Recent Developments

in Management Theory
"Japanese
Management"
 Management Theory
• Coordination can be an intra- as well as an interorganizational phenomenon
• Divide coordination mechanisms between "reducing the need for information
processing" and "increasing the capacity to process information,"
• Coordination can be achieved as a process or as a structure
• Coordination and its outcomes, will differ from organizational level to level. In
the case of interorganizational coordination differences occur between the
organizations. Hierarchy is in itself already a coordination mechanism
 Theories of Management
• 1.Scientific management theory
• 2.Administrative management theory
• 3.Human relations theory
• 4.Bureaucractic management
• 5.Principles of administrative management
• 6.Theory X and Theory Y
• 7. Quantitative management theory
• 8. Modern Management
• 9. System theory
• 10. Contingency approach
• 11. Organization as learning system
• 12.
 Scientific Management Theory
• Scientific management theory is a method of improving efficiency in the
workforce. As its name implies, this management theory uses scientific methods
to assess work processes. The scientific method consist of three steps:
observation, experimentation, and analysis.
 Human Relations Theory
• Cohesion, status and group norms determine output
- Maslow's hierarchy of
needs
- Research findings over
turned later that happy
workers are always more
productive
Maslow's Hierarchy of Needs
Self-actualization
-desire to become the most that one can be
Esteem
-respect, self-esteem, status, recognition, strength,
freedom
Love and belonging
-friendship, intimacy, family, sense of connection
Safety needs
-personal security, employment, resources, health, property
Physiological needs
air, water, food, shelter, sleep, clothing, reproduction
 Bureaucratic Organization Theory
• It's an administrative system that relies on policies, rules and hierarchy in
both public and private sector environments.
Principles of Administrative Management
• Miner and engineer Henri Fayol (1841-1925) developed his principles of
administrative management as a top-down approach to examining business. He put
himself in his manager's shoes and imagined what situations they might encounter
when dealing with their team.
• From this, he concluded that his managers- and indeed management in general- had
six responsibilities when it came to managing
1. Organize 4. Coordinate
2. Command 5. Plan
3. Control 6. Forecast
 Theory X and Theory Y

Management Staff

Theory X Theory Y
• The assumption that • The assumption that
employees dislike work, employees like work,
are lazy, dislike are creative, seek,
responsibility, and must responsibility, and can
be coerced to perform. exercise self-direction

Staff
Management
 Quantitative Management Theory
• Quantitative management theory is an offshoot of modern management
theory developed during World War II in response to managerial
efficiency.
• Quantitative management theory brought together experts from scientific
disciplines to address staffing, materials, logistics, and system issues for
the U.S. military. The clearcut, numbers-oriented approach to
management (which applies to business as well helped decision makers
calculate the risks, benefits, and drawbacks of specific actions.
 Modern Management
• Modern management theory developed as a direct response to Classical
Management Theory. Modern-day businesses are faced with navigating rapid
change and complexities that seem to grow exponentially overnight Technology
is both tha cause of and the solution for this dilemma.
• Using mathematical techniques to analyze and understand the relationship
between managers and employees.
• That employees don't work for money alone( in contrast
to Classical Management Theory), Instead , they work for
happiness, satisfaction, and a desired lifestyle
 System Approach
• The system approach or system theory approach in business considers the
entire business organization as one large system. This system, which can
be either open or closed, meaning it is either affected by environmental
impact or not, determines what management approach is better suited.
 Contingency Approach
• The contingency approach is a management theory that suggest the most
appropriate style of management is dependent on the context of the situation
and that adopting a single, rigid style is inefficient in the long term.
• Contingency managers typically pay attention to both the situation and their
own style and make efforts to ensure both interact efficiently.
• The contingency approach contrast with other forms of leadership, such
as trait-based management , whereby personality and individual make up
predict patterns of management and responses to given situations over time.
 Organizational Learning Theory
• The organizational learning theory is a process which focuses on how
knowledge is created and how it's used within the organization
• A key concept in this theory is that learning occurs from our interactions
when we are detecting and correcting errors.