contemporary approaches to management

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Contemporary Approaches to Management

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  • Contemporary Approaches to Management | Jonas Erik L. Ebora CED 210 | Managing Education for Community Welfare

    Contemporary Approaches to Management

    I. Introduction

    In managing an organization, there comes a diversity of point of views depending on what particular

    aspect of the organization one has to address. It has been a point of discussion on what way should one

    manage an organization. Approaches to management have different point of views to ponder upon. The

    following discusses the approaches of the early years to contemporary approaches.

    II. Development of Management Approaches

    Throughout the history, there were several people who coined their own approach to management. Each

    of them has his own perspective in viewing what management is. Some of them consider the human behavior

    aspect in explaining management. Others consider the classical approach to management. Still, others

    consider the situations in dealing with management approach.

    Some of the approaches are Human Behavior approach wherein an organization is considered as a person

    and the management should understand human behavior. It emphasizes on greater productivity through

    motivation and good human relation. Another approach is the Social System Approach wherein an

    organization is a social system. It focuses on cooperation among group members to achieve the organizational

    goals. Decision Theory Approach is another approach wherein decision making is the control point in

    management. Contingency Approach is also known as the Situational Approach. In this approach, the

    appropriateness of management depends on the situation. Operational approach concentrates more on the

    roles and functions of the managers.

    III. Contemporary Approaches

    a. Total Quality Management (TQM)

    i. Description

    Dam (2010) described Total Quality Management (TQM) as set of practices of

    management in an organization gearing towards a consistent satisfaction from the costumers

    where their expectations are met or exceeded. Moreover, TQM has stress on process

    measurement and controls as means of improving continuously.

    Rouse (2005), defined TQM as a comprehensive and structured approach to

    organizational management that seeks to improve the quality of products and services through

    ongoing refinements in response to continuous feedback. (searchio.com).

    TQM was believed to be first used in the Japanese companies. According to Heverly (1992)

    as cited in Hazzard (1993), Japanese companies used TQM in an effort to reach and sustain having

    a competitive edge. However, it actually began with American and British statisticians who,

    according to the author, developed statistical quality control methods to support Allied efforts

    during World War II. Following the war, W. Edward Deming convinced the Japanese that an

    emphasis on quality would produce benefits in productivity (Hazzard, 1993, p.6).

    TQM processes are divided into four sequential categories. Rouse (2005) described it as

    PDCA cycle. PDCA means Plan-Do-Check-Act. Others described it as PDSA (Plan-Do-Study-Act) but

    they explain the same thought. In the planning phase, people define the problem to be

    addressed, collect relevant data, and ascertain the problem's root cause; in the doing phase,

    people develop and implement a solution, and decide upon a measurement to gauge its

    effectiveness; in the checking phase, people confirm the results through before-and-after data

    comparison; in the acting phase, people document their results, inform others about process

    changes, and make recommendations for the problem to be addressed in the next PDCA cycle.

    (searchio.com).

  • Contemporary Approaches to Management | Jonas Erik L. Ebora CED 210 | Managing Education for Community Welfare

    Gupta and Bhardwaj (2013) asserted that TQM functions on the premise that the quality

    of products and processes is the responsibility of everyone who is involved with the creation or

    consumption of the products or services offered by an organization (p.70). In other words, TQM

    involves the management, workforce, suppliers, and even customers, in order to meet or exceed

    customer expectations.

    ii. Strengths

    Dam (2010) has enumerated several advantages of TQM.

    Improves reputation- faults and problems are spotted and sorted quicker

    Higher employee morale- workers motivated by extra responsibility, team work

    and involvement in decisions of TQM

    Lower costs- decrease waste and fewer defective products

    Quality control inspectors

    Provides an invaluable problem solving tool for managers and supervisors to use

    Develops management skills that were never taught, or are long forgotten due to

    lack of application

    Management becomes more aware of problems that affect the individuals work

    environment

    Provides opportunity for personal growth and development (as a result of team

    training activities) and the opportunity to develop and present recommendations

    for improvement

    Moreover, Hazzard (1993) has also presented the strengths of TQM.

