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Chapter # 1
Introduction to
Management
PRINCIPLES OF MANAGEMENT
2
Manager or Leader?
3
What Would You Do?
You are a shift supervisor
responsible for motivating
six college students to
move numerous stacks of scrap
metal
Pieces are 92 pounds each and
are carried up a ramp
The task will require six weeks--
and you have two weeks to
complete it
ISG Steelton—International Steel Group,
Steelton, Pennsylvania
What would you to do
to motivate the students?
4
In the Beginning
After reading the next section,
you should be able to:
1. explain the origins of management.
5
Management Ideas and Practice Throughout History
1.1
5000 BC
4000-2000 BC
1800 BC
600 BC
500 BC
400 BC
400 BC
175
284
900
1100
1418
1436
1500
1525
Sumerians
Egyptians Planning, organizing, controlling.
Hammurabi
Nebuchadnezzar
Sun Tzu
Xenophon
Cyrus
Cato
Diocletian
Alfarabi
Ghazali
Barbarigo
Venetians
Sir Thomas More
Machiavelli
Record keeping
Plan, organize, control. Written requests.
Controls and written documentation
Wage incentives, production control
Strategy
Management as a separate art
Human relations and motion study
Job descriptions
Delegation of authority
Listed leadership traits
Listed managerial traits
Different organizational forms/structures
Numbering, standardization, interchangeability
Critical of poor management and leadership
Cohesiveness, power, and leadership
6
Why We Need Managers Today
Work in families
Skilled laborers
Small, self-organized
groups
Unique, small batches
of production
Then
Work in factories
Specialized,
unskilled laborers
Large factories
Large standardized
mass production
Now
1.2
The Evolution of Management
After reading the next four sections,
you should be able to:
2. explain the history of scientific management.
3. discuss the history of bureaucratic and
administrative management.
4. explain the history of human relations management.
5. discuss the history of operations, information
systems, and contingency management.
8
Frederick W. Taylor
Frederick Taylor is known
today as the "father of
scientific management."
One of his many
contributions to modern
management is the
common practice of giving
employees rest breaks
throughout the day.
Frederick W. Taylor, 1856-1915
Taylor’s Four Management Principles
2.1
Develop a science for each element of a man’s work,
which replaces the old rule-of-thumb method.
Scientifically select and then train, teach, and
develop the workman.
Cooperate with the men to insure all work is done in
accordance with the principles of the science.
There is almost equal division of the work and the
responsibility between management and workmen.
10
Frank & Lillian Gilbreth
2.2
Frank and Lillian Gilbreth were prolific
researchers and often used their family as guinea
pigs. Their work is the subject of Cheaper by the
Dozen, written by their son and daughter.
11
Motion Studies: Frank & Lillian Gilbreth
2.2
Time Study
Timing how long it takes good workers
to complete each part of their jobs.
Motion Study
Breaking each task into its separate
motions and then eliminating those that are
unnecessary or repetitive.
12
Charts: Henry Gantt
2.3
13
Bureaucratic Management
3.1
Bureaucracy
The exercise of control on the basis of
knowledge, expertise, or experience.
Max Weber, 1864-1920
14
The Aim of Bureaucracy
3.1
1. Qualification-based hiring
2. Merit-based promotion
3. Chain of command
4. Division of labor
5. Impartial application of rules and procedures
6. Recorded in writing
7. Managers separate from owners
15
Administrative Management: Henri Fayol
3.2
1. Division of work
2. Authority and
responsibility
3. Discipline
4. Unity of command
5. Unity of direction
6. Subordination of
individual interests
7. Remuneration
8. Centralization
9. Scalar chain
10. Order
11. Equity
12. Stability of tenure
of personnel
13. Initiative
14. Esprit de corps
16
4
Human Relations Management
Efficiency alone is not
enough to produce
organizational success.
Success also depends on
treating workers well.
17
Mary Parker Follett
Mary Parker Follett, 1868-1933
Mary Parker Follett is
known today as the
“mother of scientific
management." Her
many contributions to
modern management
include the ideas of
negotiation, conflict
resolution, and power
sharing.
