Evolution of Management Thought

1
Evolution of Management Thought

• We are in the latter stages of a significant
  paradigm shift.
• Consider a pendulum swinging between extremes of
  freedom and control

2
Early Management

• Before industrialization, very few formal
  management approaches existed.
• Single musicians dont need conductors.

3
Early Management

• Management approaches developed to create order
  out of chaos.
• Classical Models of Management
• Taylors Scientific Management

4
Taylors Scientific Management

• Develop a science for each element of an
  individuals work, which replaces the old
  rule-of-thumb method.
• Scientifically select and then train, teach, and
  develop the worker.
• Heartily cooperate with the workers so as to
  ensure that all work is done in accordance with
  the principles of the science.
• Divide work and responsibility almost equally
  between management and workers. Management takes
  over all work for which it is better fitted than
  the workers

5
Why Did Classical Models Work?

• They Fit the Times
• Nature of Work
• Nature of Workers
• Nature of Laws and Regulations
• Expectations of Society

6
Why Did Classical Models Not Work?

• Dehumanizing
• Demotivating
• Low Quality
• Threatened by resistance

7
Behavioral Perspective

• Human Relations School People do not always act
  like machines, so make management practices more
  humane.
• Show interest in employees to counter resistance
  to management actions.

8
Human Relations Perspective

• Hawthorne Studies Series of studies conducted
  during the Great Depression
• Intent was to study how lighting levels affected
  productivity
• Identified the Hawthorne Effect
• Logic of Rationality vs. Logic of Sentiments

9
Human Resources Perspective

• Manage to help employees provide their full
  capacity.
• Encourage full participation, so the real
  experts can do the work.
• Participative management, empowerment

10
What Factors Prompted the Change?

• Changes in the Type of Work
• technology, increased complexity
• growth in service industry
• Changes in the Work Force
• education level
• expectations about work
• Legal and Political Changes

11
Differences Among Models

• Assumptions about Effective Motivation
• Theory X and Theory Y
• Locus of Decision-Making
• Centralized or Decentralized
• Extent of Social Distance
• Close or Distant
• Belief about Managers Long Term Role
• Expert or Developer