Management Problems at AAT Company

This assignment delves into the management challenges encountered by AAT company. It examines issues such as poor communication, a lack of coordination, ineffective leadership styles, and resistance to adopting new technologies. The analysis draws upon various management theories, including Administrative theory, X&Y theory, Human relationship theory, and Scientific theory, to provide solutions for improving the company's working environment and productivity.

Management Problem, Theories and
Solutions
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Table of Contents
INTRODUCTION................................................................................................................................4
Management challenges exist in Active Aging Today company.....................................................4
Management Theories that solve management problems in Company are.....................................5
Justification of Management theories to overcome problem...........................................................7
Argument on management challenges.............................................................................................8
Conclusion............................................................................................................................................8
References............................................................................................................................................9
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INTRODUCTION
Management is the organisation and coordination of the activities of business in order to
achieve organisational activities. So this project concern with management issues that Activity
Aging Today (AAT) is facing and solutions to management problems in their department like lack
of communication and implementation of new technology and innovation in management are
disused. Further study detailed about the working environment of AAT and their Managerial control
and positive changes made by management team and their implementation is discussed.
Furthermore management concept related to management theories as per case study of company
and its justification is included. Moreover theory based approach to address management challenges
and its justification is clerified.
Management challenges exist in Active Aging Today company
Active Ageing today is an organisation that working for over 40 years. It started with group
of volunteers who stood up for rights for people of aged or senior citizen. Over period of time the
organisation has benefited from grants and became multimillionaire non profit organisation with 45
paid staff. Most of the staff are old aged and having field problem of aging related diseases. The
ground staff has team leader who is direct pint of attraction for workers. Because of the high stress
and working level Administration department and CEO organisation hire Administration manager
Named Alex. After working for some times in company Alex realised the staffs are non-experienced
and resistant to change (Kunnumkal. and Topaloglu, 2010). The operation department is using old
technologies and write cheques and deals in cash accounting and bookkeeping. So he realised to
upgrade system software to centralise organisation information and to train his employees. After
several month Alex get frustrated and he taken step to change working environment but their
workers are reluctant to change and less advanced in technology. So to overcome the problem he
hired a consultant to overcome the organisational problem.
So management problem or challenges persist in organisation is using old technology or
method of accounting and bookkeeping and semi skilled or less skilled employees. Attitude of field
worker and the lake of efficient or skilled administrative department. Finance worker is also have
communication problem and lack of explanation of job and find it hard to show the process going in
the organisation. managerial autocratic leadership style is also problem exist in company and from
this communication distortion and repeat of information is also seen in organisation. As
management is a process of getting thing done through other. Manager should understand the
human behaviour. emphasis is put on the increasing productivity through motivation and good
human relation. Motivation, leadership, communication, participative management and group
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dynamics are core of the management concept.
Management Theories that solve management problems in Company are
 Scientific theories by Fredrick W. Taylor: This theory proposed by Fredrick Taylor
develop the technique for improving the efficiency of work process. As per systematic study
of people's behaviour, their task. Taylor theory broke their work into small possible units or
sub task, in an effort to make the most efficient method to perform job (Huan and Chang,
2010). Taylors theory has given numerous improvement to management field at that period
when leaders were following autocratic styles. Some development that resulted Taylor
theory of management are:
Significant Improved productivity employment incentive increased, widespread improvement in
quality control etc, Good personal practitioner and Co operation between management and workers.
So Scientific theory approach will guide the AAT company in organisation to overcome
management problems of lack of basic technological skills and help in better communication and
help manager leadership performance.
 Administrative theory of concept of Henry Fayol: This theory is based on simple model
of how management react with personal. This theory covers all management concept in
broad way, so almost any business can apply this theory of management. Business
environment today consider the Fayols classical management theory as a best guide to
productivity management staff. This theory include 14 principles of management. As per
fayols management need to interact with personal in 5 basic ways to control and paln a
production.
 Planning: Planning is must and first part of management activity. So according to Fayol
management should plan and schedule every business activity.
 Organise: Proper organisation of management activity is needed for the company.
Organisation include proper allocation of resources as raw material, personal etc.
 Coordinating: According to management theory of the henri Fayol management should
the coordinate with all other department to cooperate functions.
 Controlling: Final management activity, the management command on personal
activities.
So from Henri Fayols theory AAT company can make communication process better, can plan
better, coordinate and control better (Egan, 2013). So problem or management issues like improve
in communication, better training and development to their employees and improve
miscommunication, lack of supportive changes by aged employees etc.
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 Bureaucratic theory of max weber: Max weber theory of management sometimes called
bureaucratic management theory and is based on theory by Fredrick Taylor in his scientific
management theory. Weber favoured such a system which favours standard procedure and
clear chain of command. Weber emphasis on efficiency but also indicated the threat of
technological expenses.
Key element of Max Weber theory include:
 Cleared defined job roles
 Authority Hierarchy
 Standardized procedure
 Systematic record and book keeping
 Hiring employees only when candidates meet the requirement as per company.
So these theory or concept of management helps AAT to solve problem of semi skilled as to give
them training or to offer voluntary resignation job. And hiring new candidates who are capable of
performing their job (Diabat, 2016). So as per case study the administrator worker should be trained
with latest technology or to change it with it skilled employee who is computer proficient.
 Human relationship theory by Elton Mayo: This theory was among the oldest theory in 20th
century developed in 1920's at the time of industrial revolution. At that time productivity
preferred most. Professor Elton Mayo began his experiment to prove the importance and
value of people over machine. This theory believes that people want to be a part of
supportive team and that give facility and way for development and growth. So if employees
perceive special attention and sre encouraged in active participation then they feel their
importance and become more productive for company and result in high quality work.
