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History of Management. Management thought developed in the mid-late 1800’s Ran parallel with the industrial revolution Prior to that time organizations were small Agrarian society moved to a mass production society. Five Viewpoints of Management. Classical- late 1800’s

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history of management
History of Management
  • Management thought developed in the mid-late 1800’s
  • Ran parallel with the industrial revolution
    • Prior to that time organizations were small
    • Agrarian society moved to a mass production society
five viewpoints of management
Five Viewpoints of Management
  • Classical- late 1800’s
    • Bureaucratic, Scientific, Administrative
  • Behavioral- 1930’s, 40’s, 50’s
  • Systems-50’s, 60’s, 70’s
  • Contingency-60’s, 70’s, 80’s
  • Quality-80’s, 90’s
history of management thought
2.2History of Management Thought

Quality Viewpoint

Contingency Viewpoint

Systems Viewpoint

Behavioral Viewpoint

Traditional Viewpoint

1890 1900 1910 1920 1930 1940 1950 1960 1970 1980 1990 2000

Adapted from Figure 2.1

assumptions of viewpoints
Assumptions of Viewpoints
  • Continuous viewpoints do not replace each other but have differing perspectives
  • All differ on how they view:
    • behavior of individuals
    • organizational goals
    • issues that the organization faces
    • how those issues should be resolved
bureaucratic management
Bureaucratic Management
  • Max Weber wanted to eliminate nepotism, and favoritism in organizations
  • A rational method-scientific and logical approach to business
negative view of bureacracy
Negative View of Bureacracy
  • Bureaucracies “strip all relations of content but that which is strictly applicable to the attainment of organizational ends” (Lincoln, 1982: 21)
  • How we view bureaucracy
    • School
    • Taxes
    • Government
aspects of bureaucracy
Aspects of Bureaucracy
  • Formal Rules for uniformity
  • Impersonality in hiring, evaluation, etc. rather than social status, or personality
  • Division of labor into specialized areas
  • Hierarchy
  • Set Decision/Power Structure
hierarchical organization chart
2.3Hierarchical Organization Chart

Top Manager

Middle Manager

Middle Manager

First-Line Manager

First-Line Manager

First-Line Manager

First-Line Manager

Work

Group

Work

Group

Work

Group

Work

Group

Work

Group

Work

Group

Work

Group

Work

Group

Adapted from Figure 2.2

continuum of bureaucratic orientation
2.4Continuum of Bureaucratic Orientation

U.SPostalService

Dreamworks SKG

Coca-Cola

Hoechst-Celanese

Construction

Firms

UPS

LowBureaucraticStructure

HighBureaucraticOrientation

Mid-RangeBureaucracy

Adapted from Figure 2.3

positive and negative aspects
Positive and Negative Aspects
  • Positive aspects
    • efficiency
    • consistency
    • set lines of communication
  • Costs
    • follows rigid rules for the sake of rules
    • slow or change
    • can’t respond to a dynamic environment
scientific management
Scientific Management
  • Fred Taylor
  • Time and Motion studies
  • Proposed “One most efficient way” for completing a task
  • Employees are economically motivated
  • Formen
gilbreths and therbligs
Gilbreths and Therbligs
  • Frank and Lillian
  • Broke tasks down by each motion called “therbligs”
  • Used motion video
  • Lillian later played an instrumental role in behavioral movement
administrative management
Administrative Management
  • Management is a science that can be learned
  • Division of Labor
  • Authority of Managers
  • Discipline
  • Unity of Command
  • Centralization of power
behavioral human relations
Behavioral/Human Relations
  • People and their behaviors matter within the organization
  • In light of that assumption this school looks at how managers do their job in order to affect the behavior of subordinates
major players
Major Players
  • Follet
    • Involvement of workers
    • Continuous aspect of management
  • Barnard
    • Organizations are social systems
    • Acceptance theory of authority
      • understand, believe, see benefits
hawthorne studies
Hawthorne Studies
  • Western Electric Studies
  • Mayo
    • Theorized that workers would be more productive if given favorable working conditions
    • Theory did not hold, but......
    • Found that the attention given to workers was the variable that affected performance
behavioral viewpoint summary
Behavioral Viewpoint Summary
  • Employees are social beings, not just economically motivated
  • The social aspect of humans must be addressed by management
  • Fulfillment of needs and participation will motivate employees
systems viewpoint
Systems Viewpoint
  • Organizations are machines that operate within an environment
    • Inputs-human, financial, physical, and info
    • Processes
    • Outputs-products and services
  • A change in one part of the system affects the whole system
systems
Systems
  • Closed-limited interaction with the environment, only at input and output portals
  • Open-systems- all parts of the organization interact with the environment
  • Subsystems- parts within the organization
    • groups (formal and informal), individuals, departments, and divisions
basic systems view of organization
2.7Basic Systems View of Organization

Environment

INPUTS

Human, physical,

financial, and information resources

TRANS-FORMATION

PROCESS

OUTPUTS

Products andServices

Feedback

Loops

Adapted from Figure 2.4

contingency approach
Contingency Approach
  • “It Depends!”
  • Must assess the environment and use aspects of the three previous approaches in combination to maximize performance
  • No prescriptive “One best way”
contingency viewpoint
2.9Contingency Viewpoint
  • Behavioral Viewpoint
  • How managers influence others:
  • Informal Group
  • Cooperation among employees
  • Employees’ social needs
  • Systems Viewpoint
  • How the parts fit together:
    • Inputs
    • Transformations
    • Outputs
  • Traditional Viewpoint
  • What managers do:
    • Plan
    • Organize
    • Lead
    • Control
  • Contingency Viewpoint
  • Managers’ use of other viewpoints
  • to solve problems involving:
    • External environment
    • Technology
    • Individuals

Adapted from Figure 2.6

quality and ed demming
Quality and Ed Demming
  • Society has passed the point of concern with quantity of production, because for the most part quantity has been maxed-out
  • Quality is now the issue when performance is discussed
  • Demming pioneered the quality movement, and was ignored in the US
demming s story
Demming’s Story
  • Developed the quality idea
  • Was rejected by US companies
  • Sold his ideas in Japan
  • Japan excelled in automobile, and technological quality
  • US companies had to play catch-up in the 1980’s
demming s principles
Demming’s Principles
  • Quality at the beginning will lead to lower costs and greater productivity in the long-run
  • use of statistical methods to assess quality
  • all employees are responsible for quality checks
  • leads to company image, lower costs, less product liability
importance of quality
2.10Importance of Quality

Lower

Costs &

Higher

Market

Share

PositiveCompany

Image

QUALITY

Decreased

Product

Liability

Adapted from Figure 2.7

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