Organisation design & motivational theories
- Created by: Izzie
- Created on: 12-03-18 21:21
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- Organisation design & motivational theories
- Tall Hierarchies
- Suited businesses that wanted to supervise employees closely, fitting neatly with autocratic leadership
- Have a long chain of demand
- Flat Hierarchy
- Suit businesses that want to encourage flexibility in the workforce
- Delayering can cut costs
- A chain of command sets out levels of authority for giving & taking instructions within an organisation
- Centralised structures involve keeping decision making at top of hierarchy
- Decentralised structures mean that businesses have moved the decision making process away from a central head offic and spread it through the organisation
- Motivational Theorists
- Taylor
- People are rational & respond to incentives
- If pay could be linked to output then it would rise
- Recommends manager control workers carefully so each work efficiently
- Reasons against him
- Don't take into account different work ethics
- Quality could suffer to meet targets
- Repeitive nature was demotivating
- Mayo
- Could be more productive if their human needs were addressed
- Human relations approach emphasises importance of ways people interact & how they're treated. This can increase motivation
- Workers were reacting positively to being involved
- Concludes psychological & social factors were more important in increasing productivity, emphasising importance of communicating as a 2 way process
- Maslow
- He identified a range of needs that contribute to motivation & show how they should be met
- Problems with Maslow
- Not all employee needs are the same
- Higher order needs don't have much impact if there's a threat of redundancy
- Herzberg
- Motivating Factors- such as praise & promotion, but if other factors are absent there will be actual dissatisfaction
- Hygiene Factors- they don't motivate by themselfbut without them dissatisfaction may occur
- Problems
- Different people respond differently
- For some employees hygiene factors may be motivating
- Taylor
- Piecework- paid according to output
- Commission- based on a % of business generated by an employee (e.g. salesman)
- Bonus scheme- reward for achieving targets sets
- Profit share- agreed share of profits is paid
- Performance related pay- wages are linked to performance
- Tall Hierarchies
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