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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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chapter 6

Chapter 6

People and Organizations

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
    • Lean and Mean: More Benefits than Costs?
    • Investing in People
human resource assumptions
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
human needs
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
maslow s need hierarchy
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
mcgregor s theory x and theory y
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
argyris personality and organization
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
human capacity and the changing employment contract
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
  • Organizations need people and people need organizations, but the trick is to align their needs
  • Dilemma: lean and mean vs. invest in people