The Hawthorne Studies conducted in the 1920s and 1930s explored the impact of various working conditions on productivity. The illumination studies found that changes in lighting had little effect, while the relay assembly studies discovered that productivity consistently increased regardless of whether conditions improved or worsened. This highlighted the importance of social and human factors in influencing worker behavior and performance. The Hawthorne Effect was observed, where participants performed better simply from being observed. The studies challenged assumptions of scientific management and were influential in establishing the human relations school of management.

1. THE HAWTHORNE STUDIES
Studies carried out Elton Mayo at the
Hawthorne Plant of the Western Electric
Works in Chicago between 1927 and
1932

2. HUMAN RELATIONS SCHOOL
• Due to unrest caused by Taylor’s scientific
principles in the 20’s and 30’s work was
carried out based in the ‘human side’ of
workers – not focusing on money
• Elton Mayo was one of the main theorists
involved.

3. History of the Hawthorne Studies
• Background: Mayo wanted to find out what
effect fatigue and monotony had on job
productivity and how to control them through
variables such as
• Rest breaks
• Work hours
• Temperatures
• Humidity

4. Illumination Studies (1924-1927)
 Participants: About 6 female workers segregated from the rest of
the factory under an observation.
 Experiment: Researchers initially manipulated the lighting
conditions in the workplace to study the impact on worker
productivity. They varied the level of illumination, from brighter
to dimmer lighting.
 Outcomes: Contrary to expectations, changes in lighting had only
a minor effect on productivity. Workers' output increased in both
bright and dim lighting conditions.
 Conclusion: The results challenged the assumption that better
lighting alone could significantly improve productivity. This led
researchers to explore other factors influencing worker behavior.

5. Relay Assembly Test Room Studies (1927-1932)
 Participants: Initially, a group of 6 female workers, later
expanded to 14.
 Experiment: Researchers introduced various changes in working
conditions, including rest breaks, variations in work hours, and
modifications in payment plans. They observed and measured
the effects on worker productivity.
 Outcomes: Productivity consistently increased, regardless of
whether conditions were improved or made less favorable.
Workers became more cohesive as a group and developed
their own norms and expectations.
 Conclusion: The findings suggested that social factors, such as
group dynamics, played a more significant role in influencing
productivity than changes in physical working conditions. The
"Hawthorne Effect" was observed, where workers' performance
improved because they were being observed and felt more valued
as participants in the study.

6. Findings of Experiments
1.Rest pauses were lengthened to 10 minutes: Output went up
2.Six 5-min pauses were introduced and the girls complained
that their work rhythm was broken: Output fell very slightly
3.Return to 2 rest pauses the first with a hot meal supplied free
of charge: Output went up
4.Group was dismissed at 4.30 pm instead of 5.00 pm: Output
went up
5.They were dismissed at 4.00 p.m.: Output remained the same
6.Finally, all improvements were taken away and the team went
back to the conditions at the beginning of the experiment:
Output was the highest ever recorded at 3000 relays per
week per person

7. Bank Wiring Observation Room Studies (1931-1932)
 Participants: A group of 11 male workers.
 Experiment: Researchers observed a group of bank wiring
workers over several months. They introduced changes
like piece-rate payment systems and altered the size of
the workgroup.
 Outcomes: Productivity increased even when the piece-
rate incentive was removed, suggesting that social factors
continued to drive performance. The workers formed a
tightly-knit social group, which influenced their productivity.
 Conclusion: Social interactions, peer pressure, and
group dynamics had a substantial impact on
productivity. The findings highlighted the importance of
social and human factors in the workplace, leading to a
shift in management thinking towards considering
employee morale and social aspects of work environments.

8. What happened during the experiments?
• The individuals became a team and the team gave
wholehearted cooperation with the experiment.
• They were happy in the knowledge that they were doing
what they wanted to do.
• They felt they were working under less pressure than before
• They were not pushed around or bossed by anyone.
• Under these conditions they developed an increased sense
of responsibility which came from within the group itself.

9. Elton Mayo’s Conclusions
 Individual workers cannot be treated in isolation but must
be seen as members of a group
 Monetary incentives and good working conditions are less
important to the individual than the need to belong to a
group
 Informal or unofficial groups formed at work have strong
influence on behaviour
 Managers must be aware of these ‘social needs’ and cater
for them to ensure that employees work with the
organisation rather than against it

10. Human Relations School
• The basis of the HR Movement is the use
of social sciences to secure the
commitment of individuals to the aims of
the organisation.
• This movement, although now considered
simplistic, established the importance of
social factors in the workplace.

