Evolution of management
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Evolution of management Evolution of management Presentation Transcript

  • Evolution of Management
  • 2000
    The Technology-Driven Workplace
    2010
    1990
    The Learning Organization
    2000
    1990
    The Learning Organization
    2010
    1980
    Total Quality Management
    1970
    Contingency Views
    1950
    Systems
    2000
    1940
    Management Science
    1930
    Humanistic
    1990
    1890
    Classical
    1940
    Management Perspectives Over Time
  • 3
    Classical Perspective
    0
    The early study of management.
    19th – late 20th Century
    Scientific Management
    Bureaucratic Organizations
    Administrative Principles
    Very powerful, gave companies fundamental skill for high productivity
  • Scientific Management
    Frederick Winslow Taylor (1856-1915), father of scientific management
    Focus on improving efficiency and labor productivity
    Workers could be retooled like machines
    Managers would need to change
    Incentive systems for meeting standards
    Others added to the theories
  • Characteristics of Scientific Management
    General Approach
    Developed standard method for performing each job.
    Selected workers with appropriate abilities for each job.
    Trained workers in standard method.
    Supported workers by planning work and eliminating interruptions.
    Provided wage incentives to workers for increased output.
    Contributions
    Demonstrated the importance of compensation for performance.
    Initiated the careful study of tasks and jobs.
    Demonstrated the importance of personnel and their training.
    Criticisms
    Did not appreciate social context of work and higher needs of workers.
    Did not acknowledge variance among individuals.
    Tended to regard workers as uninformed and ignored their ideas.
  • Copyright ©2010 by South-Western, a division of Cengage Learning.  All rights reserved.
    6
    Administrative Principles
    0
    Henri Foyal (1841-1925), French mining engineer, turned industrialist, and other contributors led the ideas
    Fayol wrote down his own management practices
    In the text, General and Industrial Management; 14 general principles were outlined
    Fayol divided industrial activities into six groups- Technical, Commercial, Financial, Security, Accounting and Managerial
    To perform six activities, Fayol identified five managerial functions : Planning, Organizing, Commanding, Coordinating, and Controlling
    Fayol was first to emphasize need for management teaching and outlined 14 principles of management
  • Administrative Principles &Henri Fayol’s 14 Points
    Division of work
    Authority
    Discipline
    Unity of command
    Unity of direction
    Subordination of individual interest for common good
    Remuneration
    Centralization
    Scalar chain
    Order
    Equity
    Stability and tenure of staff
    Initiative
    Esprit de corps
  • 8
    Bureaucratic Organizations
    0
    Max Weber (1864-1920), a German theorist and father of modern sociology, introduced the bureaucratic theories
    He was concerned with managerial abuse of power and resources
    He identified three types of authority or power- traditional, Charismatic and Rational or legal.
    Weber opined Rational or legal authority is more efficient and adaptable to change
    Selection and advancement would be focused on competence and technical qualifications
  • 6 Characteristics of Weberian Bureaucracy
    Labor is divided with clear definitions of authority and responsibility.
    Positions are in hierarchy of authority.
    Personnel are selected and promoted based on qualifications.
    Acts and decisions are recorded in writing
    Management is separate from the ownership.
    Rules and procedures ensure reliable, & predictable behavior. Rules are impersonal and uniformly applied.
  • Copyright ©2010 by South-Western, a division of Cengage Learning.  All rights reserved.
    10
    6 Characteristics of Weberian Bureaucracy
    0
  • Copyright ©2010 by South-Western, a division of Cengage Learning.  All rights reserved.
    11
    Humanistic Perspective
    Led by Mary Parker Follett and Chester Barnard
    It was Mary Parker Follett who defined management as getting things done through people
    Importance of understanding human behaviors: needs, attitudes and social interactions
    Human Relations Movement
    Human Resources Perspective
    Behavioral Sciences
    0
  • Humanistic Perspective
    Emphasized understanding human behavior.
    Dealt with needs & attitudes in the workplace.
    Truly effective control comes from within the individual worker rather than authoritarian control.
    Hawthorne Studies brought this perspective to forefront.
  • Humanistic PerspectiveThree Sub-Fields
    • Human Relations Movement.
    • Human Resources Perspective.
    • Behavioral Sciences Approach.
  • Hawthorne Studies
    Human Relations Movement
    Ten year study.
    Four experimental & three control groups.
    Five different tests.
    Test pointed to factors other than illumination for productivity.
    1st Relay Assembly Test Room experiment, was controversial, test lasted 6 years.
    Interpretation, money not cause of increased output.
    Factor that increased output, Human Relations.
  • Hawthorne Studies
    Study was initiated to at Hawthorne plant of Western Electric- an unit of AT&T to study effects of changes in lighting on productivity
    Part of unit was divided into experimental group and control group
    No change in lighting was effected in control group but light was enhanced in experimental group from 24 to 46 to 70’ candles- productivity went up in both groups
    Then lighting of experimental group was reduced gradually to below normal but without any change in control group - productivity continued to increase in both groups
  • Hawthorne Studies
    Productivity of experimental group finally started to decline when lighting was reduced to moon light level and visibility got affected.
    It proved that something other than lighting caused changes in productivity
    Another experiment was conducted in Relay Assembly Test Room for 6 years. In this test relationship amongst rest, fatigue and productivity were also examined.
