Participatory management

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Participatory management is the practice of empowering members of a group, such as employees of a company or citizens of a community, to participate in organizational decision making. [1] It is used as an alternative to traditional vertical management structures, which has shown to be less effective as participants are growing less interested in their leader's expectations due to a lack of recognition of the participant's effort or opinion. [2]

Contents

This practice grew out of the human relations movement in the 1920s, and is based on some of the principles discovered by scholars doing research in management and organization studies, most notably the Hawthorne Experiments that led to the Hawthorne effect.

While group leaders still retain final decision-making authority when participatory management is practiced, participants are encouraged to voice their opinions about their current environment. In the workplace, this concept is sometimes considered industrial democracy.

In the 1990s, participatory management was revived in a different form through advocacy of organizational learning practices, particularly by clients and students of Peter Senge.[ citation needed ]

About

Theories

The participatory management model or at least techniques for systematically sharing authority emphasize concerns with the delegation of decision making authority to employees. Participatory management has cut across many disciplines such as public administration, urban planning, and public policy making. In theory, the model does much more than recognize that employees ought to be able to recommend changes or course of action, but rather reflect a belief that authority should be transferred to and shared with employees. [3] The belief in this theory stems from understanding what the culture of an organization or institution represents. Conceptually, organizational culture is thought to represent a symbolic and ideal system composed of values and norms implemented by its founders, then shared and reflected to influence behavior of its members or employees in the institution. The culture of the organization or institution is in turn used to guide the meaning of the organization's work. [4]

There are certain institutions that successfully participate in organizational structures specific to hierarchical management models, thereby configuring power distribution, authority, communication and decision making. In an Organizational Structure, or Classical Management, employees do not participate in the decision making process. Employees receive, interpret and carry out orders after the decisions are made by administrators. [5] Participatory management is a shift in the management paradigm from a top-down approach to a more self-facilitated and self-sustained approach. Employees are given the freedom and responsibility, accompanied by all the necessary tools needed to delegate decision making, authority and evaluations of existing and foreseeable/unforeseeable problems. [6] One tool in participatory management is implementing a Contingency Theory approach. This theoretical approach acknowledges that every problem is different, therefore every problem requires different approaches and solutions.Principles of participatory management consist of fundamental ideas that seek to empower and enhance the employee's understanding of problems as to explore and generate the greatest potential solutions embodying the ideals of democratic inclusion and participation. [4]

Shifting to and implementation

Shifting the paradigm from classical management to participatory management requires a collaborative consensus as an organization or institution with communication, inclusion, transparency and development. Creating and sustaining an adaptive capacity for ongoing problem solving with an emphasis on social and transformative learning through trust, sustained engagement, and relationship development are important factors when contributing to the overall success or failure of participatory management. [6] Fostering a comfortable environment for employees by creating transparency and building new relationships support broad participation in ongoing planning, implementation, and evaluations which sustains diverse participation in managing expectations and actions with a collective understanding of goals and outcomes. [5]

When implementing this theory, the only thing for certain is uncertainty. Managing uncertainty must be conceptually addressed to reduce conflict. Conflict can stem from problems caused by misinterpretation, or lack of clarity when it comes to communication or questions concerning values, relationships, and goals. [4]

Deliberative, collaborative, and consensus based approaches facilitate transformative learning as it includes an array of diverse perspectives to optimize learning outcomes through the interaction of values, interests, and worldviews also known as, collaborative science or collaborative method of consensus. [7] Incorporating this approach to participatory management facilitates shared learning and makes the institution and team development stronger, through the contribution of individuals. Communicating values, creating a safe and comfortable environment along with a genuine and concerted effort should be at the foundation of an organization or institution aiming to implement participatory management as a successful tool.

Effects

Productivity

Participatory management may lead to increased productivity, motivation, job satisfaction and quality enhancement, however, it may also slow down the process of decision making and act as a potential security threat by providing access to valuable information to fellow employees. This section will discuss the effects Participatory Management had at the NATURA 2000 forest sites in Greece and the pros and cons participatory management has on productivity in the workplace.

