Due to the recent decline of the world economy, Junction hotels are facing further deterioration in growth. This essay will discuss that rationalization is not an optional strategy for managing and organizing Junction Hotel in the current economic recession, with a focus on early theories of rational organizations from Henry Ford, F.W. Taylor, Henri Fayol and Max Weber. Furthermore, this essay will also explain how Junction Hotel manage to increase its efficiency and control by applying itself to both rational organizations and contemporary organizations, with a compare to McDonald's and Travelodge. Finally, this essay will analyze both the benefits and disadvantages when Junction Hotel uses theories of rational organizations.
According to Senior and Morphew(1990), a large number of Junction Hotel have been unable to meet customer's expectations which mainly because of the huge amount of financial needs when high quality products and services are needed. By analyzing theories of rational organizations, Junction Hotel may discover different methods to improve their efficiency and control. Alajloni et al (2010) argued that organizations are facing competitive situations which may base on good management-labor relations so as to improve efficiency and control but ignored the fundamental element of scientific management. The development of mass assembly line work, which is the so-called Fordism, was introduced by Henry Ford in 1913 and made a major impact on Western economies by linking this method to rational organizations. Furthermore, according to F.W. Taylor, Taylor (1911) believed that in a similar way that there would be a better machine for each job, so there would be a better working method by which people should undertake their jobs.
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Based on the theory of Taylorism, it suggested that workers were regarded as rational, economic beings motivated directly by monetary incentives linked to the level of work output in order to improve efficiency and control. According to the above statement, a similar method of work design would also found in traditional forms of assembly line manufacturing and in production process that are fundamentally supervised and monitored by computer technology, which could also be found within food production in Junction Hotel. In order to minimize the cost during the production process, Morgan (2006) agreed that Taylor aims to shape the factory into an efficient mechanism operating through standardized opponents. Furthermore, according to Ritzer(2008), during the job process, employees might discover micro-methods to help them operate the task more efficiently, and in modern organizations, those employees are encouraged to report information to their supervisors so that all employees could perform the given task a bit more efficiently. By using the above methods, Junction Hotel may improve efficiency and control, and minimize the cost during the process. But on the contrary, Junction Hotel could not apply to Taylorism because people cannot be machines and the Hotel business could not function as production line in factory.
In accordance with the theory of Henry Fayol (1929), management should be considered as a skill like any other one that could be taught once its underlying principles were understood. Compare rational organizations to contemporary organizations, based on the research by Morgan(2006), most organizations are bureaucratized to some extent, for the mechanistic form of procedures has shaped most basic concept of what organization is about. Morgan (2006) also agreed Max Weber's theory, it noted that the "bureaucratic form routinizes the process of administration exactly as the machine routinizes production." For example, the management in McDonald's fast food restaurants use observation checklist to supervise employee's performance, which shows that a simple task like serving a customer could be mechanized, observed, and evaluated in a mechanical way. Many franchising systems such as McDonalds and Burger King have used the same Tayloristic procedures with positive effect, centralizing the design and development of products or services, and decentralizing implementation in highly controlled way. Furthermore, in hotel business such as Travelodge, the hotel organization often use standard recipes and performance standard manuals ,and it is common to train housekeeping staff the prescribed layout for each room which is based on detailed procedures. On the contrary, as for Junction Hotel, scientific management could function in some area and improve efficiency or control, but it could only apply to specific part of those classic theories in rational organizations so as to maximize the positive influences that rationalization could bring to the business.
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On the one hand, scientific management in 1800s still have a positive impact on modern organizations, which could still improve efficiency and control, minimize cost during the production process, perform in a clear chain of command so that standardized procedures and channels of communication could establish. The principles of scientific management viewed organizations as closed system where most of the organizational factors were under the control of management. On the other hand, modern management operates in a dynamic environment in which changes are constantly adopted to suit the changes in the environment. According to Alajloni et al(2010), " the traditional bureaucratic organization with its hierarchical system of management and an over concerned manager who tries to force performance out of employees is no longer needed." The theories of rational organizations ignored certain aspects of human behavior within the organizations and moreover, concepts like job satisfaction, participative management, and the job itself have played an important role in increasing productivity. Based on the above analysis, rationalization may not be suitable to Junction Hotel because the positive impact of social aspects and human factors may outweigh the rational point of view, in which workers are treated like machines.
In conclusion, hotel business belongs to hospitality industry, in which hotel employees' deal with customers in a daily-basis. In spite of the positive effect within rational organizations, rationalization may not be a desirable strategic approach to execute in Junction Hotel during the current economic recession. Classic theories of organization were fundamentally aimed and emphasized single minded to make organizations effective and efficient in terms of making profit. However, modern competitive organizations have realized that modern organizations have different motivations to perform apart from making profit, thus Junction Hotel may have to integrate different perspectives of social and economic factors related to productivity and satisfaction of human needs.