Chapter Outline |
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Job
Specialization and the Division of Labor
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F. W. Taylor and Scientific Management
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The
Gilbreths
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The
Theory of Bureaucracy
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Fayol’s
Principles of Management
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The
Work of Mary Parker Follett
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The
Hawthorne Studies and Human Relations
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Theory
X and Theory Y
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The
Open Systems View
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Contingency
Theory
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Scientific Management Theory |
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Evolution of Modern Management
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Began in the industrial revolution in the late 19th century
as:
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The Evolution of Management Theory |
F.W. Taylor and Scientific Management |
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Scientific Management
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The
systematic study of the relationships between people
and
tasks for the purpose of redesigning the work process for higher
efficiency.
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Frank and Lillian Gilbreth |
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Time
and motion studies
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Breaking up each job action into its components.
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Finding better ways to perform the action.
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Reorganizing each job action to be more efficient.
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Administrative Management Theory |
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The
study of how to create an organizational structure that
leads to high efficiency and effectiveness.
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Developed
the concept of bureaucracy as a formal system of
organization and administration designed to ensure efficiency and
effectiveness.
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Figure 2-2 |
Fayol’s Principles of Management |
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Fayol
noted jobs can have too much specialization leading to
poor
quality and worker dissatisfaction.
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Fayol
included both formal and informal authority resulting from special
expertise.
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Employees
should have only one boss.
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A clear chain of command from top to bottom of the firm.
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The
degree to which authority rests at the top of the organization.
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A single plan of action to guide the organization.
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The
provision of justice and the fair and impartial treatment
of all employees.
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The
arrangement of employees where they will be of the
most value to the organization and to provide career opportunities.
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The
fostering of creativity and innovation by encouraging
employees to act on their own.
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Obedient,
applied, respectful employees are necessary for
the organization to function.
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An
equitable uniform payment system that motivates
contributes to organizational success.
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Long-term
employment is important for the development of
skills that improve the organization’s performance.
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The
interest of the organization takes precedence over that
of the individual employee.
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Comradeship,
shared enthusiasm foster devotion to the
common cause (organization).
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Behavioral Management Theory |
•Behavioral
Management
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Behavioral Management |
•Mary
Parker Follett
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An
influential leader in early managerial theory
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Held
a horizontal view of power and authority in
organizations
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The Hawthorne Studies |
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Worker
productivity was measured at various levels of light
illumination.
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Researchers
found that regardless of whether the light levels were raised or
lowered, worker productivity increased.
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Theory X versus Theory Y fig 2-3 |
Management Science Theory |
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Quantitative
management—utilizes
linear programming, modeling, simulation systems.
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Operations
management—techniques
to analyze all aspects of the production system.
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Total
Quality Management (TQM)—focuses
on improving quality throughout an organization.
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Management
Information Systems (MIS)—provides
information about the organization.
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Organizational Environment Theory |
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The
set of forces and conditions that operate beyond an
organization’s boundaries but affect a manager’s ability to acquire and
utilize resources.
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The Organization as an Open System fig 2-4 |
Contingency Theory of Organizational Design fig 2-5 |
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Mechanistic and Organic Structures - mechanistic structures (authority is centralized at the top of the organization) make sense when the environment is stable, while organic structures (authority is decentralized to lower-level managers to encourage quick action) make sense when the environment is changing rapidly.
SCIENTIFIC MANAGEMENT THEORY The search for efficiency started with the study of how managers could improve person-task relationships to increase efficiency. The concept of job specialization and division of labor remains the basis for the design of work settings in modern organizations. New developments such as lean production and total quality management are often viewed as advances on the early scientific management principles developed by Taylor and the Gilbreths.
ADMINISTRATIVE MANAGEMENT THEORY Max Weber and Henri Fayol outlined principles of bureaucracy and administration that are as relevant to managers today as when they were written at the turn of the twentieth century. Much of modern management research refines these principles to suit contemporary conditions. For example, the increasing interest in the use of cross-departmental teams and the empowerment of workers are issues that managers also faced a century ago.
BEHAVIORAL MANAGEMENT THEORY Researchers have described many different approaches to managerial behavior, including Theories X and Y. Often, the managerial behavior researchers suggest reflects the context of their own historical era and culture. Mary Parker Follett advocated managerial behaviors that did not reflect accepted modes of managerial behavior at the time, but her work was largely ignored until conditions changed.
MANAGEMENT SCIENCE THEORY The various branches of management science theory provide rigorous quantitative techniques that give managers more control over each organization's use of resources to produce goods and services.
ORGANIZATIONAL ENVIRONMENT THEORY The importance of studying the organization's external environment became clear after the development of open-systems theory and contingency theory during the 1960s. A main focus of contemporary management research is to find methods to help managers improve the ways they utilize organizational resources and compete successfully in the global environment. Strategic management and total quality management are two important approaches intended to help managers make better use of organizational resources.
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Search for a website that contains a time line or a short history of a company,
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significant stages in the company’s development, and what problems and issues
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the history of Ford Motor Company by utilizing the extensive resources of Ford’s
historical library. Research Ford’s website [www.ford.com],
and locate and read the material on Ford’s history and evolution over time.)