11. THE NEO-
HUMAN
RELATIONS
SCHOOL
DOUGLAS MCGREGOR
THEORY X AND THEORY Y

12. What is Neo-Human Relations?
• The Hawthorne Experiments did not
highlight how work practices and structure
should be modified to improve worker
satisfaction and productivity
• In the 40’s it was realised that links
between organisational design, motivation
and productivity were more complex than
first thought

13. DOUGLAS MCGREGOR
THEORY X AND THEORY Y
• McGregor, an American social
psychologist, proposed his famous theory
in his book
• “The Human Side of Enterprise”
• In his book he examined theories on
behaviour of individuals at work , he has
formulated 2 models

14. THEORY X ASSUMPTIONS
(Authoritarian Management Style)
• The average human being has an inherent
dislike of work and will avoid it if he/she
can
• Most people must be controlled/threatened
if they are to work hard
• The average human prefers to be directed,
dislikes responsibility, is unambiguous,
and desires security above everything else
• Similar view to FWT

15. THEORY Y ASSUMPTIONS
(Participative Management Style)
• Effort in work is as natural as work and play
• Control and punishment are not the only ways to
make people work man will direct himself if he is
committed to the goals of the org
• If a job is satisfying then the result will be
commitment to the organisation
• The average man learns not only to accept but
to seek responsibility
• Similar view to Mayo

16. • Imagination, creativity and ingenuity can
be used to solve work problems by a large
number of employees
• Under the conditions of modern industrial
life the intellectual potential of the average
man is only partly utilised

17. SO… managerial style can be
seen as:-
• Manager has
Theory X
attitude toward
staff
• No worker
initiative
• Autocratic
• Manager has Theory
Y attitude towards
staff
• Workers are creative
• Workers given
responsibility
X MANAGERIAL STYLE Y

18. DIAGRAM THEORY X
MANAGEMENT
STAFF
Authoritarian and repressive
style. Tight control, no
development. Produces
limited depressed culture

19. DIAGRAM THEORY Y
STAFF
Theory Y – liberating and
developmental, control and
achievement

20. Findings
• McGregor sees the 2 theories as quite
different attitudes

21. X
• Can range from soft to hard approach
• It is part of the managers job to exercise
authority and there are cases when this is
the only method that will get results
• Much of behaviour in organisations
reflects the Theory X view
• X is limited and unrealistic and relies on
authority as the primary means of control
• Hard approach results in hostility,

22. The problem with X
• X relies on money to motivate
• Once the need for money subsides the
drive for motivation is lost
• Does not allow workers to reach higher
levels of motivation as shown by Maslow

23. Y
• Theory Y is difficult to put into practice on
the shop floor
• Level of maturity of staff will play a large
part
• Y can be used initially in the managing of
management
• Y is conducive to participative problem
solving
• Y will lead to higher motivation

24. Implications for management
• Decentralisation and Delegation can be
used freely in a Y environment
• Delayering and reduction in management
levels – flatter structures
• Job enlargement – broadening the scope
of an employee’s job adds variety

25. • Participative Management – consulting
employees in the decision making process
taps their creative capacity
• Performance Appraisals having the
employees set objectives and participate
in evaluation

26. SYSTEMS THEORY

27. Story So Far
• We have seen the Classical, Human
Relations and Neo-Human Relations
schools of thought.
• All of these approaches are rather narrow
and do not have a holistic view of the
organisation
• Systems Theory is an attempt to address
this – introduced in the 60’s and 70’s

28. What is it?
• Systems Theory argues that in any
organisation everything is so
interdependent that a small change in one
part will mean changes in the other part
• Often called the Open-systems approach it
views any one organisation as an
interdependent of a much bigger whole
• That is with the internal and external
environment

29. OPEN SYSTEM

30. The wider environment can
include
• Suppliers
• Customers
• Peer organisations
• The environment then impacts on the
business

31. • The approach seeks to find the best fit
from the elements in the diagram
• Technical factors
• Social factors
• Economic factors
• Legal factors

32. Summary
• This approach to an organisation states
that it is necessary to incorporate social
and technical aspects of work if an
effective system is to be incorporated
• When technology is introduced social
groups should NOT be broken up
• This fragmentation will reduce motivation

33. THE CONTINGENCY
THEORY
A DEVELOPMENT IN THE SYSTEMS
APPROACH

34. What is contingency theory?
• “There is no single approach to
organisational structure that will suit all
organisations at any point in time.”
• Contingency means ‘It depends’

35. TASKS
PEOPLE
Contingency
theory tries to
get the best fit
between the task
and the people and
the environment
they work in

36. 3 Factors to Consider
• Strengths and weaknesses of the
organisation
• Objectives of the organisation
• The external environment of the
organisation

37. Management Approach
• Using contingency theory a manager
would be expected to
• Develop an organisational approach
that suits a particular situation
• The approach will change in line with
external factors
• Within one organisation you may have
a variety of approaches in different
areas