18
4.1
Constructive Conflict and Coordination: Mary Parker Follett
Dealing with
Conflict
Compromise
Domination
Integration
19
4.1
1. Coordination as reciprocal relating all
the factors in a situation
2. Coordination by direct contact of the
responsible people concerned
3. Coordination in the early stages
4. Coordination as a continuing process
Fundamental Principals of Organizations
Constructive Conflict and Coordination: Mary Parker Follett
20
4.2
Hawthorne Studies: Elton Mayo
Workers’ feelings and
attitudes affected their
work
Financial incentives
weren’t the most
important motivator for
workers
Group norms and
behavior play a critical
role in behavior at work
21
4.3
Cooperation and Acceptance of Authority:
Chester Barnard
Managers can gain cooperation by:
Securing essential services from individuals
Unifying people by clearly formulating an
organization’s purpose and objectives
Providing a system of effective
communication
22
4.3
People will be indifferent to managerial
directives if they…
1. are understood
2. are consistent with the purpose of the
organization
3. are compatible with the people’s personal
interests
4. can actually be carried out by those people
Cooperation and Acceptance of Authority:
Chester Barnard
23
5
Operations, Information, Systems,
and Contingency Management
Information Management
Operations Management
Contingency Management
Systems Management
24
5.1
Operations Management Tools
Quality control
Forecasting techniques
Capacity planning
Productivity measurement and improvement
Linear programming
Scheduling systems
Inventory systems
Work measurement techniques
Project management
Cost-benefit analysis
25
5.1
Operations Management Tools
Origins of
Operations
Management
Geometry
Guns
Fire
26
Whitney, Monge, and Olds
Eli Whitney, 1765-1825
Gaspard Monge, 1746-1818
Ransom Olds, 1864-1950
27
5.3
Information Management
Milestones in information management:
1400s Horses in Italy
1500-1700 Creation of paper and the printing press
1850 Manual typewriter
1860s Vertical file cabinets and the telegraph
1879 Cash registers
1880s Telephone
1890s Time clocks
1980s Personal computer
1990s Internet
28
5.3
Systems Management
29
5.4
Contingency Management
Contingency Approach
Holds that the most effective management
theory or idea depends on the kinds of
problems or situations that managers are
facing at a particular time and place.
30
5.4
Contingency Management
Management is harder than it looks
Managers need to look for key
contingencies that differentiate today’s
situation from yesterday’s situation
Managers need to spend more time
analyzing problems before taking action
Pay attention to qualifying phrases,
such as “usually”
32
What Would You Do?
You are a shift supervisor
responsible for motivating
six college students to
move numerous stacks of scrap
metal
Pieces are 92 pounds each and
are carried up a ramp
The task will require six weeks--
and you have two weeks to
complete it
ISG Steelton—International Steel Group,
Steelton, Pennsylvania
What would you to do
to motivate the students?

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Chapter # 01 management

  • 1. Chapter # 1 Introduction to Management PRINCIPLES OF MANAGEMENT
  • 3. 3 What Would You Do? You are a shift supervisor responsible for motivating six college students to move numerous stacks of scrap metal Pieces are 92 pounds each and are carried up a ramp The task will require six weeks-- and you have two weeks to complete it ISG Steelton—International Steel Group, Steelton, Pennsylvania What would you to do to motivate the students?
  • 4. 4 In the Beginning After reading the next section, you should be able to: 1. explain the origins of management.
  • 5. 5 Management Ideas and Practice Throughout History 1.1 5000 BC 4000-2000 BC 1800 BC 600 BC 500 BC 400 BC 400 BC 175 284 900 1100 1418 1436 1500 1525 Sumerians Egyptians Planning, organizing, controlling. Hammurabi Nebuchadnezzar Sun Tzu Xenophon Cyrus Cato Diocletian Alfarabi Ghazali Barbarigo Venetians Sir Thomas More Machiavelli Record keeping Plan, organize, control. Written requests. Controls and written documentation Wage incentives, production control Strategy Management as a separate art Human relations and motion study Job descriptions Delegation of authority Listed leadership traits Listed managerial traits Different organizational forms/structures Numbering, standardization, interchangeability Critical of poor management and leadership Cohesiveness, power, and leadership
  • 6. 6 Why We Need Managers Today Work in families Skilled laborers Small, self-organized groups Unique, small batches of production Then Work in factories Specialized, unskilled laborers Large factories Large standardized mass production Now 1.2
  • 7. The Evolution of Management After reading the next four sections, you should be able to: 2. explain the history of scientific management. 3. discuss the history of bureaucratic and administrative management. 4. explain the history of human relations management. 5. discuss the history of operations, information systems, and contingency management.
  • 8. 8 Frederick W. Taylor Frederick Taylor is known today as the "father of scientific management." One of his many contributions to modern management is the common practice of giving employees rest breaks throughout the day. Frederick W. Taylor, 1856-1915
  • 9. Taylor’s Four Management Principles 2.1 Develop a science for each element of a man’s work, which replaces the old rule-of-thumb method. Scientifically select and then train, teach, and develop the workman. Cooperate with the men to insure all work is done in accordance with the principles of the science. There is almost equal division of the work and the responsibility between management and workmen.
