THE EVOLUTION OF
MANAGEMENT
THEORIES
Objectives
◦Examine the different management theory
◦Compare & Contrast the different management theory
Scientific Management
Theory
◦ Frederick W. Taylor, the father
of Scientific Management
Theory
◦ (1856-1915)
◦ Mechanical Engineer in a steel
company in Pennsylvania
◦ Concerned that Taylor
ignored the human side
of the organization
◦ Suggested workers help
Organizational
in analyzing their jobs
Behavior
Approach ◦ If workers have
relevant knowledge of
the task, then they
should control the task
Scientific Management Theory
The systematic study of the
relationships between people and
Wanted to replace “rule of
tasks for the purpose of redesigning
thumb”
the work process for higher
efficiency.
(What is a 'Rule Of Thumb'
Sought to reduce the time a
... It is a general principle that
worker spent on each task by
gives practical instructions for
optimizing the way the task
accomplishing or approaching
was done.
a certain task.
Develop a science for each element of
Develop individual’s work.
Scientifically select and then train, teach and
Select
Scientific develop the worker.
Management
Principles Cooperate Cooperate with the worker to ensure that all
work is done.
Equal division of work and responsibility
Equal between management and workers.
General Administrative Theory
HENRI FAYOL (1841- MAX WEBER (1864-
1925) 1920)
GENERAL
ADMINISTRATIVE
THEORY
It concentrates on managers function and what
makes up good management practice or
implementation.
◦In 1900’s a German Sociologist
wrote that the ideal organization
GENERAL must have authority structures
ADMINISTRATIV
E THEORY and coordination with others
based on what he referred as
“bureaucracy.”
Fayol’s Principles of Management
Authority and Unity of
Division of Labor:
Responsibility Command
• It allows for job • both formal and • Employees should
specialization. informal authority have only one boss.
• jobs can have too resulting from
much specialization special expertise.
leading to poor
quality and worker
dissatisfaction.
[Link]-Chap-05 10
Fayol’s Principles of Management
Line of Unity of
Centralization
Authority Direction
• A clear chain • The degree to • A single plan
of command which authority of action to
from top to rests at the top guide the
bottom of the of the organization.
firm. organization.
[Link]-Chap-05 11
Fayol’s Principles of Management
Equity Order Initiative
The provision of justice The arrangement of The fostering of
and the fair and employees where they creativity and innovation
impartial treatment of will be of the most by encouraging
all employees. value to the employees to act on
organization and to their own.
provide career
opportunities.
[Link]-Chap-05 12
Fayol’s Principles of Management
Remuneration of
Discipline
Personnel
• Obedient, applied, • An equitable uniform
respectful employees are payment system that
necessary for the motivates contributes to
organization to organizational success.
function.
[Link]-Chap-05 13
Fayol’s Principles of Management
Subordination of Individual
Stability of Tenure of
Interest to the Common
Personnel
Interest
• Long-term employment is • The interest of the organization
important for the development takes precedence over that of
of skills that improve the the individual employee.
organization’s performance.
[Link]-Chap-05 14
Fayol’s Principles of
Management
◦Esprit de corps
◦ Comradeship, shared
enthusiasm foster devotion
to the common cause
(organization).
[Link]-Chap-05 15
Total Quality Management
EDWARDS DEMING JOSPH M. JURAN (1904-
(1900-1993) 2008)
It focuses on
analyzing input,
conversion, and TOTAL QUALITY
output activities to
increase product
quality.
MANAGEMENT
Organizational Behavior Approach
-Mary Parker Follet
The study of how managers
should behave to motivate
employees and encourage Focuses on the way a manager
them to perform at high levels should personally manage to
and be committed to the motivate employees.
achievement of organizational
goals.
