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Organization Management - Meaning,
Need and its Features
A set-up where individuals from diverse backgrounds, different educational qualifications and varied interests come together to work towards a common goal is called an organization.
The employees must work in close coordination with each other and try their level best to achieve the organization’s goals.
It is essential to manage the employees well for them to feel indispensable for the organization.
Organization management helps to extract the best out of each employee so that they accomplish the tasks within the given time frame.
Organization management binds the employees together and gives them a sense of loyalty towards the organization.
What is Organization Management?
- Organization management refers to the art of getting people together on a common platform to make them work towards a common predefined goal.
- Organization management enables the optimum use of resources through meticulous planning and control at the workplace.
- Organization management gives a sense of direction to the employees. The individuals are well aware of their roles and responsibilities and know what they are supposed to do in the organization. An effective management ensures profitability for the organization. In a layman’s language organization management refers to efficient handling of the organization as well as its employees.
Need for Organization Management
- Organization management gives a sense of security and oneness to the employees.
- An effective management is required for better coordination among various departments.
- Employees accomplish tasks within the stipulated time frame as a result of effective organization management.
- Employees stay loyal towards their job and do not treat work as a burden.
- Effective organization management leads to a peaceful and positive ambience at the workplace.
Essential Features of Organization Management
- Planning
- Prepare an effective business plan. It is essential to decide on the future course of action to avoid confusions later on.
- Plan out how you intend to do things.
- Organizing
- Organizing refers to the judicious use of resources to achieve the best out of the employees.
- Prepare a monthly budget for smooth cash flow.
- Staffing
- Poor organization management leads to unhappy employees who eventually create problems for themselves as well as the organization.
- Recruit the right talent for the organization.
- Leading
- The managers or superiors must set clear targets for the team members.
- A leader must make sure his team members work in unison towards a common objective. He is the one who decides what would be right in a particular situation.
- Control
- The superiors must be aware of what is happening around them.
- Hierarchies should be well defined for an effective management.
- The reporting bosses must review the performance and progress of their subordinates and guide them whenever required.
- Time Management
- An effective time management helps the employees to do the right thing at the right time.
- Managing time effectively always pays in the long run.
- Motivation
- (^) Motivation goes a long way in binding the employees together.
- Appreciating the employees for their good work or lucrative incentive schemes go a long way in motivating the employees and make them work for a longer span of time.
Management Style - Meaning and
Different Types of Styles
The art of getting employees together on a common platform and extracting the best out of them refers to effective organization management.
Management plays an important role in strengthening the bond amongst the employees and making them work together as a single unit. It is the management’s responsibility to ensure that employees are satisfied with their job responsibilities and eventually deliver their level best.
The management must understand its employees well and strive hard to fulfill their expectations for a stress free ambience at the workplace.
What is Management Style?
Every leader has a unique style of handling the employees (Juniors/Team). The various ways of dealing with the subordinates at the workplace is called as management style.
The superiors must decide on the future course of action as per the existing culture and conditions at the workplace. The nature of employees and their mindsets also affect the management style of working.
Different Management Styles
- Autocratic Style of Working
- In such a style of working, the superiors do not take into consideration the ideas and suggestions of the subordinates.
- The managers, leaders and superiors have the sole responsibility of taking decisions without bothering much about the subordinates.
- The employees are totally dependent on their bosses and do not have the liberty to take decisions on their own.
- The subordinates in such a style of working simply adhere to the guidelines and policies formulated by their bosses. They do not have a say in management’s decisions.
- Whatever the superiors feel is right for the organization eventually becomes the company’s policies.
isolation, and productivity in varying levels of light. The most famous finding resulting from the of the Hawthorne Studies is what is now called the Hawthorne Effect, the change in behavior of a test subject when they know they’re being observed.
To focus on that one finding, some have argued, is to ignore a wider set of studies that would become credited for the development of organizational behavior as a field of study and the human resources profession as we now know it. The idea of looking scientifically at behavior and productivity in the workplace with the goal of increasing the amount and quality of work an employee can get done, along with the idea that workers were not interchangeable resources but were instead unique in terms of their psychology and potential fit with a company. These ideas were radically new when Hawthorne first began the studies, and they helped create a field of study and an entire professional field.
Organizational behavior has focused on various different topics of study. In part because of the second world war, during the 1940’s the field focused on logistics and management science. During this period the emphasis was on using mathematical modeling and statistical analysis to find the best answers for complex problems. Studies by the Carnegie – or freshwater – School economics in the 1950’s and 1960’s furthered these rationalist approaches to decision making problems.
In the 1970’s, theories of contingency and institutions, as well as organizational ecology, resource dependence, and bounded rationality came to the fore as the field focused more on quantitative research. These findings and sets of theories helped organizations better understand how to improve business structure and decision making.
Since the 1970’s, a good deal of the work being done in the field of organizational behavior has been on cultural components of organizations, including topics such as race, class, gender roles, and cultural relativism and their roles on group building and productivity. These studies, a part of a shift in focus in the field towards qualitative research, and among other things, take into account the ways in which identity and background can inform decision making.
OB In Practice
Findings from organizational behavior’s body of research can be used by executives and Human Relations professionals better understand a business’ culture, how that culture may facilitate or hinder productivity and employee retention, and how to best evaluate candidates skill set and personality during the hiring process.
The application of theory and knowledge from the field of organizational behavior can be broken down into sections of Personality, Job Satisfaction and Reward Management, Leadership, Authority, Power, and Politics. There is rarely one correct way to asses the right way to manage any of these things, but OB research can provide a set of guidelines and topics to follow.
