Humans are the beginning and ending point of all social sciences.
Alderfer's ERG theory or Maslow's hierarchy of needs both focusing on how to meet human needs, of course, is a very simple and practical measurement tool for all social science research.
Humans have three kinds of needs, including existence needs, relatedness needs, and growth needs
For responding to three kinds of needs above, companies, or organizations, must create three kinds of management, including management being aimed at rules, management being aimed at emotions, and management being aimed at innovations, namely, adopting management being aimed at rules for meeting employees’ existence needs, adopting management being aimed at emotions for meeting employees’ relatedness needs, and adopting management being aimed at innovations for meeting employees’ growth needs.
Human higher level of need usually occur when lower level of need next to it is meet
For responding to that situation above, middle management being aimed at emotions should be based on bottom management being aimed at rules, and top management being aimed at innovations should be based on middle management being aimed at emotions and bottom management being aimed at rules. If there is no a solid nether foundation of management, upper management will be dysfunctional.
Three kinds of human needs is a inseparable whole, they coexists in everyone simultaneously, and not one of them can be omitted
For responding to that situation above, three kinds of management also is a inseparable whole, every company need an entirety formed by integrating three different kinds of management to meet employees’ whole needs simultaneously, and not one of three kinds of management can be omitted.
People in different survival state have different focus on needs, some are on existence needs, some are on relatedness needs, and some else are on growth needs
For responding to that situation above, there are different focus on three-tier management for different companies and employees, some are on bottom management being aimed at rules, some are on middle management being aimed at emotions, and some else are on top management being aimed at innovations.
Therewithal, I can infer three basic model of three-tier management.
Model A: the three-tier management being focused on bottom management being aimed at rules→employees whose main need is existence→manual labor-intensive enterprises.
Model B: the three-tier management being focused on middle management being aimed at emotions→employees whose main need is relatedness→capital or workmanship-intensive enterprises.
Model C: the three-tier management being focused on top management being aimed at innovations→employees whose main need is growth→brainwork-intensive or knowledge enterprises.
Match among three different kinds of management for three basic models
Model A is focused on bottom management being aimed at rules, so correlative middle management being aimed at emotions and top management being aimed at innovations, in this case, should be marched with bottom management being aimed at rules. In other words, here both middle management being aimed at emotions and top management being aimed at innovations must obey the purpose to create an effective bottom management being aimed at rules.
Model B is focused on middle management being aimed at emotions, so correlative bottom management being aimed at rules and top management being aimed at innovations, in this case, should be marched with middle management being aimed at emotions. In other words, here both bottom management being aimed at rules and top management being aimed at innovations must obey the purpose to create an effective middle management being aimed at emotions.
Model B is focused on top management being aimed at innovations, so correlative middle management being aimed at emotions and bottom management being aimed at rules, in this case, should be marched with top management being aimed at innovations. In other words, here both middle management being aimed at emotions and bottom management being aimed at rules must obey the purpose to create an effective top management being aimed at innovations.
Three basic levels of innovations
① Because model A→the three-tier management being focused on bottom management being aimed at rules→employees whose main need is existence→manual labor-intensive enterprises→low-grade or backward market economy→high Engel coefficient, the innovation within model A is to raise labor productivity and employees earning, and to meet existence needs through consistently improving operating procedures and regulations.
When this level of innovation is reflected in the history of research on the business administration, the correlative representative personage and works wereTaylor's "Principles of Scientific Management", and Fayol's "general and industrial management".
② Because model B→the three-tier management being focused on middle management being aimed at emotions→employees whose main need is relatedness→capital or workmanship-intensive enterprises→middle-grade or moderately developed→middle Engel coefficient, the innovation within model B is, by improving collaboration within teams and ways of communications, first to bridge the gap between employees, especial those employees who face customers directly, and companies and colleagues, and then to bridge the gap between customers and companies, to meet relatedness needs of employees and customers, and to increase their loyalty.
When this level of innovation is reflected in the history of research on the business administration, the correlative representative personage and works were Mayo's "The human problems of an industrial civilization", Mike McGregor's "X theory - Y theory".
③ Because model C→the three-tier management being focused on top management being aimed at innovations→employees whose main need is growth→brainwork-intensive or knowledge enterprises→high-grade or developed→low Engel coefficient, the innovation within model C is, by instituting the mechanism for making decision, selecting, promoting, appraising, training to arouse innovation potential and ability of employees and teams, to constantly facilitate evolvement of product, service and profit model, to meet employees’ growth needs, and to resound to cope with the Increasingly diversified terminal demand and personalized customers.
