Teoria Geral da Administração - TGA |Prof. Marcelo Soares

Name: Teoria Geral da Administração - TGA |Prof. Marcelo Soares
Uploaded: 2023-11-22T18:29:03.000Z
Duration: 3 h 14 min 34 s

Introduction to General Administration Theory

Overview of the Course

The lecture welcomes participants and introduces the focus on General Administration Theory, particularly as it pertains to exams from Fundação Getúlio Vargas.

The course will explore the development of administrative theories and their historical context, emphasizing the evolution of knowledge in administration.

Definition of General Administration Theory

General Administration Theory is defined as a collection of knowledge regarding organizations and their management processes, consisting of principles, propositions, and techniques that are continuously evolving.

Key concepts include understanding the administrative process which comprises planning, organization, direction, and control—historically attributed to foundational research and experiments.

Approaches in General Administration Theory

Nine Approaches Overview

There are nine distinct approaches or schools within General Administration Theory that share knowledge about administrative theories.

These approaches include:

Classical Approach (with Scientific Management and Classical Theory)

Humanistic Approach

Neoclassical Approach

Structuralist Approach

Behavioral Approach

Systemic Approach

Contingency Approach

Detailed Breakdown of Approaches

Each approach can be further detailed; for example:

Classical Approach includes Scientific Management and Classical Theory.

Structuralist Approach encompasses Bureaucracy Theory and Structuralist Theory.

Key Theories for Exam Preparation

Essential Theories to Know

For success in FGV examinations, students should focus on four key theories:

Scientific Management

Classical Theory

Bureaucracy Theory

Systemic or General Systems Theory

Historical Context: Emergence of Scientific Management

Background on Industrial Revolution Impact

The origins of Scientific Management trace back to the early 20th century during the Industrial Revolution when production shifted from artisanal methods to organized industrial work.

This transition led engineers to recognize inefficiencies in industrial practices where workers performed tasks without standardized methods or tools.

Goals of Scientific Management

Introduction to Scientific Management

Overview of Scientific Management

The concept of Scientific Management aimed to introduce rationality into early industrial activities, establishing methods for more efficient work processes.

It involved defining specific methods for tasks, such as the production of items like pens, to standardize operations and improve efficiency.

Key figures in this movement included engineers from the United States, notably Taylor and Ford, who sought to analyze and standardize production processes.

Goals and Achievements

The primary goal was to impose order on production methods by creating standardized procedures rather than allowing individual variations among workers.

This approach aimed at increasing efficiency, reducing waste, and minimizing workplace accidents; it proved highly effective in practice.

Taylor's work in a railway company exemplified success; he managed to quadruple profits through the implementation of scientific management practices.

Impact on Workforce

Not only did profits increase significantly under Taylor's management strategies, but employee wages also rose as a result of improved productivity.

The success of Scientific Management demonstrated that investing in systematic studies could yield substantial financial returns while benefiting employees.

Key Principles of Scientific Management

Characteristics and Assumptions

Understanding the characteristics and assumptions behind Scientific Management is crucial for exam preparation; these include an emphasis on task specialization.

Taylor advocated for breaking down tasks into specialized roles rather than relying on artisans who handled entire production processes.

Specialization in Work

Greater division of labor leads to increased speed and efficiency; this principle remains relevant over a century later in modern manufacturing settings.

In assembly lines today, workers focus on specific parts of production (e.g., painting car doors), illustrating the ongoing application of task specialization.

Bottom-Up Approach

A significant aspect is the bottom-up approach: improving individual tasks can enhance overall organizational performance.

By analyzing each step within production processes, improvements at the micro-level contribute positively to broader company outcomes.

Rational Organization of Work

Rational Work Organization

The Rational Organization of Work

Introduction to Scientific Management

The core idea of rational organization of work is to utilize scientific methods instead of relying on empirical approaches, where each manager acts based on personal judgment.

Taylor's significant contribution to scientific management was the establishment of a systematic approach known as the rational organization of work, advocating for science over empiricism in industrial settings.