In a study concerning the effectiveness of a participatory management framework in Protected Areas (PAs) in which are located in areas with strong state-based environmental management, the study states, "From an environmental perspective, there is evidence that involvement of a community in the management of a PA can result to a more effective management of biodiversity" (e.g. Blomley et al., 2008). This is mainly because participatory management frameworks promote sustainable management practices (Berkes et al., 2003). From a socio-economic perspective, a major benefit is the increase of social acceptability levels for specific protection frameworks (Stoll-Kleemann and Welp, 2008). Furthermore, the application of 'softer' and participatory management tools may assist in local economic development through, for example, eco-tourism activities and minimization of social conflicts (Misra and Kant, 2004, Chowdhury and Koike, 2010, Nuggehalli and Prokopy, 2009, Nayak and Berkes, 2008, Sandstrom and Widmark, 2007, Matose, 2006 and Jones et al., 2012a). In addition, participatory management allows the use of local values and knowledge for the management of a specific area of high biodiversity value in combination with scientific information (Berkes, 2004). [8] "

In summary, the study states, participatory management may result in a more effective management framework. Participatory Management may contribute to a more productive environment by:

Harms participatory management can have on productivity levels:

Perceptions

Participatory management can have negative and positive effects on individuals in the workplace. In order for participatory management to have a positive effect, there must be "trust in institutions, social trust and social networks". "Trust in institutions influences communities' perceptions". [8] When there is a high level of trust among a community, "citizens tend to be more positive towards collaborative management frameworks". [8] Social networks are important for the flow of information because it influences the level of participation in management frameworks, the level of awareness in a community and also environmentally responsible behaviors. [8]

Employee perceptions in the workplace may create an atmosphere in which an individual feels the freedom to use their creativity and unique skills. Workers may welcome this freedom to increase motivation and develop a deeper liking towards their job. If individuals feel a deeper connection with their job, it is thought that individuals will then ultimately take more pride in their work. Participatory management can have a positive perception on some, while on others it could lead to egotistic behaviors, and ultimately disrupt the group's cohesiveness. [9]

Positive effects participatory management has that can lead to positive employee perceptions:

Negative effects participatory management has that can lead to negative employee perceptions:

Examples of implementation

The ideals of participatory management have been implemented in several different industries and sectors, both successfully and unsuccessfully.

One such shift in management styles was studied in a public hospital in Alberta, Canada in 2009. The hospital implemented a Care Transformation Initiative that focused on eliminating wasteful activities and actions and applying an atmosphere of participatory management. This initiative was only implemented in one of the programs in the hospital. That program was studied along with another program in which the initiative was not implemented. The main findings of the study showed that, first of all, organizational change is difficult and takes time. Some workers, particularly older ones, were resistant to the change. The management and clinical staff reported little understanding of their specific contribution to organizational decisions. Despite these challenges, staff also reported feeling optimism that this organizational change may lead to better change in the future. [10]

A different study reviewed the effect of participatory management already in effect in the automobile industry in Macedonia. This workplace had already experienced the shift from a top down management style to this new participatory management style. The existence of participation was analyzed through the existence of participatory strategic planning and effective supervisory communication. The findings of this study showed that employees who thought their managers listened to them, and who thought they had a voice in decisions, were significantly happier and more productive than those who did not have the same feelings about the workplace. [11]

In different cultures

According to studies conducted with regard to various cultures, the reported extent of use of participatory leadership among the Iranian managers correlated significantly and positively with the reported extent of use of motivation via teamwork, the reported effectiveness of communication, the reported extent of group participation in the decision-making process, and the reported extent of group participation in the control process. [12] This trend is particularly present among Iranian, Saudi-Arabian, and American cultures. However, American managerial styles cannot simply be transplanted to other cultures; participatory management styles must be adapted to each culture's beliefs system.

Caribbean cultures have also adapted forms of participatory management among managers. According to the Report on the Caribbean Symposium on Social Development held in Barbados in March 1995, "Empowerment is facilitated when agencies make a genuine commitment to shared responsibility and joint decision making, design projects and programs around the perceived needs and the involvement of beneficiaries, adopt community-based and gender-sensitive approaches." [7] Community-based management in these cultures not only improves employer-employee relationships, it enhances employee output as well.

Criticisms

Multiple criticisms exist in opposition to participatory management as a result of its massive change from traditional management styles.

