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Question

Rensis Likert considers 'Management Systems 1-4' as a model of management. These are:-
A. Participative System
B. Consultative System
C. Benevolent-Authoritative
D. Exploitative-Authoritative
E. Maturity-Immaturity
Choose the most appropriate answer from the options given below:

The correct answer is
A,B,C,D Only

Understanding Rensis Likert's Management Systems Model

Rensis Likert, a prominent organizational psychologist, developed a model that categorizes management systems into four distinct types based on their approach to supervision, motivation, communication, decision-making, goal-setting, and control. These systems represent a continuum from highly autocratic to highly participative.

Likert's Four Management Systems:

  • System 1: Exploitative-Authoritative: This is the most autocratic system. Management has condescending authority, trust is non-existent, decision-making is centralized at the top, and control is tight. Motivation is based on punishment and occasional rewards. Communication flows downward.
  • System 2: Benevolent-Authoritative: This system is also authoritative but less dictatorial. Management has authority but is slightly more paternalistic or condescending. There is still little trust, decision-making is centralized, but there might be some upward communication. Motivation relies on rewards and some fear.
  • System 3: Consultative: In this system, managers are substantively granted authority but make efforts to consult employees. There is considerable trust between management and employees. Decisions are delegated somewhat, but important ones remain at the top. Communication flows both up and down, and employees feel generally free to discuss. Motivation is based on rewards, some involvement, and occasional punishment.
  • System 4: Participative: This is the most democratic and participative system. Management has full trust and confidence in employees. Decision-making is highly decentralized and spread throughout the organization. There is excellent communication both horizontally and vertically. Motivation is achieved through high levels of involvement, participation in goal-setting, and satisfaction of esteem and self-actualization needs.

Analysis of the Options:

The question asks to identify which of the given options are considered Rensis Likert's management systems. Based on his model:

  • A. Participative System: Matches System 4.
  • B. Consultative System: Matches System 3.
  • C. Benevolent-Authoritative: Matches System 2.
  • D. Exploitative-Authoritative: Matches System 1.
  • E. Maturity-Immaturity: This concept is primarily associated with Chris Argyris's theory of organizational behavior, focusing on employee personality development, rather than being one of Likert's core management system types.

Conclusion:

Therefore, the systems considered by Rensis Likert in his model are Participative, Consultative, Benevolent-Authoritative, and Exploitative-Authoritative. This corresponds to options A, B, C, and D.

The correct choice includes systems A, B, C, and D only.

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Important Questions from Theories of Management

  1. The following statements relate to value based organisations. Choose the correct code for the statements being correct or incorrect.

    Statement I: Nature of a corporation has been analysed by theorists as private rights theory, social institution theory, contractual theory of the firm.

    Statement II: Nature of the corporation has been explained by input-output model under stakeholder theory; each stakeholder group constituency is integral to the operation of a corporation.

  2. In which of the following streams was Classical theory of organisation developed ?

    1. Bureaucracy

    2. Administrative Theory

    3. Scientific Management

  3. ________ argues that managers merely act as custodians of the organization and its operational activities.

  4. Match List I with List II related to Elton Mayo's Experiments on Human Relations.
    List I (Experiment)List II (Year)
    (a) Philadelphia textile mill
    experiment
    (i) 1924-27
    (b) The Great Illumination
    Experiment
    (ii) 1928-31
    (c) Special study of Human
    attitudes and sentiments
    (Interviewing Programme)
    (iii) 1923
    (d) Bank wiring experiment(iv) 1931-32
  5. Consider the following statements and choose appropriate answer from the options given below.
    Statement I: Gullick and Urwick developed organisational principles.
    Statement II: According to Gullick and Urwick the Co-ordination through authority is an important principle of organisation.
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