Key Concepts in Scientific Management

The concept of "homo economicus" or economic man underpins scientific management, suggesting that employee motivation is primarily driven by financial incentives.

American engineers supporting scientific management argued that the only way to motivate employees effectively is through monetary rewards, a view that has evolved over time.

Mechanistic Viewpoint

A mechanistic perspective characterizes scientific management, viewing organizations as machines with interlocking parts rather than considering external market influences.

This simplistically closed-system view neglects how external factors like market conditions and competition impact organizational outcomes.

Focus on Internal Environment

Scientific management emphasizes an internal focus within industries, often overlooking external competitive dynamics and market conditions.

Taylor's efforts aimed at replacing rudimentary methods with scientifically-based practices are encapsulated in the term "rational organization of work," which forms part of the broader theory of scientific management.

Time and Motion Studies

Taylor's studies involved analyzing tasks through time and motion studies; he meticulously timed how long employees took to complete specific tasks using a stopwatch.

By measuring task completion times, Taylor sought to identify the most efficient workers and methods, aiming for maximum productivity with minimal wasted effort.

Specialization and Division of Labor

One major outcome from Taylor’s research was advocating for job specialization; he began defining roles and responsibilities within industries where previously there were none.

Understanding Scientific Management

Development of Job Roles and Compensation

The speaker discusses the creation of specialized job roles within a company, such as motor assembly, painting, and fuselage specialists. Each role is defined with specific tasks and associated compensation levels.

There was previously no structured salary incentives or production bonuses. The focus was on increasing overall production by motivating employees to work faster.

Taylor proposed financial rewards as the primary motivator for workers, establishing a system where bonuses were tied to production levels (e.g., producing 100 units earns a certain bonus).

Environmental Conditions and Efficiency

Attention was given to workplace layout and machine positioning to enhance efficiency; even minor adjustments could save seconds in production time.

Standardization became crucial; products needed consistent design and functionality regardless of quantity produced, addressing issues of variability in early 20th-century manufacturing.

Critiques of Scientific Management

Scientific management faced criticism for its mechanistic view of human motivation, primarily focusing on monetary incentives while neglecting other motivational factors.

Critics argue that this approach oversimplifies human behavior by suggesting that money is the sole motivator for productivity.

Prescriptive Approach Limitations

The prescriptive nature of scientific management is likened to a medical prescription—offering rigid guidelines without considering unique business contexts or market conditions.

This prescriptive model has been criticized for failing to adapt to varying market dynamics, customer needs, and operational costs.

Closed System Perspective

A closed-system approach limited consideration of external factors like market demand or competition. Initially viable due to low competition during the industrial revolution, it became outdated as markets evolved.

The lack of attention to customer desires led to inefficiencies in product development; businesses focused solely on maximizing output rather than aligning with consumer needs.

Summary Insights on Scientific Management

Key characteristics include an emphasis on task specialization, internal organizational structure, and reliance on economic man theory.

Understanding Scientific Management Principles

Key Concepts of Scientific Management

The discussion begins with the identification of empirical and rudimentary methods used in tasks versus scientific methods, focusing on the principles of scientific management.

The core idea of scientific management is centered around the concept of the "economic man," contrasting it with later theories that introduced the "social man."

A correct example from scientific management is the design of job roles and salaries, emphasizing structured approaches to work.

Misconceptions about Scientific Management

Informal groups within organizations are not a focus for scientific management; it primarily concerns itself with formal structures rather than social interactions outside work.

The approach does not consider informal relationships or social dynamics, which became relevant in later humanistic theories.

Mechanistic vs. Organic Analysis

Scientific management employs a mechanistic analysis, viewing employees as machines or gears within an organization rather than considering them as part of an organic system.

This mechanistic view contrasts sharply with organic models that account for external contexts and systems thinking.

Centralization in Decision-Making

The administration under scientific management is characterized by centralized decision-making processes, opposing decentralized approaches where autonomy is granted to workers.

