THEORIES AND MODELS OF MANAGEMENT

NURSING MANAGEMENT AND ADMINISTRATION

1. WELCOME WELCOME

2. SEMINAR ON THEORIES AND MODELS OF MANAGEMENT     Liji C Maria 2 nd MSc Nursing Govt. College of Nursing K ottayam

3. 1. THEORIES OF MANAGEMENT

4. MANAGEMENT THEORIES/ APPROACHES

5. 1. THE CLASSICAL APPROACH Classical school of thought began around 1900 and continued into the 1920s. It focuses on efficiency. It includes: 1.Scientific management theories 2. Bureaucracy or organizational theories 3. Administrative theories.

6. C lassical approach Cont ……. 1.Scientific Management Theories Scientific management focuses on the "one best way" to do a job. The theories brought out principles of management are: Frederick Taylor's principles of management Time and Motion Studies The Gantt chart.

7. Scientific Management Theories cont …. 1.Frederick Taylor's Principles of Management In 1911, published Principles of Scientific Management in which he proposed to increase worker productivity.

8. Scientific Management Theories cont …. The principles developed by F.W. Taylor Development and application of scientific methods rather than rule of thumb methods Scientific procedure for selection, training and development of employees Harmony; cooperation and equal division of responsibility between management and employees Both management and employees should try to achieve maximum output in place of restricted output.

9. 2.Time and Motion Studies Frank , Lillian and Gilbreth Frank and Lillian Gilbreth They believed it was possible to design work methods whose times could be estimated in advance. This enabled the manager to break down a job into it’s component parts and streamline the process. Gilbreths developed the laws of motion economy, which involved 22 principles dealing with the use of the human body; the workplace arrangement; and tools and equipment design.

10. 3.The Gantt Chart by Henry Gantt Henry L Gantt (1861 1919) developed planning and control techniques using a simple graphic bar chart , the Gantt chart to display relationships between planned and completed work on one axis and elapsed time on the other axis . He focused motivational schemes, emphasizing the greater effectiveness of rewards for good work (rather than penalties for poor work).

11. Classical approach Cont ……. 2.Bureaucracy/Organizational Theory Bureaucratic management relies on a rational set of structuring guidelines , such as rules and procedures, hierarchy, and a clear division of labor .

12. 2.Bureaucracy/Organizational Theory cont ….

13. 2.Bureaucracy/Organizational Theory cont …. 1.Max Weber Theory of Bureaucracy Principles to guide the management of an organization: Qualification-based hiring   – Hire employees based on their educational qualification or technical training. Merit-based promotion   – Manager decide on promotions and base their decisions on experience or achievement.

14. 2.Bureaucracy/Organizational Theory cont …. Chain of command   – Organizations must have a structure wherein each position reports and is accountable to a higher position. Also, create a complaints process to protect the rights of workers in lower positions . Division of labour  – Responsibilities, tasks, and authority is equally divided and clearly defined. Impartiality   – Regardless of the position or status of an employee, all rules and regulations must apply to all members of the organization.

15. Bureaucracy/Organizational Theory cont …. Recording in writing  – Record every single administrative act, decision, rule or procedure in writing. Owners are not managers  – The owners of a company should not manage it. bureaucratic management relies on a rational set of structuring guidelines, such as rules and procedures, hierarchy, and a clear division of labor.

16. Classical approach Cont ……. 3. General Administrative Management Theories It focuses on managing the organization as a whole instead of managing the individuals . Main thinkers of this schools are Fayol and Mary Parker Follett.

17. 1.Henri Fayol's Principles of Management He divided all activities of an industrial enterprise in the following six groups : Technical activities pertaining to production Commercial activities (buying/selling) Financial activities pertaining to the optimum utilization of capital Accounting activities (final accounts, costs, statistics, etc.) Security-related activities (protecting the premises) Managerial activities

18. 2.Luther Gulick and Lyndall Urwick's Theory of Administrative Management Luther Halsey Gulick (1892-1993) expanded on the works of Henri Fayol to build foundation for management theory. He identified the executive functions and coined seven activity acronym, POSDCORB.

