Week 8 – GMS 200 – Past/Present of Management
1. What can be learned from classical management thinking?
2. What ideas were introduced by the human resource approaches?
3. What is the role of quantitative analysis in management?
4. What is unique about the systems view and contingency thinking?
5. What are the continuing management themes of the 21st century?
SQ1: What can be learned from classical management thinking?
Classical approaches to management include:
o Scientific Management
o Administrative principles
o Bureaucratic organization
Figure 2.1 – Major branches in the classical approach to management
Scientific management (Frederick Taylor)
o Father of scientific management, which emphasizes careful
selection and training of workers and supervisory support.
o Develop rules of motion, standardized work implements, and
proper working conditions for every job.
o Carefully select workers with the right abilities for the job.
o Carefully train workers and provide proper incentives.
o Support workers by carefully planning their work and removing
Scientific management (the Gilbreths [Frank and Lillian])
o Motion study
Science of reducing a job or task to its basic physical
www.notesolution.com A management tool (United Parcel Service)
o Eliminating wasted motions improves performance.
Administrative principles (Henri Fayol) — rules of management:
o Foresight — to complete a plan of action for the future.
o Organization — to provide and mobilize resources to
implement the plan.
o Command — to lead, select, and evaluate workers to get the
best work toward the plan.
o Coordination — to fit diverse efforts together and ensure
information is shared and problems solved.
o Control — to make sure things happen according to plan and to
take necessary corrective action.
Administrative principles (Henri Fayol) — key principles of
o Scalar chain — there should be a clear and unbroken line of
communication from the top to the bottom of the organization.
o Unity of command — each person should receive orders from
only one boss.
o Unity of direction — one person should be in charge of all
activities with the same performance objective.
Administrative principles (Mary Parker Follett)
o Groups and human cooperation:
Groups are mechanisms through which individuals can
combine their talents for a greater good.
Organizations are cooperating “communities” of managers
Manager’s job is to help people in the organization
cooperate and achieve an integration of interests.
o Forward-looking management insights:
Making every employee an owner creates a sense of
collective responsibility (precursor of employee ownership,
profit sharing, and gain-sharing)
Business problems involve a variety of inter-related
factors (precursor of systems thinking)
Private profits relative to public good (precursor of
managerial ethics and social responsibility)
Bureaucratic organization (Max Weber)
An ideal, intentionally rational, and very efficient form of
www.notesolution.com Based on principles of logic, order, and legitimate
Characteristics of bureaucratic organizations:
o Clear division of labor
o Clear hierarchy of authority
o Formal rules and procedures
o Careers based on merit
Possible disadvantages of bureaucracy:
o Excessive paperwork or “red tape”
o Slowness in handling problems
o Rigidity in the face of shifting needs
o Resistance to change
o Employee apathy
SQ2: What ideas were introduced by the human resource approaches?
Human resource approaches include:
o Hawthorne studies
o Maslow’s theory of human needs
o McGregor’s Theory X and Theory Y
o Argyris’s theory of adult personality
Figure 2.2 – Foundations in the behavioural or human resource approaches to
o A research program on individual productivity that was
conducted at the Hawthorne Works of Western Electric Company
(today’s Lucent Technologies)
o Initial study examined how economic incentives and physical
conditions affected worker output.
o No consistent relationship found.
www.notesolution.com o “Psychological factors” influenced results.
o Relay assembly test-room studies
Manipulated physical work conditions to assess impact on
Designed to minimize the “psychological factors” of
Factors that accounted for increased productivity:
• Group atmosphere
• Participative supervision
o Employee attitudes, interpersonal relations, and group
Some things satisfied some workers but not others.
People restricted output to adhere to group norms.
o Lessons from the Hawthorne Studies:
Workers perform well when they share pleasant social
relations with one another and when supervision is