Management history
Module
JAVERIA TAHIR
Historical Background
Adam smiths’ The wealth of nations
Division of labor or job specialization—
breaking down job into narrow and
repetitive tasks
E.g. pin industry, meal preparations in
restaurant
Industrial revolution—machine power
was substituted for human power
More economical to manufacture goods in
factories rather than at home.
Need for manager.
HISORIC CLASSIC QUANTIT BEHAVIOR CONTEMPOR
AL AL ATIVE AL ARY
BACKGR APPROA APPROAC APPROAC APPROACHE
OUND CH H H S
SCIENTIFIC
EARLY EARLY SYSTEMS
MANAGEME
MANAGEME ADVOCATES APPROACH
NT
NT
GENERAL
ADAM CONTINGEN
ADMISTRATI HAWTHORN
SMITH CY
ON E
APPROACH
STUDIES
INDUSTRIAL
REVOLUTION ORGANIZATI
ONAL
BEHAVIOR
1. CLASSICAL APPROACH
Emphasized rationality and making
organizations and workers as efficient as
possible.
Comprised of two theories;
a) Scientific management theory
b) General administrative theory
Scientific management theory
Frederick W.Taylor described the use of
scientific methods to define the ‘‘one best
way ’’ for a job to be done.
Frank and Lillian Gilbreth-eliminate
inefficient hand and body motions
THERBLIGS
Use by today's managers.
GENERAL ADMINISRATIVE
THEORY
Focused on what managers do and what
constitute good managers do
Fayol identified five functions of managers
while Taylor as concerned with first line
managers and scientific methods.
According to Fayol management is required
everywhere.
14 principles
14 principles
1. Division of work
2. Authority
3. Discipline
4. Unity of command
5. Unity of direction
6. Subordination of individual interests to general
interests
7. Remuneration
8. Centralization
9. Scalar chain
10. Order
11. Equity
12. Stability of tenure of personnel
13. Initiative
14. Esprit de corps
Weber's bureaucracy
Ideal bureaucracy
Resembles scientific management in its
ideology
They emphasized rationality, predictability,
impersonality, technical competence and
authoritarianism
2. Behavioral approach
Focus on organizational people
Organizational behavior
Motivating, leading, building trust, working
with team, managing conflict etc
HAWHORNE SUDIES
ROBERT OWEN
Hugo Munstberg
Mary Panker Follet
Chester Barnard
Elton Mayo
3. Quantitative approach
The use of quantitative techniques for
decision making
It involves applying statistics, optimization
models, information models, computer
simulations and other quantitative
techniques to management activities.
Total quality management or
TQM
A philosophy of management that is driven
by continuous improvement and
responsiveness to customer needs and
expectations.
.
1. Intense focus on the customer
2. Concern for continual improvements
3. Process focused
4. Improvement in the quality of
everything the organization does
5. Accurate measurement
6. Empowerment of employees
Customer includes everyone who interacts
organization internally of externally.
Continual improvements are not possible
without accurate measurements, which
require statistical techniques that measure
every critical variable in the organizations’
work processes.
These measurements are compared against
standards to identify correct problems
4. Contemporary approch
Chester Barnard;s systems theory
• Open system
• Closed system
Contingency approach also known as
situational approach
• It says that organizations are different, face
different situations[contingencies], and
requires different says of managing.
• ‘If and then’
Some situational variables
Organizational size
Routines of Task Technology
Environmental Uncertainty
Individual Differences
