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Lecture 5

Week 5

6 Pages

Global Management Studies
Course Code
GMS 200
Robert Hudyma

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Chapter 2 – Past to Present History of management has be grouped into five eras or phases of development, which are the classical management approach, behavioural management, quantitative management approach modern era of management theory and continuing management themes Classical Management Approaches 1) Scientific management 2) Administrative principles 3) Bureaucratic organization Scientific Management - In 19111 Frederick W Taylor, father of scientific management, published The Principles of scientific management and making a statement “ the principal object should be to secure maximum prosperity for the employer, coupled with the maximum prosperity for the employee Scientific management - emphasizes careful selections and training workers and support with an emphasis on improving efficiency Taylor’s approach is known as scientific and includes these four guiding action principles 1) Develop for every job a “science” that includes rules of motion, standardized work implements and proper working conditions 2) Carefully selected worker with the right abilities for the job 3) Carefully train the workers and give them the proper incentives 4) Support workers by carefully planning their work and by smoothing the way as they go about their jobs Motion study – is the science study of reducing a task to its basic physical motion Two contemporaries of Taylor and The Gilbreths pioneered motion studies as a managerial tool Administrative principles - Attempts to document and understand that experiences of successful managers - Two writers in this school of through were Henri Fayol and Mary Parker Follett Henri Fayol suggested that managers should learn what are now known as the management functions of planning, organizing, controlling and leading and she identified principles of management, which are: 1) Division of Labour – continuous improvements in skills and methods 2) Authority – Worker should know that manager have the right to give orders 3) Discipline – Respect, no slacking, good behaviour and no bending the rules 4) Unity of Command, each worker should only have one manager 5) Unity of Direction – workers work toward a single plan 6) Subordination of Individuals Interest – only work issues should be taken into consideration 7) Remuneration – fair payment 8) Decision are primarily made from the top 9) Scalar Chain – Organizations must have clear, formal chains of command running from the top to bottom 10)Order – there a place for everything 11) Equity – Managers should be kind and fair 12)Personal Tenure – Unnecessary turnover is to be avoided, and there should be lifetime employment for good workers 13)Initiative – Undertake worker with zeal and energy 14)Esprit de corps – Work to build harmony and cohesion among personnel Mary Parker Follett - One of the most important women America has yet produced in the fields of civics and sociology - Bureaucratic Organization Max Weber was concerned that people were in positions of authority not because of job- related capabilities but because of their social standing or privileged status in German society Bureaucracy – is a relational and efficient form of organizations founded on logic, order and legitimate authority The defining characteristics of Weber’s bureaucratic organization are as follow: Clear divisions of labour – lobs are well defined and workers are highly skilled at performing them Clear hierarchy of authority – Authority and responsibility are well defined for each position and each position reports to a higher-level one Formal Rules and procedures – written guidelines direct behaviour and decisions in jobs and written file are kept for historical records Impersonality – rules and procedures are impartially and uniformly applied with one receiving preferential treatment Careers based on merit – workers are selected and promoted on ability and performance and managers are career employees of the organization Advantages on bureaucracies - Efficiency in utilizing resources and of fairness or equity in the treatment of employees and clients Disadvantages on bureaucracies - Excessive paperwork, slowness in handling problems, rigidity in face of shifting customer or client needs, resistance to change and employee apathy Behavioural Management Approaches (Hawthorne studies and Theory of human needs) Human resource approaches (Theory X and Theory Y and Personality and organizations) Pg 38 The Hawthorne studies and human relations - Is the study to see if how economics incentives and the physical conditions of the workplace affected the output of workers - The study was directed to human interactions in the workplace and ultimately had a major influence on the field of management - The studies were conducted by a team led by Harvard Elton Mayo Relay Assembly Test Studies Two factors were singled out as having special importance - One was the group atmosphere - Second was more participative supervision Test-room workers were made to feel important, were given a lot of information’s and were frequently asked for their opinion Employee Attitudes, Interpersonal Relations and Group Process Interest in human factor was broadened to include employee attitudes, interpersonal relations and group process 1) Interviewed 21000 workers to learn what they liked and disliked about their workplace, result was same thing (work conditions and wages…..) 2) Second test was conducted in a bank wiring room and centred on the role of the work group and found that people would restrict their output to avoid displeasure of the group and sacrificing pay Lessons of Hawthorne Studies Hawthorne effect – the tendency of people singled out for special attention to perform as expected Human relations movement – suggests that managers using good human relations will achieve productivity Organizational Behaviour – the study of individuals
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