Evolution of Management

Thought

By :
 Kawalpreet Sethi
 Winston Tixeira
 Naveen Kapoor
 Mandeep Tamber
Topics Covered....
1. Contribution of Charles Babbage
2. Introduction to Classical Organisation theories.
3. The Scientific Management and its contributors Frederick W. Taylor,
Henry L. Gantt and Frank Gilbreth & Lillian Gilbreth
4. Drawbacks of Scientific Theory
5. Administrative Theories
6. Fayol’s 14 principles
7. Max Weber’s concept of Bureaucracy
8. Hawthorne Theory
9. Transition from Scientific Management to Human Relations
10. The Human Relations
11. Theories of George Elton Mayo, Abraham Harold Maslow, Douglas
theory of X and Y, Hertzberg’s Hygiene and Motivation, and
Emotional Intelligence
 Contribution of Charles
Babbage…
Famous for his book “On the
Economy of machinery and
Manufacturers” (1932).
Emphasized that, mutual interests
could exist between the workers & the
owners of the factories.
Argued for a “Profit Sharing System”
for the workers.

Charles Babbage (1792-1871)

 Introduction to
Classical Organisation theories

 Frederick W. Taylor (1856-1915) Scientific theory

 Henri Fayol (1841-1925) Administrative theory
 Max Weber (1864-1920) Bureaucratic theory
 The Scientific Management

• It is a management approach which was aimed to scientifically

determine the best methods for performing any task & thereby
selecting, training and motivating workers.

• Contributors of the Theory:

- Frederick W. Taylor (1856-1915)
- Henry L. Gantt (1861-1919)
- Frank Gilbreth ( 1868-1924) & Lillian Gilbreth (1878-1972)
 Frederick W. Taylor (1856-1915)
Four principles of scientific management:

Replace rule-of-thumb work methods with

methods based on a scientific study of the tasks.
 Scientifically select, train, and develop each
worker rather than passively leaving them to
train themselves.
Cooperate with the workers to ensure that the
scientifically developed methods are being
followed.
There is an almost equal division of the work
and the responsibility between the management
and the workmen.
Divide work nearly equally between managers
and workers
 Henry L. Gantt
(1861-1919)
 Abandoning Taylor’s Differential Rate
System
 Emphasis on the “Evaluation of
Performance” of a worker
 Emphasis on “incentive-based” (Bonus)
payment.
 Introduction of a specific charting system,
“Gantt Chart” for production scheduling.
 The concept led to the subsequent
evolution of Critical Path Method /CPM
(developed by Du Pont) & Program
Evaluation and Review technique/PERT.
 Frank Gilbreth ( 1868-1924) & Lillian
Gilbreth (1878-1972)

 Fatigue & motion studies

 Focus on promoting individual
worker’s welfare.
 Emphasis on enabling workers
to reach their full potential.
 Emphasis on employee
motivation & physical well
being of workers.
 Drawbacks of Scientific Theory
 They also increased the monotony of work.

 The core job dimensions of skill variety, task identity, task significance,
autonomy, and feedback all were missing.

 While in many cases the new ways of working were accepted by the
workers, in some cases they were not.

 The use of stopwatches often was a protested issue and led to a strike at
one factory where "Taylorism" was being tested.

Complaints that Taylorism was dehumanizing led to an investigation by

the United States Congress.
 Administrative Theories
Fayol set down specific principles for
practicing managers.
He felt these principles could be used not
only in business organizations but also in
government, the military, religious
organizations, and financial institutions. 
Fayol's principles were not meant to be
exhaustive.
His aim was to provide managers with the
necessary building blocks to serve as
guidelines for managerial activities.
In sum, the principles emphasize efficiency,
order, stability, and fairness.
While they are now over 80 years old, they
are very similar to principles still being
applied by managers today
 Max Weber’s concept of
Bureaucracy
Weber (1947) based the concept
of the formal organization on the
following principles:
•Structure 
•Specialization 
•Predictability and stability 
•Rationality 
•Democracy Responsibility and
authority.
 Hawthorne Theory

Workers‘ attitudes are associated with

productivity
Workplace is a social system and informal group
influence could exert a powerful effect on
individual behaviour
The style of supervision is an important factor in
increasing workers' job satisfaction.
Transition from Scientific
Management to Human Relations
Scientific Management
◦ focused on productivity
and profit
◦ workers were viewed as
extensions of the
machine
OUTCOME
◦ time/motion studies
◦ did not address the
◦ fragmentation of work emotional and social needs
of employees
◦ resulted in worker apathy,
boredom, low creativity,
wasted human resources
 The Human Relations

What do we mean by Human Relations?

 Human relations is frequently used as a general term to describe the

ways in which managers interact with their employees or recruits
 When “employee management” stimulates more and better work, the
organization can be said to have effective human relations
 The human relations movement refers to the approach to
management and worker productivity that takes into account a
person's motivation, satisfaction, and relationship with others in the
workplace.
George Elton Mayo

 1880-1949
 Successful Academic
 ClinicalPsychologist
 Public Speaker
 Hawthorne Studies
 Abraham Harold Maslow:

 Born in the year 1908;

passed away 1970
 Famous for Motivation
theory: “Hierarchy of
needs”
 Maslow's hierarchy of needs is often portrayed in the shape of a pyramid,
with the largest and most fundamental levels of needs at the bottom
Douglas theory of X and Y
 First is Douglas theory of X and Y. In the theory of X
management assumes that employees are lazy and avoid
work so, they keep very close supervision and
comprehensive systems of controls developed on them.
 Theory of Y: In this theory managers assumes that
employees are self motivated and ambitious, enjoying
their work as well as duties. Theory of y believes that if
manager provides good working conditions to
employees most people want to do well at work.
Douglas theory of X and Y
Hertzberg’s Hygiene and Motivation
Criticisms of Hertzberg……
 It has also been noted that the theory does not allow for individual
differences, such as a particular personality trait, which would affect
an individuals' unique responses to motivation or hygiene factors.
 A number of behavioral scientists have also pointed to inadequacies
in the theory.
 The most basic criticism is that this theory contains the assumption
that happy and satisfied workers produce more differences, such as a
particular personality trait, which would affect an individuals'
unique responses to motivation or hygiene factors.
 Emotional Intelligence
EQ - is a relatively recent behavioural model, rising to prominence
with Daniel Goleman's 1995 Book called 'Emotional Intelligence'.
The early Emotional Intelligence theory was originally developed
during the 1970s and 80s.
Emotional Intelligence Theory
It is based on the concept of love and spirituality bringing compassion
and humanity to work.
Outcomes of theory
 Reduce stress
 Decreasing conflicts
 understanding
 Continuity
 References .......
http://tutor2u.net/business/people/motivation_the
http://www.fao.org/docrep/w7503e/w7503e03.htm#T
opOfPage
ory_herzberg.asp
http://
www.fao.org/docrep/w7503e/w7503e03.htm#TopOfP
age
http://
wiki.answers.com/Q/What_is_the_Hawthorne_studie
s_and_significance_of_human_relations_movement
http://www.google.co.uk/#sclient=psy&hl=en&q=Ge
orge+Elton+Mayo&aq=f&aqi=g5&aql=&oq=&gs_rf
ai=&
pbx=1&fp=47af1099c8e0bbe7