When this level of innovation is reflected in the history of research on the business administration, although there is strictly no representative personage and works, Schumpeter's "Theory of Economic Development" can temporarily act as a logo or a starting point.
Innovation can be divided three basic levels, so can management being aimed at innovations.
For responding to that situation above, also rules and management being aimed at rules, and emotions and management being aimed at emotions can be divided three basic levels.
By my descriptions to three basic levels of innovations, a one-to-one relationship among Alderfer's ERG theory, Engel's law, the three—tier management, and the history of research on the business administration has been testified.
Five characteristics of a focus-on-innovation management model of three tiers
how to create a focus-on-innovation management model
Humans are the beginning and ending point of all social sciences.
Alderfer's ERG theory or Maslow's hierarchy of needs both focusing on how to meet human needs, of course, is a very simple and practical measurement tool for all social science research.
Humans have three kinds of needs, including existence needs, relatedness needs, and growth needs
For responding to three kinds of needs above, companies, or organizations, must create three kinds of management, including management being aimed at rules, management being aimed at emotions, and management being aimed at innovations, namely, adopting management being aimed at rules for meeting employees’ existence needs, adopting management being aimed at emotions for meeting employees’ relatedness needs, and adopting management being aimed at innovations for meeting employees’ growth needs.
① Adopting management being aimed at rules for meeting employees’ existence needs.
The rules I am talking are specifically viewed as all rigidity for forming business organizations. It includes organization chart, staffing establishment, departmental responsibilities, job descriptions, post responsibilities, limits of authority, benefit, vertical command and horizontal coordination, workflow, operation flow, work standards, rules and regulations, policy, employee handbooks, and so on.
My definition of management being aimed at rules is to take rules as object of management (thus, please note that my management being aimed at rules is different from using rules to manage organizations).
From the perspective of forming organization, my management being aimed at rules mainly relates to an organization's rules design and arrangements, including how many kinds of rules are needed to construct an organization? Who should institute various rules and regulations? Which procedures must be complied with In the process of making rules? What kinds of corporate values should become the guidance to make rules? What is the relationship among different rules? How to solve the conflict among different rules? How to modify and repeal them? Who is responsible for the implementation and monitoring of rules? Which department is responsible for promulgation, interpretation, review, learning and archiving of rules respectively?
The major purpose of my management being aimed at rules is to build a high efficiency business organization.
How to create an efficient business organization? I think the only way is to adopt my management being aimed at rules.
Namely, according to corporate goal and vision, integrate different specialties and levels of talents into an accurate business organization to efficiently work and achieve the efficiency of which one plus one is far more than two by adopting organization chart, staffing establishment, departmental responsibilities, job descriptions, post responsibilities, limits of authority, benefit, vertical command and horizontal coordination, workflow, operation flow, work standards, rules and regulations, policy, employee handbooks, and so on.
In this regard, one of the earliest and most famous descriptions of the advantages of business organization is in Adam Smith, the wealth of nations, originally published in 1776. He describes how one person could make 20 ordinary pins per day, but ten well-organized works made 48,000 per day.
Since my management being aimed at rules can build a high efficiency business organization, since a high efficiency business organization within a fair and reasonable market economy can increase employees’ salaries, and since increasing employees’ salaries is able to meet their existence needs very well, I can use the management being aimed at rules to meet employees’ existence needs.
② Adopting management being aimed at emotions for meeting employees’ relatedness needs.
I have no any particular meaning to the word of emotion. It is mainly concerned with people's psychological response to external stimuli, for examples, happy, anger, love, hate, and so on.
My definition of management being aimed at emotions is to take emotion as object of management (thus, please also note that my management being aimed at emotions is different from the management containing emotions).
The content of the management being aimed at emotions mainly include below: analyzing and evaluating the employees’ demand to emotions, setting the goal of management being aimed at emotions to accord with the request of enterprise development, making and Implementing the related plan of the management being aimed at emotions, tracking and monitoring the execution situation of plan of the management being aimed at emotions in whole process, and then modifying plan of the management being aimed at emotions, if necessary.
The chief purpose of my management being aimed at emotions is to cultivate healthy employee emotions to rules and regulations, business organization, and colleagues.
