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PRESENTED BY:
•RADHIKA GANDOTRA 45-MBA-2016
•VIDHU ARORA 68-MBA-2016
•SAHIL SHARMA 49-MBA-2016
•NEHA SHARMA 37-MBA-2016
CONTENTS
•INTRODUCTION!
•BASIC SCHEME OF PRODUCTION AND DELIVERY
PROCESS
•EVOLUTION?
•THE CLASSICAL SCHOOL OF MANAGEMENT
•CLASSICAL APPROACH
•SCIENTIFIC PRINCIPLES OF MANAGEMENT
•CONTRIBUTION’s FROM VARIOUS SCIENTIST’s
3
INTRODUCTION
A management system is the framework of processes and procedures
used to ensure that an organization can fulfill all tasks required to
achieve its objectives.
It is the process of designing and maintaining an environment in which
individuals, working together in groups, efficiently accomplish their
selected tasks.
Management is all about ‘getting things done’
4
Basic scheme of production and
service delivery process”
5
6
1900 - 1930
Classical
Management
School
Scientific
Administrative
Bureaucratic
1920-1950
Neo-Classical
Management
School
Human Relations
Behavioral
Modern
Management
School
Quantitative
Systems
Contingency
Operational
Evolution of Management
Theory
7
1900 - 1930
THE
CLASSICAL
SCHOOL OF
MANAGEMENT
DEFINITION OF CLASSICAL
APPROACH
Classical Approach is the oldest formal
school of thought which began around
1900 and continued into the 1920s.
It is the theory of management that
focuses on the productivity, output and
efficiency of workers.
It seeks to maximize the benefits of
consumers and investors at consistent
and fair levels.
Classical Approach includes
SCIENTIFIC MANAGEMENT,
ADMINISTRATIVE MANAGEMENT &
BUREAUCRATIC MANAGEMENT. 9
Focuses on the
individual worker’s
productivity
Focuses on the
functions of
management
Focuses on the
overall
organizational
system
CLASSICAL APPROACH10
SCIENTIFIC
MANAGEMENT
PRINCIPLES
Replacement of rule-of-thumb by science.
Scientific selection , training and placement of worker.
Cooperate with workers to ensure that the scientifically
developed methods are being followed.
Divide work equally between managers and workers so that the
managers apply scientific management principles to planning
the work & the workers actually perform the tasks.
SCIENTIFIC
MANAGEMENT
PRINCIPLES
12
Frederick Taylor
Contribution
The Scientific School of Man
Known as Father of Scientific
Management.
Published Principles of Scientific
Management.
Increased the Pay for Workers.
Organisational Productivity can be
increased by increasing efficiency of
the production process.
13
Criticism of Taylor’s
Contribution
 The Consideration of the word ‘Scientific’ before
‘Management’ was criticized .
 His principles were confined to Production
management.
 His principles violates the Principles of Unity of
Command.
 Trade unionists criticized Taylor’s Principles as the
means to exploit workers due to the reason that wages
were not increased in direct proportion to the increase
in productivity.
14
Henry Gantt
Contribution
The Scientific School of Man
Worked with F.W Taylor.
Modified Taylor’s Incentive System
when he worked independently.
Task and Bonus Plan.
Harmonius Cooperation between Labour
and Management.
Developed the Gantt’s Chart.
Stressed the need for Training.
15
Frank and Lillian
Gillberth’s
Contribution
The Scientific School of Man
Husband & Wife Team
Frank Gillberth - Known for Time and
Motion Studies.
Lillian Gillberth - An Industralist
psychologist , focused on ways of
promoting the individual workers’ welfare.
 Scientific study may include the study
of Analysis and Synthesis.
16
CONTENTS
•ADMINISTRATIVE MANAGEMENT
•FAYOL’s 14 PRINCIPLES
•BUREAUCRATIC MANAGEMENT
•BUREAUCRATIC PRINCIPLES
•NEO-CLASSICAL APPROACH
•HUMAN RELATIONS
•CONTRIBUTION’s OF HRM
17
ADMINISTRATIVE
MANAGEMENT
Henry Fayol (1841-1925) was the major
contributor to administrative management
approach.
“FATHER OF MODERN MANAGEMENT”
• "To manage is to forecast and to plan, to organise,
to command, to coordinate and to control".
• - Henry Fayol
19
FAYOL’s PRINCIPLES OF
MANAGEMENT
1. Division of work
2. Authority and responsibility
3. Discipline
4. Unity of command
5. Unity of direction
6. Subordination of individual interest to
the common good
7. Remuneration of personnel
8. Centralization
9. Scalar chain
10. Order
11. Equity
12. Stability
13. Initiative
14. Esprit de corps
20
BUREAUCRATIC
MANAGEMENT
BUREAUCRATIC MANAGEMENT
• A German sociologist and historian who
envisioned a system of management
• “a bureaucracy is a highly structured,
formalized and impersonal organization.”
