Theories of Management
By: Jeff Koch
Todd Devenburgh
Kate McDermott
Scientific Management
Scientific
management is a method in
management theory that determines
changes to improve labor productivity.
The idea was first coined by Frederick
Winslow Taylor in The Principles of
Scientific Management in 1911
Frederick Winslow Taylor
Developed
the theories of Scientific
Management
His innovations in industrial
engineering, particularly in time and
motion studies, paid off in dramatic
improvements in productivity.
Theory of Scientific Management
Careful
specification and measurement
of all organizational tasks.
Tasks are standardized as much as
possible.
Workers are rewarded and punished
This approach worked well for
organizations with assembly lines and
other mechanistic activities
Criticism of Scientific
Management
That
humans are not inherently alike.
What might be the most efficient way for
one person may not be for someone
else.
Ignores the fact that economic interest
are different for management and
employees.
Operations Management
Henri
Fayol is described as the father of
operations management
Proposed five functions of management
Planning
Organizing
Commanding
Coordinating
Controlling
Difference between Henri Fayol
and Frederick Winslow Taylor
Taylor viewed management processes from the
bottom up, while Fayol viewed it from the top down.
Fayol wrote that "Taylor's approach differs from the
one we have outlined in that he examines the firm
from the "bottom up." he starts with the most
elemental units of activity -- the workers' actions -then studies the effects of their actions on
productivity, devises new methods for making them
more efficient, and applies what he learns at lower
levels to the hierarchy.
14 Principles of Management
Division of Work
Authority
Discipline
Unity of control
Unity of Direction
Subordination of individual interest
Remuneration
Centralization
Scalar chain (Line of Authority)
Order
Equity
Stability of Tenure of Personnel
Initiative
Esprit de Corps
Application of the 14 Principles
Change
and Organization
Decision-making
Skills can be used to improve the
effectiveness of a manager
Understanding the management can be
seen as a variety of activities which can
be listed and grouped
Behavioral Approach to Management
Focused
on Human beings and their
individual rights
Arose
low
after the following were observed:
productivity
lack of modern machinery
limited horsepower availability
anachronistic trade union practices
poor management
Human Relations Theory
Focused
on motivation and employee
care
Found
if employees were satisfied with
their work, they were more apt to
perform better
1880-1949
Conducted Hawthorne
Studies
Mayo’s Conclusions
Work
is a group activity
The
social work of an adult is based on
their work experiences
Workers
need recognition, security, and
a sense of belonging
Mayo’s Conclusions, Cont.
A complaint is usually due to an employee’s
dissatisfaction with his or her status
A worker’s attitude is shaped from forces
inside and outside of the work environment
Informal groups in the workplace improve
employees’ attitudes and productivity
Mayo’s Conclusions, Cont.
The
change from an established society
at home to an adaptive society at work
can create disturbances in the
workforce
Group
work must be planned and
implemented
Human Resources Theory
Focused
on how an employee viewed
their position and work experiences.
Found
that manager’s ways of
managing largely contributed to how an
employee viewed their work.
1906 – 1964
Theory X and Theory Y
Theory X
Average human being dislikes work:
Most employees must be controlled and
threatened before they will perform to the
expectations
Humans like to be directed, dislikes responsibility,
and wants job security
This lead to most organizations using “tough”
management
Bad form of management because the employee needs
the opportunity to fulfill their goals
This led employees to dislike their work
Theory Y
Physical and mental effort at work are very
natural
Employees will be proactive if they are
committed to the company and if the job is
satisfying
Most employees learn to seek out
responsibility
Imagination, creativity, and ingenuity can be
used to solve work problems
Employees are not used to their full capacity
Conclusions on Theory X and
Y
These
two theories are impractical at
the workforce and are very different
McGregor
suggested that managers
look at the theories to start their view of
management
MBO
MBO=Management by Objectives
Top management teams along with employees
together define the company goals and direction
that the company is going.
3 Key components
Specific, achievable, measurable, realistic, time-specific
Goals are not unilateral within management
Managers give objective feedback
MBO
Popularized
by Peter Drucker in 1954.
“Management by objectives works if you
know the objectives. Ninety percent of
the time you don’t.”-Peter F. Drucker
MBO
Works
well within the U.S. culture, but
often fails in others due to different
styles in management
Ex.
French because of their high power
distance
MBO
Works
well because all levels are
involved in achieving the ultimate goal
Path-Goal Theory
Developed
Remove
by Robert House
obstacles
Clarify the path to the goal
Offer rewards
4 Types of Leaders
Achievement Oriented
Leader sets high
goals
High performance
levels
Confident in
expectations being
met
Directive
Tells
them
how to
perform
tasks
What is
expected
Types of Leader (cont.)
Participative
Consults with
others before
making decisions
Uses others
suggestions to
make the final
decision
Supportive
Approachable
Friendly
Needed
when
the follower
lacks
confidence
Questions
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