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Chapter # 2 (Principles of Management) PDF
Chapter # 2 (Principles of Management) PDF
LEARNING OUTLINE
Follow this Learning Outline as you read and study this chapter.
L E A R N I N G O U T L I N E (cont’
(cont’d) L E A R N I N G O U T L I N E (cont’
(cont’d)
Follow this Learning Outline as you read and study this chapter. Follow this Learning Outline as you read and study this chapter.
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L E A R N I N G O U T L I N E (cont’
(cont’d) Historical Background of Management
Follow this Learning Outline as you read and study this chapter.
• Ancient Management
• The Contingency Approach ¾ Egypt (pyramids) and China (Great Wall)
• Explain how the contingency approach differs from the ¾ Venetians (floating warship assembly lines)
early theories of management.
• Adam Smith
• Discuss how the contingency approach helps us ¾ Published “The Wealth of Nations”
Nations” in 1776
understand management.
management
Advocated the division of labor (job specialization) to increase
• Current Issues and Trends the productivity of workers
• Explain why we need to look at the current trends and • Industrial Revolution
issues facing managers.
¾ Substituted machine power for human labor
• Describe the current trends and issues facing managers. ¾ Created large organizations in need of management
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Exhibit 2–
2–1 Development of Major Management Theories Major Approaches to Management
• Scientific Management
• General Administrative Theory
• Quantitative Management
• Organizational Behavior
• Systems Approach
• Contingency Approach
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Exhibit 2–
2–3 Fayol
Fayol’’s 14 Principles of Management Exhibit 2–4 Weber
Weber’’s Ideal Bureaucracy
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Exhibit 2–
2–5 Early Advocates of OB The Hawthorne Studies
•A series of productivity experiments conducted
at Western Electric from 1927 to 1932.
•Experimental findings
¾Productivity unexpectedly increased under imposed
adverse
d working
ki conditions.
diti
¾The effect of incentive plans was less than
expected.
•Research conclusion
¾Social norms, group standards and attitudes more
strongly influence individual output and work behavior
than do monetary incentives.
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• System Defined
¾ A set of interrelated and interdependent parts
arranged in a manner that produces a unified whole.
• Basic Types of Systems
¾ Closed systems
Are not influenced by and do not interact with their
environment (all system input and output is internal).
¾ Open systems
Dynamically interact to their environments by taking in inputs
and transforming them into outputs that are distributed into
their environments.
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Exhibit 2–
2–7 Popular Contingency Variables Current Trends and Issues
• Organization size • Globalization
• As size increases, so do the problems of coordination. • Ethics
• Routineness of task technology • Workforce Diversity
• Routine technologies require organizational structures,
leadership styles, and control systems that differ from • Entrepreneurship
those required by customized or nonroutine technologies. • E-business
• Environmental uncertainty • Knowledge Management
• What works best in a stable and predictable environment
may be totally inappropriate in a rapidly changing and • Learning Organizations
unpredictable environment.
• Quality Management
• Individual differences
• Individuals differ in terms of their desire for growth,
autonomy, tolerance of ambiguity, and expectations.
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• Globalization
¾ Management in international organizations Step 1: What is the ethical dilemma?
¾ Political and cultural challenges of operating in a Step 2: Who are the affected stakeholders?
global market
Working with people from different cultures Step 3: What personal, organizational, and
Coping with anticapitalist backlash
external factors are important to
Movement of jobs to countries with low-
low-cost labor
my decision?
• Ethics
¾ Increased emphasis on ethics education in college Step 4: What are possible alternatives?
curriculums
¾ Increased creation and use of codes of ethics by Step 5: Make a decision and act on it.
businesses
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• Learning Organization
¾ An organization that has developed the capacity to
continuously learn, adapt, and change.
• Knowledge Management
¾ The cultivation of a learning
g culture where
organizational members systematically gather and
share knowledge with others in order to achieve
better performance.
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