    Gives people a voice and enhances morale

    Provides a better use of resources

    Increases cooperation across departments

    Enhances solutions to problems

    Increases employee awareness of the institutions mission

    Provides a common language

    Allows staff members to know what they are about

    Increases efficiency and effectiveness

    Increases the sense of competition

    iii. Weaknesses

    On the other hand, Dam (2013), gave us disadvantages of TQM:

    Initial introduction costs- training workers and disrupting current production

    whilst being implemented

    Benefits may not be seen for several years

    Workers may be resistant to change- may feel less secure in jobs

    Also, Hazzard (1993) presented his weaknesses of TQM:

    Takes too much time and effort

    The team often identify frustrations as a result of the time needed to gather data

    and analyze solutions.

    Changes organizational culture and traditions

  • Contemporary Approaches to Management | Jonas Erik L. Ebora CED 210 | Managing Education for Community Welfare

    Top level administrators stays in lip service

    Teamwork can also be accompanied by a great deal of frustrations

    It cannot escape unexpected or uncontrollable situation such as budget cuts

    b. Super 5 S Program

    i. Description

    5S (five-step) is a simple tool for organizing your workplace in a clean, efficient and safe

    manner to enhance your productivity, visual management and to ensure the introduction of

    standardized working. (leanmanufacturingtools.org). According to Imai (1986), the 5S

    movements derived it name from the initials of five Japanese words that start with s (p.233).

    5S is a five-step process in which each step is prerequisite for the next step. One cannot proceed

    to step 2 without accomplishing step 1 and goes the same to the other steps.

    The five steps are Seiri, Seiton, Seiso, Seiketsu, and Shitsuke. Thus, the name 5S emerged.

    To maintain the 5S pattern, their English counterparts also start with the letter s. (

    SEIRI

    The first step is the seiri. The English counterpart of it is to sort. It is often

    regarded as red-tagging. It is called as such for it calls for simple putting of red tag

    for those things not needed for work.

    Sorting is a two part process. First, the unneeded things should be

    identified and second, the identified things undergo through evaluation and

    disposition by management.

    SEITON

    The second of the five steps is the seiton or set in order. After the removal

    of the unneeded things, this is the process of taking the remaining items and

    arranging them in an efficient manner.

    At this point of the whole process, there will be more extra space since

    there are removal of unneeded things done at the first step.

    SEISO

    Third, there is seiso or sweep/shine/scrub. This the process in which there

    is a thorough cleaning of the area, tools and other equipment. This is to ensure

    that they are returned to a nearly new status. This process is done so that any

    non-conformity will be noticed easily.

    SEIKETSU

    Seiketsu o standardizing is the fourth step in 5S. This is the process to

    ensure that what is done in the first three steps are standardizedthere is a

    common ways of working. Without a clear standard, there is no way to create

    accountability, monitor adherence or make improvement.

    SHITSUKE

    The last step is shitsuke or sustain. This process is to ensure that an

    institution continues to continually improve using the previous stages of the 5S.

  • Contemporary Approaches to Management | Jonas Erik L. Ebora CED 210 | Managing Education for Community Welfare

    ii. Strengths

    According to Bresko (n.d.), these are the strengths of 5S program:

    Cleaner and safer work areas

    Less wasted time through more workplace organization

    Less space

    Improved self-discipline

    Improved culture

    Others enumerated other benefits of this program: (lwandassociates.com)

    Increases in productivity:

    o Reduces lead times thereby improving product delivery times

    o Reduces equipment downtime, maintenance and cycle time

    o Improves daily and shift startup times and reduces changeover time

    o Reduces the amount of time wasted searching for tools and equipment

    Increases in quality:

    o Improves quality by reducing the amount of errors/defects

    o Implements standardization thereby achieving output consistency

    o The pleasantries of the simplified work environment increases employee

    moral

    Reduction in cost:

    o Provides cost-savings by reducing inventory, storage fees and space

    requirements

    o Improves safety thereby reducing the cost of worker injuries

    o Reduces the amount of scrap thereby reducing production cost

    iii. Weaknesses

    According to Stephenson (n.d.), there are several weakness of 5S program:

