Chapter 2.

MGT History
• Scientific mgt (throughly studying and testing different work methods to identify
the best, most efficient way to complete a job)
o Frederick Taylor (father of scentific mgt) --> improve efficiency
• Soldiering : when workers deliberately slow their pact or restrict work
outputs
• Rate buster: people whose work pace is faster than normal pace in his
group

• Goal of scentific mgt => End soldiering and use systematic study to find
the 'one best way' of doing each task (TIME STUDY -- timing how long
it took a 'first-class man; to complete each part of his job, and find the
standard to measure payment hours)

• Four principle
1. develop a science for each element of work
2. Scientifically select, train, teach, and develop workers to help them
reach their full potential
3. Cooperate with employees to ensure implementation of the scientific
principles & the true interests for employee and manager are the same
4. Divide work & responsibility equally btw mgt and employees
principles use to decide a 'fair day's work' (avg worker could produce at reasonable pace)
Mgt has responsibility to pay workers fairly for that 'fair day's work'
Try to align mgt & employees by using incentives to motivate workers (piece-rate incentives)

o Frank & Lillian Gilbreth (motion studies)

• To simplify work, improve productivity and reduce level of effort required
to safely perform a job
• Motion study : break each task into separate motions and then
eliminating those that are unnecessary or repetitive
• Lilian --> human-side of work: first contributor to industrial psychology
(eg. Improve office communication, incentive programs)

o Henry Gantt (Charts)

• Gantt chart (a graphical chart shows which tasks must be complete at
which times in order to complete a project)

• Recommend companies train workers TRAINING APPROACH

1. A scientific investigation in detail of each work and decide the best
method and shortest time that work can be done
2. Teacher capable of teaching the best method and shortest time
3. Reward for both teacher and pupil when the latter is successful
• Bureaucratic mgt (Max Weber) 主要用于当时皇权统治或者父权同志. --> using
knowledge, fairness nad logical rules and procedures
o Bureaucracy : the exercise of control on the basis of knowledge
o People lead by virtue of their rational-legal authority -- their knowledge,
expertise, experience
o Aim : to achieve an organization's goals in the most efficient way possible
o Characteristics

• Administrative Mgt (Henri fayol) --> how and what managers should do
➢ The success of an enterprise depends much more on the administrative
ability of its leaders than on their technical ability
➢ 5 managerial functions (OLD) : planning / organizing/ coordinating/
commanding / controlling
➢ (NEW)
1. Planning (decide organizational goals and way to achieve them)
2. Organizing (decide where decisions will be made, who will do what
jobs, who will work for whom)
3. Leading (inspire & motivate employee to work hard to achieve
organizational goals)
4. Controlling (monitoring progress towards goal achievement and
taking corrective action when needed)

• Human relations mgt -->orgaizational success depends on treat employees well

- Constructive conflict / cognitive conflict (Mary Parker Follett)
i. Dealing with conflict -> NOT : domination (one side won and other side
lose) &. Compromise ( each side gave up some of what they wanted)
ii. SHOULD --> integrative conflict resolution (both parties deal with conflict
by indicating their preferences and then working together to find an
alternative that meets both needs)
iii. Other Mary's key contribution to mgt
1. Power (with, not over others)
2. Giving of orders (discussing instructions & resentments with subordinates)
3. Authority (flowing form job knowledge and experience, not position)
4. Leadership (leader make the team by organizing all the forces in
organization, not be aggressive or dominating)
5. Coordination and control (should based on facts, info & coordination)

- Hawthorne studies

2
 i. 1st stage: investigate effects of lightening levels and incentives on
employee productivity --> production level increase, regardless of
lightening or incentive levels
--> reason: increased attention from mgt + development of a cohesive work
group led to significantly higher levels of job satisfaction and productivity

ii. 2nd stage: bank wiring room - group social interactions & employee
satisfaction and attitudes have effect on individual and group performance

- Cooperation and acceptance of authority. (Chester Barnard)

i. Organization : a system of consciously coordinated activities created by two
or more people
ii. People willing to cooperate in an organization depends on how workers
perceive executive authority and whether they're willing to accept it
iii. Zone of indifference --> acceptance of managerial authority is automatic
iv. People will not be indifferent to orders if they 1) are understand 2) are
consistent with purpose of the organization. 3) are compatible with
people's personal interests 4) can actually be carried out by those people
v. Time not automatic --> ask people to do things contrary to their own benefit
--> "fiction of superior authority" (workers ultimately grant managers their
authority)

• Operation mgt
➢ Managing daily production of goods and services & use quantitative
approach to dins ways increase productivity, quality and reduce costly
inventories
➢ 3 ways of improvement
i. Most products are manufactured using standardized, interchangeable parts
ii. Draw 3D objects on paper so manufacturers can produce parts w/o first
seeing/examining a prototype
iii. 'hand-to-mouth' inventories (each production station had only enough parts
on hand to do a short production run) --> computerized, just-in-time
inventory systems

• Information mgt. (new Tec to increase communication speed)

➢ Paper and printing press
➢ Aual typewriter --> computers & word processing software
➢ Post messengers. (fast assess to timely info)
• Systems mgt (a set of interrelated elements or parts that functions as a whole)
➢ Encourage managers to look for connections btw different parts of orgnization
➢ Organizational systems composed of subsystems (smaller systems that
operate within larger systems)
➢ Synergy : occurs when 2 or more subsystems working together produce more
than they can working apart. (1+1=3)
➢ Closed systems : sustain themselves without interacting with their
environments
➢ Open systems : sustain themselves only by interacting with their
environments, on which they depend for survival <=几乎全部公司是这个

3
 ➢ Ad
i. Force managers to view organization as part of and subject to the
competitive, economic, social, tech, and legal forces in their environment
ii. Force managers to aware how environment affects specific parts of the
organization
iii. Encourage managers focus on better communication & cooperation within
organization
iv. Survival depends on making sure the organization continues to satisfy
critical sentimental stakeholders, such as shareholders, consumers,
suppliers…

• Contingency mgt
➢ There are no universal mgt theories & the 'best way' depends on the kinds of
problem that managers face at a particular time and place
➢ 2 implications
➢ Mgt is much harder than it looks
➢ managers need to look for key contingencies that differentiate today's situation
from yesterday's
➢ Managers need to spend time analyzing problems before taking actions to fix
➢ Paying attentional to qualifying phrases (eg. Usually, in these situations, for
this to work.._)