Following human relation management theory basis become evident during human relation
study.
 Human relation theory align with individual attention and recognition.
 Many theorist support the motivational theory.
 This study support the importance of human relation in business.
 Human relationship theory is fitted by motivational theory: After the hawthorn
experiment and Abraham Maslow and Douglas Mc gregor revealed how motivation
theory are related with human relation. Maslow suggested five basic needs
psychological, safety, wealth, esteem and self actualisation (Kazdin, 2010). As per this
theory human satisfies basic need and after satisfying this need it realise safety need and
fulfil it, it again satisfies it and moved to uper need of wealth and love as he want to be
liked by all. So after achieving this need it tries and make efforts to fulfil the self esteem
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need. So after realising and achieving it last stage of human goal is self actualisation
where need and wants have no mean. It involve in social activities and self interest have
no mean to it.
 X&Y theory of Douglas Mc Gregor: Douglas MC gregor theory of management, often
referred to as MC Gregorio's XY theory, and has been famous for last 50 years. Douglas MC
Gregor biography explained one of the most effective management theories as a man whose
revolutionary perception implemented by some of today's most successful companies. In
early industrial era. Douglas Mc Gregore described theory X and Theory Y related to tow
variables of worker. Theory X accept the at the time, assumed that workers were drons
without ambitions and initiative who had to punish and builed by boses to achieve results.
Based on new emerging psychological principal, Douglas Mc Gregor's theory Y offered a
new set of model. Some of Y principle are as follows:
 Worker is as natural as play or rest
 Worker who are engaged and fulfilled actually enjoy their work
 Under right condition worker feel comfortable and perform well.
 Self fulfilment is worker seek take as real reward.
Justification of Management theories to overcome problem
First theory in concept of management explained is Scientific theories by Fredrick W.
Taylor. As per case study management have lack of problem of performance. As company involved
in non profit organisation and work to benefit old aged people and seniors citizen. These working
people face problem of people having lot of ageing diseases. So lot of funding is used in people. As
working department is limited to 25. Alex appointed as administration manager after seeing various
problem of company (Moura, S.J. and et.al., 2011). Decided to renovate working style. So Scientific
theory approach can help manager by implementing plans and policies as per current scenario and
can adopt the latest technology that increase the service delivery to aged people.
Second theory of management is Bureaucratic theory of max weber. This theory help
manager to define each and everybody's role and responsibility and define hierarchy and systematic
record of accounting. So this can solve the AAT companies lack of coordination and support among
field worker and realise their responsibility.
Administrative theory helps manager to proper smooth functioning of management and
coordination with administrative department. It can be done by planning, organising, directing,
motivation, leadership and controlling. So implementation of latest technology, lack of basic
knowledge of computer skills and problem of change of workers can be controlled by this
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administrative theory and training and development can be given to employees to improve their
skills.
Human relationship theory can also help in HR personal and relationship among employee.
So like the co operation of people and deliver better service to old aged people. Making better
working environment and, importance of human relation and motivation theory can improve the
service quality of the organisation. And lastly Theory X and Theory Y suggest that if worker are
given favourable condition then they perform better and if they are pressured that then they will not
perform and exit of employees will lead in company.
Argument on management challenges
The company's management performance was not good and so Alex was hired and after
working for few months he realised that company in using old method of accounting and book
keeping. So the they decided to make revolutionary changes of adopting new technology and field
worker are also not cooperative. So management technique help them to improve working
condition, lack of communication and renovation of technology. Alex in company is trying to make
changes is good and will benefits the company to deliver service to their clients and will increase
the productivity of people.
CONCLUSION
This project is all about the Management Problem faced in AAT company as the company is
going through management changes and work deficiency. So as per case study analysis and
management concepts and theories Justification have been done and clear concept and its
implementation on management have been taken as changes. Problem of lack of communication,
coordination, leadership style of managers and have been solved through management concepts and
furthermore working environment of AAT company and technological changes are covered.
Different type of management theories like Administrative theory, X&Y theory, Human relationship
theory and Scientific theory, its implementations is discussed.
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REFERENCES
Books and Journals
Kunnumkal, S. and Topaloglu, H., 2010. A new dynamic programming decomposition method for
the network revenue management problem with customer choice behavior. Production and
Operations Management. 19(5). pp.575-590.
Ha, D.L. and et.al., 2012. An optimal approach for electrical management problem in
dwellings. Energy and Buildings, 45, pp.1-14.
Huang, K. and Chang, K.C., 2010. An approximate algorithm for the two-dimensional air cargo
revenue management problem. Transportation Research Part E: Logistics and Transportation
Review, 46(3), pp.426-435.
Egan, G., 2013. The skilled helper: A problem-management and opportunity-development approach
to helping. Cengage Learning.
Diabat, A., 2016. A capacitated facility location and inventory management problem with single
sourcing. Optimization Letters. 10(7). pp.1577-1592.
Kazdin, A.E., 2010. Problem-solving skills training and parent management training for
oppositional defiant disorder and conduct disorder. Evidence-based psychotherapies for
children and adolescents. pp.211-226.
Moura, S.J., Fathy, H.K., Callaway, D.S. and Stein, J.L., 2011. A stochastic optimal control
approach for power management in plug-in hybrid electric vehicles. IEEE Transactions on
control systems technology. 19(3), pp.545-555.
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