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Organisations and Marketing Assignment: Summer 1997. Diploma in Careers Guidance, College of Guidance Studies, Swanley. Cole Davis "Managers create and constantly adapt the organisation so that the work is well done by people who are satisfied with what they have to do, so that they remain responsible and are able to adapt well to the constantly changing circumstances of contemporary working life." Analyse this statement and consider how this applies to managers within a guidance or educational organisation. "If you're not in business for fun or profit what the hell are you doing here?" (Townsend, 1970) Each phrase of the title statement may be agreed or disagreed with. It may be demonstrated that successful managers are actually moulded by the organisation's culture and that they may themselves be cast out as ill-adapted to industrial climate changes. Work performance may not necessarily be moulded in the rational way implied by 'create' and 'adapt'. The job satisfaction, motivation and flexibility of employees is dependent upon other factors as well as managerial attitudes. Even the assumptions of dramatic change may be overstated. These issues will be examined with reference to the way careers services are managed. Whether or not managers are positive creators of organisations depends upon the question of whether leaders are born or made (Guest, 1987). There is certainly much evidence to suggest that successful leadership depends upon the interaction of personal qualities with circumstances (Lewin, 1952), task complexity (Fiedler, 1978), technology (Woodward, 1965) and the culture within which work is embedded (Hofstede, 1980). So in spite of such notions as transformational (versus transactional) leadership (Burns, 1978), it could well be argued that managers are created and adapted by organisations. This argument is supported by the poor prognosis for radical change being achieved by incumbent chief executives, who tend to be replaced by outsiders (Whittington, 1991). Managers' ability to create and adapt is also debatable. March and Simon (1958) refer to bounded rationality. "We are unable to consider more than a handful of factors, are biased in our interpretation of data and may satisfice" (Whittington, 1993) rather than select the optimal strategy. Planning may be circumscribed by broad guidelines (umbrella strategy), controlling the process of strategy formulation (Mintzberg, 1987) or by being single-minded about objectives (Argenti, 1993). An interpretative approach may try to avoid going against the grain of organisational cultures (Johnson, 1989; Morgan, G., 1986; Schein, 1985). Alternatively, logical incrementalism may seek to follow up general aims with opportunistic responses to the unexpected (Quinn, 1980); this emphasises consensus and commitment in order to maintain links between strategy formulation and implementation (Quinn, 1989). A 'top-down' approach, however, - 'the manager creates' rather than 'adapts' - is a questionable strategy. When new management arrangements in careers services include "crisp decision making by the Board" and "clearer distinctions between managerial and delivery board" (Watson et al, 1995), it is not too surprising that participation in decision-making and 'collegiate working' are variable and that careers advisers do not have a clear understanding of strategic and operational links (Morris and Stoney, 1996). Adoption of empirical-rational, normative-educational, or power-coercive change strategies (Chin and Benne, 1976) - winning minds, hearts or battles - may depend upon organisational assumptions of employees' motivation, akin to McGregor's Theories X and Y (1960). Kotter and Schlesinger (1979) suggest four common reasons for employees to resist change: parochial self- interest, misunderstanding / lack of trust, different assessments and a low tolerance for change. They suggest a number of options, including education and communication, participation and involvement, facilitation and support, negotiation and agreement, manipulation and co-optation, and explicit and implicit coercion. Strategy would be chosen according to speed, resistance, and the importance of the change (c.f. Lewin, 1951). One consideration in decision making is the importance of job satisfaction. There is very little evidence of a direct relationship between job satisfaction and performance (Organ, 1991). This may be attributed to short-term performance measurement as criteria. The problem, however, may be the popular motivation theories which underpin many job satisfaction questionnaires. These have major shortcomings. Maslow's hierarchy of needs (Maslow, 1943) - too famous for description here - assumes that a person requires sufficient satisfaction of physical and relationship needs before becoming truly creative. Herzberg's 'Two Factor Theory' (1966) was grounded in an industrial theory "designed to test the concept that man has two sets of needs: his need as an animal to avoid pain and his need as a human to grow psychologically" (in Pugh, 1990). Hygiene factors, such as pay and conditions, were seen as essentially animal needs, 'dissatisfiers' in their absence; areas such as autonomy were the psychological 'motivators', giving rise to the notion of job satisfaction as a key to improved performance within the human relations movement. Arnold et al (1991) point to unpredictable groupings of needs; it is, for example, quite possible to find people who are respected and creative in spite of a lack of relationships. A similar diversity is seen in research on Herzberg's two factors, where both related to satisfaction and dissatisfaction (King, 1970; Locke, 1976; Miner and Dachler, 1973). Handy (1985) considers a more fundamental behavioural criticism, one of process: "the