One of the major concerns put forward by the need for massive change is that of high monetary and resource costs. For this reason, institutions often attempt to only partially implement participatory management or do so in stages. During this process the concept fails to be completely respected by leaders and participants and thus fails, and is often reversed before it is ever able to be properly implemented. This indicates that the change required for true participatory management may be too much for larger organizations. [13]

Another issue seen in the participatory management concept is the potential for poor quality participation. Especially when implemented for large scale use, such as with the citizens of a city, it has been shown that if participants are not fully aware of their ability to participate or if they are not properly informed by leaders on what feedback they are expected to provide, there will be either minimal or passive participation. [13]

As a combination of criticisms, an overall result of failure in participatory management is misrepresentation of participants. Along with the factors involved in the previously stated criticisms, misrepresentation can also be due to unexpected participants providing feedback when the expected participants did not, typically seen in city management where participatory management was implemented as an attempt to exploit the community's perceived bias towards a certain decision. This could result in an unexpected voting outcome. As well, any decision could be swayed by participants being coerced within the system to provide feedback in pursuit of someone else's agenda. [13]

Participatory management has been criticized because it is difficult to combine this practice with a more financially oriented approach to restructuring that may require downsizing. [14]

See also

Related Research Articles

Empowerment is the degree of autonomy and self-determination in people and in communities. This enables them to represent their interests in a responsible and self-determined way, acting on their own authority. It is the process of becoming stronger and more confident, especially in controlling one's life and claiming one's rights. Empowerment as action refers both to the process of self-empowerment and to professional support of people, which enables them to overcome their sense of powerlessness and lack of influence, and to recognize and use their resources.

Within the realm of communication studies, organizational communication is a field of study surrounding all areas of communication and information flow that contribute to the functioning of an organization. Organizational communication is constantly evolving and as a result, the scope of organizations included in this field of research have also shifted over time. Now both traditionally profitable companies, as well as NGO's and non-profit organizations, are points of interest for scholars focused on the field of organizational communication. Organizations are formed and sustained through continuous communication between members of the organization and both internal and external sub-groups who possess shared objectives for the organization. The flow of communication encompasses internal and external stakeholders and can be formal or informal.

Development communication refers to the use of communication to facilitate social development. Development communication engages stakeholders and policy makers, establishes conducive environments, assesses risks and opportunities and promotes information exchange to create positive social change via sustainable development. Development communication techniques include information dissemination and education, behavior change, social marketing, social mobilization, media advocacy, communication for social change, and community participation.

<span class="mw-page-title-main">Public participation (decision making)</span> Extent to which societies encourage the people to share in organizational decision-making

Citizen participation or public participation in social science refers to different mechanisms for the public to express opinions—and ideally exert influence—regarding political, economic, management or other social decisions. Participatory decision-making can take place along any realm of human social activity, including economic, political, management, cultural or familial.

Governance is the overall complex system or framework of processes, functions, structures, rules, laws and norms borne out of the relationships, interactions, power dynamics and communication within an organized group of individuals which not only sets the boundaries of acceptable conduct and practices of different actors of the group and controls their decision-making processes through the creation and enforcement of rules and guidelines, but also manages, allocates and mobilizes relevant resources and capacities of different members and sets the overall direction of the group in order to effectively address its specific collective needs, problems and challenges. The concept of governance can be applied to social, political or economic entities such as a state and its government, a governed territory, a society, a community, a social group, a formal or informal organization, a corporation, a non-governmental organization, a non-profit organization, a project team, a market, a network or even the global stage. Governance can also pertain to a specific sector of activities such as land, environment, health, internet, security, etc. The degree of formality in governance depends on the internal rules of a given entity and its external interactions with similar entities. As such, governance may take many forms, driven by many different motivations and with many different results.

Participatory design is an approach to design attempting to actively involve all stakeholders in the design process to help ensure the result meets their needs and is usable. Participatory design is an approach which is focused on processes and procedures of design and is not a design style. The term is used in a variety of fields e.g. software design, urban design, architecture, landscape architecture, product design, sustainability, graphic design, industrial design, planning, and health services development as a way of creating environments that are more responsive and appropriate to their inhabitants' and users' cultural, emotional, spiritual and practical needs. It is also one approach to placemaking.

Organizational behavior or organisational behaviour is the "study of human behavior in organizational settings, the interface between human behavior and the organization, and the organization itself". Organizational behavioral research can be categorized in at least three ways:

<span class="mw-page-title-main">Participatory action research</span> Approach to research in social sciences

Participatory action research (PAR) is an approach to action research emphasizing participation and action by members of communities affected by that research. It seeks to understand the world by trying to change it, collaboratively and following reflection. PAR emphasizes collective inquiry and experimentation grounded in experience and social history. Within a PAR process, "communities of inquiry and action evolve and address questions and issues that are significant for those who participate as co-researchers". PAR contrasts with mainstream research methods, which emphasize controlled experimentation, statistical analysis, and reproducibility of findings.