19. POSDCORB

20. 3. Administrative Management Theories cont …. Gulick added the concept of span of control, and also recommended unity of command. His major contribution was the theory of departmentalization. He identified 4Ps: purpose (function), process, persons (clientele), and place as the bases for dividing the work and based on this departments can be created.

21. Administrative Management Theories cont …. Lyndall Urwick (1891-1983 ) born in Britain in 1891. Urwick defined organization as determining activities that are necessary for a purpose. He fostered modern thought about the management functions of planning, organizing, controlling, and developing general managerial guidelines and generated a list of ten general principles for improving managerial effectiveness as of Fayol .

22. 3 .Mary Parker Follett and Management Theory According to parker, integration is a method of settling conflicts instead of compromise or domination. The bases of integration are: to bring the differences into the open instead of suppressing them; consider the demands of both sides involved in the conflict; and anticipation of conflict and building up of attitudes in the people

23. 2. NEOCLASSICAL APPROACH It has been referred to as the neoclassical school because it was initially a reaction to the shortcomings of the classical approaches to management. It includes management thoughts of; H uman relations school H uman resources school

24. Neoclassical approach cont ….. Human Relations Management Theories Behavioral or human relations management emerged in the 1920s and dealt with the human aspects of organizations. Elton Mayo and Chester Barnard are thinkers of this school .

25. Human Relations Management Theories cont …… Elton Mayo's Hawthorne Effect George Elton Mayo ( 1880-1949 ) Identified the Hawthorne Effect or the bias that occurs when people know that they are being studied or observed.

26. Human Relations Management Theories cont ….. C hester Barnard Theories T he T heory of authority and the theory of incentives . Both are seen in the context of a communication system that are based in seven essential rules.

27. Human Relations Management Theories cont …. 1 The channels of communication should be definite 2 Everyone should know the channels of communication 3 Everyone should have access to the formal channels of communication 4 Lines of communication should be as short and as direct as possible 5 Competence of persons serving as communication centers should be adequate 6 The line of communication should not be interrupted when organization is functioning 7 Every communication should be authenticated

28. Human resource theories Motivational theories Content theories of motivation P rocess theories of motivation .

29. Neoclassical theory cont …… Content Theories of Motivation These theories are based on human needs and motivational derives. Maslow's hierarchy of needs theory Herzberg's Motivation hygiene theory and job enrichmen t McGregor Theory X and Theory Y Theory Z . 3 need theory Alderfer's E-R-G Theory

30. Content theories of motivation cont … 1. Physiological Needs : Food, Water, Shelter, Sleep, Excretion, Sexual activity etc. 2 . Safety Needs : a sense of security of the self, laws, order, policies, job-safety, financial ,health and well being ,etc.

31. 3. Belongingness and Love Needs : Strong Bonds, Love relationships, friendship , intimacy ,family etc. 4. Esteem Needs: self-confidence, respect, good reputation, etc. 5. Self-Actualization needs: morality, spontaneity, and acceptance.

32. 1970's adapted Cognitive needs - knowledge, meaning, etc. Aesthetic needs - appreciation and search for beauty, balance, In 1990 adapted T ranscendence needs- Helping others to achieve self actualization.

33. Content theories of motivation cont … Herzberg's Motivation-Hygiene theory and job enrichment Frederick Herzberg (1923-2000 ) was the first to show that satisfaction and dissatisfaction at work nearly always arose from different factors.

34. S atisfiers , which perform the role of motivators in jobs or the factors involved in doing the job, are: achievement, recognition, works itself, responsibility, advancement and growth . Hygienic factors or D issatisfiers are the factors which define the job context include working conditions, organization policy and administration, salary, supervision, interpersonal relations that have little or no relationship to the motivation of job related behavior.

35. Job enrichment is a technique used by the managers to maximize the internal motivation among employees to work. It is a production and profit oriented way of managing. This technique is important to eliminate problems like high turnover, absenteeism, grievances and high training cost.

36. Douglas McGregor theory X and theory Y

37. THEORY Z

38. Content theories of motivation cont … Theory Z: Theory Z is often referred to as the 'Japanese' management style, developed by William Ouchi , is professor of management at Los Angeles. Theory Z is a combination of all that's best about theory Y and modem Japanese management , which places a large amount of freedom and trust with workers with the assumption that workers have a strong loyalty and interest in team-working and the organization.

