chapter 2 history of management © 2015 cengage learning mgmt7
TRANSCRIPT
Chapter 2History of Management
© 2015 Cengage Learning MGMT7
© 2015 Cengage Learning
2-1 explain the origins of management2-2 explain the history of scientific management2-3 discuss the history of bureaucratic and
administrative management2-4 explain the history of human relations
management2-5 discuss the history of operations, information,
systems, and contingency management
Management Ideas and Practices throughout History
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Why We Need Managers Today
During the Industrial Revolution…
• Availability of power enabled low-paid, unskilled labor to replace high-paid skilled artisans
• Job carried out in large, formal organizations rather than fields, homes, or small shops
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Scientific Management
The thorough study and testing of different work methods to identify
the best, most efficient ways to complete a job.
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Taylor’s Four Principles of Scientific Management
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Frank and Lillian Gilbreth
• Motion study– breaking each task or job into
separate motions and then eliminating those that are unnecessary or repetitive
• Typically yielded production increases of 25 to 300 percent.
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Henry Gantt
• Gantt Chart– visually indicates what tasks must be completed at
which times in order to complete a project
• One of the first to recommend that companies train and develop workers– “A scientific investigation in detail of each piece of
work, and the determination of the best method and the shortest time in which the work can be done. “
– “A teacher capable of teaching the best method and the shortest time.”
– “Reward for both teacher and pupil when the latter is successful.”
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Gantt Chart
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Bureaucratic Management: Max Weber
• Bureaucracy – “the exercise of control on the basis of knowledge”– people led by virtue of rational-legal
authority
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Elements of Bureaucratic Organizations
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Administrative Management: Henri Fayol
“The success of an enterprise generally depends much more on
the administrative ability of its leaders than on their technical
ability.”
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Fayol’s Fourteen Principles of Management
1. Division of work2. Authority and responsibility3. Discipline4. Unity of command5. Unity of direction6. Subordination of individual interests to
the general interest7. Remuneration
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Fayol’s Fourteen Principles of Management
8. Centralization9. Scalar chain10.Order11.Equity12.Stability of tenure of personnel13.Initiative14.Esprit de corps
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Constructive Conflict: Mary Parker Follett
• Conflict – “the appearance of difference, difference of opinions, of interests”
• Integrative conflict resolution– have both parties indicate their
preferences and then work together to find an alternative that meets the needs of both
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Mary Parker FollettOn constructive conflict
“As conflict—difference—is here in this world, as we cannot avoid it, we should, I think, use it to work for us. Instead of condemning it, we should set it to work for us.”
On power “It seems to me that whereas power usually means power-over,
the power of some person or group over some other person or group, it is possible to develop the conception of power-with, a jointly developed power, a co-active, not a coercive power.”
On the giving of orders “An advantage of not exacting blind obedience, of discussing your instructions with your subordinates, is that if there is any
resentment, any come-back, you get it out into the open, and when it is in the open you can deal with it.”
On authority “Authority should go with knowledge and experience, that is where obedience is due, no matter whether it is up the line or down.”
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Mary Parker Follett
On leadership“Of the greatest importance is the ability to grasp a total
situation. . . . Out of a welter of facts, experience, desires, aims, the leader must find the unifying thread. He must see a whole, not a mere kaleidoscope of pieces. . . The higher up you go, the more ability you have to have of this kind.”
On coordination “The most important thing to remember about unity is—that there
is no such thing. There is only unifying. You cannot get unity and expect it to last a day— or five minutes. Every man in a business should be taking part in a certain process and that process is unifying.”
On control “Central control is coming more and more to mean the co-relation
of many controls rather than a superimposed control.”
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Hawthorne Studies: Elton Mayo
• Human factors related to work were found to be more important than physical conditions or design of work.
• Workers not just extensions of machines, and financial incentives weren’t necessarily the most important for motivating workers.
• Managers better understood effect of group social interactions, employee satisfaction, and attitudes on individual and group performance.
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Cooperation and Acceptance of Authority: Chester Barnard
• Organization – “system of consciously coordinated activities or forces of two more persons”
• The extent to which people willingly cooperate in an organization depends on how workers perceive executive authority and whether they’re willing to accept it.
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Zone of Indifference
People will be indifferent to managerial directives if they…• are understood • are consistent with organization’s purpose• are compatible with people’s personal interests• can actually be carried out by those people
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Operations Management
• Eli Whitney– standardized, interchangeable parts
• Garspard Monge– techniques for drawing 3-D objects on
paper
• Oldsmobile Motor Works– “hand-to-mouth inventory”
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Information Management
Throughout history, organizations have pushed for and quickly adopted new
information technologies to reduce the cost or increase the speed with which
they can acquire, retrieve, or communicate information.
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Systems Management
• System– a set of interrelated elements or parts
that function as a whole
• Subsystems– smaller systems within a larger system
• Synergy– occurs when two or more subsystems
working together can produce more than they can working apart
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Systems
• Closed systems– can function without interacting with
their environments
• Open Systems– interact with their environments and
depend on them for survival
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Systems View of Organizations
2-5© 2015 Cengage Learning
Contingency Management
There are no universal management theories; the most effective
management theory or idea depends on the kinds of problems or situations that managers or organizations are
facing at a particular time.
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Barcelona Restaurant Group
1. What aspects of restaurant work are especially challenging to wait staff, and how does Barcelona’s approach to management help employees overcome the downsides of the job?
2. What steps do the leaders of Barcelona Restaurant Group take to insure cooperation and acceptance of authority from their employees?
3. Would the management style of Barcelona Restaurant Group best be described as scientific management or contingency management?
© 2015 Cengage Learning