Evolution of Management Theory 4

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CBMS

FIRST YEAR

STUDENTS

PRINCIPLES OF

MANAGEMENT


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EVOLUTION OF

MANAGEMENT

THEORY


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MEMBERS:

Sr NO. Roll No. Name

1. 107 Ashwini

2. 108 Jonathan Fernandes

3. 150 Rohan Vaidya

4. 149 Kritika

5. 160 Jash

6. 159 Shraddha


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INTRODUCTION:

Management has developed from the timeworld came into existence.

In olden days whenever group activity was

required 2 or more people did the work.They were controlled by an individual.

It can be seen that Management is as old as

the human civilization.It is obvious that a single man cannotperform any task.


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EXAMPLES OF MANAGEMENT IN

ANCIENT TIME

Kautiliyas Arthashastra

Taj Mahal

Great Wall of China

Pyramids of Egypt


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SOME EARLYCONTRIBUTORS

OF

MANAGEMENTTHOUGHT


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ROBERT OWEN

Constructed NEW VIEW OF SOCIETY (1816)

a rallying call for widespread social change.


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CHARLES BABBAGE

He was also a mathematician who gave the DIFFERENCE

MACHINE and the ANALYTICAL MACHINE.


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HENRY ROBINSONTOWNE

Developer of Yale lock. President of Yale and Towne

Manufacturing company. President of the American Society of

Mechanical Engineers


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JAMES WATT JR.MATHEW BOULTON

Boulton established Soho Manufactory. Boulton, needing toimprove the power supply for his machinery, made the

acquaintance of James Watt, who on his side appreciated the

advantages offered by the Soho works for the development of

his steam-engine.


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CHARLES DUPIN

He was a French Catholic mathematician. In 1819 he

was appointed professor at the Conservatoire des Arts

et Mtiers; he kept this post until 1854. In 1826 he

published a thematic map.


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F. W. TAYLOR

He wrote the book PRINCIPLES OF SCIENTIFIC

MANAGEMENT in which he has quoted, In the

past the man has been first; in the future the system

must be first.


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WORK OF FREDERICK W.

TAYLOR [FATHER OF

SCIENTIFIC MANAGEMENT]

(1856-1915)

He observed the work performance ofmanagers and workers.

Greater outputs can be achieved by:

Systematization and

Standardization


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F. W. Taylor says that ScientificManagement consists of philosophy of:

(a) Scientific selection and training ofright workers for the right job.

(b) Providing adequate working

conditions.(c) Providing system of monetary

incentives to efficient workers.

(d) Assumption of responsibilities bymanagers and supervisors and placingworkers according to their experienceand qualification.


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MEANING OF SCIENTIFIC

MANAGEMENT:

It is application of scientific methods of

study and analysis to the problems of

management.It is systematic and thoughtful approach

to the job of management not like rule

of thumb or trial and error approaches.


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DEFINITION OF SCIENTIFIC

MANAGEMENT:

F. W. Taylor says, scientificmanagement means knowing exactly

what do you want your men to do and

seeing that they do it in the best andcheapest way.


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PRINCIPLES OF SCIENTIFIC

MANAGEMENT GIVEN BY TAYLOR:

(a) Science and not rule of thumb

(b) Scientific selection training and

development of workers.

(c) Co-operation between workers and

management.

(d) Equal division of work and

responsibility.(e) Maximum prosperity for both employers

and employees.

(f) Mental revolution.


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TECHNIQUES ORELEMENTS OR

FEATURES OF

SCIENTIFICMANAGEMENT


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Scientific work study

Methodstudy

Motion

studyTime study

Fatiguestudy


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SCIENTIFIC WORKSTUDY

It means, Systematic objective and

critical examination of all factorsinfluencing the efficiency and

operations and to improve upon it.


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METHOD STUDY:

PURPOSE: Is to maximise

efficiency in use of materials,

machinery, manpower and

capital by improving work

methods.


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MOTION STUDY:

PURPOSE: Eliminating

wastefulness from

unnecessary movement or

motions.


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TIME STUDY:

PURPOSE: Recording,

analysing and synthesising

the time for any operation.


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FATIGUE STUDY:

Fatigue may be mental or

physical. It is the study of

capacity of a worker to do

work without effect on his

health and efficiency.


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(II)SCIENTIFIC TASK SETTING:

It is, technique of forecasting

and viewing before hand every step

in a series of operations.

The steps required for scientific taskplanning/setting are:


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STEPS REQUIRED FOR SCIENTIFIC

TASK SETTING:

Routing

Scheduling

Dispatching

Follow-up


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(III) STANDARDISATION:

It includes size, design, shape, weight,

quality etc. should be according to the

requirement of customers

ADVANTAGE: It eliminates needless

variety and simplifies the productionprocess.


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(IV) SELECTION AND TRAINING:

After the employees are selected they

should be placed on right jobs.

ADVANTAGE: It is a tool to match the

job and job seeker.


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(V) DIFFERENTIAL PIECE RATE

SYSTEM:

It motivates the workers to produce

maximum quantity.

Two rates are used, higher rate for

workers who produce standard output or

more. Lower rate for those workers whoproduce less then standard output.


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(VI) FUNCTIONAL FOREMANSHIP:

According to this concept instead of having

one foreman as an incharge for production

department all activities should be grouped

in two groups i.e. planning forum and

workshop.


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LIMITATIONS/CRITICISM ONSCIENTIFIC MANAGEMENT:Scientific management is criticized as:It is production oriented and concentrates

on technical aspects of work and does notconsider human factor.

