Chapter 2 The Evolution of Management Hellriegel, Jackson, and Slocum MANAGEMENT: A Competency-Based Approach South-Western College Publishing Copyright © 2002 2.1 Learning Objectives After reading this chapter, you should be able to: Describe the three branches of the traditional viewpoint of management: • Bureaucratic • Scientific • Administrative Explain the behavioral viewpoint’s contribution to management Describe how managers can use systems and quantitative techniques to improve employee performance State the two major components of the contingency viewpoint Explain the impact of the need for quality on management practices Hellriegel, Jackson, and Slocum MANAGEMENT: A Competency-Based Approach South-Western College Publishing Copyright © 2002 2.2 History of Management Thought Quality Viewpoint Contingency Viewpoint Systems Viewpoint Behavioral Viewpoint Traditional Viewpoint 1890 1900 1910 1920 1930 1940 1950 1960 1970 1980 1990 2000 Hellriegel, Jackson, and Slocum MANAGEMENT: A Competency-Based Approach South-Western College Publishing Copyright © 2002 Adapted from Figure 2.1 2.3 Hierarchical Organization Chart Top Manager Middle Manager Middle Manager First-Line Manager First-Line Manager First-Line Manager First-Line Manager Work Group Work Group Work Group Work Group Work Group Hellriegel, Jackson, and Slocum MANAGEMENT: A Competency-Based Approach South-Western College Publishing Copyright © 2002 Work Group Work Group Work Group Adapted from Figure 2.2 2.4 Continuum of Bureaucratic Orientation Amazon.com Pepsi-Cola Cisco Systems Procter & Gamble Starbucks Sony Low Bureaucratic Structure Hellriegel, Jackson, and Slocum MANAGEMENT: A Competency-Based Approach South-Western College Publishing Copyright © 2002 Mid-Range Bureaucracy IRS Blockbuster Video McDonald’s High Bureaucratic Orientation Adapted from Figure 2.3 2.5 Characteristics of Traditional Management Bureaucratic Management Traditional Management Scientific Management Administrative Characteristics • Rules • Impersonality • Division of Labor • Hierarchy • Authority Structure • Lifelong Career Commitment • Rationality Administrative Characteristics • Training in routines and rules • “One Best Way” • Financial Motivation Administrative Characteristics • Defining of management functions • Division of Labor • Hierarchy • Authority • Equity Focus • Whole Organization Focus • Employee Focus • Manager Hellriegel, Jackson, and Slocum MANAGEMENT: A Competency-Based Approach South-Western College Publishing Copyright © 2002 Adapted from Table 2.1 2.6 Characteristics of Traditional Management (cont.) Bureaucratic Management Traditional Management Scientific Management Benefits Benefits Productivity Efficiency Benefits Clear structure Professionalization of managerial roles Drawbacks Overlooks social needs Drawbacks Internal focus Overemphasizes rational behavior of managers Consistency Efficiency Drawbacks Rigidity Slowness Hellriegel, Jackson, and Slocum MANAGEMENT: A Competency-Based Approach South-Western College Publishing Copyright © 2002 Adapted from Table 2.1 2.7 Basic Systems View of Organization Environment INPUTS Human, physical, financial, and information resources Hellriegel, Jackson, and Slocum MANAGEMENT: A Competency-Based Approach South-Western College Publishing Copyright © 2002 TRANSFORMATION PROCESS OUTPUTS Products and Services Feedback loops Adapted from Figure 2.4 2.8 Contingency Viewpoint • • • Behavioral Viewpoint How managers influence others: Informal Group Cooperation among employees Employees’ social needs Systems Viewpoint How the parts fit together: • Inputs • Transformations • Outputs Traditional Viewpoint What managers do: • Plan • Organize • Lead • Control Contingency Viewpoint Hellriegel, Jackson, and Slocum MANAGEMENT: A Competency-Based Approach South-Western College Publishing Copyright © 2002 Managers’ use of other viewpoints to solve problems involving: • External environment • Technology • Individuals Adapted from Figure 2.5 2.09 Importance of Quality Positive Company Image Lower Costs & Higher Market Share QUALITY Decreased Product Liability Hellriegel, Jackson, and Slocum MANAGEMENT: A Competency-Based Approach South-Western College Publishing Copyright © 2002 Adapted from Figure 2.6 2.10 Integration of Management Viewpoints and Competencies Managerial Competency Communication Planning and administration Strategic action Self-management Global awareness Teamwork Management Viewpoint Traditional Behavioral X Systems X X Contingency X Quality X X X X X X X X X X X = relatively high importance Hellriegel, Jackson, and Slocum MANAGEMENT: A Competency-Based Approach South-Western College Publishing Copyright © 2002 Adapted from Table 2.3