EVOLUTION OF MANAGEMENT THOUGHT

Scientific management Contribution of F.W Taylor “Scientific management is concerned with knowing exactly what you want men to do and then see in that they do it in the best and cheapest way” Scientific management has been regarded as the attitude and philosophy of discarding the old rule of thumbs and resolved the problem of management through scientific investigations.

Features of scientific management Separation of planning and Doing Functional Foremanship Elements of scientific management Bilateral mental revolution Financial incentives Economy Mechanism if Management

Principles of scientific Management Replacing rule of thumb with science Harmony in group action Cooperation between management and workers Maximum output in place of restricted output Development of workers through scientific selection and training.

Classical Organizational Theory/ School It is the oldest formal school of management thought. Its roots pre-date the 20th century whose general concerns are ways to manage work and organizations more efficiently.  Body of the classical school's management thought was based on the belief that employees have only economical and physical needs, and that social needs and need for job satisfaction either don’t exist or are unimportant.

Classical organization school advocate- High specialization of labour Centralized decision making Profit maximization. Three areas of study that can be grouped under the classical school – Scientific management. Administrative management. Bureaucratic management.

MANAGEMENT SCIENCE SCHOOL The management science school provides managers with a scientific basis for solving problems and making decisions. Churchman, Ackoff, and Arnoff define the management science approach as an application of the scientific method to problems arising in the operation of a system, and the solving of these problems by solving mathematical equations representing the system.

Characteristics of Management Science School * Managerial decisions making-Management science stresses that efficiency comes from proper planning and making the right decisions. * Mathematical models-In management science, a mathematical model attempts to reduce a managerial decision to a mathematical form so that the decision-making process can be simulated and evaluated before the actual decision is made. * Computer applications-The use of the computer has been the driving force behind the emergence of the management science approach. * Evaluation criteria-In management science, model have been evaluated against a set of effectiveness criteria (e.g., revenue, return on investment, and cost savings).

Behavioural School The behavioural management theory is often called the human relations movement because it addresses the human dimension of work. Behavioural theorists believed that a better understanding of human behaviour at work, such as motivation, conflict, expectations, and group dynamics, improved productivity. The theorists who contributed to this school viewed employees as individuals, resources, and assets to be developed and worked with — not as machines, as in the past. Several individuals and experiments contributed to this theory.

SYSTEM APPROACH >System is defined as a set of inter related and interacting components assembled in a particular sequence as to produce some results. >These components may also be viewed as subsystems of larger systems. >It is only through these subsystems that the larger system operates ,thus larger system can be viewed as a whole entity or totality. “It tries to solve problems by diagnosing them within a framework of inputs, transformation processes, outputs and feedback.”

Advantages Disadvantages Looking at the forest rather than the trees. Considers the effects of actions on every one. Integrates all approaches to holistic one. and pinpoint ways of solving them. Helps in maintaining balance between the needs of various parts of organization. Disadvantages It does not attempt to identify situational differences and factors. Organizations may have in built conflicts. Based on assumption of an ideal system.

CONTINGENCY THEORY “It argues that appropriate managerial action depends on the particular parameters of the situation.” ELEMENTS OF CONTINGENCY THEORY: Managerial actions are contingent on certain actions outside the system or subsystem as the case may be. Organizational actions should be base on the behavior of actions outside the systems so that the org. gets smoothly integrated with the environment. Managerial actions and organizational design must be appropriate to the given situation. There is no one best approach to management. It varies from situation to situation.

Defies empirical testing Reactive not proactive Advantages It focuses on the specific factors that influence the appropriateness of one managerial strategy over other. It highlights the importance to managers of developing skills in situational analysis More pragmatic and action oriented Spells out the relationship of org. to its environment clearly. Disadvantages Paucity of literature Complex Defies empirical testing Reactive not proactive

CONCEPT OF MANAGEMENT

DEFINITIONS OF MANAGEMENT Management is accomplishment of results throug the efforts of other people. - LAWRENCE A. APPLEY Management is the art of getting things done through and with the people in formally organized groups. - KOONTZ H. Management Is the process by which managers create, direct, maintain and operate purposive organizations through systematic, coordinated, cooperative human effort. - MC. FARLAND

IMPORTANCE OF MANAGEMENT Achievement of group goals. Optimum utilization of resources Minimization of cost Survival and growth Generation of employment Development of nation

NATURE OF MANAGEMENT Management is goal oriented. Management is universal. Management is a social process. Management is multidisciplinary. Management is intangible. Management is a group activity. Management as an activity. Management is a system of authority. Management is a dynamic process. Management is art as well as science.

MANAGEMENT SKILLS These skills are classified in to the following categories: TECHNICAL SKILLS- refers to the ability and knowledge in using the equipment, technique & procedure involved in performing the specific tasks. CONCEPTUAL SKILLS-Consist of the ability to see the whole organization and the interrelationships between the parts. HUMAN SKILLS-consist of the ability to work effectively with other people both as individual and as members of the group. Human skills are concerned with understanding of people.

Managerial skills at various levels Top Management Middle Management Lower Management Conceptual skills Human skills Technical skills

Levels of Management

Top Management Determines objectives and policies Designs the basic operating and financial structure of an organization Provides guidance and direction Lays down standards of performance Maintains the inter-oganizational relationships Top Management

Interprets and explains the policies framed by the top management. Issues detailed instruction to lower management. Participates in operating decisions. Trains other managers. Middle Management

Lower Management Plans day-to-day operations. Assigns job to workers Provides supervision and control over work. Arrange material and equipments. maintains discipline. Lower Management

What Managers Do Managers Organization Individuals who achieve goals through other people. A consciously coordinated social unit, composed of two or more people, that functions on a relatively continuous basis to achieve a common goal or set of goals.

Managements Roles Based on a study, Henry Mintzberg concluded that managers performed 10 different roles. These ten roles can be grouped into: 1. Interpersonal Roles 2. Informational Roles 3. Decisional Roles