Innovations Proposed by Frederick Taylor

Principles and Practices

One principle discussed involves managers' roles; however, it clarifies that scientific management does not engage with external environments but focuses internally on efficiency.

Contrary to multitasking, Taylor's approach advocates for specialization—each worker performing specific tasks rather than handling multiple responsibilities simultaneously.

Standardization Over Creativity

Emphasizing "the best way" to perform tasks reflects Taylor's belief in standardized practices over artistic or individual creativity in production processes.

Documentation and Knowledge Standardization

Understanding Scientific Management and Classical Theory

The Foundations of Scientific Management

Specialization is a core value of Scientific Management, introduced by Taylor, contrasting with the artisanal methods that preceded it.

Taylor's studies led to the specialization of labor, marking a significant innovation in industrial practices.

Overview of Classical Theory

The Classical Theory emerged around the early 20th century, primarily associated with French engineer Henri Fayol.

Fayol is recognized as a key figure in Classical Theory, which was influential during its time alongside Scientific Management.

Differences Between Scientific Management and Classical Theory

A major distinction lies in their approaches: Scientific Management adopts a bottom-up approach focusing on tasks, while Classical Theory employs a top-down approach emphasizing organizational structure.

In Classical Theory, effective organizational structures lead to improved task performance; thus, it prioritizes structural efficiency over individual tasks.

Key Characteristics of Each Approach

The emphasis in Scientific Management is on task optimization (bottom-up), whereas Classical Theory focuses on establishing an efficient organizational structure (top-down).

Understanding these differences is crucial for grasping how each theory contributes uniquely to management practices.

Contributions of Henri Fayol

Fayol's contributions include defining administrative functions and outlining essential principles for effective management.

He emphasized internal environments over external market factors and introduced the concept of "economic man" within organizations.

Summary of Fayol’s Key Contributions

Fayol was pivotal in identifying basic functions within organizations and formalizing what administration entails.

His work laid the groundwork for understanding company sectors and functional areas critical to business operations.

General Principles of Administration

Overview of Basic Functions in a Company

The discussion begins with establishing general principles of administration, focusing on the basic functions within a company as outlined by Henri Fayol.

According to Fayol, every company should have distinct areas: technical (production/operations), commercial (sales), financial (resource management), safety (work conditions), accounting, and administrative (integration of all areas).

Fayol emphasized that the administrator is the key agent responsible for ensuring all departments operate harmoniously and effectively.

Administrative Process Defined by Fayol

Fayol was among the first to define an administrative process consisting of five core functions: forecasting, organizing, commanding, coordinating, and controlling—often abbreviated as POC3.

This original framework has evolved into what neoclassical authors refer to today as planning, organizing, directing, and controlling (PODC).

The importance of each function is highlighted: forecasting relates to planning; organizing remains unchanged; commanding has evolved into directing; coordination ensures departmental collaboration; and control maintains oversight.

Contribution of Fayol's Principles

The modern interpretation of administrative processes reflects adaptations from Fayol’s foundational ideas. His contributions remain relevant over 100 years later.

Fayol articulated 14 principles of administration that continue to influence contemporary organizational practices.

Key Principles Outlined by Fayol

Division of Work

Specialization is crucial; individuals are hired based on their expertise rather than being expected to perform all tasks. This principle enhances efficiency across various roles.

Authority and Responsibility

Clear definitions must be established regarding who holds authority and responsibility within an organization. This clarity fosters accountability.

Discipline

Maintaining order is essential for effective management. A structured hierarchy helps enforce discipline within the workforce.

Unity of Command

Each employee should report to only one superior to avoid confusion and conflicting instructions—a principle still observed in military organizations today.

Unity of Direction

Organizations must pursue a single plan with coordinated efforts across departments. Diverging goals can lead to inefficiencies such as production shortages amidst increased sales efforts.

Subordination of Individual Interests

Understanding the Principles of Classical Management Theory

Key Concepts from Fiol's Contributions

Fiol emphasized fair remuneration for employees, aligning with Taylor's belief that monetary compensation is a primary motivator.

