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MANAGING - Essay Example

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The humans are having a weakness for contextual behaviour, and therefore, they exhibit attitudes and gestures that are well aligned with the surrounding environment. The implications of culture are significant in this regard as well. The sense of right and wrong in people are…
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MANAGING
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Download file to see previous pages The human resource management as a research field describes and deals with the organizational human capital. Wherever, humans are involved, there will be power politics present as well. In this way, the philosophy of postmodernism defines organizations as a setup that is a social entity, and it remains subjected to political forces as well (Jordan & Troth, 2004).
The sub-concept of power roles emerged because organizations are powerhouses, and therefore, somebody has to house the power. The operational power of getting things done resides with the middle managers, and the top ones have to operate through them in order to keep moving the organization forwards in strategic terms. The humans have a propensity to watch their self-interest as well. The managers create problems by choosing strategies that cause them to face least amount of pain and struggle. They do not necessarily safeguard and look after the interests of the shareholders that is the prime purpose of their existence (Solansky, 2008).
The literature of management calls the abovementioned phenomenon as the agency problem. The agency problem manifests itself when agents do not serve the objectives of their principles. The managers are agents of the shareholders of a specific company, but the former group has to assist the latter one in the process of attaining the goals. The corporate world operates in order to provide dividends to the investors, and the organisations also provide capital gains to the shareholders by increasing the market demand of their shares. The agency problems originates when managers have a belief that they can get away with committing fraud with the investors. The employees develop the tendency to skip and avoid their responsibilities because they might be experiencing psychological contract breach. They attempt to balance out their professional efforts with their current ...Download file to see next pagesRead More
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