MAX
WEBER
• Division of labor
• Hierarchy of positions
• Rules and Regulations
• Impersonality
• Employee selection and promotion
FIVE
FEATURES
22
23
1920 - 1950
NEO-
CLASSICAL
SCHOOL OF
MANAGEMENT
25
Human Relation Movement
 Elton Mayo (1880–1949) was an Australian
psychologist, sociologist, went to Harvard
University.
 Spent most of his career at Harvard Business
School as Professor of Industrial Research.
 Main focus was on the people working in an
organization.
 Elton Mayo conducted a research activity in
Hawthorne Electric Plant in 1924 to research
effect of physical conditions on productivity called
as Hawthorne Studies.
26
Contributions of HRM
• A business organization is also a social
system.
• A worker does not work for money only.
• Employee-centric, democratic and
participative style of leadership is more
efficient.
• A worker’s production norm is set and
enforced by his group not by time and
motion study.
27
CONTENTS
•BEHAVIOURAL SCIENCE APPROACH
•CONTRIBUTIONS OF BEHAVIOURAL THEORY
•MODERN SCHOOL OF MANAGEMENT
QUANTITATIVE APPROACH
SYSTEM APPROACH
CONTIGENCY APPROACH
OPERATIONAL APPROACH
28
29
Contributions of Behavioural
Theory
• Advocates situational approach
• Builds confidence among employees
• A conducive environment is created
30
MODERN
SCHOOL OF
MANAGEMENT
QUANTITATIVE APPROACH
SYSTEM APPROACH
CONTIGENCY APPROACH
OPERATIONAL APPROACH
33
34
35
KEY CONCEPTS OF SYSTEM
APPROACH
 SUBSYSTEM
SYNERGY
OPEN SYSTEM
CLOSED SYSTEM
SYSTEM BOUNDARY
FLOWS
FEEDBACK
36
Characteristics of system approach
• A system must have some specific components, units
or sub units.
• A Change in one system affects the other
subsystems.
• Every system is influenced by super system.
• All systems along their subsystem must have some
common objectives.
• A system is a goal-oriented.
• A system cannot survive in isolation.
37
38
39
40
– Functions of managers
remain same
– Functions of management
– core of good management
– Framework of management
– Principles of management
FEATURES
41
CONTENTS
Introduction
Current Trends
Emerging Trends
42
TREND
• SECULAR TREND
• MEDIUM DURATION TREND
• SHORT PERIOD TREND
43
EMERGING BUSINESS?
Emerging Business is any kind
of business which is driven
by the new technology or
new product.
44
HOW IT WORKS
Emerging markets have
• lower per-capita incomes
• higher unemployment
• lower levels of business
• higher economic growth rates.
45
• Focus On Connecting Customers
• Selling Through Social Media
• Workplace Flexibility
Current trends
46
It includes :
 Contributions Of Public Administrators
 Contributions Of Business Managers
 Contribution Of Behaviouralists
 Contributions Of System Scientists
47
 A number of scholars bring about increase efficiency in
government by means of personnel practices & better
management. Example- Woodrow Wilson, leading
apostle, sounded the call for efficient government.
 Many public administrators have made major
contributions in personnel practices, planning etc.
48
 Most significant contributions in the field of
management theory have been given by businessmen
including Taylor, Fayol and Barnard. Some of the
theories (writings) given by writers:
o Russell Rob in 1910, based on his business experience
defines “organization as a tool for the efficient
utilization of manpower and materials, a tool which has
been suited to the circumstances of each organization.”
49
o Sheldon in 1923 came up with The Philosophy Of
Management. Sheldon thought of management as
including determination of policy, coordination of
functions, the execution of policy & employment of
organization.
o Theory of Mooney and Reilley-
They combine the elements of an organization into a
logical pattern of principle, process, effect.
50
 HAWTHORNE EXPERIMENT-
It was carried out by Mayo & Roethlisberger in
1927.They disclosed that attitude towards workers may
be more efficient & productive than such material
factors as illumination & even money.
 Many sociologists such as Dubin, Selznick have
contributed through their works on groups, cultural
patterns & cooperation.
51
Some of the major contributors of system theory were
o Katz and Kahn in Social systems.
o Forrester in Industrial systems.
o Operation research contributions of Stafford Beer,
Churchman and his associates, Hertz.
o Norbert Wiener on developing & emphasizing feedback
theory.
52
BIBLIOGRAPHY
• http://www.bmmagazine.co.uk/in-business/advice/the-evolution-of-management/
• https://en.wikipedia.org/wiki/Evolution_of_Management_Systems
• http://www.academia.edu/3718412/Evolution_of_management
• Principals and practice of management by lm prasad
• http://embanet.vo.net/o18/USC/CMGT500/Week1/docs/CMGT500_w01_Chapter10.pdf
• http://yourbusiness.com/evolution-management-theories-17356.html
• http://faculty.wwu.edu/dunnc3/rprnts.historyofmanagementthought.pdf
53
Evolutionof management

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Evolutionof management

  • 1.