Obviously, the management being aimed at emotions, whether process or result, is just for meeting employees’ relatedness needs.
③ Adopting management being aimed at innovations for meeting employees’ growth needs.
The innovation I am speaking is to create unprecedented useful new technology，new products, and new management method for corporation.
My definition of management being aimed at innovations is to take innovation as object of management (thus, please still note that my management being aimed at innovations is different from the innovation to management).
The content of the management being aimed at innovations mainly include below: setting up innovational enterprise value, culture, and interior environment, establishing a mechanism for Innovation, forming Innovational team, breeding creative talents, planning and organizing and coordinating and encouraging for innovational activity, assessing and controlling the risk of innovation, and so on.
The principal purpose of my management being aimed at innovations is to help company rapid and continual and correct transformation to create more and more new technologies, products, and management methods.
Based on my management being aimed at innovations, on the one hand, only after corporations complied laws of innovation activities, strengthened education and training for employees, and given employees full respect, care, cherishing, equality, freedom, and so on, can they gain enough creative harvests from employees. On the other hand, innovative achievements give employees not only the most powerful evidence of unique value of life, and the most peak experiences of self-actualization, but also more opportunities for career promotion.
So, I can employ the management being aimed at innovations to meet employees’ growth needs.
By the way, the difference among three levels of management is not absolute but relative. Not only does the management being aimed at rules include instituting rules related to innovation activities, that is, there is the management being aimed at innovations within the management being aimed at rules, but also the management being aimed at innovations includes improving rules, namely there is the management being aimed at rules within the management being aimed at innovations.
Three kinds of human needs are rising in order, that is, the bottom is existence needs, the middle is relatedness needs, and the top is growth needs
For responding to that situation above, three kinds of management of companies also are rising in turn, that is, the bottom is management being aimed at rules, the middle is management being aimed at emotions, and the top is management being aimed at innovations.
Human higher level of need usually occur when lower level of need next to it is meet
For responding to that situation above, middle management being aimed at emotions should be based on bottom management being aimed at rules, and top management being aimed at innovations should be based on middle management being aimed at emotions and bottom management being aimed at rules. If there is no a solid nether foundation of management, upper management will be dysfunctional.
Three kinds of human needs is a inseparable whole, they coexists in everyone simultaneously, and not one of them can be omitted
For responding to that situation above, three kinds of management also is a inseparable whole, every company need an entirety formed by integrating three different kinds of management to meet employees’ whole needs simultaneously, and not one of three kinds of management can be omitted.
Accordingly, I can say that the three-tier management is really a humanistic management for company to meet employees’ whole needs.
People in different survival state have different focus on needs, some are on existence needs, some are on relatedness needs, and some else are on growth needs
For responding to that situation above, there are different focus on three-tier management for different companies and employees, some are on bottom management being aimed at rules, some are on middle management being aimed at emotions, and some else are on top management being aimed at innovations.
Therewithal, I can infer three basic model of three-tier management.
Model A: the three-tier management being focused on bottom management being aimed at rules→employees whose main need is existence→manual labor-intensive enterprises.
Model B: the three-tier management being focused on middle management being aimed at emotions→employees whose main need is relatedness→capital or workmanship-intensive enterprises.
Model C: the three-tier management being focused on top management being aimed at innovations→employees whose main need is growth→brainwork-intensive or knowledge enterprises.
Match among three different kinds of management for three basic models
Model A is focused on bottom management being aimed at rules, so correlative middle management being aimed at emotions and top management being aimed at innovations, in this case, should be marched with bottom management being aimed at rules. In other words, here both middle management being aimed at emotions and top management being aimed at innovations must obey the purpose to create an effective bottom management being aimed at rules.
Model B is focused on middle management being aimed at emotions, so correlative bottom management being aimed at rules and top management being aimed at innovations, in this case, should be marched with middle management being aimed at emotions. In other words, here both bottom management being aimed at rules and top management being aimed at innovations must obey the purpose to create an effective middle management being aimed at emotions.
Model B is focused on top management being aimed at innovations, so correlative middle management being aimed at emotions and bottom management being aimed at rules, in this case, should be marched with top management being aimed at innovations. In other words, here both middle management being aimed at emotions and bottom management being aimed at rules must obey the purpose to create an effective top management being aimed at innovations.
