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Historical Foundations of Management Classical

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Contemporary Models. Scientific Management. Frederick Taylor ... Based on the Japanese model of management. Long-term employment. Career planning & development ... – PowerPoint PPT presentation

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Title: Historical Foundations of Management Classical


1
Chapter 2
  • Historical Foundations of Management Classical
    Behavioral Approaches

2
Understanding the historical context of
management provides a sense of heritage and can
help managers avoid the mistakes of
others. Ricky W. Griffin Author
of Management Texas A M University
3
The History of Management Theory1900 - 2002
  • Scientific Management
  • Bureaucratic Theory
  • Administrative Theory
  • Hawthorne Studies
  • Contemporary Models

4
Scientific Management
  • Frederick Taylor
  • System for placing order into production process
  • Study people like machines
  • Find the simplest best way
  • Train the people

5
Example Bethlehem Steel
  • Studies the layout of the plant
  • Studies activities of workers
  • Specifically looks at loading unloading of steel

6
Findings
  • Productivity increased
  • Incentive pay was a factor
  • Jobs simplified
  • People were trained

7
Henri Fayol
  • Administrative management
  • Identified mgt. Functions
  • Planning
  • Organizing
  • Leading
  • Controlling

8
Fayols Principles
  • Scalar Chain clear unbroken line of
    communication from top to bottom
  • Unity of Command orders come from one boss
  • Unity of direction one person in charge of all
    activities that have the same objective
  • Actually there are 14 principles. Dated but
    relevant critical for organization structures

9
Administrative principles - Mary Parker Follett
  • Employee ownership leads to collective
    responsibility
  • Business problems must be viewed in relationship
    to other problems
  • Profits should be considered in the context of
    the public good

10
Bureaucratic Theory
  • Max Weber modeled after German government
  • 6 principles
  • Jurisdictional areas
  • Hierarchy levels of authority
  • Official documents
  • Thorough expert training
  • Requires full time work
  • Management follows the rules

11
Implications of a bureaucracy
  • Rules insure fairness
  • Bad image
  • Speed motivation problems

12
Weber was misunderstood
  • He really believed that a rational organization
    would (and should) reward competence.

13
Hawthorne Studies
  • Elton Mayo
  • 1927 1932
  • Hawthorne plant of West. Elec.
  • Productivity Experiment

14
Illumination Studies
  • Vary light in the room
  • Control vs. experiment group
  • What happened to productivity?
  • What does that mean?

15
Bank wiring room
  • Jobs wireman, solder man, inspector, foreman
  • Modified incentive pay system
  • What happened?
  • Managements reaction?

16
Hawthorne is now considered to be the beginning
of the humanistic approach or human relations.
17
Maslows Hierarchy of Needs
  • Physiological
  • Safety
  • Social
  • Esteem
  • Self-actualization

18
2 Others You Should Know
  • McGregors Theory X Theory Y
  • Argyriss Theory of Adult Personality

19
Systems Theory Principles
  • Define company as a system
  • Establish objectives
  • Identify wider systems
  • Create formal subsystems
  • Integrate subsystems with the whole

20
Contingency Theory
  • Fred Fielder
  • Believed in Situational Leadership
  • No single approach is best
  • The best is contingent upon the situation

21
Implication for Management
  • Management must react to all types of
    personalities, legal issues, and environmental
    changes.

22
Quantitative Approaches
  • Management science or operations management
  • If a problem exists or a decision is to be made
    use
  • Linear Programming
  • Modeling
  • Simulation
  • Forecasting

23
Now There is Theory Z
  • Based on the Japanese model of management
  • Long-term employment
  • Career planning development
  • Teamwork
  • Two-way loyalty
  • Consensus decision making

24
Learning Organization
  • An organization skilled at creating, acquiring,
    and transferring knowledge, and at modifying its
    behavior to reflect new knowledge and insights.

25
Features
  • Examine challenge scared cows
  • Structures designed for testing
  • Potentially negative messages dont shoot the
    messenger
  • Exhibit new capabilities
  • Is your knowledge qualitatively different
    value added
  • Is knowledge accessible knowledge is power

26
Any Questions?
  • For next class be prepared for Exam 1 over
    chapters 1 4.
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