  • 2. PRESENTED BY: •RADHIKA GANDOTRA 45-MBA-2016 •VIDHU ARORA 68-MBA-2016 •SAHIL SHARMA 49-MBA-2016 •NEHA SHARMA 37-MBA-2016
  • 3. CONTENTS •INTRODUCTION! •BASIC SCHEME OF PRODUCTION AND DELIVERY PROCESS •EVOLUTION? •THE CLASSICAL SCHOOL OF MANAGEMENT •CLASSICAL APPROACH •SCIENTIFIC PRINCIPLES OF MANAGEMENT •CONTRIBUTION’s FROM VARIOUS SCIENTIST’s 3
  • 4. INTRODUCTION A management system is the framework of processes and procedures used to ensure that an organization can fulfill all tasks required to achieve its objectives. It is the process of designing and maintaining an environment in which individuals, working together in groups, efficiently accomplish their selected tasks. Management is all about ‘getting things done’ 4
  • 5. Basic scheme of production and service delivery process” 5
  • 6. 6
  • 7. 1900 - 1930 Classical Management School Scientific Administrative Bureaucratic 1920-1950 Neo-Classical Management School Human Relations Behavioral Modern Management School Quantitative Systems Contingency Operational Evolution of Management Theory 7
  • 9. DEFINITION OF CLASSICAL APPROACH Classical Approach is the oldest formal school of thought which began around 1900 and continued into the 1920s. It is the theory of management that focuses on the productivity, output and efficiency of workers. It seeks to maximize the benefits of consumers and investors at consistent and fair levels. Classical Approach includes SCIENTIFIC MANAGEMENT, ADMINISTRATIVE MANAGEMENT & BUREAUCRATIC MANAGEMENT. 9
  • 10. Focuses on the individual worker’s productivity Focuses on the functions of management Focuses on the overall organizational system CLASSICAL APPROACH10
  • 12. Replacement of rule-of-thumb by science. Scientific selection , training and placement of worker. Cooperate with workers to ensure that the scientifically developed methods are being followed. Divide work equally between managers and workers so that the managers apply scientific management principles to planning the work & the workers actually perform the tasks. SCIENTIFIC MANAGEMENT PRINCIPLES 12
  • 13. Frederick Taylor Contribution The Scientific School of Man Known as Father of Scientific Management. Published Principles of Scientific Management. Increased the Pay for Workers. Organisational Productivity can be increased by increasing efficiency of the production process. 13
  • 14. Criticism of Taylor’s Contribution  The Consideration of the word ‘Scientific’ before ‘Management’ was criticized .  His principles were confined to Production management.  His principles violates the Principles of Unity of Command.  Trade unionists criticized Taylor’s Principles as the means to exploit workers due to the reason that wages were not increased in direct proportion to the increase in productivity. 14
  • 15. Henry Gantt Contribution The Scientific School of Man Worked with F.W Taylor. Modified Taylor’s Incentive System when he worked independently. Task and Bonus Plan. Harmonius Cooperation between Labour and Management. Developed the Gantt’s Chart. Stressed the need for Training. 15
  • 16. Frank and Lillian Gillberth’s Contribution The Scientific School of Man Husband & Wife Team Frank Gillberth - Known for Time and Motion Studies. Lillian Gillberth - An Industralist psychologist , focused on ways of promoting the individual workers’ welfare.  Scientific study may include the study of Analysis and Synthesis. 16
  • 17. CONTENTS •ADMINISTRATIVE MANAGEMENT •FAYOL’s 14 PRINCIPLES •BUREAUCRATIC MANAGEMENT •BUREAUCRATIC PRINCIPLES •NEO-CLASSICAL APPROACH •HUMAN RELATIONS •CONTRIBUTION’s OF HRM 17
  • 19. Henry Fayol (1841-1925) was the major contributor to administrative management approach. “FATHER OF MODERN MANAGEMENT” • "To manage is to forecast and to plan, to organise, to command, to coordinate and to control". • - Henry Fayol 19
  • 20. FAYOL’s PRINCIPLES OF MANAGEMENT 1. Division of work 2. Authority and responsibility 3. Discipline 4. Unity of command 5. Unity of direction 6. Subordination of individual interest to the common good 7. Remuneration of personnel 8. Centralization 9. Scalar chain 10. Order 11. Equity 12. Stability 13. Initiative 14. Esprit de corps 20
  • 22. BUREAUCRATIC MANAGEMENT • A German sociologist and historian who envisioned a system of management • “a bureaucracy is a highly structured, formalized and impersonal organization.” MAX WEBER • Division of labor • Hierarchy of positions • Rules and Regulations • Impersonality • Employee selection and promotion FIVE FEATURES 22
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  • 25. 25
