This document discusses participative management and its key aspects. It defines participative management as a system where employees contribute to management decisions affecting the organization and their jobs. It argues that factors like globalization, flexibility and decentralization have led to its increased importance. It outlines different degrees of participation based on how involved subordinates and bosses are in decision making. The document also discusses techniques, prerequisites, areas of job freedom, and the advantages and disadvantages of participative management approaches. It provides guidance on effectively conducting participatory meetings.

1. PARTICIPATIV
E
MANAGEMENT

3. Islamic concept on participation
• And consult with them upon the conduct of
affairs, and when you have resolved, then
put your trust in Allah
al-i-imran 3:159

4. Participative Management
Participation
A process in which people contribute
ideas to the solution of their
problems.
Participative Management
A system of management in which
employees contribute in making
management decision effecting
organization and their jobs.

5. Arguments for Participation
 Evolution.
 Globalization.
 Flexibility.
 Decentralization.
 Theory X and Y.

6. Degree of Participation
Subordinate Boss
 Decision making
involvement
 How much value he
attaches to ideas he
receives
 Diagnosing
 Finding alternatives
 Greater the effect of
each other higher
the degree of
participation
 Estimating
consequences
 Making choices

7. Application Techniques
FORMAL
PARTICIPATION
INFORMAL
PARTICIPATION
PROGRAMME
BASED
ON INDIVIDUAL
BASIS
ON GROUP
BASIS
INDIVIDUAL
EFFECTS
DECISION
MAKING OF
SUPERIOR
CONSULTATIVE
DEMOCRATIC

8. Major Pre-requisites to
Participative Management
 Time Factor.
 Cost benefit analysis.
 Matter of interest.
 Participants to have knowledge and
intelligence to participate.
 No language barrier …participants must
be able to communicate freely.
 No position threat on both sides.
 Participation is valid only to the group’s
area of Job Freedom

9. Area of Job Freedom
AREA OF EMPLOYEE
PARTICIPATION IN
DECISION MAKING
TELLS
SELLS
CONSULT
AREA OF AUTHORITY
APPLIED BY MANAGER JOINS
WITHDRAWS
Manager makes
& announces
decisions
Manager seek
ideas, sells
decision, decisions
are subject to
change
Manager asks for
recommendation
before deciding
Manager decides
with group “one
person one vote”
Manager
asks group
to decide
Autocratic Benevolent
Autocratic
Consultive /
Participative
Management
Democratic
Management
Free Rein
Management

10. Morale and job satisfaction
Satisfaction – Performance Relationship
Performance Reward
Effort Greater or Lesser Satisfaction
Commitment OR
Dis-Satisfaction
Perception of
equity in
reward fair…
unfairEconomic
sociological
psychological

11. Advantages of participative
management
 Acceptance of decisions
A. Feeling of responsibility.
B. Ego involvement.
C. Counter-measure to resentment.
 Acceptance of change
A. Feeling of safeguarding their
interests.
B. Workout feasibility and sort-out
possible objections.

12. Advantages of participative
management
 Positive effect on morale … A
form of recognition
 Employee development
 Better performance.
 Positive climate.
 Better coordination.

13. Disadvantages of
participative management
 Time consuming and costly.
 Pseudo Participation.

14. Conducting a Participatory
Meeting
Manager......
 Presents the problem
 Supplies Essential Facts
 Classifies area of freedom
 Allows anyone to speak at random
 Does not meddle
 Freely express appreciation
 Draws persons out
 Wait out pauses
 Restate accurately
 Asks good questions
 Recommendations belong to the group
 Summarizes as need arise

15. Thank you