Management 11e
John Schermerhorn
Chapter 2
Management Learning
Past to Present
1
Planning Ahead — Chapter 2 Study Questions
1. What can be learned from classical
management thinking?
2. What insights come from behavioral
management approaches?
3. What are the foundations of modern
management thinking?
Figure 2.1 Major branches in the classical approach to
management
Study Question 1: What can be learned from classical management
thinking?
 Scientific management (Frederick Taylor)
 Develop rules of motion, standardized work
implements, and proper working conditions for every
job
 Carefully select workers with the
right abilities for the job
 Carefully train workers and provide
proper incentives
 Support workers by carefully
planning their work and removing
obstacles
4
Study Question 1: What can be learned from classical management
thinking?
 Scientific management (the Gilbreths)
 Motion study
 Science of reducing a job or task to its basic
physical motions
 Eliminating wasted motions improves
performance
Study Question 1: What can be learned from classical management
thinking?
 Practical lessons from scientific management
 Make results-based compensation a performance
incentive
 Carefully design jobs with efficient work methods
 Carefully select workers with the abilities to do these
jobs
 Train workers to perform jobs to the best of their
abilities
 Train supervisors to support workers so they can
perform jobs to the best of their abilities
Study Question 1: What can be learned from classical management
thinking?
 Administrative principles (Henri Fayol) —
rules of management:
Foresight
to complete
a plan of
action for
the future
Organization
to provide
and mobilize
resources to
implement
the plan
Command
Coordination
Control
to lead,
select, and
evaluate
workers to
get the best
work toward
the plan
to fit diverse
efforts
together and
ensure
information
is shared
and
problems
solved
to make
sure things
happen
according to
plan and to
take
necessary
corrective
action
Study Question 1: What can be learned from classical management
thinking?
 Administrative principles (Henri Fayol)
 Scalar chain
 there should be a clear and unbroken line of
communication from the top to the bottom of the
organization
 Unity of command
 each person should receive orders from only one boss
 Unity of direction
 one person should be in charge of all activities with
the same performance objective
Study Question 1: What can be learned from classical management
thinking?
 Bureaucratic organization (Max Weber)
 Bureaucracy
 An ideal, intentionally rational, and very efficient
form of organization
 Based on principles of logic,
order, and legitimate
authority
Study Question 1: What can be learned from classical management
thinking?
 Characteristics of bureaucratic
organizations:
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Clear division of labor
Clear hierarchy of authority
Formal rules and procedures
Impersonality
Careers based on merit
10
Study Question 1: What can be learned from classical management
thinking?
 Possible disadvantages of bureaucracy:

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Excessive paperwork or “red tape”
Slowness in handling problems
Rigidity in the face of shifting needs
Resistance to change
Employee apathy
Chapter 2
11
Figure 2.2 Foundations in the behavioral or human resource
approaches to management
Hawthorne
studies
Elton Mayo
Theory of
human needs
Abraham
Maslow
Organizations
as
communities
Mary Parker
Follett
Human
resource
approaches
Assumption:
People are
social and selfactualizing
Theory X and
Theory Y
Douglas
McGregor
Personality
and
organization
Chris Argyris
Study Question 2: What insights come from the behavioral management
approaches?
 Behavioral Management - human
resource approaches include:
 Hawthorne studies
 Maslow’s theory of human needs
 Mary Parker Follett’s Organizations as
communities
 McGregor’s Theory X and Theory Y
 Argyris’s theory of adult personality
Study Question 2: What insights come from the behavioral
management approaches?
 Organizations as communities
– Mary Parker Follett
 Groups and human cooperation:
 Groups allow individuals to combine their talents for a
greater good
 Organizations are cooperating “communities” of managers
and workers
 Manager’s job is to help
people cooperate and
achieve an integration of
interests
Study Question 1: What can be learned from classical management
thinking?
 Organizations as communities
 Forward-looking management insights:
Making every employee
an owner creates a
sense of collective
responsibility
Business problems
involve a variety of
inter-related factors
Private profits relative to
public good
• precursor of employee ownership,
profit sharing, and gain-sharing
• precursor of systems thinking
• precursor of managerial ethics and
social responsibility
Study Question 2: What insights come from the behavioral management
approaches?
 Hawthorne studies
 Initial study examined how economic
incentives and physical conditions affected
worker output
 No consistent relationship found
 “Psychological factors” influenced results
Study Question 2: What insights come from the behavioral management
approaches?
 Hawthorne studies (cont.)
 Relay assembly test-room studies
 Manipulated physical work conditions to assess
impact on output
 Designed to minimize the “psychological factors”
of previous experiment
 Factors that accounted for increased productivity:
 Group atmosphere
 Participative supervision
Study Question 2: What insights come from the behavioral management
approaches?
 Hawthorne studies (cont.)
 Employee attitudes, interpersonal relations
and group processes
 Some things satisfied some workers but not
others
 People restricted output to adhere to group norms
Study Question 2: What insights come from the behavioral management
approaches?