  • 10. 10 Frank & Lillian Gilbreth 2.2 Frank and Lillian Gilbreth were prolific researchers and often used their family as guinea pigs. Their work is the subject of Cheaper by the Dozen, written by their son and daughter.
  • 11. 11 Motion Studies: Frank & Lillian Gilbreth 2.2 Time Study Timing how long it takes good workers to complete each part of their jobs. Motion Study Breaking each task into its separate motions and then eliminating those that are unnecessary or repetitive.
  • 13. 13 Bureaucratic Management 3.1 Bureaucracy The exercise of control on the basis of knowledge, expertise, or experience. Max Weber, 1864-1920
  • 14. 14 The Aim of Bureaucracy 3.1 1. Qualification-based hiring 2. Merit-based promotion 3. Chain of command 4. Division of labor 5. Impartial application of rules and procedures 6. Recorded in writing 7. Managers separate from owners
  • 15. 15 Administrative Management: Henri Fayol 3.2 1. Division of work 2. Authority and responsibility 3. Discipline 4. Unity of command 5. Unity of direction 6. Subordination of individual interests 7. Remuneration 8. Centralization 9. Scalar chain 10. Order 11. Equity 12. Stability of tenure of personnel 13. Initiative 14. Esprit de corps
  • 16. 16 4 Human Relations Management Efficiency alone is not enough to produce organizational success. Success also depends on treating workers well.
  • 17. 17 Mary Parker Follett Mary Parker Follett, 1868-1933 Mary Parker Follett is known today as the “mother of scientific management." Her many contributions to modern management include the ideas of negotiation, conflict resolution, and power sharing.
  • 18. 18 4.1 Constructive Conflict and Coordination: Mary Parker Follett Dealing with Conflict Compromise Domination Integration
  • 19. 19 4.1 1. Coordination as reciprocal relating all the factors in a situation 2. Coordination by direct contact of the responsible people concerned 3. Coordination in the early stages 4. Coordination as a continuing process Fundamental Principals of Organizations Constructive Conflict and Coordination: Mary Parker Follett
  • 20. 20 4.2 Hawthorne Studies: Elton Mayo Workers’ feelings and attitudes affected their work Financial incentives weren’t the most important motivator for workers Group norms and behavior play a critical role in behavior at work
  • 21. 21 4.3 Cooperation and Acceptance of Authority: Chester Barnard Managers can gain cooperation by: Securing essential services from individuals Unifying people by clearly formulating an organization’s purpose and objectives Providing a system of effective communication
  • 22. 22 4.3 People will be indifferent to managerial directives if they… 1. are understood 2. are consistent with the purpose of the organization 3. are compatible with the people’s personal interests 4. can actually be carried out by those people Cooperation and Acceptance of Authority: Chester Barnard
  • 23. 23 5 Operations, Information, Systems, and Contingency Management Information Management Operations Management Contingency Management Systems Management
  • 24. 24 5.1 Operations Management Tools Quality control Forecasting techniques Capacity planning Productivity measurement and improvement Linear programming Scheduling systems Inventory systems Work measurement techniques Project management Cost-benefit analysis
  • 25. 25 5.1 Operations Management Tools Origins of Operations Management Geometry Guns Fire
  • 26. 26 Whitney, Monge, and Olds Eli Whitney, 1765-1825 Gaspard Monge, 1746-1818 Ransom Olds, 1864-1950
  • 27. 27 5.3 Information Management Milestones in information management: 1400s Horses in Italy 1500-1700 Creation of paper and the printing press 1850 Manual typewriter 1860s Vertical file cabinets and the telegraph 1879 Cash registers 1880s Telephone 1890s Time clocks 1980s Personal computer 1990s Internet
  • 29. 29 5.4 Contingency Management Contingency Approach Holds that the most effective management theory or idea depends on the kinds of problems or situations that managers are facing at a particular time and place.
  • 30. 30 5.4 Contingency Management Management is harder than it looks Managers need to look for key contingencies that differentiate today’s situation from yesterday’s situation Managers need to spend more time analyzing problems before taking action Pay attention to qualifying phrases, such as “usually”
  • 31.
  • 32. 32 What Would You Do? You are a shift supervisor responsible for motivating six college students to move numerous stacks of scrap metal Pieces are 92 pounds each and are carried up a ramp The task will require six weeks-- and you have two weeks to complete it ISG Steelton—International Steel Group, Steelton, Pennsylvania What would you to do to motivate the students?