C HAPTER 2 DEVELOPMENT OF MANAGEMENT THOUGH TS CHAPTER 2 DEVELOPMENT OF MANAGEMENT THOUGHTS

-... Co-ordination
DEVELOPMENT Of MANAGEMENT THOUGHT ,.,. Control
Management has developed since the time when the world came Into
ex istence. Whenever group efforts are necessary to achieve anything, t here Commanding Is nothing but direction . So, commanding means guiding and
Is a need for management. Kautllya 's artha Sastra and saint Th lruvalluvar's supervision of sub-ordinates In order to ach ieve specified object ives or goals.
state the principles and concepts of manag ement. These principles and He also termed the elements of management as functions of management.
concepts may be applied In our modern w orld and In the future also. An
individual can not achieve anything single handed. Cooperation, group Ouauties of a Manager
efforts, direction and control are necessary t o achieve the objective or goals 1. Physical (health, vigor and address)
of an Individual. In our modern world an individual cannot survive separately. 2. Mental {Ability to understand and learn)
He has to rely upon others. So, managerial efficiency Is an essential requisite 3. Moral ( Energy, f irmness, willingness to accept responsibility)
to human being. 4. General education (general acquaintance w ith matters not belonging)
5. Special k nowledge (particular to the function)
Henry fayol 6. Experience (knowledge arising from work proper)
Henry Fayol was a French industrialist. The principles of management of
Henry Fayol were known to the world only after 1949 later the publication of Principles of management
his management thoughts In English. 1. Division of work
2. Authority and responsibility
Henry Fayol concentrated on top management. Management plays a very 3. Discipline
Important part in the government under kings, of all undertakings, large or 4. Unity of co mmand
small, Industrial, commercial, political religious or any other. 5. Unity of direction
6. Subordination of Individual to group inter est
The management functions and organizational functions are different. 7. Remuneration of personnel
The management functions Include planning, organizing, staffing, 8 . Centralization
directing and controlling. 9 . Scalar chain
But organ izational functional include purchase, sales, produc t ions and 10.Order
account ing . 11.Equlty
12.stability
Classificatjon of business activities 13.lnitlative
1. Technical activities relating to pro duction. 14.Esprit de corps
2. Commercial activities relating to purchase of basic r aw materials and
other resources, selling of products and exchange. Frederick Winslow TayJor
3. Security activities relating to the steps taken to protect the property of F. W. Taylor had observed t he work performance of managers and workers.
enterprise and persons. According to Taylor they follow the traditional method of work and do not
4. Accounting activities relating to the record ing and maintaining of have the concept of systematic performances of task. Taylor found that
accounts, stock taking and preparation of cost sheets, balance sheets greater output was possible through systematization and stanrdlzatlon o f
and statistical dat a . method of doing work .
5 . Managerial activities relating t o planning, organizing, commanding,
coordinating and controlling. Scientific management
6 . Financial activities relating to Identification and utilization of available In the century, the production was affected by Industrial revolution, when the
funds. management people wanted to increase their production. Their ambit ions
The successful functioning of any business depends upon the performance of were fu lfilled by the Invention of the concept of scientific management by F
the above six functions. W T aylor in the 19"' century. Scientific manage m ent consists of a certain
philosophy of selection and training of right w orkers for the right job,
Elements of management providing adequate working conditions, provid ing a system of monetary
,.. Plann ing In centives to efficient workers and assumption of responsibilities by
• Organizing managers and supervisors.
,.. Commanding
 CHAPTER 2 DEVELOP ! ENT OF MANAGEMENT THOUGHTS CHAPTER 2 DEVELOPMENT OF M A!'I/AGEMENT THOUGHTS

principles of scjentjfic management Frunk sunkar Gilbectb

1. Science rot rule thumb Frank Bunker Gillbreth's wrote several books which incorporate his research
2. Harmony in group action findings. Concrete system, Bricklaying system, and motion study for the
3. Co-operation handicapped . He gave importance to time study and motion study. He
4. Maximum output stressed minimum motions and avoidance of unnecessary motions to
s. Improvement workers discover the best way of doing a job. He found out 18 basic elements.
Search, fine, select, grasp, position, assemble, disassemble, Inspect,
Elements or Features of scientific manageme~t Transport loaded, Preposition, Release load, Rest Wait unavoidable, delay
1. Separation of planning from executive function Use, Plan.
2. Scientific task setting
3. Functional foremanship Mrs, uman Mollee Gillectb
4. Work study LIiiian Moller was Gilbreth's wife. She and her husband recognized the human
s. Methods study factor which Is very essential in management.
6. Motion duty
7. Time study Max Weber
8. Fatigue study Max Weber was a germen social scientist. He emphasized the strict
9. Rate setting adherence of r ules and regulation in an organisation. These would make an
10.Standardizatlon efficient form of organisation. This type of organisation can be termed as
11.Sc1entific selection and tra ining " Bureaucracy". This is the oldest form of organisation. Bureaucracy is based
12.Financial incentives on the principles of logic, order and legitimate aut hority.
13.mental revolution
14.Economy Bureaucracy
Max Weber analyzed the various points before finalizing an ideal form of
contrjbutjons of E,w. Taylor organization. Maximum benefits can be derived from a form of organisation.
1. He has applied the principles of scientific management to solve the In this direction, Bureaucratic organization offers a lot of benefits to the
problems of management. public.
2. According to him, it was the duty of the management to tell the
employees about the expectation of management from employees. charactecistjcs or features
Besides, the management should the way through which the job is 1. Functional specialization
to be completed. 2. Hierarchy of authority
3. He was the first person who supported mental revolution both on 3. Rules and regulations
the part of the employee. 4. Rights and duties
5. Technical competence
6. Fixation of procedure
Peter E,prucker 7. Record-keeping
Peter f. Drucker was born in 1909 in Vienna. He had written many books 8. Impersonal relations
on management. The practice of management, the economic man, the
future of industrial man, Concept of corporation America's next twenty Advantages of bureaucracy
years, landmarks of tomorrow. Managing for results. 1. Specialization
2. Employee behavior
Contrjbutjons of Peter E, Drucker 3. Structure
1. Nature of management 4. No conflict
2. Functions of management 5. Advance decision
3. Organization structure 6. Optimum utilization of human resources
4. Centralist control with a structure of decentralization 7. Democracy
5. Management by objectives 8. Perpetual succession
6. organizational changes