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Oct.1 2013.docx

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Matthew Archibald

ADM1300 B Oct, 1 , 2013 YUJIE YI #7038840 CEO in Residence  Paul Vallee, Founder and Executive Chairman of Pythian  What the Paul has to say! (MIDTERM EXAM)  Company focus is on remote database services and consulting (IT space) th  By the time he was 25, was on his 4 , business The Evolution of Management Thought Agenda  ClassicalApproach (1880- 1920)  BehaviouralApproach (1930’)  ContemporaryApproaches (1950 - 1980’s)  Emerging Practices (1990’s – 2000’s) ClassicalApproach – Systematic Management  Adam Smith – 1776 – The Wealth of Nations  Advocate of systemization  Efficiency and effectiveness  Division of labour  Develop the entire tasks into specific roles  Productivity 1/8  How best we are going to improve the productivity  10 workers = 48,000 pins … 1 worker = 10 pins  Focused on defining duties and responsibilities  Led to Scientific Management  Scientific Management – study of relationships between people and tasks to increase efficiency: F.W. Taylor  How can management increase the level of worker productivity and motivation?  Philosophy:  One best way to do task ex: “how much load should I use”  Used $ as incentive ( the better/ harder you work, the better person you’ll be; the more you produce, the more you get paid)  Piece-rate system  Benefits: productivity did improve, efficiency  Problems: oversimplification, increased work pressures (time limit vs. quality control), no human element ClassicalApproach – Administrative Management Theory  Study of how to create organizational structure that leads to high efficiency and effectiveness  Henri Fayol (4 functions of manager: planning, organization, leading, controlling)  Philosophy  Management is a universal process…(comes out of management principles)  Fit the person to the job  Workers should accept management’s decision without question ADM1300 B Oct, 1 , 2013 YUJIE YI #7038840 Fayol’s Principles (14) 1. Division of Labour: allows for job specialization to increase efficiency 2. Authority and Responsibility: included both formal and informal authority resulting from special expertise  Formal authority: positional authority  Informal authority: the particular level of the exploitee 3. Unity of Command: Employees should have only one boss 4. Line of Authority: a clear chain from top to bottom of the firm (who oppose to who) 5. Centralization: the degree to which authority rests at the very top 6. Unity of Direction: one plan of action to guide organization 7. Equity: treat all employees fairly 8. Order: each employee is placed where they have the most value 9. Initiative: encourage innovation 10. Discipline: obedient, respectful employees needed 11. Remuneration of Personnel: the payment system contributes to success 12. Stability of Tenure: long term employment is important 13. General interest over individual interest: organization over individual 14. Esprit de corps: share enthusiasm for organization Administration Management Problems  Based on observation 3 /8  Concerned primarily with structure of the organization The BehaviouralApproach  1930’s  Philosophy: change management emphasis from productivity to human element  Hawthorne Plant Studies – Elton Mayo  Study: illumination will affect productivity  Infect the level of illumination, the worker become more efficient  Result of Hawthorne Plant Studies Hawthorne Plant Studies  No matter what was done, productivity increased… WHY?  Cohesive Work Group Developed  You feel that you are the special 
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