Three basic levels of innovations
① Because model A→the three-tier management being focused on bottom management being aimed at rules→employees whose main need is existence→manual labor-intensive enterprises→low-grade or backward market economy→high Engel coefficient, the innovation within model A is to raise labor productivity and employees earning, and to meet existence needs through consistently improving operating procedures and regulations.
When this level of innovation is reflected in the history of research on the business administration, the correlative representative personage and works wereTaylor's "Principles of Scientific Management", and Fayol's "general and industrial management".
② Because model B→the three-tier management being focused on middle management being aimed at emotions→employees whose main need is relatedness→capital or workmanship-intensive enterprises→middle-grade or moderately developed→middle Engel coefficient, the innovation within model B is, by improving collaboration within teams and ways of communications, first to bridge the gap between employees, especial those employees who face customers directly, and companies and colleagues, and then to bridge the gap between customers and companies, to meet relatedness needs of employees and customers, and to increase their loyalty.
When this level of innovation is reflected in the history of research on the business administration, the correlative representative personage and works were Mayo's "The human problems of an industrial civilization", Mike McGregor's "X theory - Y theory".
③ Because model C→the three-tier management being focused on top management being aimed at innovations→employees whose main need is growth→brainwork-intensive or knowledge enterprises→high-grade or developed→low Engel coefficient, the innovation within model C is, by instituting the mechanism for making decision, selecting, promoting, appraising, training to arouse innovation potential and ability of employees and teams, to constantly facilitate evolvement of product, service and profit model, to meet employees’ growth needs, and to resound to cope with the Increasingly diversified terminal demand and personalized customers.
When this level of innovation is reflected in the history of research on the business administration, although there is strictly no representative personage and works, Schumpeter's "Theory of Economic Development" can temporarily act as a logo or a starting point.
Innovation can be divided three basic levels, so can management being aimed at innovations.
For responding to that situation above, also rules and management being aimed at rules, and emotions and management being aimed at emotions can be divided three basic levels.
By my descriptions to three basic levels of innovations, a one-to-one relationship among Alderfer's ERG theory, Engel's law, the three—tier management, and the history of research on the business administration has been testified.
Five characteristics of a focus-on-innovation management model of three tiers
Apparently, model C, the three-tier management being focused on top management being aimed at innovations, just is a focus-on-innovation management model of three tiers by heavily emphasizing in this article.
Characteristic ① The external environment of companies model C faces includes the level of social and economic development is very advanced, there is a enormous middle class having emerged, people’ mainstream needs are growth needs, chief mission of companies was how to meet Increasingly diversified and personalized terminal demand in rapidly and constantly changing.
Characteristic ② The internal environment of companies model C faces includes almost every employee has got a good education, enjoyed higher salary, obtained considerable satisfaction in existence needs and relatedness needs, and had an intense desire for self-actualization.
Characteristic ③ The purpose of the management being aimed at rules, under model C, is to help create a effective and efficient management being aimed at innovations, for instance, reducing unnecessary Intermediate levels as far as possible in designing organization structure to come to flattening, even complete planarizartion, having more emphasizing on outcome than process in performance appraising to R & D teams.
Characteristic ④The purpose of the management being aimed at emotions, under model C, is to help create a effective and efficient management being aimed at innovations, for instance, to truly respect different ideals, to share information among different employees and sections, to give candid criticism if necessary, to create smooth communication, to reinforce cooperation across section, to eliminate barrier, to admire success timely, to support subordinate with necessary resources, and to tolerate failure.
Characteristic ⑤ The design to management being aimed at innovations, under model C, must obey the law of innovations and innovating activities, for instance, creative talents should possess such personality as independent thinking, curiosity, being courageous to suspect pundits’ view, being willing to risk, pursuing fame and fortune, strong self-confidence; creative environment have such quality as equality, respect, freedom, competition, justice and toleration.
This innovation that synthesizes five characteristics above will really be an all-round and all-weather innovation by all staff participating in. it is involved in all aspects, stages, and links of day-to-day business activity, for example, R & D, design, manufacturing, procurement, marketing, cost, quality control, inspection, logistics, team, department, cultural, strategy, implementation, evaluation, training, and so on. Furthermore, only such innovation and management being aimed at innovations can really accommodate external marketing environment of increasingly diversified and personalized terminal demand in rapidly and constantly changing.
