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2 Evalution of Management Theory

The document summarizes the evolution of management theory from scientific management to modern approaches. It describes early theories like scientific management by Taylor which sought to optimize tasks. Other early contributors included Fayol who proposed 14 principles of management and Weber's bureaucracy theory. Behavioral theories emerged which examined human motivation and factors like the Hawthorne effect. Later, systems theory viewed organizations holistically and contingency theory advocated situational approaches. The document traces the progression of management thought over time.

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Deepu Deepthi
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17 views26 pages

2 Evalution of Management Theory

The document summarizes the evolution of management theory from scientific management to modern approaches. It describes early theories like scientific management by Taylor which sought to optimize tasks. Other early contributors included Fayol who proposed 14 principles of management and Weber's bureaucracy theory. Behavioral theories emerged which examined human motivation and factors like the Hawthorne effect. Later, systems theory viewed organizations holistically and contingency theory advocated situational approaches. The document traces the progression of management thought over time.

Uploaded by

Deepu Deepthi
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as PPTX, PDF, TXT or read online on Scribd
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THE EVOLUTION OF

MANAGEMENT THEORY

IABMI

Prepared by: Garasia Ritik and patel Jigar


Submitted to Dr. Dilip R. vahoniya
THE SCIENTIFIC MANAGEMENT
SCHOOL
 A management approach formulated by Frederick Winslow
Taylor and others between 1890 and 1930, that sought to
determine scientifically the best methods for performing any
task,and for selecting,training and motivating workers.
FREDERICK WINSLOW TAYLOR

Principles :-
1. The development of a true science of management,so that the best method
for performing each task could be determined.
2. The scientific selection worker, so that each worker would be given
responsibility for the task for which he or she was best suited.
3. The scientific education and development of the worker.
4. Intimate,friendly cooperation between management and labour.
DIFFERENTIAL RATE SYSTEM

 This system is called as compensation system.

 This system involving the payment of higher wages to more efficient workers
HENRY LAURENCE GANTT

 He come up with the idea, every worker who finished a day’s assigned work load would
win a 50 percent bonus. Then he added a second motivation. The supervisor will earn
extra bonus for each worker who reached the daily standard, plus The supervisor would
earn a bonus if all the workers reached it. This, Gantt reasoned, would spur supervisors to
train their workers to do a better job.
LILLIAN MOLLER GILBRETH

 Gilbreth focus on motion activity & fatigue and ways of promoting the individual
worker’s welfare.

 By this study worker’s morale would increase.


CLASSICAL ORGANIZATION THEORY
SCHOOL
FAYOL’S 14 PRINCIPLES OF
MANAGEMENT
 DIVISION OF LABOUR – The more people specialize ,the more
efficiently they can perform their work,
 AUTHORITY –Managers must give orders so that they can get
things done.
 DISCIPLINE – Members in an organization need to respect the
rules & agreements that govern the organization .
 UNITY OF C0MMAND – Each employee must receive
instructions from only one person, to avoid conflicts in instructions
& confutation of authority.
 UNITY OF DIRECTION –Each group of activity with same objective and one plan
( provides better co-ordination in organization)
 SUBORDINATION OF INDIVIDUAL INTEREST TO THE COMMON GOOD –In
any undertaking, the interest of employees should not take importance over the interest of
the organization as whole.
 REMUNERATION – Compensation for work done should be fair and satisfactory to both
employees and employers.
 CENTRALIZATION-Decreasing the role of subordinates in decision making is
centralization.
 The HIERARCHY – Authority should move from higher to lower. communication must
have flow.
 ORDER – Materials and people should be in the right place and right time.
 EQUITY –Managers should be kind and fair to their subordinates..
 STABILITY OF STAFF –A high employee turnover rate undermines the efficient
functioning of an organization.
 INITIATIVE –Subordinates should be given the freedom to conceive and carry out their
plans ,even though some mistake may result.
 ESPRIT DE CROPS – Promoting team spirit will build harmony & unity within the
organization.
BUREAUCRACY

 Max Weber developed a theory of bureaucratic management (Formal structure).

 Organization with legalized formal and hierarchical structure.


MARY PARKER FOLLETT

 “the art of getting things done through people”

 Direct contact between employees and managers helps organization avoid conflict and
misunderstandings.

 Follett’s Holistic model of control took into account not just individuals and groups,but the
effects of such environmental factors as politics,economics and biology.
ZONE OF INDIFFERENCE
(AREA OF ACCEPTANCE)
 According to Chester Irving Barnard and Simon, respectively,
inclination conditioning individuals to accept orders that fall within
a familiar range of responsibility or activity.
 According to Chester Irving Barnard individual & organizational
purposes could be kept in balance if managers understood an
employee’s Zone of Indifference (What the employee would do
without questioning the manager’s authority).
THE BEHAVIORAL SCHOOL

 A group of management scholar trained in sociology, psychology, &


related fields, who use their diverse knowledge to propose more
effective ways to manage people in organizations.
THE HAWTHORNE EXPERIMENT

 The possibility that workers who receive special attention will


perform better simply because they received that attention.
 Given by:- Elton Mayo
MASLOW THEORY

 According to Abraham maslow, the needs that people are motivated


to satisfy fall into a hierarchy.
 Physical and safety needs are at the bottom of the hierarchy, and at
the top are ego and self-actualizing needs.
 In general maslow said lower level needs must be satisfied before
higher level needs can be met.
McGREGOR’S THEORY X AND
THEORY Y
 Theory X : A traditional view of motivation that holds that work is
distasteful to employees, who must be motivated by force, money or
praise.

 Theory Y :The assumption that people are inherently motivated to


work and do a good job.
THE MANAGEMENT SCIENCE
SCHOOL
 Operation research: mathematical techniques for the modeling,
analysis, and solution of management problems. Also called
management science.

 Management science school: approaching management problems


through the use of mathematical techniques for their modeling,
analysis and solution.
THE SYSTEM APPROACH

 View of the organization as a unified, directed system of interrelated


parts.
 Two types of system – open and closed
 System theory tells us that the activity of any segment of an
organization affects,in varying degrees,the activityof every other
segment.
 Subsystems: Those parts making of whole system.
 Synergy: In organizational terms, synergy means that departments that
interact cooperatively are more productive than they would be if they
operated in isolation.
Open system: the system that interact with its environment.
Closed system: the system that do not interact with its environment.
System boundry: The boundry that separates each system from its
environment.it is rigid in a closed system,flexible in an open system.
Flow: components such as information, material and energy that enter and
leave a system.
 Feedback: The part of system control in which the results of actions are
returned to the individual, allowing work procedure to be analyzed and
corrected .
THE FLOW AND FEEDBACK IN AN
OPEN SYSTEM
External
environment

Output
Input Transformation
(Product)
(resources) or conversion
Goods
Raw material process
service

feedback
THE CONTINGENCY APPROACH

 The view that the management technique that best contributes to


the attainment of organizational goals might vary in different types
of situations or circumstances
 According to the contingency approach, the manager’s task is to
identify which technique will, in a particular situation, under
particular circumstances, and at a particular time, best contribute to
the attainment of management goal.
 Take action as per the situation.
 Situational approach
DYNAMIC ENGAGEMENT

 The view that time and human relationships are forcing


management to rethink traditional approaches in the face of
constant, rapid change.
 Dynamic – the opposite of static – implies continuous
change,growth,and activity.
 Engagement – the opposite of detachment – implies intense
involvement with others.
REENGINEERING

 This occurs when an organization conducts a significant


reassessment of what it is all about.
THANK YOU

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