research evidence does not support the idea that needs become less powerful as they are satisfied". There may also, however, be very valid - if difficult to measure - indirect effects of job satisfaction. Managers may therefore still see job satisfaction for their subordinates as to their own advantage. In the short-term, greater responsibility and autonomy down the hierarchy may give more time to concentrate on other matters. A longer term view would examine the benefits of better group morale; although Wall et al (1986) found no improvement in performance, the sheer absence of subordinate agitation may be a pleasant outcome for many managers. That such preoccupations may be essentially middle class is suggested by the (1955) survey of Morse and Weiss. Although McGregor's (1960) Theory Y may be supported in terms of a general desire to work even if it were unnecessary, manual workers wanted to do so on the grounds of pursuing an activity rather than for some form of achievement. These findings were supported by those of Goldthorpe et al (1968). Herzberg therefore over-extended his model in suggesting that 'hygiene-seeking' was a sign of poor mental health! (Similarly, predictions of better mental health and performance within autonomous workgroups were not supported by Wall et al [1986].) Regardless of the accuracy or otherwise of the theories of Maslow and Herzberg, people probably feel more flattered by these concepts of humanity than ones which portray them as jealous viewers of others (equity theory); calculators of complex odds (expectancy theory); part of a diagrammatic system of influences (goal-setting; c.f. Arnold et al, 1991); or as (relatively) passive organisms influenced by past and future contingencies (psychodynamic and learning theories). Of the theories, goal-setting would seem to have the strongest relationship with performance (Locke et al, 1981, 1988). Goal setting specifies (reasonable) goal difficulty, specificity and feedback. This can be seen to have taken root in action plans as well as in setting targets. With the 'Thatcherite' paradigm, however, came Quality Assurance monitoring - a Theory X mechanism if ever there was one. The previous paradigm shift of the 1960s and '70s probably had a large bearing on need theories' continued popularity. The recommendations of Herzberg may and should be respected beyond the value of the theory. The emergent applications from understanding satisfiers and dissatisfiers have greatly improved the well-being of many workers. Regardless of effects on industry, it is clearly in many individuals' perceived interests to have congenial work settings. Congeniality is not a matter of consensus, however. Most careers advisers would agree with their learning organisation on the need for skills development in a knowledge-based occupation and few dedicated professionals would work without pay or its eventual prospect. They may not, though, share the current managerial enthusiasm for flattened structures (c.f. Fayol, 1949), as delayering presents fewer opportunities for promotion (Johnstone, 1998). Fortunately for morale, careers services have always had flat hierarchies (Law, 1996). If job satisfaction is sought for - and employers may appreciate managers' efforts as signs of commitment even if the tasks themselves do not satisfy - managers of careers services have plenty to consider. Hackman and Oldham (1976) defined constructs of job satisfaction as skill variety, task identity, task significance, autonomy and feedback. Examples of interventions within careers services may mean advisers and assistants both interviewing and visiting opportunity providers (Morris and Stoney, 1996, found greater specialisation in careers companies); follow-up of destinations being undertaken by those involved in interactions; involvement in organisational development as it impinges upon guidance; prioritising work, including the ability to work at home, and supportive supervision on a regular basis (as opposed to annual appraisals). Job satisfaction, if attained, may be necessary for engendering responsibility, but may not be sufficient. There is an attitude chasm between managers who view workers with the assumptions of McGregor's Theory Y (1960), seeing employees as naturally inclined to work and self-regulate, and those assuming Theory X, that workers need cajoling and monitoring. Clearly, managers are going to differ in their attitudes towards empowerment, the meaning of which differs according to perception. Similarly, employees may differ in their attitudes to being empowered. Not all individuals will be motivated by the intrinsic rewards of the job, some seeing work as more peripheral to their lives. Others, whilst seeing work as important, are more likely to identify with their profession than their organisation (Gouldner, 1957). Some may perceive a lack of equity in proceedings. A sense of responsibility is more credible if the employee is committed to the organisation. This may mean emotional (or 'affective') attachment, a sharing of moral goals and a perception of the costs and risks associated with leaving (Allen and Meyer, 1990). Employee commitment may depend upon a balance between the expectations of employees and employer (Argyris, 1964). The notion of the 'psychological contract' (Herriot, 1987) sums up the need for both sides to be explicit about their expectations. It is conceivable that without explicit negotiation and subsequent agreements, expectations can become incompatible and resignation or poor performance will result. Whether or not such an ongoing contract is feasible - and this could be part of the agenda for appraisals - there are some actions which could improve mutual understanding at the onset of the working relationship. The job interview should include the passing on of meaningful