EVOLUTION

OF
MANAGEMENT THOUGHT
INTRODUCTION

The term ‘management’ encompasses an array of different functions

undertaken to accomplish a task successfully.

It is the process of designing and maintaining an environment in which

individuals, working to gather in groups, efficiently accomplish selected aims.

There are many approaches for the management varying from a problem to
problem solving style to the change.

Each approach has its own limitations and advantages.

Management is all about ‘getting things done’.

EVOLUTION OF MANAGEMENT THOUGHT
• SYSTEM
• CONTINGENCY
MODERN
• THEORY Z AND QUALITY MANAGEMENT
• GROUP INFLUENCES
• MASLOW’S NEED THEORY BEHAVIOURAL
• THEORY X AND THEORY Y
• HAWTHORNE STUDIES
• SCIENTIFIC
• ADMINISTRATIVE
CLASSICAL
• BUREAUCRATIC
DIFFERENT APPROACHES
CLASSICAL APPROACH
Focuses on the
individual worker’s Focuses on the
productivity overall
organizational
system

Focuses on the
functions of
management
 • Piece-rate-incentive system
PRACTICES:
• Time and motion study
TWO MANAGERIAL
• Task Performance FOCUS:
• Supervision THREE AREAS OF
• Motivation
• develop a scientific approach for each element of one’s work
• scientifically select, train, teach and develop each worker PRINCIPLES
• cooperate with workers to ensure that jobs match plans and FOUR
principles
• ensure appropriate division of labor
SCIENTIFIC MANAGEMENT: Taylor
 LILLIAN
• A strong proponent of better working conditions as a means of improving GILBERTH
efficiency and productivity.
• Specialized in time and motion studies to determine the most efficient way FRANK
to perform tasks. GILBERTH
• Used motion pictures of bricklayers to identified work elements (therbligs)
such as lifting and grasping
HENRY
• Most famous for developing the Gantt chart in the 1910s. GANTT
• Implemented a wage incentive programme
Henry Gantt and The Gilberths
SCIENTIFIC MANAGEMENT:
BUREAUCRATIC MANAGEMENT

Focuses on the overall organizational system.

Need for organization's to function on a rational basis

Bureaucratic management is based upon:

• Firm rules
• Policies and procedures
• A fixed hierarchy
• A clear division of labor
 • Division of labor
• Hierarchy of authority
PRINCIPLES
• Rules and procedures
• Impersonality
FIVE
• Employee selection and promotion
• A German sociologist and historian who
envisioned a system of management MAX WEBER
• “a bureaucracy is a highly structured, formalized
and impersonal organization.”
BUREAUCRATIC MANAGEMENT: Weber
ADMINISTRATIVE MANAGEMENT

Five management functions

Focused on principles
• planning
that could be used by
• organizing
managers to coordinate
• commanding
the internal activities of
• coordinating
organizations
• controlling
 Henry Fayol’s
14 Principles of Management
1. Division of work 8. Centralization

2. Authority and responsibility 9. Scalar chain

3. Discipline 10. Order

4. Unity of command 11. Equity

5. Unity of direction 12. Stability

6. Subordination of individual interest to

the common good 13. Initiative

7. Remuneration of personnel 14. Esprit de corps

BEHAVIOURAL APPROACH
The behavioural school of management
emphasized what the classical theorists
ignored.

Acknowledged the importance of human

behavior in shaping management style.

Personalities
• Mary Parker Follett
• Douglas McGregor
• Chester Barnard
• Elton Mayo
Hierarchy of Human Needs:

SELF
ACTUA
LIZATI
ON
NEED FOR SELF ESTEEM

NEED FOR SOCIAL RELATIONS

NEED FOR SECURITY

PHYSIOLOGICAL NEEDS
FOLLETT ON EFFECTIVE WORK GROUPS

FOUR PRINCIPLES OF COORDINATION

• Coordination requires that people be in direct contact
with one another.
• Coordination is essential during the initial stages of any
endeavor.
• Coordination must address all factors and phases of
any endeavor.
• Coordination is a continuous, ongoing process.
McGregor's PROPOSED STYLES

THEORY X THEORY Y
• Most people dislike work and they avoid it • Work is a natural activity like play or
when they can. rest.
• Coerced and threatened with punishment • Capable of self direction and self
before they work. control.
• Avoid responsibility and have little ambition. • Committed to organizational
objectives.
ELTON MAYO’s VIEW

Aimed to understand how psychological and social

processes interact with the work situation to influence
performance

Work represents the transition from scientific

management to the early human relations movement.

Emphasized on workers themselves and needs to

belong to a group
 HAWTHORNE EXPERIMENTS
(1924 – 1932)
“HAWTHORNE EFFECT”
• Workers perform and react differently when
researchers observe them.
• Productivity increased because attention was
paid to the workers in the experiment.
• Phenomenon whereby individual or group
performance is influenced by human behavior
factors
CONTINGENCY THEORY

There is no “One Best Way” to manage all the

situations.

Also known as ‘Situational Theory’.

Developed by managers, consultants, and

researchers who tried to apply the concepts
depending on various Internal and External factors
MERGER OF COMPONENTS INTO CONTINGENCY
PERSPECTIVE
AN EXAMPLE OF CONTINGENCY

JOAN WOODWARD’s RESEARCH

• Discovered that a particular management style
is affected by the organization’s technology.
• Identified and described three different types of
technology:
• Small-batch technology
• Mass-production technology
• Continuous-process technology