39. Characteristics of Z theory are: Job security Collective responsibility Informal control with formal measures Collective decision making Slow evaluation and promotion Moderately specialized careers Concern for employee including family.

40. Alderfer's E-R-G Theory

41. Achievement-motivational or Three Needs Theory David Clarence McClelland (1917-98),

42. Process Theories of Motivation Behaviour Modification Model Organization behaviour modification model is based on principles of law of effect. According to this theory responses that produce a satisfying or pleasant state of affairs in a particular situation are more likely to occur again in a similar situation.

43. Neoclassical approach cont …… Skinner's S-R theory. This model is also evolved from the work of B.F. Skinner, who was an American behaviorist. Reinforcement is the key element in Skinner's S-R theory.

44. Process Theories of Motivation cont …. B ehaviour is encouraged primarily through positive reinforcement that provides a favorable consequence and encourages repetition of behaviour . Rewards may not be expensive but just recognition for good work, giving certificate, verbal appreciation, social gathering, can help to produce positive reinforcement among employees to bring desired results. In order to that there should be correct shaping of desired behaviour and withholding of significant positive consequences

45. Process Theories of Motivation cont ….. Locke's Goal Setting Theory Edwin A. Locke was a pioneer on goal setting and motivation theory. five basic principles of this theory : C lear goals Challenge Commitment T ask complexity P erformance monitoring and feedback. .

46. Process Theories of Motivation cont …. Expectancy (Three Factors) Theory Expectancy theory is developed by Victor H, Vroom.

47. It states that motivation is determined by the outcomes that people expect as a result of their actions on the job. It is the combination of effort (which arises from motivation), performance, and outcomes . Essentially it holds that people will be motivated when expect that they will be able to achieve what they want from their jobs.

48. Process Theories of Motivation cont … Equity Theory Equity theory is developed by J Stacey Adams, John Stacey Adams in 1963. This process theory of motivation focuses on workers' perceptions of the fairness of their work outcomes and inputs and states that positive outcomes and high levels of motivation can be expected only when employees perceive their treatment to be fair.

49. 3. Modern Approach A. Leadership Theories Great Man and Trait Theories Leadership Continuum Behaviour Model Managerial Grid model Leader-Member Exchange Theory Burns ' Leadership Theories Emotional Intelligence Leadership Theory

50. Path-Goal Theory Situational Leadership Theory

51. 3. Modern Approach cont ….. B. Decision Making Models Herbert A. Simon' Decision Making Model According to Simon, decision making is a core of administrative actions that fills the gap between principles and practice and organization as a structure of decision makers. The decisions are required to make at all the levels of the organization.

52. Phases of decision making

53. C . System theory Managers find optimal solutions to management problems by using scientific analysis, which is closely associated with the systems approach to management.

54. 3. Modern Approach cont …. System theory

55. DISCUSSION TOPIC APPLICATION OF THEORIES AND MODELS IN HOSPITAL MANAGEMENT

56. MODELS IN MANAGEMENT Model s are graphic or symbolic representations of phenomena that objectify and present certain perspectives or points of view about nature or function or both. Models may be theoretical or empirical.

57. MODELS IN MANAGEMENT NORMATIVE MODEL DESCRIPTIVE MODEL DECISION TREE MODEL STRATEGIC MODEL NURSING PROCESS MODEL INTUTIVE DECISION MAKING MODEL ECONOMICAL MODEL MORAL MODEL ETHICAL DECISION MAKING MODEL BOUNDED RATIONALITY MODEL PROBLEM SOLVING MODEL

58. Models in management cont ……. 1. Normative Model Nine steps are identified in this model . Predetermined goal (or) desired value Define and analyze problem Identify all alternatives Evaluate each alternative Rank order of alternatives Select maximizing alternative Implement decision Follow-up

59. Models in management cont ……. 2.Descriptive model Herbert Simon developed the descriptive model based on the assumption that the decision maker is a rational person looking for acceptable solutions based on known information.