information to the prospective employee, as part of a two-way transaction (Herriot, 1987). Similarly, the induction process may be crucial in ensuring successful socialisation into the methods and culture of an organisation and in making sense of new roles (Nicholson, 1984). Being committed, well motivated and responsible, however, does not necessarily indicate adaptability. Commitment may militate against some changes and may indeed alter in quality as individuals progress. More experienced workers may take on a form of stewardship (Arthur and Kram, 1989): managers must decide if such people are 'deadwood' or the custodians of an organisation's culture. Given the effects of lost continuity after severe delayering and down- sizing in some companies, perhaps managers should consider allocating quality assurance tasks pertaining to traditional company values. This could at times make a difference to the usual alternative of re-training or dismissal. The option of re-training assumes a need for change. Whilst not contradicting the truism that all things must change, assumptions of permanent revolution, such as Charles Handy's Sigmoid Curve (1995), persuade managers to transform companies. Workers must also change, becoming portfolio workers in management literature (Handy, 1991) or 'flexible employees'. Apart from requiring key skills, it is this writer's experience that most employers don't really want - or don't utilise - polymaths. Or does flexibility really mean the willingness to do everything required at once and at any time? Hopefully, careers advisers will have a grasp of a wide range of occupational areas, and some business acumen, but not necessarily because they will be doing a fundamentally different job from hitherto. Even assumptions of the external working environment, which many writers describe as changing in a volatile manner, are very questionable. Are we really becoming a nation of temporary and contract workers? (Permanent jobs are still very much the norm in most occupations.) Will information technology change whole economies? (Some analyses of industrial changes led by the Internet amount to merely channelling advertising and some business transactions.) Are globalised market forces leading to a new market structure? Kumar (1997) deconstructs the overlapping post-industrialist theories of the information society, post-Fordism and post- modernism. Small often interdependent North Italian high technology industries are often cited as examples of this. These may not be indicative of industrial sea change; outside of Umbrian culture, such organisations may merely form a counterpoint, a reaction by companies trying to survive in the face of Leviathan. As still dominant monoliths, supermarkets and fast food chains demonstrate that Fordism still has the upper hand. Niche marketers such as the Sock, Tie and Body Shops are forever on edge. One apparently information-based company, Microsoft, seems to prefer to buy other companies rather than innovate in any significant way. Microsoft even breaks with the shibboleth of market forces, with customers being constrained by available products rather than being the arbiters of demand. The Windows operating system, as the primary example, is continually refined to exclude external compatibility and thus competition; buyers do not necessarily like the latest upgrade, but are bound by the available software, which is itself produced either by Microsoft or firms in thrall to the same phenomenon. Yet such assumptions of learning organisations and post- Fordism are the very stuff of labour market information trends. Guidance workers are only sure of the uncertainty of the postmodern society. Postmodernism seems in fact a reincarnation of older analyses of the present - which only seem ludicrous from later perspectives - fin de siecle, the end of history and relativism. The Restoration of Charles II may well have seemed post-modern after the political and cultural upheavals of the civil war and Interregnum. Trends can rarely be recognised as significant until they become to some extent historical: until they are, they are part of contemporary life and a matter of uncertainty. Given that limits to planning extend beyond the bounded rationality of managers (March and Simon, 1958), encompassing wider uncertainties, choices of action are more fluid than they may appear. Whilst regulated by legislation and guided by professional practice, managers do not have to follow the smooth- tongued but often vicious dictates of the management theorists of the 1980s. Charles Handy, in the The Empty Raincoat (1995), acknowledges the distress that he had not expected in The Age of Unreason (1991) but fails to see the support that he and his colleagues had in providing chic for Reaganomics, with the delights of chaos theory and re-engineering. In the 1990s, some management theorists are recommending a new relationship between managers and managed. John Gilpin indicates two ways of leading, command and control, and pacing and leading: "We expect others to join us at our map of the world, do it as we do it and see things from our point of view (or) we enter someone else's map of the world, where we value and respect their perspectives, create rapport, build trust and then move them imperceptibly towards another way of seeing things. (The 1990s require) servant leaders .. serving the needs of others in order to attract willing volunteers on to one's own pathway to achievement and success. " (Trapp, 1998) This appears to be a blend of logical incrementalism, with its quest for consensus, and people-centred as opposed to task- centred leadership (Fiedler, 1978). It is one of several attempts by management theorists to predict or promote a more caring management in the 1990s. 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