EVOLUTION OF

MANAGEMENT
THEORIES
20XX Pitch Deck 2
 Evolution
Defined as slow stages of growth and development, by
starting from simple forms to more complex forms.
in management theories, evolution can be applied in
which it evolves from simple improvement of work
methods to more complex ones which focus not only on
work method improvement, but also on customer
satisfaction and the conduct of people at work.
 Definition of Terms
Management Theories Management Process

 The coordinating and

 Theories that overseeing of the work
help improve the performance of individuals
working together in
management organizations so that they could
process. efficiently and effectively
accomplish their chosen goals.
 Management Theories
1. Scientific Management Theory
2. Administrative Management Theory

3. Bureaucratic Theory

4. Total Quality Management (TQM)

5. Organizational Behavior (OB) Approach

1. Scientific Management Theory

 introduced by Frederick W. Taylor, who is also known as “The Father of

Scientific Management”
 apply scientific approach in doing a task
-It follows a step by step procedure in performing a specialized task in
order to expedite the process that will increase worker’s productivity
and establish the “best way” of doing the task.
 introduce the concept of a “Fair Day’s Pay for Fair Day’s Work”
- this means that workers must be paid according to the amount
produced. Taylor wants to encourage improved productivity through
monetary compensation. (piece rate system)
1. Scientific Management Theory

 Frederick W. Taylor introduce the Scientific Management

Principle:
1. “Time and Motion” study
2. Scientifically select and then train, teach and develop the workers.
3. Heartily cooperate with the workers so as to ensure that all work
is done in accordance with principles of science that has been
developed.
4. Divide work and responsibility almost equally between the
management and the workers.
2. Administrative Management Theory

 developed by Henri Fayol, who is known as “The Father of Modern

Management”
 focus on the efficient implementation of organizational management
practices
- It emphasizes on how managers perform his managerial functions
that will both benefit the organization and the employees
 promotes top-down approach.
- This means that the command will come from the top management
downwards to the last level of the organizational structure
2. Administrative Management Theory
1. Division of Labor
2. Authority and Responsibility
3. Discipline
4. Unity of Command
5. Unity of Direction
6. Subordination of Individual
Interest
7. Remuneration
8. Centralization
9. Scalar Chain of Authority
10. Maintenance of Order
11. Equity/fairness
12. Stability/Security of Tenure
13. Employee Initiative to General
Interest
14. Promotion of team spirit or
Esprit de Corps
3. Bureaucratic Theory

Introduced by Max Weber

Management is defined by clear set of rules
-this theory believes that good performance can
be derived when there are detailed rules that
govern all employees how they should behave
and be treated.
3. Bureaucratic Theory

Detailed Rules That Govern All Employees How They

Should Behave And Be Treated.
1. Division of labor - it means that tasks are being divided among
employees and the organization and take accountable for their
individual or group performance.
2. Promotes formal and informal relations - in this way everyone
is treated fairly and in accordance with the defined rules, this will
also to avoid favoritism
3. Bureaucratic Theory

Detailed Rules That Govern All Employees How They

Should Behave And Be Treated.
 Develops a clear hierarchical structure of authority - it means that each level in the
hierarchy have authority that comes with the position and not with the person, for
example a subordinate cannot give orders to the manager even if he/she is the son of
the owner of the company because the position of the subordinates does not hold
such authority.
 Follows a legal- rational approach - this means that managers make objective
decisions in accordance with the defined rules and regulations and without bias. For
example: the manager will have to promote an employee, he/she will perform the
process based on the qualifications, expertise and performance of the personnel and
not because of personal reasons.
3. Total Quality Management (TQM)

 proposed by quality experts, W. Edwards Deming and Joseph

M. Juran
 focus on customer satisfaction both external and internal - this
theory give emphasis on how to meet the needs and demands of
the external customers in terms of providing quality products
and services and at the same time the internal which are the
employees through providing continuous development and
rewards system.
3. Total Quality Management (TQM)

 promotes the continuous improvement in the quality of both

the products and services as well as the people - this means
that constant improvement of the products through continuous
market research are being considered to be able to meet the
increasing demand of the customers and for the employees, by
providing them with various seminars and trainings that will
further develop their skills and abilities as well their
performance that will contribute to the company’s competitive
edge in terms of its profitability and sustainability
3. Total Quality Management (TQM)

Demings’s 14 Points for Top Management

1. Create constancy of purpose for improvement of products and services.
2. Adopt the new TQM philosophy
3. Cease dependence on mass inspection by doing things right and doing it
right the first time.
4. End the practice of awarding business on the basis of price tag alone.
5. Constantly improve the system of production and services.
6. Institute training
7. Adopt and institute leadership
3. Total Quality Management (TQM)

Demings’s 14 Points for Top Management

8. Drive out fear.

9. Break down barriers between staff areas.
10. Eliminate slogans, focus on correction of defects in the system.
11. Eliminate numerical quota for the work force.
12. Remove barriers that rob people of “pride of workmanship”.
13. Encourage education and self-improvement for everyone.
14. Take action to accomplish the transformation.
3. Total Quality Management (TQM)

Juran’s Fitness of Quality

1. Quality of Design – through market research, product, and

concept.
2. Quality of Conformance – through management, manpower,
and technology.
3. Availability – through reliability, maintainability, and logistic
support.
4. Full service – through promptness, competence, and integrity.
3. Total Quality Management (TQM)

Juran’s Quality Planning Roadmap

1. Identify your customers.
2. Determine their needs.
3. Translate them into one’s language.
4. Develop a product that can respond to needs.
5. Develop processes which are able to produce those product
features.
6. Prove that the process can produce the product.
7. Transfer the resulting plans to the operating forces.
. Organizational Behavior (OB) Approach
 supported by Robert Owen, Mary Parker Follett, Hugo
Munsterberg and Chester Barnard
 focus on analyzing and understanding the behavior of people
within their groups and at work - this is a very important task
for the managers to consider in order to create an
organizational culture that encourage continuous growth and
development among their people and influences and shapes
their behaviors in a manner that will contribute in the
realization of the organizational objectives.
. Organizational Behavior (OB) Approach
 recognize the psycho-social aspects of every employees - this theory also give
emphasis on the various needs of every individual and how their behavior affects
their way in dealing with other people so that manager can initiate actions and
make crucial decisions that will help satisfying those needs and enables them to
perform well on their jobs and be more productive to support the company’s goals.
promotes human relations that helps people to learn how to get along well with
others
 - if every individual understands each other it will be easy for them to cooperate
and to work harmoniously with one another towards the attainment of
organizational goals. Also, if the employee feels the sense of belongingness and
importance within the group as well as with the organization they worked in, it
boosts their morale and they are likely to become more productive.