<span class="mw-page-title-main">Workforce productivity</span> Concept in economics

Workforce productivity is the amount of goods and services that a group of workers produce in a given amount of time. It is one of several types of productivity that economists measure. Workforce productivity, often referred to as labor productivity, is a measure for an organisation or company, a process, an industry, or a country.

Public participation, also known as citizen participation or patient and public involvement, is the inclusion of the public in the activities of any organization or project. Public participation is similar to but more inclusive than stakeholder engagement.

Workplace wellness, also known as corporate wellbeing outside the United States, is a broad term used to describe activities, programs, and/or organizational policies designed to support healthy behavior in the workplace. This often involves health education, medical screenings, weight management programs, and onsite fitness programs or facilities. It can also include flex-time for exercise, providing onsite kitchen and eating areas, offering healthy food options in vending machines, holding "walk and talk" meetings, and offering financial and other incentives for participation.

Participatory GIS (PGIS) or public participation geographic information system (PPGIS) is a participatory approach to spatial planning and spatial information and communications management.

Industrial ergonomics programs seek to identify and correct factors that negatively impact the physical health of their workers. Participatory ergonomics programs seek to maximize the involvement of the workers in this process based on the simple fact that a worker is an expert on his or her job. The participatory approach to ergonomics relies on actively involving workers in implementing ergonomic knowledge, procedures and changes with the intention of improving working conditions, safety, productivity, quality, morale and/or comfort.

Diversity, in a business context, is hiring and promoting employees from a variety of different backgrounds and identities. Those characteristics may include various legally protected groups, such as people of different religions or races, or backgrounds that are not legally protected, such as people from different social classes or educational levels. A business or group with people from a variety of backgrounds is called diverse; a business or group with people who are very similar to each other is not diverse.

Governance is a broader concept than government and also includes the roles played by the community sector and the private sector in managing and planning countries, regions and cities. Collaborative governance involves the government, community and private sectors communicating with each other and working together to achieve more than any one sector could achieve on its own. Ansell and Gash (2008) have explored the conditions required for effective collaborative governance. They say "The ultimate goal is to develop a contingency approach of collaboration that can highlight conditions under which collaborative governance will be more or less effective as an approach to policy making and public management" Collaborative governance covers both the informal and formal relationships in problem solving and decision-making. Conventional government policy processes can be embedded in wider policy processes by facilitating collaboration between the public, private and community sectors. Collaborative Governance requires three things, namely: support; leadership; and a forum. The support identifies the policy problem to be fixed. The leadership gathers the sectors into a forum. Then, the members of the forum collaborate to develop policies, solutions and answers.

Organizational ethics is the ethics of an organization, and it is how an organization responds to an internal or external stimulus. Organizational ethics is interdependent with the organizational culture. Although it is to both organizational behavior and industrial and organizational psychology as well as business ethics on the micro and macro levels, organizational ethics is neither organizational behavior nor industrial and organizational psychology, nor is it solely business ethics. Organizational ethics express the values of an organization to its employees and/or other entities irrespective of governmental and/or regulatory laws.

Participative decision-making (PDM) is the extent to which employers allow or encourage employees to share or participate in organizational decision-making. According to Cotton et al., the format of PDM could be formal or informal. In addition, the degree of participation could range from zero to 100% in different participative management (PM) stages.

Economics of participation is an umbrella term spanning the economic analysis of worker cooperatives, labor-managed firms, profit sharing, gain sharing, employee ownership, employee stock ownership plans, works councils, codetermination, and other mechanisms which employees use to participate in their firm's decision making and financial results.

Employee motivation is an intrinsic and internal drive to put forth the necessary effort and action towards work-related activities. It has been broadly defined as the "psychological forces that determine the direction of a person's behavior in an organisation, a person's level of effort and a person's level of persistence". Also, "Motivation can be thought of as the willingness to expend energy to achieve a goal or a reward. Motivation at work has been defined as 'the sum of the processes that influence the arousal, direction, and maintenance of behaviors relevant to work settings'." Motivated employees are essential to the success of an organization as motivated employees are generally more productive at the work place.

