Quản trị kinh doanh - Chapter 02: The evolution of management

Chapter 2The Evolution of ManagementDescribe the historical foundation of managementExplain the beginnings of modern management theory and educationOutline the progression of the quantitative approach to managementOutline the progression of the humanistic approach to managementInterpret the factors that led to a balanced approach to managementLearning Objectives“Wealth of a Nation” – Adam Smith (p. 33)Division of labor – workers specialize on a taskCorporationLegal entity formed and structured to achieve goals with special protections for ownersDartmouth College v. Woodward The Historical Foundations of Management (p. 32)Bureaucratic management – Max Weber (p. 34)Bureaucracy – an organization marked by: Division of labor Managerial hierarchy Formal selection Career orientationFormal rules and controlsImpersonalityDiscovering and Teaching Management Theory (p. 33)Administrative management – Henri Fayol (p. 35)Administrative theory Identifies the functions of managementSuccessful management linked to satisfied and motivated employees“Provided the basis for management educationPrinciples of management Discovering and Teaching Management Theory (cont.)SoldieringWorkers tested management by performing as slowly as possible, while creating the impression that they were working fastNatural soldieringSystemic soldieringQuantitative approachApplying objective methods to enhance decision makingManagement scienceUsing statistics, mathematics, and other quantitative methods to improve efficienciesThe Quantitative Approach (p. 37)Scientific management – Frederick Taylor (p. 37)Classical perspective – make organizations and workers operate as efficiently as possibleUsed quantitative approach to analyze and synthesize the flow of work to maximize productivityTask-management system – combination of setting performance standards, selecting the best worker for the job, and building good relations between managers and employees (p. 38)Harrington Emerson – principles of efficiencyBlueprint for the art and science of management The Quantitative Approach (cont.)Motion studies – Frank B. Gilbreth (p. 39)Motion picture cameras captured the step-by-step movements taken to complete a taskSought efficiencies by orchestrating the maximum results for the least worker effortScientific management and the mind – Lillian Gilbreth (p. 40)Studied how managerial perceptions, emotions, and thoughts affected work and employees Three historical types of managementTraditionalTransitoryScientificThe Quantitative Approach (cont.)Visualizing management – Henry Gantt (p. 40)Habits of industry Training converted invisible internal forces into visible behaviors such as industriousness and cooperationDeveloped methods for visualizing performance standardsImportance of timeThe Quantitative Approach (cont.)Quality movement (p. 42)Ford Motor CompanyAssembly line – parts added sequentially to manufacture a product more quicklyInterchangeable partsOperations research – established a quantitative rationale for decisions that lead to goal attainmentEdwards DemingContinuous improvement (p. 43)Quality circlesLean manufacturingTotal quality managementSix sigmaThe Quantitative Approach (cont.)Focused on the human side of managementHawthorne studies (p. 44)Employees motivated by more than moneyGroup dynamics have an impact on worker morale and performanceIllumination study – performance increased when lighting increased or decreasedRelay assembly test room – productivity increased following various changes in work conditionsInterviewing program – non-directive interviewing (p. 45)Managers encouraged to treat workers as peopleThe Humanistic Approach (p. 43)Conflict: Mary Parker Follett (p. 45)Constructive conflict – positive outcomes from group conflict emerge when individual ideals remain intact and become part of a “single whole” (p. 46)The Humanistic Approach (cont.)Figure 2.2Conflict: Mary Parker Follett (cont.)“Power with people,” not “power over people” (p. 47)Motivation: Douglas McGregor Theory X – negative assumptions about worker motivationPeople do not like work; must be coerced or intimidatedTheory Y – positive view about worker motivationPeople enjoy the mental and physical purpose of work; try to expand their personal contributions Behavioral management – relies on understanding individual behaviors, decisions, and attitudes to motivate employeesThe Humanistic Approach (cont.)Contingency (situational) theoryDifferent organizations, situations, and contexts require different approachesCooperation: Chester I. Barnard (p. 49)Entropy – inefficient organizations lose social and market-based energy leading to the decline of the systemNegative entropy – social and market-based energy that builds or maintains a systemManagers must maintain an equilibrium of internal and external forces and their relationship to the organizationCooperative system – managers of effective and efficient organizations control and influence people’s behavior by modifying their motivesThe Balanced Approach (p. 48)