2. Management in antiquities:
Romans (1000 B.C-400 B.C):
Organized structure for communication
• Egyptians(3000-1000 B.C):
Management practices to construct pyramids
3. Sumerians (3000-2500 B.C):
Written rules and regulations for governance
• Chinese ( 1000 B.C -1000 A.D)
Laws ,policies and structure for governance
4. Early management pioneers:
Charles Babbage (1792-1871):
Production efficiency
• Robert Owen (1771-1858):
Employee welfare
5. Henry Robinson Towne (1844-1924):
Skills and management
Organized effort to pool the accumulated knowledge
• Captain Henry Metcalfe (1837-1913):
Improvement of administration
Cost estimation and details of work
6. Is an attitude and philosophy which discards the traditional
method of hit and miss, rule of thumb, trial and errors of
managing work and workers
Cocerned with application of scientific problem solving
approach
Purpose is to improve labor productivity
7. Frederick Winslow Taylor(1856-
1915)
• Known as father of scientific management
• Prominent scholar to introduce scientific management
• Made efforts to replace primitive rule of thumb
method by modern scientific method
• Convinced that there is a science for doing each job
• Published book “principles of scientific management”
8. Principles of scientific management
Science not rule of thumb
Scientific selection, development and training of
worker
Co -operation
Division of work and responsibility
By-lateral mental revolution
9. Contribution of scientific
management
Helps in increase in production
Developed workers efficiency
Leads to greater economic prosperity
Differential wage payment system
Time study, motion study and economic incentives
10. Limitations of scientific
management theory
Laid too much emphasis on technical aspects of work
Totally ignored human interests
Leads to monotony in worker
Forced to speed up process beyond their capacity
Not allowed to take initiative use of modern machines
reduced the number of workers
11. •Concerned with entire range of
managerial performance
•distinct field of study
•Focuses on functions principles and
skills needed for management
12. Henry fayol(1840-1925)
French industrialist and mining engineer by
profession
Developed theory of administrative management
Known as father of administrative management
Was the contemporary of Taylor
18. Contributions of administrative
management
Focuses on efficiency of organization
Lays down universal principles of management
Identified skills needed for management
Regarded management as a profession
19. Limitations:
No proper attention to human behavioral aspects
Not considered situational factors
No clear distinction between structure and process of
organization
20. Principles of management are not applicable in all
situations
Based on personal experience and little observations
21. Bureaucracy form of organization
characterized by:
•Division of labor
•Rules and regulations
•Impersonal relations
22. Developed by Max Weber(1864-1920)
Was a German sociologist
23. Most common in large organizations
Applicable to organization where more number of
employees
Performing activities to meet common goals
28. Limitations of bureaucratic theory:
Rigid rules and regulations
Ignores innovation
Lack of effective communication
29. Problem of role conflict
Ignores informal relationship
30. Are modified ,enlarged and extended forms of classical
theory
Emphasized on social and psychological factors at work
and emotions
31. Two categories of behavioral
perspective:
I. Human relation approach
II. Behavioral science approach
32. HUMAN RELATION APPROACH:
The term “human relation” is generally used to
describe the ways in which managers interact with sub
ordinates
Workers should not be treated as mere factors of
production
They should be considered as human beings
33. Elton Mayo and his colleagues laid the foundation for
human dimension in organizations
Was a professor at Harvard Business School
34. Conducted series of experiments
At Hawthorne plant of Western Electric Company at
Chicago
35. Four phases of experiments:
1. Illumination experiments:
Conducted to measure the effects of lighting on
productivity of workers
Illumination was manipulated for one group of
workers
Held constant for another group
37. Relay assembly test room
experiments:
Two groups of six female telephone relay assemblers
were put in separate rooms
Frequent changes made in their working conditions
38. Conclusion was:
Output increased
Recognition and appreciation are important for
production
Social setting and group cohesion needed
39. •A group of 20,000 workers were interviewed
•To find out factors responsible for human behavior at
work
40. Conclusion was:
Importance of informal relations influenced the
workers attitude
Social and psychology needs influenced behavior and
productivity
41. Bank wiring observation room
experiment:
14 male workers were formed into small work group
Observed for seven months
In bank wiring room
42. Conclusion was:
Workers formed informal organizations
They set their own production norms
Supervisors paid special attention and care to them
Management concerned about their welfare
43. Personal and social factors are important to motivate
employees
The concept of “social man "because unavoidable
Effective supervision to improve productivity
44. Limitations of Hawthorne studies:
Lacks adequate focus on work
Laid emphasis on interpersonal relations and informal
groups
Financial reward were ignored for symbolic reward
45. Concerned with scientific investigation, analysis and
understanding human behavior
Improved and more modern version of human relation
approach
46. Behavioral science theory consists
of:
I. Need hierarchy theory: Abraham Maslow
II. Theory X and Y : Douglas Mc Gregory
III. Two factor theory : Frederick Herzberg
47. Need hierarchy theory:
Advocated that human behavior is motivated by needs
When one need is fulfilled another arises in
predictable sequence
Employees are motivated to work in best possible
efficiency to fulfill needs
48.