He advocated for centralization in decision-making, suggesting that authority should remain with higher management rather than delegating autonomy to subordinates.

The concept of the scalar chain was introduced, promoting a clear hierarchy where each employee reports to one superior, ensuring clarity in command.

Fiol's principle of order stresses that every item has its designated place within an organization, which is crucial for efficient production processes.

He highlighted the importance of equity in workplace relationships, arguing against profit distribution favoring only business owners without fair employee compensation.

Employee Stability and Initiative

Fiol aimed to reduce employee turnover by retaining experienced workers who contribute significantly due to their accumulated knowledge and skills over time.

He promoted initiative among managers, asserting that they should take responsibility for guiding the company and executing plans effectively.

The principle of teamwork was also significant; fostering collaboration among employees was seen as essential for organizational success.

Critiques of Classical Management Theory

Critics argue that classical management theory presents an overly simplistic view of organizational dynamics, neglecting informal structures and relationships within companies.

There is a noted absence of scientific validation for many principles proposed by Fiol, leading to skepticism about their practical effectiveness in real-world applications.

Application in Modern Context

In contemporary assessments like those from FGV (Fundação Getulio Vargas), Fiol’s contributions are recognized as foundational elements influencing administrative thought and practice today.

Functions outlined by Fiol include planning (forecasting), organizing, coordinating, commanding, and controlling—key roles expected from administrators according to his framework.

Examining True/False Statements on Classical Administration

The division of labor is affirmed as a method to enhance efficiency through specialization—a core tenet attributed to classical administration theories.

Understanding the Principles of Administration

The Concept of Scalar Chain

The scalar chain is a principle that does not directly lead to production economy; rather, it emphasizes specialization in work.

Defined as the hierarchical line present in organizational charts, the scalar chain runs from the base to the apex of an organization, establishing command authority without necessarily generating economic gains.

Scientific Management and Its Contributions

Scientific management, pioneered by Taylor, focuses on rationalizing work processes to eliminate waste and reduce production costs.

Key contributions of scientific management include efficiency improvements through task specialization rather than classical administrative functions.

Leadership and Safety Norms

Early theories like scientific management did not prioritize leadership or psychological aspects; they focused on order and efficiency instead.

Safety norms were not a concern during Taylor's time; thus, early administration lacked formal safety regulations.

Productivity-Based Compensation

Taylor advocated for productivity-based compensation as a primary motivator for workers, aligning with his views on economic man theory where financial incentives drive motivation.

Characteristics of Administrative Theories

Understanding key characteristics of both scientific management and classical theory is essential for grasping their impact on modern administration practices.

Exploring Bureaucracy in Administration

Definition and Misconceptions about Bureaucracy

Bureaucracy often carries negative connotations but has positive aspects aimed at enhancing organizational efficiency through structured processes.

Rational Organization Through Bureaucracy

Bureaucracy is defined as a human organization method based on rationality, ensuring maximum efficiency in achieving objectives through systematic means.

Comparison with Scientific Management

Both bureaucracy and scientific management emphasize rationality and efficiency; however, they differ in approach—scientific management focuses on optimizing individual tasks while bureaucracy relies on established norms and regulations.

Max Weber's Influence

Theory of Bureaucracy Overview

Key Characteristics of Bureaucracy

The theory of bureaucracy aims to establish norms and regulations that guide employee actions, leading to quicker and easier procedures.

Bureaucracy seeks exhaustive regulations covering all organizational areas, ensuring that employees know how to act in various situations due to established norms.

Formal written communication is essential in bureaucracy, eliminating personal biases and ensuring consistency in decision-making processes.

The theory emphasizes rational and impersonal work segregation, meaning tasks should be performed uniformly regardless of who is executing them.

Positions within a bureaucracy are assigned "rational legal power," where authority derives from the position rather than the individual occupying it.

