Chapter 2
Classical Management Theory:
-1700’s during the industrial revolution
- Creation of Mass production
-Standardized goods
2 Schools of thought
1. Classical Scientific School- Focused on the
manufacturing environment
and getting work done on the factory floor
Charles Babbage -Discussed the division of labor.
Fred Taylor--”Father of Scientific Management -
He pushed for the proper use of human labor, tools ,
and time. Time and motion studies were
performed.
He introduce work breaks and piece rate system
Frank and Lillian Gilbreth-Continued with time and motion studies to
reduce wasted motion (reduced fatigue)
Henry Metcalf-
The classical system failed to look at the
attributes of the worker:
-Different values
-Different opinions -Different ideas
The classic system had constant and stringent observation of people (over analysis).
Today’s manger realize the importance of empowering people to review themselves, make
decisions, and
take responsibility for their actions.
2. Classical Administrative School
Emphasis is on efficiency and productivity of
the plant via good management.
Henry Fayol- He believed that managers were born with certain skills.
He developed his principles of management - Fig
2.2
Mary Parker Elliott-She worked in motivation and
conflict resolution.
Max Weber- Described the principles of bureaucracies-
‘Rational organizations based on the control of knowledge’.
Behavioral Management Theory
Realized that human have needs. The new manager
realized their employees as assets.
Robert Owen-
- Reported that the output was related to the work conditions.
Elton Mayo-
-Treat employees with dignity
Maslow-Figure 2.2
-Hierarchy of needs
McGregor- Figure 2.4
-Theory X and Y
Quantitative Management Theory
Mathematical approaches to management
Management Science- Design measures to evaluate the process.
Operations Management- It is a branch of management science that usually applies
to inventory, break even analysis, scheduling, routing.
Management Information’s Systems (MIS)- Computer l links
Contingency Management Theory
The manager’s actions depend on the situation at hand. Different
situations will require different actions.
Stay flexible, use past experience, and consider alternatives
Quality Management Theory
Kaizen Approach - Incremental and continuous improvement for people,
products, and process.
Never ending journey to quality
Reengineering approach-The fundamental rethinking and radical redesign of the business
process achieve dramatic improvements.
Empowerment