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Contemporary Management 3rd lecture pptx.pptx

  1. Management History PREPARED BY: DR. HEBA SADEK
  2. Agenda ⮚The Importance of Studying the History of Management ⮚Historical background includes: (Early examples of Management, Adam Smith and the Industrial revolution) ⮚Classical Approaches ⮚Behavioral Approaches ⮚Quantitative Approach ⮚Contemporary Approaches ⮚The management themes of the 21st century
  3. The Importance of Studying the History of Management. ⮚Management philosophies and organization forms change over time to meet new needs. ⮚Some ideas and practices from the past are still relevant and applicable to management today.
  4. 1-Historical Background. ⮚ Early examples of Management such as: • The Egyptian pyramids • The great wall of China ⮚Two events are very significant to management history: • 1st In 1776, Adam Smith published the wealth of nations in which he focused on the “division of labor” “job specialization” the breakdown of jobs into narrow and repetitive tasks. • 2nd in the late eighteenth century, the industrial revolution started when machine power was substituted for human power.
  5. 2-Classical Approaches
  6. A- Scientific Management ⮚Scientific management (Frederick Taylor) ◦Define clear guidelines for improving production efficiency. ◦Develop rules of standardized work implements, and proper working conditions for every job. ◦Carefully select workers with the right abilities for the job. ◦Carefully train workers and provide proper incentives. ◦Support workers by carefully planning their work and removing obstacles.
  7. A- Scientific Management ⮚Scientific management (the Gilbreths “Frank & Lillian Gilbreth) ◦ Motion study. ◦ Eliminating wasted motions improves performance. “to eliminate inefficient hand and body motions” ◦ They invented a device called “microchronometer” that recorded a worker’s motions and the amount of time spent doing each motion.
  8. B- Administrative principles
  9. B- Administrative principles
  10. C- Bureaucratic Organization
  11. How today’s managers benefit from the classical approach? ⮚Many of the guidelines and techniques that Taylor and the Gilbreths developed for improving production efficiency are still used in organizations today. ⮚When managers analyse the basic work tasks that must be performed, use time and motion study to eliminate wasted motions, hire the best qualified workers for a job, or design incentive systems based on output, they are using the principles of scientific management.
  12. How today’s managers benefit from the classical approach? ⮚Several of our current management ideas and practices can be directly traced to the contributions of general administrative theory (14 principles serve as frame of reference from which many current management concepts such as: managerial authority, centralized decision making, reporting to only one boss have evolved). ⮚Although many characteristics of Weber’s bureaucracy are still evident in large organizations, his model is not popular today as it was in the twentieth century. Many managers help their employees to create, to innovate new ideas.
  13. 3-Behavioral Approaches ⮚Behavioral management (or human resource) approaches include: ◦ Hawthorne studies ◦ Maslow’s theory of human needs ◦ McGregor’s Theory X and Theory Y ◦ Argyris’s theory of adult personality
  14. 3-Behavioral Approaches
  15. A- Hawthorne studies ◦Initial study examined how economic incentives and physical conditions affected worker output. “No consistent relationship found”. ◦“Psychological factors” influenced results.
  16. ⮚Factors that accounted for increased productivity ◦Group atmosphere ◦Participative supervision ⮚ Employee attitudes, interpersonal relations and group processes ◦Some things satisfied some workers but not others. ◦People restricted output to obey to group norms. ⮚ Main Lesson ◦Social and human concerns as keys to productivity. A- Hawthorne studies
  17. B-Maslow’s theory ⮚Maslow’s theory of human needs ◦A need is a physiological or psychological deficiency a person feels forced to satisfy. ◦Need levels ◦Physiological ◦Safety ◦Social ◦Esteem ◦Self-actualization
  18. B-Maslow’s theory
  19. ⮚Maslow’s theory of human needs is based on two principles: ◦ Deficit principle ◦ A satisfied need is not a motivator of behavior. ◦ Progression principle ◦ A need becomes a motivator once the preceding lower-level need is satisfied. B-Maslow’s theory
  20. C- McGregor’s Theory X & Y ⮚McGregor’s Theory X assumes that workers: ◦Dislike work ◦Lack ambition ◦Are irresponsible ◦Resist change ◦Prefer to be led ⮚McGregor’s Theory Y assumes that workers are: ◦Willing to work ◦Capable of self control ◦Willing to accept responsibility ◦Imaginative and creative ◦Capable of self-direction
  21. ⮚McGregor’s Theory X and Theory Y ◦Managers create self-fulfilling predict ◦Theory X managers create situations where workers become dependent and reluctant. ◦Theory Y managers create situations where workers respond with initiative and high performance. ◦Central to notions of empowerment and self-management. C- McGregor’s Theory X & Y
  22. D- Argyris’s theory ⮚Argyris’s theory of adult personality ◦Classical management principles and practices inhibit worker maturation and are inconsistent with the mature adult personality. ◦Management should accommodate the mature personality.
  23. ⮚Argyris’s theory of adult personality ◦Management practices consistent with the mature adult personality: ◦Increasing task responsibility ◦Increasing task variety ◦Using participative decision making D- Argyris’s theory
  24. How today’s managers benefit from the behavioural approaches? ⮚The behavioural approach has largely shaped how today’s organizations are managed. From the way that managers design jobs to the way that they work with employee teams to the way that they can communicate. ⮚The Hawthorne studies have provided the foundation for our current theories of motivation, leadership, group behaviour and development, and numerous other behavioural approaches.
  25. ◦Scientific application of mathematical techniques to improve managerial decision making. ◦Techniques and applications include: ◦Applying statistics ◦Mathematical forecasting ◦Inventory modeling ◦Linear programming ◦And other quantitative techniques to management activities 4- Quantitative Approach
  26. 4- Quantitative Approach ⮚Quantitative analysis today ◦ Use of staff specialists to help managers apply techniques. ◦ Good judgment and appreciation for human factors must accompany use of quantitative analysis.
  27. 5-Contemporary Approaches ⮚Systems thinking oSystem ◦Collection of interrelated parts that function together to achieve a common purpose. oSubsystem ◦A smaller component of a larger system. oOpen systems ◦Organizations that interact with their environments in the continual process of transforming resource inputs into outputs.
  28. 5-Contemporary Approaches
  29. ⮚Contingency thinking ◦Tries to match managerial responses with problems and opportunities unique to different situations. ◦Especially individual or environmental differences. ◦No “one best way” to manage. ◦Appropriate way to manage depends on the situation. 5-Contemporary Approaches
  30. What are the management themes of the 21st century? ⮚Quality and performance excellence ◦ Managers and workers in progressive organizations are quality conscious. ◦ Quality and competitive advantage are linked. ⮚Total quality management (TQM) ◦ Comprehensive approach to continuous quality improvement for a total organization. ◦ Creates context for the value chain.
  31. ⮚Quality and performance excellence ◦ISO certification ◦Global quality benchmark. ◦Refine and upgrade quality to meet ISO standards ⮚Continuous improvement ◦Continual search for new ways to improve quality ◦Something always can and should be improved on What are the management themes of the 21st century?
  32. ⮚Knowledge Management ◦Knowledge management is the process of using intellectual capital for competitive advantage ◦Portfolio of intellectual assets include patents, intellectual property rights, trade secrets, and accumulated knowledge of the entire workforce. What are the management themes of the 21st century?
  33. ⮚Learning organizations What are the management themes of the 21st century?
  34. 37 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 What are the management themes of the 21st century?
  35. 4th industrial revolution (video)