Power Dynamics in Bureaucracy

Bureaucratic power is based on established norms and regulations; for example, judicial orders hold power because they are backed by legal frameworks like the Constitution.

Authority is linked to positions (e.g., judges), not individuals; thus, the same rules apply irrespective of who holds a specific role.

This concept reinforces the idea of "rational legal domination," where compliance stems from adherence to established laws rather than personal relationships.

Standardization and Meritocracy

Bureaucracy promotes standardized routines through technical rules, aiming for efficiency across operations within organizations.

It values technical competence and meritocracy; public service selection via exams exemplifies this principle by prioritizing knowledge over personal connections.

The bureaucratic model challenges traditional views that prioritize capital owners as leaders, advocating instead for specialized management professionals.

Predictability in Organizational Functioning

Max Weber envisioned a highly predictable organization through extensive regulation; every possible scenario would have an associated norm or procedure.

However, practical implementation revealed limitations—it's impossible to anticipate every situation with comprehensive rules alone.

Distinction Between Theory and Practice

It's crucial to differentiate between the theoretical advantages proposed by bureaucracy versus its real-world disfunctions observed during implementation.

Understanding Bureaucracy: Insights from Max Weber

Advantages of Bureaucracy According to Max Weber

Max Weber, the proponent of bureaucracy, believed it would enhance rationality in achieving organizational goals, providing clarity in job roles and responsibilities.

He argued that bureaucracy would lead to quicker decision-making as everything would be outlined in regulations, although this ideal was not fully realized in practice.

Organizational knowledge would be standardized through norms and regulations, facilitating management even with personnel changes (e.g., employee turnover).

Clarity in roles was expected to reduce interpersonal conflicts since everyone would understand their duties clearly.

Bureaucracy was thought to motivate employees by offering growth opportunities based on merit and technical competence.

Disfunctions of Bureaucracy

A significant issue identified is excessive adherence to rules, where employees prioritize compliance over achieving company objectives.

There is often strong resistance to change within bureaucratic organizations due to established routines and procedures.

Impersonal relationships can lead to poor customer service as individuals are treated as mere numbers rather than valued clients.

Decision-making tends to be centralized based on hierarchy rather than expertise or situational awareness, which can hinder effective governance.

The emphasis on hierarchy creates distinctions among employees, leading to a loss of unity and morale within the organization.

Key Characteristics of Bureaucracy

Bureaucracy emphasizes formal communication and documentation as essential components for operational efficiency.

It promotes impersonal interactions where decisions are made based on established norms rather than personal relationships or biases.

Professionalism is a core value; authority stems from legal-rational principles rather than personal charisma or informal influence.

Critique of Bureaucratic Disfunctions

The term "bureaucracy" often carries negative connotations due to its association with inefficiency and slowness, illustrated humorously by Quino's cartoon featuring a turtle representing bureaucratic delays.

Understanding Bureaucratic Dysfunction

Key Issues in Bureaucracy

The discussion begins with identifying dysfunctions within bureaucratic systems, emphasizing that bureaucracy aims for predictability rather than instability.

A significant issue arises from employees losing sight of organizational goals due to strict adherence to rules and regulations, particularly evident in public service sectors.

Employees often prioritize following procedures over fulfilling their primary purpose, such as providing health services, leading to inefficiencies.

This fixation on compliance results in a disconnect from the core objectives of the organization, highlighting a critical dysfunction within bureaucracies.

The speaker contrasts low conformity with routines and procedures against high conformity typical of bureaucracies, which often create clear authority signals.

Identifying Bureaucratic Dysfunctions

The speaker notes that bureaucratic dysfunction can lead to unforeseen consequences and inefficiencies when principles are misapplied.

Excessive formalism is identified as a key dysfunction; however, limited communication channels are not seen as an issue here.

The creation of a technocratic culture focused on destruction is dismissed as a non-dysfunction; instead, centralization is emphasized as a characteristic of bureaucracy.

There’s an emphasis on internal processes at the expense of external coalitions or client needs within bureaucratic structures.