  • 26. Human Relation Movement  Elton Mayo (1880–1949) was an Australian psychologist, sociologist, went to Harvard University.  Spent most of his career at Harvard Business School as Professor of Industrial Research.  Main focus was on the people working in an organization.  Elton Mayo conducted a research activity in Hawthorne Electric Plant in 1924 to research effect of physical conditions on productivity called as Hawthorne Studies. 26
  • 27. Contributions of HRM • A business organization is also a social system. • A worker does not work for money only. • Employee-centric, democratic and participative style of leadership is more efficient. • A worker’s production norm is set and enforced by his group not by time and motion study. 27
  • 28. CONTENTS •BEHAVIOURAL SCIENCE APPROACH •CONTRIBUTIONS OF BEHAVIOURAL THEORY •MODERN SCHOOL OF MANAGEMENT QUANTITATIVE APPROACH SYSTEM APPROACH CONTIGENCY APPROACH OPERATIONAL APPROACH 28
  • 29. 29
  • 30. Contributions of Behavioural Theory • Advocates situational approach • Builds confidence among employees • A conducive environment is created 30
  • 32. QUANTITATIVE APPROACH SYSTEM APPROACH CONTIGENCY APPROACH OPERATIONAL APPROACH
  • 33. 33
  • 34. 34
  • 35. 35
  • 36. KEY CONCEPTS OF SYSTEM APPROACH  SUBSYSTEM SYNERGY OPEN SYSTEM CLOSED SYSTEM SYSTEM BOUNDARY FLOWS FEEDBACK 36
  • 37. Characteristics of system approach • A system must have some specific components, units or sub units. • A Change in one system affects the other subsystems. • Every system is influenced by super system. • All systems along their subsystem must have some common objectives. • A system is a goal-oriented. • A system cannot survive in isolation. 37
  • 38. 38
  • 39. 39
  • 40. 40
  • 41. – Functions of managers remain same – Functions of management – core of good management – Framework of management – Principles of management FEATURES 41
  • 43. TREND • SECULAR TREND • MEDIUM DURATION TREND • SHORT PERIOD TREND 43
  • 44. EMERGING BUSINESS? Emerging Business is any kind of business which is driven by the new technology or new product. 44
  • 45. HOW IT WORKS Emerging markets have • lower per-capita incomes • higher unemployment • lower levels of business • higher economic growth rates. 45
  • 46. • Focus On Connecting Customers • Selling Through Social Media • Workplace Flexibility Current trends 46
  • 47. It includes :  Contributions Of Public Administrators  Contributions Of Business Managers  Contribution Of Behaviouralists  Contributions Of System Scientists 47
  • 48.  A number of scholars bring about increase efficiency in government by means of personnel practices & better management. Example- Woodrow Wilson, leading apostle, sounded the call for efficient government.  Many public administrators have made major contributions in personnel practices, planning etc. 48
  • 49.  Most significant contributions in the field of management theory have been given by businessmen including Taylor, Fayol and Barnard. Some of the theories (writings) given by writers: o Russell Rob in 1910, based on his business experience defines “organization as a tool for the efficient utilization of manpower and materials, a tool which has been suited to the circumstances of each organization.” 49
  • 50. o Sheldon in 1923 came up with The Philosophy Of Management. Sheldon thought of management as including determination of policy, coordination of functions, the execution of policy & employment of organization. o Theory of Mooney and Reilley- They combine the elements of an organization into a logical pattern of principle, process, effect. 50
  • 51.  HAWTHORNE EXPERIMENT- It was carried out by Mayo & Roethlisberger in 1927.They disclosed that attitude towards workers may be more efficient & productive than such material factors as illumination & even money.  Many sociologists such as Dubin, Selznick have contributed through their works on groups, cultural patterns & cooperation. 51
  • 52. Some of the major contributors of system theory were o Katz and Kahn in Social systems. o Forrester in Industrial systems. o Operation research contributions of Stafford Beer, Churchman and his associates, Hertz. o Norbert Wiener on developing & emphasizing feedback theory. 52
  • 53. BIBLIOGRAPHY • http://www.bmmagazine.co.uk/in-business/advice/the-evolution-of-management/ • https://en.wikipedia.org/wiki/Evolution_of_Management_Systems • http://www.academia.edu/3718412/Evolution_of_management • Principals and practice of management by lm prasad • http://embanet.vo.net/o18/USC/CMGT500/Week1/docs/CMGT500_w01_Chapter10.pdf • http://yourbusiness.com/evolution-management-theories-17356.html • http://faculty.wwu.edu/dunnc3/rprnts.historyofmanagementthought.pdf 53