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manging theories and globalization

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ASSIGNMENT TWO Task: Critically evaluate the following statement: "General administration theories are relevant to managing modern global organisations". Word Count: 2435 (Including Titles & Abstract) Abstract The aim of this paper is to discuss whether general administrative theories are relevant to managing modern global organisations. It shall be argued that general administrative theories are a basic outline for managers in modern global organisations to refer to, rather than a guide that should be strictly followed while ignoring circumstances that surround the outside environment of the organisation. Introduction Managers these days are constantly being challenged with so many different obstacles, not only within the environment of the business, but from many other exterior sources that may affect their decisions on a daily basis. The early 19th century brought about a number of administrative theorists who defined certain guidelines that management should consider using to achieve success in the organisation. These theories helped to shape businesses in the earlier years and are now simply a foundation for managers to utilise, if needed. However, with globalisation and the ever broadening issues in the world today, such theories will not necessarily be efficient, effective, or relevant in the same organisation in one part of the world, to another on the other side of the globe. In addition to globalisation, there are many internal and external forces that are constantly evolving and unfolding, forcing involuntary transformations of the way objectives may be achieved by managers. ...read more.


2006, p.137). Another particular country that places strains on managers, due to constant changes, is Saudi Arabia. Many mangers in Saudi Arabia have to deal with dramatic political and legal system changes that are unexpected and unpredicted. In September 2005, the government of Saudi Arabia passed a law that states "the number of Saudi workers hired by the employer must be no less then 75% of the total workforce, although the labour minister is entitled to reduce that proportion temporarily" if there is no competent nationals to fill relevant jobs (New Saudisation law comes into force 2005). This dramatic law was applied almost immediately which had managers searching for ways to restructure their organisation in the most efficient, effective, ethical way. Regardless of where the company originates from, organisations had a time period of three months to ensure this percentage was achieved or penalties would apply. Many foreign investors and organisations have relocated their companies, due to this inconvenient law, to the United Arab Emirates, where globalisation is welcomed widely. Others opted to remain and try to bypass the law by employing any Saudi national, qualified or unqualified, just to meet the numbers required. Qualified Saudi nationals are available in remarkably small numbers and are usually highly paid, whereas some of the unqualified Saudi nationals are usually not committed or are irresponsible in employment which leads them to being trained to handle lower and less responsible positions. ...read more.


There are many people who 'produce leadership', and it is hard not to think they'd made a difference. However, there is never a chance to see what may have happened if someone else had lead that certain organisation at that time. There has been considerable evidence that success relies on a complex pattern of organisational and environmental forces. There is little doubt that successive waves of downsizing initiatives and the drive towards outsourcing key corporate functions have placed greater pressures on managers to ensure that their organisations remain cohesive and integrated while preserving the capacity for innovation and adaptability. Slimmer organisational structures of the present age make it almost impossible for managers to operate according to the old hierarchical paradigms with their concentration being on command and control administrative dimensions. Managers are required to share larger amounts of information these days unlike before, as it has shown that their capabilities to do so influences performance levels of many others around them (Hunt 2001, p.8). Conclusion It is evident that general administrative theories may have been relevant to organisations many years ago when external environmental influences had a lesser affect on the organisation and its structure. The world has changed with the introduction of globalisation and its accelerated growth, which has lead to many changes in the way a manager manages, plans, organises, commands, coordinates, and controls. Without the assistance of any particular theories, managers have been able to deal with internal and external matters with a level-headed, rational and sensible manner which will possibly solve the problem at hand and achieve the organisations main objective. ...read more.

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