the human body).

Understanding the smaller parts of an organization help us to understand the big picture

General Systems Theory

Understanding the various parts of an organization & how they interact helps to understand it better on a larger scale.

Organizational productivity is related to the interactions among the different departments, people, resources, resources, finances of the company.

Systems are flexible and can change.

Greater Stability = Greater Efficiency

example of general systems theory in a restaurant

fully staffed (front and back) +

effective training program +

ample resources for staff, food, kitchen =

quick service, increase profits, satisfied customers

(if any of these things changes, then the outcome is not going to be as good. ex: short staff, bad training program, not enough resources will lead to slower service and decreased profits)

open system

your system is impacted by outside factors (ex: environment, community, larger org., politics in org., economics, etc.)

general systems theory in a TR dept

get input from clients/family→ formulate the plan→ have programs and services→ evaluate programs

and it repeats again (is a circle)

but things like the environment, org., politics, community, etc. impact this system

Contingency (situational) Theory

“You never know what today will bring.” → there is no “one best way”

Unexpected things happen and people must be able to cope and change.

There is no one way to manage every business. POLC looks different at every company.

Helps to teach “situational appropriateness” (This may help to explain why recreation therapy looks different from setting to setting.)

You learn how to adapt to the ever changing environment and if plans don’t work out