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CSEET · Business Laws and Management · Principles of Management and Modern Approaches

In a Pune manufacturing firm, productivity rose after the management began consulting workers about shift changes and the supervisors showed personal interest in them, even though pay and physical conditions stayed the same. Which school of thought best explains this outcome, and what is its key insight?

The human relations approach explains the outcome. Productivity improved without any change in pay or conditions, because consultation and supervisors' personal interest met workers' social and psychological needs, which the Hawthorne studies showed to be powerful motivators, unlike task standardisation, rules or structural principles.

  1. AScientific management, because standard tasks were set for workers
  2. BBureaucratic theory, because rules and hierarchy were followed strictly
  3. CAdministrative theory, because the principle of unity of command was applied
  4. DHuman relations approach, because attention and participation satisfy social needs and motivate workersCorrect

Explanation

Productivity rose with no change in pay or physical conditions, only in attention and participation. This mirrors the Hawthorne findings of the human relations approach, where social and psychological factors drive motivation. The other schools stress task standardisation, rules or structural principles, none described here.

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