  • Hawthorne Studies
    First the normal productivity was measured
    Then production based pay system was introduced without any change in working conditions for 8 weeks
    Then two rest pauses of 5 minutes each were introduced at 10 am and 2 pm
    In next stage girls were given light lunch during pauses
    In next stage workday was reduced by half hour
    In next stage workday was reduced by one hour
    In next stage 5 day week initiated
    Gradual rise in output continued till here
  • Hawthorne Studies
    Then original work pattern without any pause, lunch and full work hrs introduced and productivity measured for 12 weeks.
    Productivity declined but not to original levels meaning physical conditions did not have impact
    Change in output could be related to attitudes and social factors at work place
    Workers enjoyed getting attention. This is known as Hawthorne effect.
  • Copyright ©2010 by South-Western, a division of Cengage Learning.  All rights reserved.
    19
    Human Relations Movement
    0
    Control comes from the individual worker rather than authoritarian control
    The Hawthorne studies found increased output due to managers’ better treatment of employees
    Money mattered a great deal
    Productivity increased from feelings of importance
    Created a focus on positive treatment of employees
  • Copyright ©2010 by South-Western, a division of Cengage Learning.  All rights reserved.
    20
    Human Resources Perspective
    0
    Emphasizes understanding human behavior, needs and attitudes in the workplace.
    Perspective came from the idea that cows gave more milk when they were more satisfied
    Maintains an interest in worker participation.
    Focus on job tasks and theories of motivation
    Reduce dehumanizing or demeaning work
    Allow workers to use full potential
    Main contributors: Abraham Maslow and Douglas McGregor
    Maslow’s Hierarchy of Needs
    McGregor’s Theory X/Theory Y
  • Maslow’s Hierarchy of Needs
  • Abraham Maslow sought to explain why a need become driving at some time and some other needs at some other time
    Maslow’s answer is that human needs are arranged in a hierarchy, from the most pressing to the least pressing
    Physiological needs - food, shelter most potent
    Psychological needs like safety, social, esteem and self actualisation are potent in that order
    It says that person shall fulfill its most important need first at least to a minimum level and only then the next level need shall activate
  • Organizational
    Examples
    General
    Examples
    Abraham Maslow’s Hierarchy
    Self-
    actualization
    Challenging Job
    Self-fulfillment
    Esteem
    Job Title
    Status
    Belonging
    Friends
    Friendship
    Safety
    Retirement Plan
    Stability
    Physiological
    Shelter
    Wages
    Based on needs satisfaction
  • Douglas McGregor’s Theory X & Theory Y
    Theory X
    People are lazy
    People lack ambition
    Dislike responsibility
    People are self-centered
    People don’t like change
    People need close supervision
    Theory Y
    People are energetic
    People want to make contributions
    People do have ambition
    People will seek responsibility
    Consider work as natural as rest & play
  • Copyright ©2010 by South-Western, a division of Cengage Learning.  All rights reserved.
    25
    Theory X and Theory Y
    0
  • Copyright ©2010 by South-Western, a division of Cengage Learning.  All rights reserved.
    26
    Behavioral Sciences Approach
    0
    Scientific methods that draw from sociology, psychology, anthropology, economics and other disciplines
    Focus on human behavior and interaction
    Organizational development came from behavioral sciences approach
    Applied behavioral sciences to improve organizational health and effectiveness
  • Copyright ©2010 by South-Western, a division of Cengage Learning.  All rights reserved.
    27
    Management Science Perspective
    0
    Developed to meet changing and dynamic environment created from WWII
    Engaged mathematics, statistics and quantitative techniques to aid in decision making
    Increased study of management led by Peter Drucker
    Use of technology and programming for optimizing operations
    Introduced new subsets of management:
    Operations Research
    Operations Management
    Information Technology
  • Copyright ©2010 by South-Western, a division of Cengage Learning.  All rights reserved.
    28
    Recent Historical Trends
    0
    Systems Theory. A holistic view of management as a interrelated parts to achieve a common purpose.
    Contingency View. Successful resolution of organizational problems depends on situations.
    Total Quality Management. Management of the total organization to deliver quality.
  • Copyright ©2010 by South-Western, a division of Cengage Learning.  All rights reserved.
    29
    The Systems View of Organizations
    0
  • Copyright ©2010 by South-Western, a division of Cengage Learning.  All rights reserved.
    30
    Contingency View of Management
    0
  • Copyright ©2010 by South-Western, a division of Cengage Learning.  All rights reserved.
    31
    Total Quality Management
    0
    W. Edward Deming, known as the father of the quality movement
    US initially scoffed at Deming
    During the 1908s and 1990s, quality became a focus to meet global competition
    Four key elements of quality management:
    Employee involvement
    Focus on customer
    Benchmarking
    Continuous improvement
  • Copyright ©2010 by South-Western, a division of Cengage Learning.  All rights reserved.
    32
    The Learning Organization
    0
    Learning aids in the adaptation to change
    Peter Senge began the discussion about the learning organization
    All employees are engaged in identifying and solving problems
    Learning increases the capacity to learn and grow
    Move from efficiency to solving problems
  • 33
    Managing the Technology-Driven Workplace
    0
    Most work is performed on computers in today’s workplace
    Companies use technology to communicate and collaborate
    Key technologies in today’s workplace:
    Supply Chain Management
    Customer Relationship Management
    Outsourcing
  • 34
    Supply Chain for a Retail Organization
    0
  • Management Science Perspective
    Emerged after WW II.
    Distinguished for its application of mathematics, statistics to problem solving.
    • Operations Research emerged.
    • Operations Management emerged.
    • Management Information Systems emerged.