Department of Mechanical & Aerospace Engineering

Pulchowk Campus, Institute of Engineering

Tribhuvan University

ORGANIZATION AND MANAGEMENT

Management Models

Dr. Shree Raj Shakya

2022

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 Models of Management

• A Management Model refers to the set of choices made

by managers to get the work done, to define
objectives, motivate effort, coordinate activities, and
allocate resources.
• For example, Linux, Google, and Microsoft all are in the
IT business but have very different Management Models
• Linux is run through an open-source software
community; Google has a highly-informal, university-like
model; Microsoft has a more traditional, hierarchical
structure, yet they compete head-to-head in IT business.

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 Models of Management
• In general, there are mainly four different types of management
models:
1) Autocratic or Authoritarian Model
2) Paternalistic Model
3) Democratic Model
4) Laissez Faire Model
5) Chaotic Model

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Models of Management

Autocratic or Authoritarian Model

• In this model, the complete authority is in one
person’s hand and nobody can question it. It is
also known as totalitarianism or dictatorship.
• It creates an atmosphere of discipline in the
organization.
• However, it can at times, cause dissatisfaction
and a lack of "creative space" for the employees.
• Employees are treated as just a replaceable
resource and not the core of the organization.
• This model has hierarchical organization
structure.
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 Models of Management

Autocratic or Authoritarian Model (cont.)

• The manager believes in top-down communication, wherein
orders are given by the higher hierarchical level to the lower ones.
• The concept of "employee satisfaction" does not hold
importance for such a manager.
• Organization is governed by strict rules are Autocratic or
Authoritarian Model regulations.

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 Models of Management
Autocratic or Authoritarian Model (cont.)
Communication Pattern of Authoritarian Managers has to
Authoritarian Model do:
• Downward, one way • Always explain rules
communications • Be consistent- if you are to enforce rules and
regulations, make sure to do so regularly so
• Restricts discussion with your subordinates take you seriously.
subordinates • Respect your subordinates – always
• Dominates interactions recognize your subordinates' efforts and
achievements.
• Sets strict policy and
• Educate your subordinates before enforcing
procedures
rules.
• Poor listeners • Listen to suggestions from your
subordinates, even if you do not incorporate
them.
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 Models of Management
Autocratic or Authoritarian Model (cont.)
Advantages:
• Crucial decisions can be made on the spot when dealing with a
crisis
• Efficient when working with an inexperienced or new team
• Improves productivity as people need to follow a proven set of
systems and procedures

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 Models of Management
Autocratic or Authoritarian Model (cont.)
Disadvantages:
• Team member morale is low as their work is routine and
uninteresting. Long term use can cause resentment from
subordinates.
• Inhibits team creativity as input isn’t needed or wanted. It has
been found by researchers that these type of leaders lack creative
problem solving skills
• Team members develop a system of dependency instead of
deciding things on their own
• Without proper instruction and understanding from subordinates,
confusion may arise.

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 Models of Management
Paternalistic Model
• This model is similar to autocratic management
model in that the manager has overall control of the
company and expects his/her orders to be obeyed
when given to the subordinates. But, decisions are
taken by taking account the best interests of the
employees as well as the organization.
• Policies are devised to benefit the employees and the
organization.
• Communication is again generally downward, but
feedback to the management is encouraged to
maintain morale.

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 Models of Management

Paternalistic Model (cont.)

• The suggestions and feedback of the subordinates are taken into
consideration before deciding something.
• Employees feel attached and loyal towards their organization.
• Employees stay motivated and enjoy their work rather than
treating it as a burden.

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 Models of Management

Paternalistic Model (cont.)

Advantages:
• Feedback being invited, thus improving morale.
• Overall staff turnover and absenteeism rates should decrease.
• Decisions are taken by taking account for employees' best
interests and organization.
• The employee is rewarded with candy and toys when well
behaved.
• Employee loyalty, high turnover due to emphasis placed on social
needs.

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 Models of Management

Paternalistic Model (cont.)

Disadvantages:
• Low staff motivation if loyal connection to management is not
established.
• Increasing dependency of employees on the leader, leading to
more supervision required.
• Dissatisfaction in employees if bad decisions are made.
• Like a parent would have to, sometimes the employer must
spank the employee.
• The above disadvantage could further be made a problem
through employee rights and legislation.

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Models of Management
Democratic Model
• In this model, the manager allows the employees to
take part in decision-making: therefore everything is
agreed upon by the majority. This is also know as
participative model.
• The communication is extensive in both directions
(from employees to managers and vice-versa).
• In such a style of working, superiors welcome the
feedback of the subordinates.
• Employees are invited on an open forum to discuss the
pros and cons of plans and ideas.
• Democratic style of working ensures effective and
healthy communication between the management and
the employees.

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 Models of Management

Democratic Model (cont.)

• The superiors listen to what the employees have to say before
finalizing on something.
• This style can be particularly useful when complex decisions
need to be made that require a range of specialist skills.
• From the overall business's point of view, job satisfaction and
quality of work will improve, and participatory contributions from
subordinates will be much higher.
• However, the decision-making process could be severely slowed
down unless decision processes are streamlined.
• The need for consensus may avoid taking the 'best’ decision for
the business unless it is managed or limited.
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 Models of Management
Laissez Faire Management Model

• The model of management involves the manager having minimal control

of the activities of their subordinates. The style of the great American
business man, Warren Buffett is what best exemplifies the effective use
of this management style.
• It is best employed when the subordinates are highly trained and
motivated such as doctors and PhD students where the progress of their
work is monitored by the supervising manager and give feedback and
advice.
• The employees take decisions and manage work on their own.
• Employees are not dependent on the managers and know what is right
or wrong for them. Dr. S. R. Shakya 15
 Models of Management

Laissez Faire Management Model (cont.)

Advantages:
• Freedom is given to the employees.
• This model is good for innovation and R & D works.
• Employees feel comfortable and put their maximum efforts to
achieve organizational goals.

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 Models of Management

Laissez Faire Management Model (cont.)

Disadvantages:
• Employees may feel neglected due to lack of guidance most likely
as the manager is incompetent.
• The employee is also seen to be not recognized and rewarded for
superb work they might have done.
• Since a certain amount of autonomy is granted from the
overseeing manager to the employees and lower ranking
managers, there is chance of arising disputes in company.

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 Models of Management

Chaotic Management Model

• employees have total control over the decision-making
process often with no rules or regulations in place.
• can make it difficult for everyone to get their voice heard.

Source: https://chisw.com/chaos-management-in-it-practical-project-handling-in-a-changing-environment/

Source: https://blog.planview.com/the-chaos-theory-report-project-management-chaos-revealed/

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Models of Management

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 Models of Management

Source: https://www.pinterest.com/pin/leadership-and-management-styles--168181367322826113/

Dr. S. R. Shakya 20
 Thank you !
Email: [email protected]

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