49. Lower order needs (psysiological,safety):
Should be satisfied first before higher order needs
Higher order needs (social,ego,sel-actualization):
50. To sum up this theory says
- Man is never fully satisfied
- Unfulfilled needs influence human behavior in
organization
51. •Douglas Mc Gregory proposed:
two distinct views of human beings
Negative labeled theory X
Positive labeled theory Y
52. THEORY - X
• Set of pessimistic assumption
• Employees are lazy
• Tends to avoid work
• Need managerial control
• Seek formal directions by superiors
53. Avoids responsibility
Security oriented ambition
Lower order needs
Focus on organizational goals
54. THEORY - Y
Set of optimistic assumption
Employees are active, dynamic
They liked, accept the work
Self control by employees
Learn to accept and seek responsibility
55. Creativity oriented ambition
Higher order needs
Integration of individual and organizational goals
Creativity is not the monopoly of managers
56. •Frederick Herzberg developed two factor theory for work
motivation
•This theory based on the contents of interviews conducted
on 200 engineers and accountants
•Hygiene factor and motivation factor
57. Hygiene factor:
Known as dissatisfies or maintenance
Presence of these factors do not motivate employees
But their absence causes dissatisfaction
58. Necessary to maintain minimum level of need
satisfaction
Includes: company policy and supervision,
relationship with supervisors , relationship with peers,
personal life, salary etc
59. Motivation factor:
Known as motivators,satisfiers,or job content factors
Its presence causes high levels of motivation and job
satisfaction
Their absence do not cause high dissatisfaction
60. Includes: self respect, sense of responsibility, working
condition,achieveent ,recognition
Conclusion: enriched jobs are key to motivate
employees
61. Contribution of behavioral science
theory:
Identified the role of human elements in organization
Recognized the quality of leadership as imp factor for
success of management
Emphasizes on non financial rewards
62. Limitation of behavioural science
theory:
Neglects the economic dimension of job satisfaction
Not considered situational variables
Views mgmt as nothing but applied behavioral science
Lacks scientific validity;
63. Involves the use of quantitative techniques
Quantitative tools such as:statistics,information
models, and computer simulations to improve decision
making
64. Management science theory:
Emphasizes on application of mathematics and
statistics
Useful for taking decisions and solving management
problems
65. Linear programming, game theory, sampling theory,
probability theory are some techniques
Manager uses to solve resource allocation problem
Computer programs are used to analyze the programs
66. Operation management theory:
concerned with managing the process of transforming
materials,labors,and capital into products
Pays close attention to demands of
quality,customer,serviceand competition
Proves to be the best technique for solving complex
management problems
67. Contribution of quantitative
perspective:
Developed quantitative tools to aid decision making
Widely used in production and operation
management
Found in solving technical problems and forecasting
68. Management information system:
Organizes past, present and projected data and
processes it into usable information
Collects data from both internal and external source
Makes then available to managers at all organizational
levels
69. Limitations:
Does not deal with people aspect of an organization
Required data cannot be updated and are not accurate
It requires unrealistic or unfounded assumptions
70. Integrates the earlier perspectives consisting
two theories i.e.
The system theory
The contingency theory
71. The system theory of management
Relatively new approach to continually expanding body of
management thoughts
Well known scholars research deeply planted in physical
and biological sciences
Other universalistic theories studies fragmented ,upgraded
form
Group of interrelated parts acting together to accomplish a
goal of unified purposes
Deals with the organizational environment scanning the
whole internal and external ones
72. Environment
Internal External
Organizational plans and policies
Organizational structures
Organizational resources Micro task macro
Organizational culture 1. Suppliers 1.political(P)
2.customers 2.Economic(E)
3.media 3.socio-cultural
l 4.pressure group 4.technology
5.competitors 5.Nature
{To some extent controllable} {uncontrollable}
73. Various elements of system theory
open system
closed system
sub system
Goal directed
Synergy
Boundary
Entropy
Flow of information
74. system view of an organization
Input conversion output
Feedback
75. Contribution of system theory:
Takes an integrative total view of organization
Holistic view taken for problem solving
Recognize interrelation &interactions among
subsystem
Provides better understanding of environment
Useful for studying complex organization
Facilitates feedback changes in system
76. Limitations
Isn't useful for small organization
Too abstract, practically not applicable for all
Doesn’t provide specific guidance on functions and
duties of manager
77. THE CONTINGENCY THEORY
Profounder: Tom Burns and G.M. Stalker in Britain
Paul Lawrence and jay Lorsch in U.S
Emerged from experiences of many other
Management concept are contingent on a particular
situation
Situational characteristics
“there is no best way to manage”
Recognizes situational nature of management taking an
integrative view
Each situation is unique and demands unique managerial
action
78. Differences between universalistic and contingency
theory:
Bases Universalistic contingency
1.characterstics Firm is insulated from Proactive recognition
outside changes for it than external
external environment environment has a
isn't a factor. it just look critical impact on
like a “technical core” internal firm design.
2.Definations Defines "there is one Best way to manage
way to organize” depends on various
contingencies
3.Organizations Maximum Level of specialization
effectiveness specialization, .formalization or
maximum employee are contingent
formalization, upon needs of
maximum employee organization and should
participation like factors be matched accordingly
with maximum
performance
79. Contingencies/ situations variables
Organization size
Task technology
Uncertain environment
Geographical spread
Strategies
Individual differences
Types of work being done
80. Contingency theory of structural adaption
to regain fit{SARFIT}
Contingencies variable Other causes
•-
Fit
•
performance
•
• +
+ LOW
Organizational
•
If less than satisfying
structure
• Adaptive
Changes
81. Contributions
Situation regarded as important aspect of
management decisions after emergence of contingency
theory
Situational Applicability of various management
theories
Development of ideas the no one best way to manage
as depends on situation
Widely adaptable in planning,
organizing,directing,motivating,and controlling.
82. Limitations
Very complex as to determine variables and their
interrelationship is tough task
every situation is unique and impossible to handle and
analyze it
Fails to identify all the contingencies
May not be applicable in all managerial issues
83. Emerging challenges/Issues for
management
Globalization and e-commerce
Development of environmentalism
Quality assurance and productivity
Managerial ethics and social responsibility(corporate
governance)
Workforce diversity
Innovation and change
Empowerment of employee
Knowledge management
Technological development
Multi cultural effects
Learning organization
Managing expatriate employees multinational
