Introduction to management groups g - i - evolution of management - sep 3, 2008

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Introduction to management groups g - i - evolution of management - sep 3, 2008

  1. 1. MAN1006: Introduction to Management (Groups~BBA1G-I) Lecture 2 – The Evolution of Management Lecturer: Oswy Gayle Wednesday September 3, 2008 University of Technology, Jamaica School of Business Administration
  2. 2. Recap From Last Week [email_address] soba2010
  3. 3. The Changing Dynamics of Organizations <ul><li>Pace continues to accelerate </li></ul><ul><li>Change is major source of business risk </li></ul><ul><li>Driving Forces </li></ul><ul><ul><li>Telecommunications </li></ul></ul><ul><ul><li>Diversity of Workers </li></ul></ul><ul><ul><li>Public consciousness </li></ul></ul><ul><ul><li>Global marketplace </li></ul></ul><ul><ul><li>Community of stakeholders </li></ul></ul>
  4. 4. The Changing Dynamics of Management <ul><li>Google launched its own Web browser </li></ul><ul><li>78% of Internet Users use Microsoft </li></ul><ul><li>Competition for Microsoft </li></ul><ul><li>Korean Government Bank to take over a US Bank (Testing the waters) </li></ul>
  5. 5. What is management? <ul><li>The effective and efficient attainment of organizational goals through planning, organizing, leading and controlling organizational resources. </li></ul><ul><li>The “process” through which the goals of the organization are achieved </li></ul>
  6. 6. So what are we saying? Successful organizations don’t just happen... … .they are managed to be that way!
  7. 7. <ul><li>Pace continues to accelerate </li></ul><ul><li>Change is major source of business risk </li></ul><ul><li>Four Functions of Management </li></ul><ul><li>Ten (10) Management Roles </li></ul><ul><li>Three (3) Skills - Human , Conceptual and Technical </li></ul><ul><li>Levels of Management – Line, middle and top management </li></ul>
  8. 8. Lecture 2 – The Evolution of Management - Wednesday September 3, 2008
  9. 9. <ul><li>Understand how historical forces influence the practice of management </li></ul><ul><li>Major developments in the history of management thought </li></ul><ul><li>Components of the classical and humanistic perspectives </li></ul><ul><li>Look at the management science perspective </li></ul><ul><li>A look at the systems theory, the contingency view and total quality management </li></ul><ul><li>The learning organization and the technology driven workplace </li></ul>L E A R N I N G O B J E C T I V E S
  10. 10. <ul><li>So, how did historical forces influenced the practice of management ? </li></ul>
  11. 11. Historical Perspective <ul><li>Provides a context of environment (opportunities and Problems) </li></ul><ul><li>Develops an understanding of societal impact </li></ul><ul><li>Achieves strategic thinking </li></ul><ul><li>Improves conceptual skills </li></ul>
  12. 12. What influences management thought? <ul><li>1. Social – aspects of culture that guides our behaviour (Generation X and Y) </li></ul><ul><li>2. Political –influence of politics and legal institutions </li></ul><ul><li>Economic – availability, production and distribution of resources (now about ideas, information and knowledge) </li></ul>
  13. 13. Management Perspectives Over Time – The Story 2010 1870 1930 Humanistic Perspective 1990 1890 Classical 1940 1950 2000 Systems Theory 2000 2010 The Technology-Driven Workplace 1990 2010 The Learning Organization 1970 Contingency Views 2000 1980 Total Quality Management 2000 1940 Management Science Perspective 1990
  14. 14. The Story before the Story <ul><li>Garden of Eden </li></ul><ul><li>3000 B.C.E – Sumerians and Egyptians - The first government organizations </li></ul>
  15. 15. Theories and Perspectives that contributed to the Field of Management <ul><li>A. Classical Perspective </li></ul><ul><li>B. Humanistic Perspective </li></ul><ul><li>C. Management Science Perspective </li></ul>
  16. 16. The Development of Management Thought <ul><li>Classical Theory – formal study of management began here </li></ul><ul><li>1800s </li></ul><ul><li>Industrial revolution (Europe)– The railways led to economic change </li></ul><ul><li>Factory System (From Craftsmen to Machines) </li></ul><ul><li>Problems in the factory - tooling, training, structures, </li></ul><ul><li>Managers forced to find solutions </li></ul><ul><li>View Organization as a machine – efficiency –bureaucracy, </li></ul>
  17. 17. Why England/Europe? <ul><li>First, up to 1800 most of the world was relatively even in terms of per capita income </li></ul><ul><li>1820 – The biggest gap of economic growth </li></ul><ul><ul><li>British society was relatively open </li></ul></ul><ul><ul><li>Political liberty </li></ul></ul><ul><ul><li>Became the leading centre for scientific revolution </li></ul></ul><ul><ul><li>Geographical advantage to the rest of Europe </li></ul></ul>
  18. 18. Classical Theory - Three sub-fields <ul><li>1. Scientific Management - Frederick W. Taylor (1856-1915) </li></ul><ul><li>- emphasized scientific changes in management to improve labor productivity (efficiency and effectiveness). </li></ul><ul><li>Develops standards for a job, selects workers with appropriate abilities, trains workers, supports workers and eliminates interruptions, and provides wage incentives. (more tons per day) </li></ul><ul><li>Because scientific management ignored the social context and workers’ needs, it led to increased conflict and clashes between management and employees. </li></ul>
