Evolution of management
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Evolution of management

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Evolution of management Evolution of management Presentation Transcript

  • THE EVOLUTION OF MANAGEMENT THEORY
  • SCIENTIFIC MANAGEMENT SCHOOL • The concept was introduced by F.W.TAYLOR in USA in the beginning of 20th century. • Scientific management theory arose in part from the need to increase Productivity. • Scientific management was concerned with operational efficiency at the production level. • This concept was further carried on by Frank & Lillian Gilbreth, Henry Gantt, Geoge Breth etc.
  • PRINCIPLES OF SCIENTIFIC MANAGEMENT • Replacement rule of thumb with science :- 1) Scientific management, organized knowledge should be applied instead of rule of thumb 2) Scientific method denote precision in determining any aspect of work, rule of thumb emphasis estimation. • Harmony in group action :- Mutual give & take situation. Harmony in group rather than discord. • Co-operation:- 1) Mutual understanding & change in thinking. 2) Discourage chaotic individualism
  • DIFFERENTIAL RATE SYSTEM • This system is called as compensation system. • This system involving the payment of higher wages to more efficient workers
  • HANERY L.GANTT • Hanery L. Gantt is one of the follower of Taylor’s intensive system. • He come up with the idea, every worker who finished a day’s assigned work load would win a 50 percent bonus. Then he added a second motivation. The supervisor would earn a bonus if all the workers reached it. This, Gantt reasoned, would spur supervisors to train their workers to do a better job.
  • GILBRETH • Gilbreth focus on motion activity & fatigue and ways of promoting the individual worker’s welfare. • By this study worker’s morale would increase.
  • LIMITATIONS OF SCIENTIFIC MANAGEMENT • Aggressive mechanical view of production & sidelined human aspect. This created aggressive attitude among workers. • High degree of authoritarian approach workers were not allowed to raise their voice even for genuine grievances. • Standards were made without considering the Factors affecting it.
  • CLASSICAL MANAGEMENT SCHOOL • Classical organization theory grew out of the need to find guidelines for managing such complex organization as factories. • Henri Fayol was founder of the Classical Management School. • Fayol was interested in total organization & given importance to top management. • This concept was further carried on by Max Weber, Mary Parker Follett & Chester I. Barnard.
  • GENERAL PRINCIPLES MANAGEMENT 1. DIVISION OF LABOUR – The more people specialize ,the more efficiently they can perform their work, 2. AUTHORITY AND RESPOSIBILITY-Authority may come from official (Position) & personal (Qualities) factors responsibility comes from assignment of work. 3. DISCIPLINE – Members in an organization need to respect the rules & agreements that govern the organization . 4. UNITY OF COMMAND – Each employee must receive instructions from only one person, to avoid conflicts in instructions & confutation of authority.
  • • UNITY OF DIRECTION –Each group of activity with same objective and one plan ( provides better co-ordination in organization) • SUBORDINATION OF INDIVIDUAL TO GENERAL INTEREST -In any undertaking, the interest of employees should not take importance over the interest of the organization as whole. • REMUNERATION OF PERSONNEL – Compensation for work done should be fair and satisfactory to both employees and employers. • CENTRALISATION- This term refers to the degree to which subordinates are involve in decision making . • SCALAR CHAIN/HIERARCHY – Authority should move from higher to lower. communication must have flow.
  • ORDER – Materials and people should be in the right place and right time. EQUITY –Managers should be kind and fair to their subordinates.. STABILITY OF STAFF - Managers should provide orderly personnel planning & ensure that replacements are available to fill the vacancies. INITIATIVE –Subordinates should be given the freedom to conceive and carry out their plans ,even though some mistake may result. ESPRIT DE CROPS – Promoting team spirit will build harmony & unity within the organization.
  • BUREAUCRACY • Max Weber ( 1864-1920) developed a theory of bureaucratic management (Formal structure). • Stressed strictly defined hierarchy governed by Cleary defined regulation & line of authority.
  • ZERO OF INDIFFERENCE (AREA OF ACCEPTANCE) • According to Barnard individual & organizational purposes could be kept in balance if managers understood an employee’s Zone of Indifference (What the employee would do without questioning the manager’s authority).
  • THE BEHAVIOUR SCHOOL • A group of management scholar trained in sociology, psychology, & related fields, who use their diverse knowledge to propose more effective ways to manage people in organizations.
  • HUMAN RELATIONSHIP APPROACH • The human relations movement arose from early attempts to systematically discover the social and psychological factors that would create effective human relationship. • How manager interact with other employees or recruits. • THE HAWTHORNE EXPERIMENT-The possibility that workers who receive special attention will perform better simply because they received that attention.
  • MASLOW THEORY • According to maslow, the needs that people are motivated to satisfy fall into a hierarchy. • Physical and safety needs are at the bottom of the hierarchy, and at the top are ego and self-actualizing needs. • In general maslow said lower level needs must be satisfied before higher level needs can be met.
  • THE SYSTEM APPROACH • View of the organization as a unified, directed system of interrelated parts. • A system is identified because it has a boundary. • Two types of system – open and closed
  • • Subsystems: Those parts making of whole system. • Synergy: In organizational terms, synergy means that departments that interact cooperatively are more productive than they would be if they operated in isolation. • Open & Closed System: A system is considered an open system if it interacts with its environment; A system is considered a closed system if it does not interacts with its environment. • Feedback: The part of system control in which the results of actions are returned to the individual, allowing work procedure to be analyzed and corrected .
  • THE CONTINGENCY APPROACH • The view that the management technique that best contributes to the attainment of organizational goals might vary in different types of situations or circumstances • According to the contingency approach, the manager’s task is to identify which technique will, in a particular situation, under particular circumstances, and at a particular time, best contribute to the attainment of management goal. • Take action as per the situation.
  • THANK YOU