1. EVOLUTION OF MANAGEMENT
THOUGHTS
By
Sreerupa Rath

2. DIFFERENT SCHOOL OF
THOUGHTS
 CLASSICAL APPROACH
NEO- CLASSICAL THEORIES
 BEHAVIORAL APPROACH
 QUANTITATIVE APPROACH
 MODERN THEORY

3. CLASSICAL APPROACH
Classical management thought is divided into three
separate school of thoughts
 Scientific Management
 Administrative Theory
 Bureaucratic Management

4. SCIENTIFIC MANAGEMENT
 One best way to do each job
 Earliest advocates of scientific management
Frederick W.Taylor
Frank Gilbreth
Lillian Gilbreth
Henry Gantt

5. Frederick Winslow Taylor
 Father of scientific management
STEPS IN SCIENTIFIC MANAGEMENT:
 Replaced old rule of thumb methods to eliminate
“soldiering”
 Selecting,training,teaching and developing
workers
 Supervise employees to make sure they follow
the prescribed methods for performing their jobs
 Continue to plan the work but use workers to
actually get the work done

6. Major managerial practices that emerged from
Taylor’s approach
 Piece-rate incentive system
 Time and motion study

7. FRANK and LILLIAN GILBRETH
 Frank Gilbreth is considered as the father of
“motion study”
 Lillian Gilbreth was associated with the research
pertaining to motion study
 Motion study involves finding out the best
sequence and minimum number of motions
needed to complete a task

8. HENRY LAURENCE GANTT
 Was a close associate of Taylor
 Developed the Gantt chart

9. LIMITATIONS OF SCIENTIFIC
MANAGEMENT
 It revolves round problems at the operational
level
 The proponents were of the opinion that people
were motivated primarily by the desire for material
gain
 Scientific management theorists ignored the
human desire for job satisfaction

10. ADMINISTRATIVE THEORY
 Focused on principles that could be used by
managers to coordinate the internal activities of
organizations
 Most prominent administrative theorist was Henri
Fayol

11. HENRI FAYOL
 Prominent European management theorist
 Wrote General and Industrial Management
 Business operations of an organization could be
divided into six activities
Technical
Commercial
Financial
Security
Accounting
Managerial

12. FOURTEEN PRINCIPLES OF
MANAGEMENT
 Division of work
 Authority and Responsibility
 Discipline
 Unity of Command
 Unity of Direction
 Subordination of the individual interest to the general
interest
 Remuneration
 Centralization
 Scalar Chain
 Order
 Equity

13.  Stability of tenure of personnel
 Initiative
 Espirit de corps

14. BUREAUCRATIC
MANAGEMENT
 Max Weber – Father of Bureaucratic
Management theory
 Theory of bureaucracy is based on a rational set
of guidelines for structuring organizations
 Major characteristics of Weber’s ideal
bureaucracy
Work specialization and division of labour
Abstract rules and regulations
Impersonality of managers
Hierarchy of organization structure
Selection of employees was made on the
basis of technical expertise

15. LIMITATIONS OF BUREAUCRATIC
MANAGEMENT AND ADMINISTRATIVE
THEORY
 Classical theorists ignored important aspects of
organizational behaviour.They stressed
productivity above other aspects of management
 Weber’s concept of bureaucracy destroys
individual creativity and the flexibility to respond
to complex changes in the global environment

16. NEO- CLASSICAL
THEORIES

17. BEHAVIORAL APPROACH
 It emphasized on the human element
 Behavioral thinkers
Mary Parker Follet
Elton Mayo
Abraham Maslow
Douglas McGregor
Chris Argyris

18. MARY PARKER FOLLET: Focusing
on Group Influences
 Importance of human element in organizations
 Employees were influenced by the group in which
they worked
 Organizations function on the principle of “power
with” rather than “power over”
 Advocated the concept of integration

19. ABRAHAM MASLOW:FOCUSING
ON HUMAN NEEDS
 His theory rested on three asumptions
1. All of us have needs which are never
completely fulfilled
2. Through our actions we try to fulfill our
unsatisfied needs
3. Human needs occur in the following hierarchical
manner
Physiological needs
Safety or security needs
Social needs
Esteem or status needs
Self-actualization or self-fulfillment needs

20. LIMITATIONS TO MASLOW’S
THEORY
 Human needs do not always emerge in a
hierarchical manner
 Does not explain how a person prioritizes the
needs at a particular level of hierarchy.

21. DOUGLAS McGregor: CHALLENGING
TRADITIONAL ASSUMPTIONS ABOUT
EMPLOYEES
 Developed two assumptions about human
behavior
“Theory X” and “Theory Y”
THEORY X
 Most people dislike work and they avoid it when
they can
 Most people must be coerced and threatened
with punishment before they work
 Most people prefer to be directed. They avoid
responsibility and have little ambition

22. THEORY Y
 Work is a natural activity like play or rest
 People are capable of self direction and self control if
they are committed to objectives
 People become committed to organizational
objectives if they are rewarded in doing so
 Under proper conditions people learn to accept
responsibility and also try to seek responsibility
 Most people are capable of being innovative in
solving organizational problem

23. CHRIS ARGYRIS:MATCHING HUMAN
AND ORGANIZATIONAL
DEVELOPMENT
Major contributions of this behavioral scientist
are the maturity-immaturity theory, the integration
of individual and organizational goals, Model I
and Model II organization analysis
Model I
 Employees are manipulative
 Not willing to take risk
Model II
 Employees are open to learning and less
manipulative
 Willing to take risk

24. ELTON MAYO:FOCUSING ON HUMAN
RELATIONS
 Father of Human Relations Approach
 Led the team which conducted a study at
Western Electric’s Hawthorne Plant
 To examine the impact of illumination levels on
worker productivity
 The experiments were conducted in four phase:
Illumination experiments
Relay assembly test room experiments
Interview phase
Bank wiring observation room experiments

25. ILLUMINATION EXPERIMENTS
 Took place between 1924 and 1927
 Two group of workers (experimental or test group)
and the control group
 Experiment involved manipulating the illumination
Relay Assembly Test Room Experiments
 Took place between 1927 and 1933
 It included the introduction of a series of HR
policy measures for the test group to study their
impact on overall productivity

26. INTERVIEW PHASE
 21000 people were interviewed between 1928-
1930
 To determine employee attitude towards the
company and their jobs.

27. Bank Wiring Observation Room Experiments
 Conducted during 1931- 1932
 It was undertaken by researchers to test some of
the ideas they had gathered during the interviews

28. Criticism of Hawthorne studies
 The procedures, findings and conclusions
reached were questionable
 Researchers considered themselves as social
engineers
 The relationship made between the satisfaction or
happiness of workers and their productivity was
too simplistic

29. Limitations of Human Relations Approach
 The human relations theorists are of the opinion
that by removing fear, people would perform
effectively
 It does not provide enough focus on theory
 It does not understand the economic implications
of organizational problems. Human relations
theory also tends to be very vague