Evolution of Management
Thought
Prof. Dr. Rana ÖZEN KUTANİS
Prof. Dr. Rana ÖZEN KUTANİS
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WHAT IS MANAGEMENT?
Some common definitions of management;
• Management is the process of accomplishing
an organization’s goals by working with and
through people, utilizing the resources
available to it.
Prof. Dr. Rana ÖZEN KUTANİS
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WHAT IS MANAGEMENT?
• Management is attainment of organizational
goals in an effective and efficient manner
through planning, organizing, leading and
controlling.
• Management is getting things done by
coordinating and motivating other people.
Prof. Dr. Rana ÖZEN KUTANİS
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WHAT IS AN ORGANIZATION?
• Organization is a social entity that is goal
directed and deliberately structured.
Social entity: being made up of two or more
people.
Goal directed: designed to achieve some
outcomes such as profit or social satisfaction.
Deliberatelty structured: tasks are divided and
responsibility for their performance assigned
to organization members.
Prof. Dr. Rana ÖZEN KUTANİS
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The Evolution of Management
Thougt
Classical
Management
Neo Classical
Management
Economics
1900
1960
Mayo
Mc Gregor
Likert
Post-Modern
Management
Environment
Human
1930
Taylor
Fayol
Weber
Modern
Management
Knowledge
2000
Contingency
Approach
System
Approach
Theory Z
TQM
Prof. Dr. Rana ÖZEN KUTANİS
New
Management
Techniques
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CLASSICAL MANAGEMENT ERA (1900-1930)
“ECONOMICS”
Prof. Dr. Rana ÖZEN KUTANİS
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CLASSICAL MANAGEMENT ERA (1900-1930)
“ECONOMICS”
• Technology,economy and efficiency were the featured
concepts. We can refer to three important people in that era:
F. W. TAYLOR
H. FAYOL
Prof. Dr. Rana ÖZEN KUTANİS
M. WEBER
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CLASSICAL MANAGEMENT ERA (1900-1930)
“ECONOMICS”
• Frederick Taylor: Son of a rich American family.Then he
leaves the law school due to heavy myopia.
• He starts to work as a lathe worker.He improved
productivity by 400% in his first year. He thought and
worked on productivity(output/input) all his life.
• While working at factory he gets a degree in
mechanical engineering and writes a book named “
Principles of Scientific Management”.He cited
production techniques and their effects on productivity
in his book.
• Taylor thougt people as a working being only and
classified peoplee as first class and second class.
• He enabled workers to earn more by producing more
using pierce rate wage.
Prof. Dr. Rana ÖZEN KUTANİS
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CLASSICAL MANAGEMENT ERA (1900-1930)
“ECONOMICS”
• Henry Fayol: French,management theorist. He
published a book about management process and he
defined management functions that are still spoken
today. His perspective of management was through
top management to lower stages.
• He outlined 14 general principles of management.
(principles that could be used by managers to
coordinate the internal activities of organizations).
Prof. Dr. Rana ÖZEN KUTANİS
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CLASSICAL MANAGEMENT ERA (1900-1930)
“ECONOMICS”
• Max Weber: Weber was a German sociologist basicly
advocated bureaucracy approach and he emphasized
the need of bureaucracy for the systemization of
organizations.His ideas grounded organization
theory that is still valid today.
• Various events occured at the end of this era bring
about a new era in management period.Whether
efects of war or world economic crisis or results of
scientific studies called for this new era.
Prof. Dr. Rana ÖZEN KUTANİS
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Prof. Dr. Rana ÖZEN KUTANİS
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NEO-CLASSICAL MANAGEMENT ERA (1930-1960)
“HUMAN”
ELTON MAYO
HAWTHORNE STUDIES
Prof. Dr. Rana ÖZEN KUTANİS
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NEO-CLASSICAL MANAGEMENT ERA (1930-1960)
“HUMAN”
This concept came on scene about 30 years after the
Classical Management Era. The human factor gained
importance,labour unions against Taylor established and
the new era called Neo-Classical Management began.The
terms like economics and technology were neglected.
With the declines in quality of production and
productivity many problems have occured with quality
and labour unions.Human factor gained importance due
to these events.
Prof. Dr. Rana ÖZEN KUTANİS
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NEO-CLASSICAL MANAGEMENT ERA (1930-1960)
“HUMAN”
• Elton Mayo: Mayo and his friends made some
experiments in a factory named Hawthorne.They firstly
investigated how the changes in physical conditions of
work place affect production.
• They made some experiments to determine how the
changes in light,humidity,tempreture of work place
affect the production.
• For instance in Relay Assembly Test Room Experiment
when the level of illumination raised the output had
gone up also when the level of illumination decreased
the output had gone up too.
• As a result of similar various experiments it is
concluded that not only physical conditions affect
production but also group and human psychology.
Prof. Dr. Rana ÖZEN KUTANİS
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NEO-CLASSICAL MANAGEMENT ERA (1930-1960)
“HUMAN”
• Mc Gregor’s Theories X and Y:Theory X’s assumptions
were;human beings dislike work and will avoid if they
can.To set them in motion, threat and direction is
required.Theory Y ‘s assumptions were;human beings like
work and appreciate being productive.The point is to
create work conditions and find the suitible position for
them.
• Mc Gregor married a woman when he was a monk and
took the head of her wife’s company.At first he was
defending X-Type person but he noticed Y-Type in action
and defended Type-Y.
• Besides these researches Likert,Mc Millan and Peter
Drucker’s Behavioral approach named this era.
Prof. Dr. Rana ÖZEN KUTANİS
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MODERN MANAGEMENT ERA (1960-2000)
“ENVIRONMENT AND BALANCE”
• Due
to
showing
much
interest
on
human;scientific improvements could not be
followed and as very important factors for
organizations economics and technology were
neglected.
• To balance the situation, Modern Approach was
developed.With regard to this approach,it is
thought that focusing just on human is not
efficient.To be efficient human factor and
technology must be brought together .
• Examples
of
Modern
Organization
Theories:Theory-Z,Systems
Approach,Contingency Approach,TQM…
Prof. Dr. Rana ÖZEN KUTANİS
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POSTMODERN ERA (2000 +) “KNOWLEDGE”
• Information stand out during this era.
• The idea espoused in this era was not to be a
slave of information but to rule using
information.
• There was a concern about ‘mechanization of
human’
• Aim of this approach is not just ‘machine’,besides
this not to let people forget their humanity.In
other words,it is about producing and using the
information which helps us to use machines more
efficiently.
Prof. Dr. Rana ÖZEN KUTANİS
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THANK YOU…
Prof. Dr. Rana ÖZEN KUTANİS
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