Noor Mohd Amin bin Moktar SKM UKM 23/24

MANAGEMENT THEORY iii) Speed up condi'on placed undue pressures on employees – will 4) Management Science School
affect the quality of the product. - Def: Approaching management problems using mathema'cal
Defini'on of Theory: iv) The emphasis of produc'vity & profitability led some managers technique for their modeling, analysis, and solu'on.
- Coherent group assump'ons put forth exploit workers & customers. As a result, more workers joined - eg: predic'ng increment of produc'on goods using mathema'cal
- to explain the rela'onship union thus reinforced a pa_ern of suspicious & mistrust on labor- models/ equa'on.
- between 2/> observable facts management rela'ons.
- and to provide a sound basis RECENT MANAGEMENT THEORY (3)
- for predic'ng future events. 2) Classical Organiza5on Theory School (pioneered by Henri Fayol)
- > on Manager/ Management 1) The System Approach
Why study Management Theory? - The need to find guideline for managing complex organiza'ons. - Def: View of the organiza'on as a united directed system of
1) Theories provide a stable focus for understanding what we - Fayol interested in the total organiza'on & focus on management interrelated parts.
experience – people already experience a problems/ situa'on and rather than only concern on organiza'onal func'on like Taylor. - The ac'vity of any segment of an organiza'on affects, in varying
come out with solu'ons. - Fayol produced 14 principles of Management (that can be taught) degrees, the ac'vity of every other segments.
2) Theories enable us to communicate efficiently & thus move into - eg: Produc+on Unit Vs Sales Management
1) Division of Labor 8) Centraliza'on
more complex rela'onship with other people.
2) Authority 9) The Hierarchy 2) The Con5ngency Approach (Situa5onal Approach)
3) Theories make it possible to keep learning about our world – able
3) Discipline 10) Order - Def: View that the management technique that best contributes
to ask ourselves if there are alterna've ways of looking at the
4) Unity of Command 11) Equity to the a_ainment of organiza'on goals, might vary in different
world eg: AI, ML.
5) Unity of Direc'on 12) Stability of Staff type of situa'ons.
6) Subordina'on of individual 13) Ini'a've - Manager’s task is to iden'fy which technique will be the best
The Evolu'on of Management Theory
interest to common good 14) Espirit de Corp (Team Spirit) contributes to the a_ainment of management goals, in par'cular
A) Early Management Theory (end 19th & beginning 20th cent)
B) Recent Management Theory 7) Remunera'on (salary) situa'on, & 'me.

EARLY MANAGEMENT THEORY (4)
1) Scien5fic Management School (Formulated by Frederick W
Taylor)
- > on Employee
- Rise due to labor shortage à need to increase produc'vity.
- Based on produc'on-line 'me studies.
- Broke job down into components and design the quickest, best
method for each component.
- Use in modern assembly line produc'on.
- 4 Basic Principle
i) The development of true science of management (segregates
task into parts)
ii) The scien'fic selec'on of workers (best suited)
iii) The scien'fic educa'on & development of the worker
(appropriate training).
iv) In'mate, friendly coopera'on between management & labor.
- Outcome (Contribu5ons)
i) Modern assembly line produces finished product much faster.
ii) The efficiency techniques have been applied to many tasks in
non-industrial organiza'ons eg; fast-food services, surgeon
training (anything that involve steps/ sta5ons)
- Limi5a5ons
i) Tend to ignore employees social & psychological needs – division of
labor creates boredom, constant repe''on on simple movement
dehumanizes workers as they tend to become appendages of the
machines they operate.
ii) Unemployment can result from increase industrial efficiency –
fewer people are needed to produce a given amount of goods.
3) Behavioral School 3) Dynamic Engagement Approach (DEA)
- Its emerge because Classical approach didn’t achieve sufficient - Def: The view that 'me & human rela'onships are forcing
produc'on & workplace harmony. management to rethink tradi'onal approaches in the face of
- Def – a group of management scholars trained in sociology, constant rapid change.
psychology & related fields, use their knowledge to propose - Managers focus on human rela'onships & quickly adjust to
effec've way to manage people in the organiza'on. changing condi'on over 'me (dynamic).
i) The Human Rela5on Movement (How managers interact with - 6 Different Themes under DEA
employees) 1) New Organiza5onal Environment
o The Hawthorne Experiments – A_empt to inves'gate - Organiza'on’s environment is not fixed, impersonal forces.
the rela'onship between the level of ligh'ng in - Managers need to understand what is important to other
workplace & worker produc'vity. managers both within their organiza'ons & at other
o Hawthorne Effect (controversial): the fact that people organiza'ons.
will modify their behavior simply because they are 2) Ethics & Social Responsibility
being observed. - Pay a_en'on to the values that drive their organiza'ons staff,
o Applica'on on modern research: the Hawthorne Effect culture of society that involves these values and values with
is the intrinsic bias that researchers must take into people outside the organiza'on provides.
considera'on when studying their findings. - Managers must exercise moral courage by placing the values of
ii) Theory X & Theory Y (theory of mo'va'on that incorporates excellence on top of agenda.
both internal and external mo'va'on) 3) Globaliza5on & Management
- Managers in 21st cent must think themselves as global ci'zens.
- Borderless world where informa'on can be exchanged between
countries within seconds on internet.
4) Inven5ng & Reinven5ng Organiza5ons
- Managers need to rethink their usual standard organiza'on
structure.
- Rigid organiza'on structures can inhibit crea'vity & efficiency.
5) Cultural & Mul5culturalism
- Various perspec've & people from different cultural background
can give a significant contribu'on.
6) Quality
- Total Quality Management (TQM) can provide product & services
that responsible to tougher customer & compe''ve standard.