Organizational behavior is the study of human behavior when placed in a group or organization with the aim of increasing work performance and job satisfaction (Investopedia,2019). To understand this relationship and how it can be used to improve performance four theoretical concepts have been employed. The first theory, scientific management, came about in 1911 and was developed by Frederick Taylor (Laegaard, J. & Bindslev, M., 2006). The main objective of this theory was improving economic efficiency and productivity. It attempted to apply science to management and contained four main principles.
The first principle was to use scientific methods to study the work and determine the most effective way to perform a task (Mindtools.com, 2019). The second principle was to select and train workers, based on their capabilities so that they could work faster with little effort. The third principle was to monitor performance to ensure that the work was done in accordance with the chosen procedures. The last principle was that there had to be an equal distribution of work between the management and the workers (Ijoi-online.org, 2019).
Although the scientific management theory worked in organizations which, for example, used an assembly line, it was criticized for its disregard for common sense and judgment. This prompted organizations to look to other theories. The second theoretical concept was developed by Henri Fayol, called the administrative approach (Laegaard, J. & Bindslev, M., 2006). Unlike the scientific method, its main focus was not worker efficiency and shortening task time but rather how management was structured and how employees are grouped to accomplish a task (Business Jargons, 2019).
Fayol’s concept relied on five elements representing the roles that management played. The five elements being, planning, organizing, commanding, coordinating and controlling (ToolsHero, 2011). Collectively they resulted in creative problem solving (Kullabs.com, 2019). Fayol’s’ aim was to identify the roles of an organization, what is expected from the workers and the skills managers require in order to lead those workers by using physical, mental, moral, technical and educational expertise. The third theoretical concept is the bureaucratic model, developed by Max Weber in 1922.
Bureaucracy is the compliance to rules and a hierarchy of authority. “ Every employee knows his place and understands his responsibilities to the letter” (LaMarco, 2018). There are five criteria to the bureaucracy model, an administrative hierarchy, a rule-oriented system that describes work performance, separation of personal possessions and the rights of office, staff selection based on qualifications and that employment involves having a career (Laegaard, J. & Bindslev, M., 2006).
When fulfilled these criteria lead an organization which is classified as bureaucratic (Laegaard, J. & Bindslev, M., 2006). The fourth theoretical concept is administrative behavior, developed by Herbert Simons. Simons believed that “the need for an administrative theory resides in the fact that there are practical limits to human rationality and these limits are not static, but depend upon the organizational environment in which the individuals’ decisions take place” (Simon, 76, pp 240f).
Simon was in disagreement with Taylor and believed that looking at the first convenient alternative is limited by unreliable information, cognitive limitations, environmental influences and time, as well as cost restrictions (Slideplayer.com, 2019). I believe the most influencial concept to be the bureaucratic model by Max Weber. This is because many of its principles and guidelines and can be found to exist in organizations we come across in society today. From a historical perspective, it discusses many issues which organizations have yet to overcome, such as discrimination.
Although it has become a lot more centralized and has both social and economic benefits, it can cause dissatisfaction between social and political groups. This is the basis on which most societies are shaped. A perfect example of this is are the governments of the economic giants such as the United States of America (Mostly Science, 2019). From a managerial perspective, it has been seen to lower efficiency but is also said to increase effectiveness. This can be seen in the healthcare sector where there is a constant need for checks and balances.
However slow the process is, it is the best way to ensure patients receive the best care. In conclusion, I believe there to be elements of all four theoretical concepts to be found in organizations in modern day society. From governmental organizations to fast food chains, big corporations to your basic start-up company, each consisting of different individuals who need to work together to achieve a preconceived goal. Having the four theoretical concepts as a basis for the understanding of organizational behavior helps in ensuring the success of an organization.
References
- Investopedia. (2019). What Is Organizational Behavior (OB)?. [online] Available at: https://www.investopedia.com/terms/o/organizational-behavior.asp [Accessed 2 Feb. 2019].
- Laegaard, J. & Bindslev, M. (2006). Organizational Theory. Ventus Publishing & Bookboon.com. Mindtools.com. (2019).
- Frederick Taylor and Scientific ManagementUnderstanding Taylorism and Early Management Theory. [online] Available at: https://www.mindtools.com/pages/article/newTMM_Taylor.htm [Accessed 5 Feb. 2019].
- Ijoi-online.org. (2019). A review and critical analysis of the principles of scientific management. [online] Available at: http://www.ijoi-online.org/attachments/article/34/FINAL%20ISSUE%20VOL%205%20NUM%204%20APRIL%202013.pdf#page=78 [Accessed 5 Feb. 2019].
- Business Jargons. (2019). What is Administrative Theory? definition and meaning – Business Jargons. [online] Available at: https://businessjargons.com/administrative-theory.html [Accessed 5 Feb. 2019].
- Simplified, Learning. “Fayol’s Administrative Management Theory: Concept and Principles.” World’s Fastest Growing Educational Portal, www.kullabs.com/classes/subjects/units/lessons/notes/note-detail/4439 [Accessed 5 Feb. 2019].
- LaMarco, N. (2018). What Is a Bureaucratic Organization?. [online] Smallbusiness.chron.com. Available at: https://smallbusiness.chron.com/bureaucratic-organization-20379.html [Accessed 5 Feb. 2019].
- Simonsen, J. (1994). [online] Jespersimonsen.dk. Available at: https://jespersimonsen.dk/Downloads/Simon-introduction.pdf [Accessed 3 Feb. 2019].
- Simon, Herbert A.: Administrative Behavior. A Study of Decision-Making Processes in Administrative Organization, Third Edition, The Free Press, Collier Macmillan Publishers, London, UK, 1976.
- Slideplayer.com. (2019). Herbert Simon. – ppt video online download. [online] Available at: https://slideplayer.com/slide/10783239/ [Accessed 6 Feb. 2019].
- Mostly Science. (2019). Organizational Theory: Then and Now. | Mostly Science. [online] Available at: https://mostlyscience.com/2018/04/organizational-theory-then-and-now/ [Accessed 6 Feb. 2019].