Management in Ancient World Management in Ancient World Sumerian Civilization which flourished some 5000 years ago, contained evidence of management practices. As early as 4000 B.C. the Egyptians were aware of the importance of planning, organizing and controlling. One pyramid required 1,00,000 men working for 20 years, covering 13 acres, using 2.3 million blocks, each weighing an average of 2.5 tons. Management in Ancient World • The Romans who build a vast empire extending from Britain in the west to Syria in the east rules it for many years only because of their superior and advanced managerial abilities. • • 321 B.C in India, Kautilya’s Artshashtra indicates a major political, social and economic management. • • The study of administration of the cities of Mohenjodaro and Harappa provides sufficient evidence about the use of the principles of management. • Management in Ancient World • 20th Century, World War I created the situation compiling people to think how to use limited resources in optimum manner. World War II witnessed growing competition and complexity of managing large business organizations. Taylor (Frederick Winslow) 1856 – 1915 • Father of Scientific Management proved that management could be studied and practiced as a science to raise overall productivity of an industrial unit. • • Started working as machinist and rose to the position of chief engineer after earning a degree in engineering through evening study. CONTD……………………. • • His experience as an apprentice, labour, a foreman, a master mechanic & then a chief engineer of a steel company gave him ample opportunity to know at firs hand problems, attitude of workers and for improving the quality of management. • Tayler’s Principle of Scientific Managmenet • Work standards & practices could be established through experimentation and observation. • Managements duty to determine the kind of work for which an employee was suitable. • Supported internal promotion of employees. • Cordial relation between managers and workers is of great importance. Contribution to ScientificManagement • • Contribution to Scientific Management • • Time and Motion Study • Workers put forth less efforts which results in limited output and low productivity. • Deliberately restricting the output is known as ‘soldiering’ • • Differential Payment • Worker received low piece rate if he produced the standard number of pieces and received high rate if he surpass the standard. Continued………… • • • • • • Recognization of supervision Introduced two new successful concepts Separation of planning Functional foremanship He suggested that the work should be planned by a foreman and not the workers. • • Scientific selection & training • Workers should be placed on right jobs, appropriate training helps to accept challenges and avail promotion opportunities. • Contd…. • Cordial relations between management and workers must prove that their prosperity is dependent on each other. (mental revolution) • Elton Mayo – Human Relations Approach (1930 – 1950) • Employees behavior is influenced by mental attitudes and emotions. • Human and social motivation plays greater role than financial incentives. • Special attention to workers by management helps in raising productivity. • Mayo pointed out that organization is a social system and informal organization is reality. • Successful human relations approach can create harmony, higher employee satisfaction and great operation efficiency. Phases of Tawthorne Experiments Illumination Experiments (The intensity of light was increased and decreased) surprisingly productivity increased even when the level of illumination was decreased. It was concluded that factors other than light were important. Contd……. • Relay assembly Test Room Study – Six female telephone relay assemblers were placed in separate rooms. Changes were made in working hours, rest period, lunch break time to time. Output increased. • It was concluded that social relationship among workers had greater effect on productivity rather than working conditions. Mass Interviewing Programme 21000 employees were interviewed over a period of time to find out reasons for increased productivity. Concluded that if workers are allowed to talk freely about matters that are important to them productivity increases. Bank wiring observation Room Experiment A group of 14 male workers were put under observation for a period of six months. Concluded the group had established its own standards of output and these standards were implemented through social pressure. • Elton Mayo – Human Relations Appraoch (1930 – 1950) • • Employees behavior is influenced by mental attitudes and emotions. • Human and social motivation plays greater role than financial incentives. • Special attention to workers by management helps in raising productivity. • Mayo pointed out that organization is a social system and informal organization is reality. • Successful human relations approach can create harmony, higher employee satisfaction and great operation efficiency.