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ORGANIZATION
&
MANAGEMENT
WEEK 2
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Theories and Pioneering
ideas in the
Management
REVIEW ABOUT
LAST DISCUSSION
LEARNING OBJECTIVES
 Demonstrate an understanding of the basic concepts and
theories of management.
 Apply management theories and concepts in solving business
cases.
Management Theories
Pre-classical
Contributors
Classical
Viewpoint
Behavioral
viewpoint
Quantitative
viewpoint
Contemporary
viewpoint
Scientific
management
Early behaviorist
Management
science
System theories
Bureaucratic
management
Hawthorne studies
Operations
management
Contingency theories
Administrative
management
Human relations
movement
Management
Information system
Emerging view
Behavioral science
Pre-Classical Contributors
Robert Owen
• British entrepreneur (1771-1858)
• To recognized the important of HR
• Interested working living condition of
workers.
• Tried to improve the living of workers
• To be radical
Pre-Classical Contribution
Charles Babbage (1792-1871)
• English Mathematician
• As father of computers
• To enthralled: work specialization
• A bonus and a portion of wages
Pre-Classical contribution
• Henry R. Towne (1844 – 1924)
• American Mechanical Engineer and
Business
• Known as early systemize of
management
• To run an organization effectively: good
engineer skill plus good business skills
Pre-Classical Contribution
• SunTzu 500 BC
• Chinese Military General, strategist
and Philosopher
• Subjects: Military strategy
Classical Viewpoint
• Frederick Winslow Taylor
• 1856-1915 (Philadelphia)
• The Father of Scientific Management
Classical Viewpoint
• Henry Laurence Gantt
• 1861-1919 (American)
• Mechanical Engineer and
Management Consultant
Classical Viewpoint
• Max Weber
• 1864-1920 (German)
• Sociologists, Professor, consultant,
Author
• Theory of Bureaucracy
Classical Viewpoint
• Henry Fayol (French)
• (1841-1925)
• Industrialist, Engineer
• Father of Modern Management
Theory
14 Principles of Henry Fayol
Division of
work
interest
Order
Figure 2.1
Authority and
responsibility
remuneration
Equity
Discipline
Centralization
Stability of
tenure
Unity of
direction
Scalar chain
Initiative
Esprit De
Corp
Classical Viewpoint
• Chester Irving Barnard (American)
• Business executive, public
administrator, and the author of
pioneering work in management theory
and organizational studies.
• The Functions of the Executive (1938)
Behavioral viewpoint
• Hugo Mȕnsterberg (1912)
• German-American Psychologist
Behavioral Viewpoint
• Mary Parker Follet
• American
• Social worker, Management Consultant,
Philosopher and pioneer in the fields of
organizational theory and organizational
behavior.
Behavioral Viewpoint
• Elton Mayo and F.J. Roethlishberger
• 1927-1932
• Hawthorne Experiment
Human Relation Movement
• Abraham Maslow (American)
• Maslow’s Hierarchy of Needs
Maslow’s Hierarchy of Needs
Figure 2.2
Self-actualization
Esteem
Love/belonging
Safety
Physiological
Human Relation Movements
• Douglas McGregor
• (1906-1964)
• Theory X
• Theory Y
Behavioral Science Approach
• Behavioral Science Approach is an extension of the Human
Relations Approach.
• It gave importance to attitudes, behavior and performance of
individuals and groups in the organizations.
Assumptions of Behavioral Science
Approach
1. Organizations are socio-technical systems. The management must
integrate both the systems.
2. Work and interpersonal behavior of people in the organization is
influenced by many factors.
3. Employees are motivated not only by physiological needs but also
by social and psychological needs.
Assumption of Behavioral Science
Approach
4. Different people have different perceptions, attitudes, needs and
values. These differences must be found out and recognized by
management.
5. In an organization conflicts are unavoidable.
6. Personal goals and Organizational goals must be joined together.
Quantitative View Point
• Management Science or Mathematical
• Operations Management
• Management Information System
Management science (or Operational
research)
• Management science (operational research) is an approach
aimed at increasing decision effectiveness through the use of
sophisticated mathematical and statistical methods.
Operations Management
• Operations Management is the function or field of expertise
that is primarily responsible for production and delivery of an
organization’s products and services.
Management Information System(MIS)
• It described as 'lives' in the space that intersects technology
and business.
• MIS combines tech with business to get people the information
they need to do their jobs better/faster/smarter.
• MIS
professionals
work
as
systems
managers, systems administrators, etc.
analysts,
project
Contemporary Viewpoints
• System Theories
• Contingency Theories
• Emerging View
The system theory
• The system theory approach is based on the notion that
organizations can be visualized as systems of interrelated parts
or subsystems that operate as a whole in pursuit of common
goals.
Contingency Approach
• Contingency approach managerial practice depends on
circumstances. Contingency theory recognizes the influence of
given solutions on organizational behavior patterns.
Emerging View
Concepts and practices are shaping today’s management and
changing the way that manager do their jobs:
1. Globalization
2. Entrepreneurship
3.Managing in an E-Business World
4.Need for Innovation and Flexibility
Emerging View (cont’d..)
5. Quality Management Systems
6. Learning Organization and knowledge management
7. Theory Z : William Ouchi's