 Lessons from the Hawthorne Studies:
 Social and human concerns are keys to
productivity
 Hawthorne effect — people who are singled
out for special attention perform as expected
Study Question 2: What insights come from the behavioral
management approaches?
 Maslow’s theory of human needs
 A need is a physiological or psychological
deficiency a person feels compelled to satisfy
 Need levels:
 Physiological
 Safety
 Social
 Esteem
 Self-actualization
Figure 2.3 Maslow’s hierarchy of human needs
Study Question 2: What insights come from the behavioral
management approaches?
 Maslow’s theory of human needs
 Deficit principle
 A satisfied need is not a motivator of behavior
 Progression principle
 A need becomes a motivator once the preceding
lower-level need is satisfied
 Both principles cease to operate at selfactualization level
Study Question 2: What insights come from the behavioral
management approaches?
 McGregor’s Theory X assumes that
workers:
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Dislike work
Lack ambition
Are irresponsible
Resist change
Prefer to be led
Study Question 2: What insights come from the behavioral
management approaches?
 McGregor’s Theory Y assumes that
workers are:
 Willing to work
 Capable of self control
 Willing to accept
responsibility
 Imaginative and creative
 Capable of self-direction
Study Question 2: What insights come from the behavioral
management approaches?
 Implications of Theory X and Theory Y:
 Managers create self-fulfilling prophecies
 Theory X managers create situations where
workers become dependent and reluctant
 Theory Y managers create situations where
workers respond with initiative and high
performance
 Central to notions of empowerment and selfmanagement
Study Question 2: What insights come from the behavioral
management approaches?
 Argyris’s theory of adult personality
 Classical management principles and
practices inhibit worker maturation and are
inconsistent with the mature adult personality
Study Question 2: What insights come from the behavioral
management approaches?
 Argyris’s theory of adult personality
 Management practices should accommodate
the mature personality by:
 Increasing task responsibility
 Increasing task variety
 Using participative
decision making
Study Question 3: What are the foundations of modern management
thinking?
 Foundations for continuing developments
in management
Quantitative analysis and tools
Systems view of organizations
Contingency thinking
Commitment to quality and performance
Knowledge management and learning organizations
Evidence-based management
Study Question 3: What are the foundations of modern management
thinking?
 Management science or operations research
Quality
control
Inventory
management
Queuing
theory
Supply chain
management
Value chain
analysis
Linear
programming
The scientific
applications of
mathematical
techniques to
management
problems
Network
models
Study Question 3: What are the foundations of modern management
thinking?
 Management science or operations
research
 Queuing theory allocates service
personnel/workstations to minimize service cost
and customer waiting time
 Network models break large tasks into smaller
components for for better coordination
 Simulations create problem models to test
different solutions
Study Question 3: What are the foundations of modern management
thinking?
 Operations management is the study of
how organizations produce goods and
services
Study Question 3: What are the foundations of modern management
thinking?
 Organizations as Systems
 System
 Collection of interrelated parts that function
together to achieve a common purpose
 Subsystem
 A smaller component of a larger system
 Open systems
 Organizations that interact with their
environments in the continual process of
transforming resource inputs into outputs
Figure 2.4 Organizations as complex networks of interacting
subsystems
Study Question 3: What are the foundations of modern management
thinking?
 Contingency thinking
 Tries to match managerial responses with
problems and opportunities
unique to different situations
 No “one best way” to manage
 Appropriate way to manage
depends on the situation
Study Question 3: What are the foundations of modern management
thinking?
 Quality and performance excellence
 Managers and workers in progressive
organizations are quality conscious
 Quality and competitive advantage are linked
 Total quality management (TQM)
 Comprehensive approach to continuous quality
improvement for a total organization
 Creates context for the value chain
Study Question 3: What are the foundations of modern management
thinking?
 Quality and performance excellence
 ISO certification
 Global quality benchmark
 Refine and upgrade quality to meet ISO
standards
 Continuous improvement
 Continual search for new ways to improve quality
 Something always can and should be improved
Study Question 3: What are the foundations of modern management
thinking?
 Knowledge Management and
Organizational Learning
 Knowledge management is the process of
using intellectual capital for competitive
advantage
 Portfolio of intellectual assets include
patents, intellectual property rights, trade
secrets, and accumulated knowledge of the
entire workforce
Study Question 3: What are the foundations of modern management
thinking?
 Learning organizations
 Organizations that are able to continually
learn and adapt to new circumstances
 Core ingredients include:
Mental
models
Personal
mastery
Systems
thinking
Shared
vision
Team
learning
Study Question 3: What are the foundations of modern management
thinking?
 Evidence-Based Management
 Making management decisions on “hard
facts” about what really works
Study Question 3: What are the foundations of modern management
thinking?
 Evidence-Based Positive Human
Resource Management Practices
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Employment security
Selective hiring
Self-managing teams
High pay based on merit
Training and development
Reduced status distinctions
Shared information
Chapter 2 Case
 Zara International: Fashion at the speed
of light
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