It is necessary to emphasize that if lacking five characteristics above, this focus-on-innovation management model of three tiers will not be appropriate for companies to adopt it.
For more deeply studying model C, I have specially designed two management models for company to raise efficiency in innovating, that is, “A Reasonably Oppositional Mechanism for Innovations” and “Two-Faced People Organization”, if you have interest in them, please link:
If I divide Engel coefficient into three scales: high, medium, and low, then the corresponding Market economy would also be divided into three grades: low-grade or backward, middle-grade or moderately developed, and high-grade or developed.
Early, Engel coefficient of market economy country was high. In most families, the percentage of total household expenditures on food was also high. The mainstream needs were existence needs. It showed that the level of social and economic development was still very backward. So the chief mission of entire society was how to improve workforce productivity, and to add resident income to meet people's needs of clothing, food and shelter. Such a reality will certainly be reflected in the history of research on the business administration. In other words, then, the attention of research on business administration was focused on the management being aimed at rules for building a high efficiency business organization. That is, there was a one-to-one correspondence between high Engel coefficient, backward market economy, mainstream existence needs, and management being aimed at rules. Indeed, the objective history of research on the business administration was precisely such a fact. The correlative representative personage and works wereTaylor's "Principles of Scientific Management", and Fayol's "general and industrial management".
Later, Engel coefficient of market economy country was middle. In most families, the percentage of total household expenditures on food decreased obviously. The mainstream needs were relatedness needs. It showed that the level of social and economic development had been moderately developed. So the chief mission of entire society was how to make people feel more intimate, gentle, happy, and affectionate. Such a reality will certainly be reflected in the history of research on the business administration. In other words, then, the attention of research on business administration was focused on the management being aimed at emotions for cultivating healthy employee emotions to business organization. That is, there was a one-to-one correspondence between middle Engel coefficient, moderately developed market economy, mainstream relatedness needs, and management being aimed at emotions. Indeed, the objective history of research on the business administration was precisely such a fact. The correlative representative personage and works were Mayo's "The human problems of an industrial civilization", Mike McGregor's "X theory - Y theory".
Today, Engel coefficient of market economy country is low. In most families, the percentage of total household expenditures on food further decrease. The mainstream needs are growth needs. It showed that the level of social and economic development is very developed. So the chief mission of entire society was how to help people form their own individuality and style. Such a reality will certainly be reflected in the history of research on the business administration. In other words, the attention of research on business administration is focused on the management being aimed at innovations for unearthing individual employee’s potential and improving enterprise innovation efficiency. That is, there is a one-to-one correspondence between low Engel coefficient, developed market economy, mainstream growth needs, and management being aimed at innovations. Indeed, the objective history of research on the business administration is precisely such a fact. The management being aimed at innovations is being in the ascendant. Although there is strictly no representative personage and works, Schumpeter's "Theory of Economic Development" can temporarily act as a logo or a starting point.
Engel coefficient in a market economy has been declining from high to middle to low. The level of social and economic development has been rising from low to middle to high. The population's mainstream need has also been rising from existence to relatedness to growth. The focus of research on business administration has been moving from management being aimed at rules, to management being aimed at emotions, to management being aimed at innovations. Step by step, integrating three steps into an inseparable system is just the three-tier management.
1 All levels of manager must be aware of three-tier management.
2 Asking whether all kinds of management that should be owned by organization are whole?
None of three management tiers, namely management being aimed at rules, management being aimed at emotions, and management being aimed at innovations, and various specialized management lied on three management tiers, such as HR, marketing management, manufacturing process management, can be lacked.
3 Asking whether three kinds of management that form three-tier management are really my management being aimed at rules, management being aimed at emotions, and management being aimed at innovations?
4 Asking whether three management tiers are in order?
The order should be from bottom management being aimed at rules, to medial management being aimed at emotions, to management being aimed at innovations.
5 Asking whether there is a matching relationship among three management tiers?
Every enterprise not only has their own focus on management tier, but also will coordinate two non-focus management tiers with the one as focus.
Frontal “whole, or not whole”, “true, or not true”, and “in order, or not in order” represent the “unchanging” side of three-tier management, but latter “matching, or not matching” represent the “changing” other side of three-tier management. So three-tier management is the combining “unchanging” with “changing”.
6 And then, there is a focus-on-innovation management model of three tiers for compant to raise efficiency in innovating.
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