- Personality, essentially a series patterned behavior, plays a large role in the way a person interacts with groups and produces work. Knowing a person’s personality, either through a series of tests, or through conversation can give a better idea of whether they’re a fit for the environment they’d be hired into, and how best to motivate that person.
- Theories around job satisfaction vary widely, but some argue that a satisfying job consists of a solid reward system, compelling work, good supervisors, and satisfactory working conditions.
- Leadership, what it looks like and where it is derived from is a rich topic of debate and study within the field of organizational behavior. When one views it connected to management, it can be either broad, focused, centralized or de-centralized, decision- oriented, intrinsic in a person’s personality or a result of a place of authority.
- Power, authority, and politics all operate inter-dependently in a workplace. Understanding the appropriate ways, as agreed upon by a workplace rules and
general ethical guidelines, in which these elements are exhibited and used are key components to running a cohesive business. Factors that affect OB There are three major factors that affect OB. The working environment being the base for all three factors, they are also known as the determinants of OB. The three determinants are −
- People
- Structure
- Technology
People
An organization consists of people with different traits, personality, skills, qualities, interests, background, beliefs, values and intelligence. In order to maintain a healthy environment, all the employees should be treated equally and be judged according to their work and other aspects that affects the firm. Example − A company offers campus placement to trainees from different states like Orissa, Haryana, Arunachal Pradesh and many more. However, during and after training, all trainees are examined only on the basis of their performance in the tasks assigned.
Organizational Structure
Structure is the layout design of an organization. It is the construction and arrangement of relationships, strategies according to the organizational goal. Example − Organizational structure defines the relation of a manager with employees and co-workers.
Technology
Technology can be defined as the implementation of scientific knowledge for practical usage. It also provides the resources required by the people that affect their work and task performance in the right direction. Example − Introduction of SAP, big data and other software in the market determines individual and organizational performance.
Environment
All companies function within a given internal and external environment. Internal environment can be defined as the conditions, factors, and elements within an enterprise that influences the activities, choices made by the firm, and especially the behaviour of the employees. While external environment can be defined as outside factors that affect the company's ability to operate. Some of them can be manipulated by the
nature of any firm with its social system, the mutual interest it shares and the work ethics. Let us take a quick look at all these factors −
- Social system − Every organization socializes with other firms, their customers, or simply the outer world, and all of its employees - their own social roles and status. Their behavior is mainly influenced by their group as well as individual drives. Social system are of two types namely − - Formal − Groups formed by people working together in a firm or people that belong to the same club is considered as formal social system. Example − A success party after getting a project. - Informal − A group of friends, people socializing with others freely, enjoying, partying or chilling. Example − Birthday party.
- (^) Mutual interest − Every organization needs people and people need organizations to survive and prosper. Basically it’s a mutual understanding between the organization and the employees that helps both reach their respective objectives. Example − We deposit our money in the bank, in return the bank gives us loan, interest, etc.
- Ethics − They are the moral principles of an individual, group, and organization. In order to attract and keep valuable employees, ethical treatment is necessary and some moral standards need to be set. In fact, companies are now establishing code of ethics training reward for notable ethical behavior.
scope of OB
- In a very broad sense, the scope of OB is the extent to which it can govern or influence the operations of an organization. The scope of OB integrates 3 concepts respectively − - Individual Behavior
- It is the study of individual’s personality, learning, attitudes, motivation, and job satisfaction. In this study, we interact with others in order to study about them and make our perception about them.
- Example − The personal interview round is conducted to interact with candidates to check their skills, apart from those mentioned in the resume. - Inter-individual Behavior
- It is the study conducted through communication between the employees among themselves as well as their subordinates, understanding people’s leadership qualities, group dynamics, group conflicts, power and politics.
- Example − A meeting to decide list of new board members. - Group Behavior
- Group behavior studies the formation of organization, structure of organization and effectiveness of organization. The group efforts
made towards the achievement of organization’s goal is group behavior. In short, it is the way how a group behaves.
- Example − Strike, rally etc.
- Gender
- There are few, if any, important differences between men and women that will affect jobperformance – no consistent differences in problem-solving ability, analytical skills, competitivedrive, motivation, sociability or learning ability. One issue that does differ is preference for workschedules: working mothers prefer part-time or flexible work schedules and telecommuting toaccommodate family responsibilities. Turnover research indicates no differences, but absenteeismrates are higher for women – most logically explained by the historically places family/ homeresponsibilities in European or North American cultures, where the wife is seen as the secondarybreadwinner. This role has definitely changed in the past generation, and a large proportion of mennowadays are interested in day care and childcare problems in general as are women.
- Race Defined as the biological heritage people use to identify themselves, it is a hard to define andcontroversial issue. Research has found that:
- Non-white minorities were discriminated against in more than 25 percent of the occasions
- when interviews or jobs were offered.- There is a tendency for people to favour colleagues of their own race in performanceevaluation and promotion decisions, as such, minorities are disadvantaged in terms of pay.- Mental ability test used as a selection tool bring concerns that they may have a negativeimpact on minorities, since some minority groups score much lower compared to the mean.This has led to the misconception that the tests favour the majority (white) group.
- Tenure and religion Extensive research on the seniority-OB relationship (where seniority is defined as time on aparticular job) demonstrates:
- A positive relationship between seniority and productivity- A negative relationship between seniority and absence, in fact, it’s the single most important
- explanatory variable for frequency and total days lost at work- Tenure is negatively related to turnover- Positively related to job satisfaction, even more so than age Religion’s effects are increasingly important over the past decade, a wave of high-profile religiousbias lawsuits is testing the limits of anti- discrimination laws and forcing businesses to reconsidertheir approach. Research is limited in this area, but what is known is that religious discriminationvictims have more health problems, absence and turnover.
Personality and Personality Development
- An Overview