Positive Aspects of Bureaucracy

Despite negative perceptions associated with Max Weber's theory of bureaucracy (e.g., slowness), it has contributed positively by introducing important administrative concepts.

Meritocracy is highlighted as an essential aspect that has increased under bureaucratic systems rather than decreased.

Formalization of technical competencies is recognized as beneficial; it establishes clear roles and responsibilities within organizations.

Conclusion: Systems Theory Overview

Transitioning into systems theory, it's noted that this approach originated in biology but has been adapted for understanding organizational dynamics.

Organizations are viewed as part of larger systems where they both influence and are influenced by their environments.

Understanding Systems Theory in Management

The Shift from Closed to Open Systems

The traditional views of scientific management and classical theory emphasized closed systems, focusing primarily on internal organizational dynamics.

Systems theory challenges this notion by asserting that organizations are open systems, constantly interacting with their external environment, including the market.

An organization is defined as a set of interdependent elements that dynamically interact to achieve objectives, highlighting the influence of both internal and external factors.

Homeostasis and Organizational Stability

A key concept in systems theory is homeostasis, which refers to an organization's tendency to maintain its original state despite external pressures.

For example, just as a person trying to lose weight may experience natural resistance from their body to return to its original weight, organizations also strive for stability amidst change.

This concept illustrates how companies must overcome various obstacles internally and externally to grow while maintaining their core identity.

Entropy: Challenges Facing Organizations

Entropy represents the negative trend towards disintegration within any system, including organizations. It signifies deterioration over time.

Just like biological systems age and weaken due to entropy, organizations face similar risks unless they actively combat this decline through strategies such as negentropy (negative entropy).

Negentropy involves actions taken by an organization—like innovation or restructuring—to counteract the effects of entropy and promote sustainability.

Equifinality: Multiple Paths to Success

Equifinality is a principle stating that there are multiple ways for a system (or organization) to achieve the same goal.

This concept refutes the idea from scientific management that there is only one best way to accomplish tasks; instead, it emphasizes flexibility in approaches.

Morphogenesis: Adaptation and Change

Morphogenesis refers to an organization's ability to adapt and innovate in response to changing environments or market needs.

Unlike earlier theories that viewed individuals solely as economic actors (homo economicus), systems theory introduces the functional man concept where individuals can perform various roles across different contexts.

Conclusion on Functional Roles

Understanding Systems Theory in Public Administration

Case Study of Two Public Organizations

Two public organizations, A and B, aimed to digitize their services. Organization A chose to hire a third-party company through a bidding process, while Organization B opted for a public competition to recruit IT professionals.

Both organizations successfully achieved full digitalization despite their different approaches, illustrating the concept of systems theory in practice.

Key Concept: Equifinality

The ability of both organizations to reach the same goal via different methods is explained by the concept of equifinality. This challenges the notion from scientific management that there is only one best way to achieve objectives.

Equifinality emphasizes that multiple pathways can lead to the same outcome, as demonstrated by Organization A contracting an external firm and Organization B hiring internal staff.

Characteristics of Open Systems

The theory posits that organizations should be viewed as open systems composed of interdependent subsystems interacting continuously with their environment.

Human behavior within these systems is also seen as open; individuals manage expectations and roles while interacting with others and their surroundings.

Functional Man in Systems Theory

The "functional man" concept refers to how individuals operate within organizational systems, adapting roles based on interactions and expectations.

Innovations Proposed by Systems Theory

Systems theory breaks away from traditional administrative paradigms by proposing that organizations are dynamic entities influenced by external environments rather than static hierarchies.

It highlights continuous interaction with the environment as a core principle, contrasting with earlier theories focused on rigid structures or command hierarchies.

Summary of Key Concepts

Important characteristics include:

Organizations as interactive systems influencing and being influenced by their environments.

Understanding equifinality—multiple ways exist to achieve similar goals.

Recognizing entropic tendencies—systems may deteriorate without adaptation (entropia).

Morphogenesis—the capacity for systems to adapt over time (morfogênese).