    Resistance to change

    Not addressing problems in the workplace

    Lack of management support

    Misunderstanding of what 5S accomplishes

    c. Kaisen Suggestion System (KSS)

    i. Description

    Kaizen is defined as improvement. Most of the times, Kaizen is described as improvement

    involving everyone. Management involves two concepts: improvement and maintenance.

    Maintenance refers to the activities directed towards maintaining the current standards.

    Standards are maintained through training and discipline. On the other hand, improvement refers

    to the activities directed towards improving current standards. (Imai, 1986, p.5).

    In talking about improvement, innovation and Kaizen are the two concepts to be

    considered. Kaizen signifies the small improvement made to the status quo as a result of on-going

    efforts, while innovation signifies the drastic improvement to the status quo as a result of large

    investments. (Imai, 1986, p.6).

    While management focuses on productivity and quality, Kaizen remains on the other side

    of the picture. Whatever improvements are made in business, it is for the improvement of

    productivity and quality. Improvement starts in the recognition of need which comes from the

  • Contemporary Approaches to Management | Jonas Erik L. Ebora CED 210 | Managing Education for Community Welfare

    recognition of the problem. If there is no problem, there is no need for improvement.

    Complacency has become the archenemy of Kaizen. In Kaizen, there is emphasis on problem

    awareness and it provides clues on how to identify problems. Once the problem has been

    identified, it must be solved. This shows the problem solving aspect of Kaizen. Improvement reach

    a higher level in every problem solved. In order to consolidate the new level, the improvement

    should be standardized. Thus, another aspect of Kaizen is presentedstandardization. (Imai,

    1986, p.8-9).

    One of the most frequently discussed aspects of Kaizen as it is practiced in Japan, is

    suggestions and proposals system (Peter, n.d., p.14). Imai (1986) described suggestion system as

    an integral part if established management system. In this system, workers suggestions are

    regarded as a criterion in assessment of performance of the workers supervisor. One of the

    outstanding features of Japanese management is that it generates a large number of suggestions

    from workers and, in turn, the managements work hard to materialize these suggestions or even

    consider it.

    Another aspect of suggestion system in management is that when a suggestion is

    implemented, it leads to a revised standard. However, if the new standard is from the workers

    own volition, the worker takes pride of it and willing to follow it. On the other hand, if the standard

    is posted by the management, the worker may not be as willing to follow it.

    Hence, through suggestions, workers participate in Kaizen and they play a vital role in

    upgrading standard. As Peter (n.d.) asserted, the suggestions of the employees serve a dual

    purpose: productivity enabler and culture change enabler.

    Kaizen is broken down into three segment depending on the complexity and level of

    kaizen: Management-oriented Kaizen, Group-oriented Kaizen and Individual-oriented Kaizen. The

    suggestion system is an integral part of individual-oriented Kaizen. The main subjects for

    suggestions in Japanese companies suggestion system are:

    Improvement in ones own work

    Saving in energy, material and other resources

    Improvements in the working environment

    Improvements in machines and processes

    Improvements in jigs and tools

    Improvements in office work

    Improvements in product quality

    Ideas for new products

    Customer services and customer relations

    Suggestions systems should go through three stages: (1) management should help

    workers provide suggestions, (2) management should stress employees education to provide

    better suggestions, and (3) when workers are both interested and educated, the management,

    then, now can focus on the economic impact of the suggestions.

    ii. Strengths

    Imai (1986) has enumerated several strengths of Suggestion system:

