RENSIS LIKERTS MANAGEMENT SYSTEM PRESENTED By BINU BABU S3 MBA
introduction Likert’s Management Systems are management styles developed by RensisLikerts in the 1960s. He outlined four systems of management to describe the relationship, involvement , and roles of managers and subordinates in industrial settings .
Cont…. Rensis Likert’s and his associates studied the patterns and styles of managers for three decades at the University of Michigan, USA, and identified a four-fold model of management systems . The four systems of management or the four leadership styles identified by Likert’s are:
FOUR MANAGEMENT SYSTEM Exploitive authoritative system Benevolent authoritative system Consultative system Participative (group) system
Explorative Authoritative System In this type of management system the job of employees/subordinates is to abide by the decisions made by managers and those with a higher status than them in the organization. The subordinates do not participate in the decision making. The organization will use fear and threats to make sure employees complete the work set. There is no teamwork involved.
Benevolent authoritative System Just as in an exploitive authoritative system, decisions are made by those at the top of the organization and management . However employees are motivated through rewards rather than fear and threats. Information may flow from subordinates to managers but it is restricted to “what management want to hear”.
Consultative System In this type of management system, subordinates are motivated by rewards and a degree of involvement in the decision making process. Management will constructively use their subordinates ideas and opinions. This theory is very closely related to the Human Relations theory. Communication in this system flows both downward and upward , though upward is more limited . This promotes a more positive effect on employee relationships and allows them to be more cooperative.
Participative Group System Management have complete confidence in their subordinates/employees. There is lots of communication and subordinates are fully involved in the decision making process . Subordinates comfortably express opinions and there is lots of teamwork. Teams are linked together by people, who are members of more than one team . Likert’s calls people in more than one group “linking pins”.
CONCLUSION According to Rensis Likert’s the manager’s styles and behavior of the management depends in the four fold model. The nearer the behavioral characteristics of an organization approach System, the more likely this will lead to long-term improvement in staff turnover and high productivity, low scrap, low costs, and high earnings . I f an organization wants to achieve optimum effectiveness .