It treats humans as extension of machinesdevoid of feelings or emotions. It is morea theory of industrial engineering than ageneral theory of management.

It is more dogmatic than scientific.Managers criticized it on the ground that it

was difficult and expensive to introduce.


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WORK OF

HENRI FAYOL

(1841-1925)


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HENRI FAYOL

He was a French management theorist. His theories

are available in the book General and Industrial

management.


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F AYOLS CLASSIFICATION OF

BUSINESS ACTIVITIES:

Technical activities.

Commercial activities.

Financial activities.Security activities.

Accounting activities.

Managerial activities.


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MANAGEMENTPROCESS


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Manage

Plan

Organise

Command

Co-ordinateControl


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QUALITIES OF

GOOD

MANAGER


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Physical

MentalMoral

EducationSpecialised/ technical

knowledgeExperience


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CRITICISM OF HENRI FAYOLS

THEORY:

The theory is unclear and not deep

about the terms- structure and process

organisation. The terms organisationalauthority and organisation are stressed

too much.

The theory says that management

should be taught but it does not state the

nature and content of management

education.


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FURTHER CRITICISM ON FAYOLS

THEORY:Not even one classification of

management functions is acceptable for

functional theories. There is lack of

agreement about various terms used.The principles which are universal do

not stand the test of observation in all

situations.Functional approach over static

conditions but managers have to

function in dynamic environment.


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TAYLORV. FAYOLSr

No.

Topic Taylor Fayol

1. Perspective Shop floor

level

Top level

2. Focus Work method

and machines

General

Administration

3. Own Profile Scientist Administrator

4. Technique Scientificmethod

Principles ofmanagement

5. Theory Science and

industrial

management

Administrative

theory


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BEHAVIOURAL SCIENCES

APPROACH

IT BRINGS OUT EXISTING ANDNEWLY DEVELOPEDTHEORIES,METHODS AND

TECHNIQUES OF SOCIAL SCIENCEUPONTHE STUDY OF HUMANBEHAVIOUR.

E.G. PSYCHOLOGY, SOCIOLOGY, SOCIAL

PSYCHOLOGY AND ANTHROPOLOGY(STUDYOF PHYSICAL, BIOLOGICALAND CULTURALVARIABLES AFFECTING BEHAVIOUR OF

INDIVIDUALS AS A MEMBER OF GROUP).


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Contributor Details

Gantt and

Munsterberg

Managing involves getting things done with

and through people.

Hugo Munsterberg Application of psychology to industry and

management.

Walter Dill Scott Application of psychology to advertising,

marketing and personnel.

Max Weber Theory of bureaucracy

Vilfredo Pareto Called as the father of social system

approach to organization and management.

Elton Mayo and E.J

Roethlisberger

Studies on influence of social attitudes and

relationships of work group on performance.

2 3 54 6


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BEHAVIOURAL SCIENCES APPROACH

In this approach human factor is

the central focus and has pedestal

in organisation.


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HUMAN RELATION MOVEMENT:

This movement covers unionism,

Hawthrone studies and

philosophy of individualhumanism.


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MAIN FINDINGS OF

HAWTHRONE STUDIES:

Informal group

Social factors in output

First line supervisionCommunication and consultation

Leadership

Employee behavior and conflict

Integrating pay with social needs

New conception of personnelmanagement.


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BEHAVIOURAL SCIENCE

APPROACH ORORGANISATIONAL

BEHAVIOUR APPROACH:

Due to short comings in the

human relation approach, efforts

were made by behavioralscientists for analysing human

behaviour methodically.


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DEFINITION:

Definition:- Behavioral scienceapproach may be defined as systematicand scientific analyses of humanbehaviour with a view to determinecause of working behaviour of anindividual.

This approach is also called

organizational behaviour approach.This is an inter disciplinary approach ofstudying human behaviour.


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This behavioural approachconsists of:

Psychology

Sociology

Anthropology

Importance: It explains why doemployees behave alike.

BASIS OF THIS APPROACH IS AS


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BASIS OF THIS APPROACH IS AS

FOLLOWS:

Organisation Is socio-technique systemIndividual goals and interest of

employees can be integrated with

organisational goals

Conflict and co-operation co-exist in

organization

Individual differences and motivationPeople are key to productivity.

Different aspects of the approach were

developed by behavioural scientists.


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CONTINGENCY APPROACH

OR SITUATIONAL APPROACH:

Line of thinking

Universal application

Dependence

Systematic attempt

Approach says that

The study should be in relation to

Dependence of effectivenessApproach emphasis on situational

variables


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FEATURES OF CONTINGENCY

APPROACH:

This approach is situation oriented

After the analysis of situation

ExaminePrepare

Match requirements of the situation

Success depends upon


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CRITICISM OF

CONTINGENCYAPPROACH


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CONCLUSION FORCONTINGENCY

APPROACH

Managerial practice depends on

circumstances/ situation.

This theory recognises influence ofgiven solutions on organisational

behaviour.

Managers have realised that there is nosingle best way in which things can be

done.


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DIFFERE

NCE

BETWEEN SYSTEM

APPROACH AND

CONTINGENCY

APPROACH


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System approach Contingency approach

Says all organisation are

alike.

Each organisation is unique.

One has to study similarities& diffrences

It gives importance to

interaction & interdependence

between systems & sub

systems

It identifies the exact nature

of interdependence and their

impact on organisations

Gives importance to

synergetic effect of

organisations & external

inputs

Relates organisation structure

& design to the environment

Vague & complex. Pragmatic & action oriented.


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THANK YOU

Documents

Evolution of Management Theory 4