    Making the job easier

    Removing drudgery from the job

    Removing nuisance from the job

    Making the job safer

    Making the job more productive

  • Contemporary Approaches to Management | Jonas Erik L. Ebora CED 210 | Managing Education for Community Welfare

    Improving product quality

    Saving time and cost

    Aside from these, suggestion systems provide an opportunity for the workers to speak

    out with their supervisors as well as among themselves (p.114). Moreover, suggestion systems

    provide an opportunity for the management to help workers deal with problems making the

    suggestion systems valuable opportunity for a two-way communication and for workers self-

    development. (p.114)

    iii. Weaknesses

    There are several disadvantages of having a Kaizen suggestion system: (Final Kaizen,

    slideshare.com)

    It is difficult to achieve kaizen in practice, because it requires a complete change

    in attitude and culture, and needs the energy and commitment of all employees.

    It also requires a substantial investment of time..

    It is difficult to maintain enthusiasm for several reasons

    Some people see Kaizen as a threat to their jobs.

    A lot of poor ideas tend to be put forward as well as good ones, which can be de-

    motivating

    By implication, there is complete satisfaction

    Continuous improvement is not sufficient on its own, major innovations are also

    needed. There is a danger of becoming evolutionary rather than revolutionary.

  • Contemporary Approaches to Management | Jonas Erik L. Ebora CED 210 | Managing Education for Community Welfare

    IV. Bibliography

    BRESKO, M. (n.d.). The 5S Method of Improvement - Enhancing Safety, Productivity and Culture. Retrieved

    February 19, 2015, from

    http://reliabilityweb.com/index.php/articles/the_5s_method_of_improvement_-

    _enhancing_safety_productivity_and_culture/.

    DAM, R. H. (2010). Total quality management: What is it and how can it be implemented in roads

    construction?. [PDF Document]. Retrieved February 16, 2015, from

    http://repository.up.ac.za/bitstream/handle/2263/16291/Dam_Total(2010).pdf.

    GUPTA, A. & BHARDWAJ, Y. (2013). Total Quality Management & Six Sigma Instrument. International Journal

    of Management & Business Studies, vol. 3, issue 4, Oct-Dec 2013. Retrieved February 16, 2015, from

    http://www.ijmbs.com/34/dramit.pdf.

    HAZZARD, T. (1993). The Strengths and Weaknesses of Total Quality Management in Higher Education. (ERIC

    Document Reproduction Service No. ED364148). Retrieved February 16, 2015, from

    http://files.eric.ed.gov/fulltext/ED364148.pdf

    HEVERLY, M. A. (1992). Total Quality Management: Institutional Research Applications. (ERIC Document

    Reproduction Service No. ED335095). Retrieved February 16, 2015, from

    http://files.eric.ed.gov/fulltext/ED364148.pdf.

    IMAI, M. (1986). Kaizen (Kyzen): The Key to Japans Competitive Success. New York: McGraw-Hill.

    ROUSE, M. (2005). Total Quality Management (TQM). Retrieved February 16, 2015, from

    http://searchcio.techtarget.com/definition/Total-Quality-Management.

    PETER, K. (n.d.). Kaizen Costing. Retrieved February 19, 2015, from

    http://www.academia.edu/5451292/KAIZEN_COSTING.

    STEPHENSON, S. (n.d.). 5S Problems and Disadvantages. Retrieved February 18, 2015, from

    http://www.labelprinter.com/5s/articles/5s-problems.php.

    Approaches to management. [PDF Document]. Retrieved February 20, 2015, from

    http://nptel.ac.in/courses/122106031/slides/1_3s.pdf.

    Final Kaizen. [PowerPoint Presentation]. Retrieved February 19, 2015, from

    http://www.slideshare.net/DhavalRadia1/final-kaizen.

    What is 5S; Seiri, Seiton, Seiso, Seiketsu, Shitsuke. Retrieved February 18, 2015, from

    http://leanmanufacturingtools.org/192/what-is-5s-seiri-seiton-seiso-seiketsu-shitsuke/.