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Chapter 2

Chapter 2

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Global Management Studies
GMS 200
Sui Sui

Chapter 2 Classical management approaches • 3 classical approaches (1) Scientific management – emphasizes careful selection and training of workers and supervisory support with an emphasis on improving efficiency - four guiding action principles: 1. Develop for every job a “science” (rules, motion study, proper working conditions) * motion study – science of reducing task to its basic physical motions 2. Carefully select workers with right capabilities for the job 3. Carefully train workers; provide appropriate incentives 4. Support workers - “The principal object of management should be to secure maximum prosperity for the employer, coupled with the maximum prosperity for the employee.” – Frederick W. Taylor - efficiency and performance losses can be corrected if workers are taught to do their work correctly by their supervisors - for overall employee productivity improvement (2) Administrative principles - Henri Fayol’s 14 principles (Page 35 – Page 36) - Henri believe that management skills could be taught - five “rules/duties” of management: 1. Foresight – to complete a plan of action for the future 2. Organization – to provide and mobilize resources to implement the plan 3. Command – to lead, select, and evaluate workers to get the best work toward plan 4. Coordination – to fit diverse work efforts together; ensure problems are solved 5. Control – to make sure things happen according to plan; necessary corrective actions - Mary Parker Follet: believed that making every employee an owner in the business would create feelings of collective responsibility; through employee ownership, profit- sharing, etc. (3) Bureaucratic organizations - bureaucracy – rational and efficient form of organization founded on logic, order www.notesolution.com and legitimate authority - characteristics of Weber’s bureaucratic organization are as follows: 1. Clear division of labour: jobs are well defined; workers become skilled 2. Clear hierarchy of authority: authority and responsibility are well-define at all levels 3. Formal rules and procedures: written guidelines direct behaviour; historical records 4. Impersonality: rules and procedures applied with no preferential treatment 5. Careers based on merit: workers are selected and promoted on performance - Disadvantage of bureaucracy: 1. Excessive paperwork (“red tape”) 2. Slowness in handling problems 3. Rigidity in the face of shifting needs 4. Resistance to change 5. Employee apathy Behavioural Management Approaches • The Hawthorne studies and human resources - sought to determine how economic incentives and physical conditions of the workplace affected the output of workers - helped shift attention of management and management researchers away from the technical and structural concerns of the classical approach and toward social and human concerns as keys to productivity - hawthorne effect – tendency of people who are singled out for special attention to perform anticipated merely because of expectations created by the situation - human relations movement – suggests that managers using good human relations will achieve productivity - organizational behaviour – study of individuals and groups in organizations • Maslow’s theory of human needs (Abraham Maslow) - need – physiological/psychological deficiency that a person wants to satisfy - five levels of human needs, from lowest to highest: 1. Physiological – most basic of all human needs: need for biological maintenance; food, water and physical well-being 2. Safety needs – need for security, protection, and stability in the events of day-to-day life 3. Social needs – need for love, affection, sense of belongingness in one’s relationships with other people www.notesolution.com 4. Esteem needs – need for esteem in eyes of others; need for respect, prestige, recognition and self-esteem, personal sense of competence, mastery 5. Self-actualization needs – highest level: need for self-fulfillment; to grow and use abilities to fullest and most creative extent - list is made upon two principles:
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