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Management 12e richard draft chapter 02

Chapter 2
The Evolution of Management Thinking

© 2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.


Management and Organization
Studying management history helps your
conceptual skills


Social forces – aspects of a culture that guide
and influence relationships among people



Political forces – influence of political and legal
institutions on people and organizations




Economic forces – the availability, production,
and distribution of resources

© 2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

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2.1 Management Perspectives
over Time

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Classical Perspective


Emerged during the nineteenth and early
twentieth centuries
Rise of the factory system
Issues regarding structure, training, and

employee satisfaction


Large, complex organizations required new
approaches to coordination and control

© 2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

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Classical Perspective


Three subfields:
Scientific management

Bureaucratic organizations
Administrative principles

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Scientific Management


Improve efficiency and labor productivity
through scientific methods



Frederick Winslow Taylor proposed that
workers “could be retooled like machines”



Management decisions would be based on
precise procedures based on study

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Scientific Management


Henry Gantt developed the Gantt chart to
measure and plan work



The Gilbreths pioneered time and motion
studies to promote efficiency

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2.2 Characteristics of
Scientific Management

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Bureaucratic Organizations


Max Weber, a German theorist, introduced the
concepts



Manage organizations on impersonal, rational
basis



Organization depends on rules and records

© 2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

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Bureaucratic Organizations


Managers use power instead of personality to
delegate
Although important productivity gains
come from this foundation, bureaucracy
has taken on a negative tone

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2.3 Characteristics of
Weberian Bureaucracy

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Administrative Principles


Focused on the entire organization



Henri Fayol, a French mining engineer, was a major
contributor



14 general principles of management; many still used
today:
Unity of command
Division of work
Unity of direction
Scalar chain

© 2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

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Administrative Principles


Identified five functions of management:
Planning
Organizing
Commanding
Coordinating
Controlling

© 2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

13


Humanistic Perspective:
Early Advocates


Understand human behaviors, needs, and
attitudes in the workplace



Mary Parker Follett and Chester Barnard



Contrast to scientific management - Importance
of people rather than engineering techniques

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Humanistic Perspective:
Early Advocates


Empowerment: facilitating instead of
controlling



Recognition of the informal organization



Introduced acceptance theory of authority

© 2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

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Humanistic Perspective:
Human Relations Movement


Effective control comes from within the employee



Hawthorne studies were key contributor



Human relations played key variable in increasing
performance



Employees performed better when managers
treated them positively



Strongly shaped management practice and
research

© 2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

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Humanistic Perspective:
Human Resources Perspective


From worker participation and considerate
leadership to managing work performance



Combine motivation with job design



Maslow and McGregor extended and
challenged current theories
Maslow’s Hierarchy
Theory X and Theory Y

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2.4 Theory X and Theory Y

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Humanistic Perspective:
Behavioral Sciences Approach


Scientific methods + sociology, psychology,
anthropology, economics to develop theories
about human behavior and interaction in an
organizational setting



Organizational development – field that uses
behavioral sciences to improve organization

© 2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

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Humanistic Perspective:
Behavioral Sciences Approach


Other strategies based on behavioral science:
Matrix organizations
Self-managed teams
Corporate culture
Management by wandering around

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Quantitative Perspective


Also referred to as management science



Use of mathematics and statistics to aid
management decision making
Enhanced by development and perfection of the

computer


Operations management focuses on the
physical production of goods and services

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Quantitative Perspective


Information technology – focuses on
technology and software to aid managers



Quants – financial managers who base their
decisions on complex quantitative analysis

© 2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

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Recent Trends: Systems
Thinking


The ability to see the distinct elements of a situation as
well as the complexities



System – set of interrelated parts that function as a
whole to achieve a common purpose



Subsystems – are parts of the system that are all
interconnected



Synergy – the whole is greater than the sum of its parts
Managers must understand subsystem
interdependence and synergy
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Exhibit 2.5 Circles of Causality

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Recent Trends:
Contingency View


Every situation is unique



Managers must determine what method will
work



Managers must identify key contingencies for
the current situation



Organizational structure should depend upon
industry and other variables

© 2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

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