Workplace democracy is the application of democracy in various forms to the workplace, such as voting systems, debates, democratic structuring, due process, adversarial process, and systems of appeal. It can be implemented in a variety of ways, depending on the size, culture, and other variables of an organization.

References

  1. ↑ Guyot, Sylvain (2011). "The Instrumentalization of Participatory Management in Protected Areas: The Ethnicization of Participation in the Kolla-Atacameña Region of the Central Andes of Argentina and Chile". Journal of Latin American Geography. 10 (2): 9–36. doi:10.1353/lag.2011.0048. S2CID   145049947.
  2. ↑ Bernardes, Andrea (2015). "Implementation Of A Participatory Management Model: Analysis From A Political Perspective". Journal of Nursing Management. 23 (7): 888–897. doi: 10.1111/jonm.12232 . PMID   24862294.
  3. ↑ Bernardes, Andrea (October 10, 2015). "Implementation of Participatory management model: analysis from a political perspective". Journal of Nursing Management. 23 (7): 888–897. doi: 10.1111/jonm.12232 . PMID   24862294.
  4. 1 2 3 Cuitiene, Ruta., Petrauskas, Povilas, Ruta (2012). "Management by Objectives using Coaching". Economics and Management. 17 (4). doi: 10.5755/j01.em.17.4.3029 .{{cite journal}}: CS1 maint: multiple names: authors list (link)
  5. 1 2 Tosi, H. L., Rizzo, J. R., & Carroll, S. J (July 1970). "Setting Goals in Management by Objectives". California Management Review. 12 (4): 70–78. doi:10.2307/41164307. JSTOR   41164307. S2CID   154566877.{{cite journal}}: CS1 maint: multiple names: authors list (link)
  6. 1 2 Bryson, J. M., Quick, K. S., Slotterback, C. S., & Crosby, B. C (January 1, 2013). "Designing Public Participation Processes". Public Administration Review. 73: 23–34. doi:10.1111/j.1540-6210.2012.02678.x.{{cite journal}}: CS1 maint: multiple names: authors list (link)
  7. 1 2 Warner, Gary (1997-03-01). "Participatory Management, Popular Knowledge, and Community Empowerment: The Case of Sea Urchin Harvesting in the Vieux-Fort Area of St. Lucia". Human Ecology. 25 (1): 29–46. doi:10.1023/A:1021931802531. JSTOR   4603224. S2CID   153271212.
  8. 1 2 3 4 5 6 7 8 9 10 Jones, N.; Filos, E. (2015). "Exploring perceptions on participatory management of NATURA 2000 forest sites in Greece". Forest Policy and Economics. 56: 1–8. doi:10.1016/j.forpol.2015.03.010.
  9. 1 2 3 4 5 Djogbenou,, C., Kakaï, R., Arouna, O., & Sinsin, B. (2012). Analysis of local perceptions of participatory forest management in Benin.
  10. ↑ Bernardes, Andrea; G. Cummings, Greta; Gabriel, Carmen Silvia; Martinez Évora, Yolanda Dora; Gomes Maziero, Vanessa; Coleman-Miller, Glenda (October 2015). "Implementation of a participatory management model: analysis from a political perspective". Journal of Nursing Management. 23 (7): 888–897. doi: 10.1111/jonm.12232 . PMID   24862294.
  11. ↑ Stefanovska-Petkovska, Miodraga; Bojadzijev, Marjan; Mucunski, Zlatko (2015). "Does participative management produce satisfied employees?: Evidence from the automotive industry". Serbian Journal of Management. 10 (1): 75–88. doi: 10.5937/sjm10-7160 .
  12. ↑ Isagholian, Sirop (1987). "Leadership attitudes and participatory management practices among American, Iranian, and Saudi Arabian managers". ProQuest Dissertations Publishing. ProQuest   303603018.
  13. 1 2 3 Kapoor, Ilan (2001). "Towards Participatory Environmental Management?". Journal of Environmental Management. 63 (3): 269–279. doi:10.1006/jema.2001.0478. hdl: 10315/7859 . PMID   11775499. S2CID   30545085.
  14. ↑ Heckscher, Charles (Nov–Dec 1995). "The Failure of Participatory Management". Across the Board. 54: 16–21.
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