THOUGHT Mgt scholars have looked back on the history of Mgt thought & have grouped the diverse ideas into three basic approaches: -
The Classical Approach.
The Behavioral Approach.
The Mgt Science Approach.
Classical Approach • In the 19th century, owing to industrial revolution, major industries were started. • One of the important problems faced by the managers at that time was how to increase the efficiency and productivity. • The classical approach to Mgt can be better understood by examining it from two perspectives :- • First Perspective concentrated on the problems of lower level managers dealing with day to day problems of the work force. This perspective is known as Scientific Mgt. • The second perspective focused on the problems of top level managers. This perspective is known as Classical Organization Theory. Scientific Management • At the beginning of the 20th century, business was expanding and creating new products and new markets. • But labor was in short supply. • Two solutions were there: A. Substitute capital for labor. B. Use labor more efficiently. • Scientific Mgt adopted the second solution i.e. Use of labor force more efficiently. • The most well known contributor to Scientific Mgt was Frederick Winslow Taylor. Taylor’s contribution to management • Frederick Winslow Taylor (20 March 1856-21 March 1915), widely known as F. W. Taylor, was an American mechanical engineer who sought to improve industrial efficiency. He is regarded as the father of scientific management, and was one of the first management consultants.
• He is sometimes called as “Father of Scientific
Management”. Taylor believed that the key to harmony is: - • To discover the best way to do a job. • To determine the optimum work pace. • To train people to do the job properly. • To reward successful performance by using an incentive pay system. •Principles of Scientific Mgt. 1.Replacing old Rule of Thumb Method with Science.
• Scientific method denotes precision in
determining any aspect of work while rule of thumb emphasizes estimation. 2.Co Operation.
• Co operation between Mgt and workers can
be developed through mutual understanding and a change in thinking. 3.Harmony in group action.
• There should be mutual give and take
situation and proper understanding so that group as a whole contributes to the maximum. 4.Maximum Output.
• Scientific Mgt involves continuous increase in
production and productivity. • Taylor advised the managers and workers to turn their attention towards increasing the size of the surplus. 5.Development of Workers.
• Development of workers requires their
scientific selection and providing them training at the work place.