  19. 19. 1. Scientific Management <ul><li>Contributions </li></ul><ul><li>Demonstrated the importance of compensation for performance. </li></ul><ul><li>Initiated the careful study of tasks and jobs. </li></ul><ul><li>Demonstrated the importance of personnel and their training . </li></ul><ul><li>Criticisms </li></ul><ul><li>Did not appreciate social context of work and higher needs of workers. </li></ul><ul><li>Did not acknowledge variance among individuals. </li></ul><ul><li>Tended to regard workers as uninformed and ignored their ideas </li></ul>
  20. 20. 2. Bureaucratic Organizations <ul><li>A systematic approach developed in Europe that looked at the organization as a whole </li></ul><ul><li>Max Weber (1864-1920) - introduced management on an impersonal, rational basis through defined authority and responsibility, formal recordkeeping, and separation of management and ownership. </li></ul><ul><li>Weber’s organization was the bureaucracy: division of labor, hierarchy, rules and procedures, written decisions and promotion based on technical qualifications </li></ul>
  21. 21. 3. Administrative principles <ul><li>Contributors - Henri Fayol, Mary Parker, and Chester I. Barnard </li></ul><ul><li>Henri Fayol (1841-1925) - Focused on the total organization rather than the individual worker, define the management functions of planning, organizing, commanding (Leading), coordinating, and controlling. </li></ul><ul><li>Mary Parker - Importance of common super-ordinate goals for reducing conflict in organizations and leadership </li></ul><ul><li>Chester I. Barnard - Informal Organization; employees were not machines and that informal relationships are powerful forces that can help the organization. </li></ul>
  22. 22. Management Perspectives Over Time – The Story 2010 1870 1930 Humanistic Perspective 1990 1890 Classical 1940 1950 2000 Systems Theory 2000 2010 The Technology-Driven Workplace 1990 2010 The Learning Organization 1970 Contingency Views 2000 1980 Total Quality Management 2000 1940 Management Science Perspective 1990
  23. 23. The Development of Management – B . Humanistic Theory <ul><li>Emphasized understanding human behavior, needs, and attitudes in the workplace </li></ul><ul><li>1. Human Relations Movement - Emphasized satisfaction of employees’ basic needs as the key to increased worker productivity </li></ul><ul><li>2. Human Resources Perspective - Suggests jobs should be designed to meet higher-level needs by allowing workers to use their full potential (Abraham Maslow & Douglas McGregory) </li></ul><ul><li>3. Behavioral Sciences Approach - Applies social science in an organizational context; Draws from economics, psychology, sociology, anthropology, and other disciplines; </li></ul>
  24. 24. Physiological Safety Belongingness Esteem Self-actualization Abraham Maslow’s Hierarchy of Needs Based on needs satisfaction 1908-1970 Chapter 16 – Maslow in more detail
  25. 25. <ul><li>Dislike work –will avoid it </li></ul><ul><li>Must be coerced, controlled, directed, or threatened with punishment </li></ul><ul><li>Prefer direction, avoid responsibility, little ambition, want security </li></ul><ul><li>Do not dislike work </li></ul><ul><li>Self direction and self control </li></ul><ul><li>Seek responsibility </li></ul><ul><li>Imagination, creativity widely distributed </li></ul><ul><li>Intellectual potential only partially utilized </li></ul>Douglas McGregor Theory X & Y Theory X Assumptions Theory Y Assumptions 1906-1964
  26. 26. Management Perspectives Over Time – The Story 2010 1870 1930 Humanistic Perspective 1990 1890 Classical 1940 1950 2000 Systems Theory 2000 2010 The Technology-Driven Workplace 1990 2010 The Learning Organization 1970 Contingency Views 2000 1980 Total Quality Management 2000 1940 Management Science Perspective 1990
  27. 27. 3. Management Science Perspective <ul><li>Emerged after WW II </li></ul><ul><li>Applied mathematics, statistics, and other quantitative techniques to managerial problems </li></ul><ul><ul><li>Operations Research – mathematical modeling </li></ul></ul><ul><ul><li>Operations Management – specializes in physical production of goods or services </li></ul></ul><ul><ul><li>Information Technology – reflected in management information systems </li></ul></ul>
  28. 28. Recent Historical Trends <ul><li>Systems Theory </li></ul><ul><li>Contingency View </li></ul><ul><li>Total Quality Management (TQM) </li></ul>
  29. 29. Systems View of Organizations Exhibit 2.5, p. 58
  30. 30. Contingency View of Management Exhibit 2.6, p. 59 Successful resolution of organizational problems is thought to depend on managers’ identification of key variations in the situation at hand
  31. 31. Elements of a Learning Organization Learning Organization Open Information Empowered Employees Team-Based Structure Exhibit 2.7, p. 61
  32. 32. Types of E-Commerce Business-to-Consumer B2C Selling Products and Services Online Business-to-Business B2B Transactions Between Organizations Consumer-to-Consumer C2C Electronic Markets Created by Web-Based Intermediaries Exhibit 2.8, p. 63

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