60. Models in management cont ……. S teps in the descriptive model. Establish a satisfactory or acceptable goal Define the subjective perceptions of the problem Identify acceptable alternatives Evaluate each alternative in terms of its ability to solve the problem satisfactorily. Select a satisfactory alternative Implement the decision Follow-up.

61. 3.Decision tree model

62. Decision tree model cont ….. Magee and Brown made decision trees as starting with a basic problem and using branches to represent event. The number of branches corresponds to the number of identified alternatives. Every path through the tree corresponds to a possible sequence of actions and events, each with it’s own distinct consequences. Probabilities of both positive and negative consequences of each action and event are estimated and recorded on the appropriate branch.

63. Models in management cont ……. Additional options and consequences of each action event sequence can be depicted on the decision tree. Normal analysis of the tree is conducted by computing predicted consequences of all event (the right hand edge of the tree), substituting that value for the actual event with the best expected consequences.

64. Models cont ….. 4 . Strategic model The three crucial elements in decision making are represented by three interconnected circles. Identify the problem Developing a solution that are reasonable alternatives Selecting a single best solution .

65. Models cont ….. 5 . Nursing Process Model The nursing process provides problem solving approach and decision making. As a decision making model, the nursing process has a strength that is feed back mechanisms. When the decision point has been identified, initial decision making occurs and continues throughout the process by using a feedback mechanism.

66. Models cont ….. 6 . Intuitive decision making model Romiszowski built on the nursing process in creating the intuitive decision making model. In this model, the decision maker consciously incorporates recall all cumulative knowledge that comes from education, both formal and informal as well as experience, in planning the decision.

67. Models cont ….. 7 . Economical model Steps of this model. Discover the symptoms of the problem or difficulty. Determine the goal to be achieved or define the problem to the solved. Develop a criterion against which alternative solution can be evaluated. Identify the alternative course of action. Consider the consequences of each alternative as well as the likelihood of occurrence of each. Choose the beast alternative by comparing the consequences of each alternative. Act or implement the decision.

68. Models cont ….. 8 . Moral Model According to Crisham Moral model representing: M - Massage the dilemma, collect data about the ethical problem and who shows be involved in the decision making process. 0 - Outline options, identify alternatives and analyze the causes and consequences. R - Review criteria and resolve, weigh the options against the values of those involved in the decision. This may be done through a weighting system. A – A firm position and act, develop strategy for implementation. L - Look back, evaluate the decision making.

69. Models cont ….. 9 . Ethical decision making model According to Murphy and Murphy The steps of this model include: Identify the problem Determine why the problem is an ethical one . Identify the people involved in the ultimate decision. Define the role of decision maker. Consider the short and lmg term consequences of each alternative. Make the decision. Compare the decision with the philosophy of the decision makers ethics. Follow-up on the results of the decision in order to establish a baseline for future decision making.

70. Models cont ….. 10. Bounded rationality model Managerial decision making is assumed to be rational in the managers make consistent, value maximizing choices within specified constraints. A decision maker who was perfectly rational would be fully objective and logical.

71. Models cont ….. 11. Problem solving model Problem solving and decision making are vital abilities for nursing practice. Vroom and Jago decision-making model .

72. Problem solving model cont ….. This model is rule-based decision tree to guide leaders about when and when not to include subordinate participation in decision making. It considers 12 contingency variables: Importance of the decision. Importance of obtaining follower commitment to the decision. Whether the leader has sufficient information to make a good decision. How well structured the problem is. Whether an autocratic decision would receive follower commitment.

73. Problem solving model cont ….. Whether followers "buy into" the organization's goals. Whether there is likely to be conflict among followers over solution alternatives. Whether followers have the necessary information to make a good decision. Time constraints on the leader that may limit follower involvement. Whether costs to bring geographically dispersed members together is justified. Importance to the leader of minimizing the time it takes to make the decision. Importance of using participation as a tool for developing follower decision skills.

74. APPLICATION OF THEORIES AND MODELS IN HOSPITAL MANAGEMENT

75. APPLICATION of theories and models in Hospital management Management theories used to build organizations and guide them toward their goals and are grounded in reality. A theory is a conceptual framework for organizing knowledge It provides blueprint for action It helps in planning, organizing, staffing, directing and controlling of the organization It helps in scientific validation