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Reframing Organizations , 4 th ed.

Reframing Organizations , 4 th ed. Chapter 6. People and Organizations. People and Organizations. Human Resource Assumptions Human Needs What Needs do People Have? Theory X and Theory Y Personality and Organization Human Capacity and the Changing Employment Contract

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Reframing Organizations , 4 th ed.

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  1. Reframing Organizations, 4th ed.

  2. Chapter 6 People and Organizations

  3. People and Organizations • Human Resource Assumptions • Human Needs • What Needs do People Have? • Theory X and Theory Y • Personality and Organization • Human Capacity and the Changing Employment Contract • Lean and Mean: More Benefits than Costs? • Investing in People

  4. Human Resource Assumptions • Organizations exist to serve human needs • People and organizations need each other • When the fit between individual and system is poor, one or both suffer • A good fit benefits both

  5. Human Needs • The concept of “need” is controversial • Economists: people’s willingness to trade dissimilar items disproves usefulness of concept • Psychologists: need, or motive is a useful way to talk about enduring preferences for some experiences compared to others • Needs are a product of both nature and nurture • Genes determine initial trajectory • Experience and learning profoundly influence preferences

  6. Maslow’s Need Hierarchy • Needs arrayed in a hierarchy • Lower needs are “pre-potent” • Higher needs become more important after lower are satisfied • Maslow’s hierarchy: • Self-actualization • Esteem • Belongingness, love • Safety • Physiological

  7. McGregor’s Theory X and Theory Y • Theory X • Workers are passive and lazy • Prefer to be led • Resist change • Theory Y • Management’s basis task is to ensure that workers meet their important needs while they work • Either theory can be self-fulfilling prophesy

  8. Argyris: Personality and Organization • Traditional management principles produce conflict between people and organizations • Task specialization produces narrow, boring jobs that require few skills • Directive leadership makes workers dependent and treats them like children • Workers adapt to frustration: • Withdraw – absenteeism or quitting • Become passive, apathetic • Resist top-down control through deception, featherbedding, or sabotage • Climb the hierarchy • Form groups (such as labor unions) • Train children to believe work is unrewarding

  9. Human Capacity and the Changing Employment Contract • Handy – Shamrock form • Core group of managers • Basic workforce – part-time or on shifts to increase organization’s flexibility • Contractual fringe – temps, independent contractors • Lean and mean (win by cutting costs): downsize, outsource, hire temps and contractors • Invest in people (win with talent): build competent, well-trained work force • Shift from production economy to information economy produces skill gaps

  10. Conclusion • Organizations need people and people need organizations, but the trick is to align their needs • Dilemma: lean and mean vs. invest in people

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