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History of Management

Managemnt is as old as birth of human .

i. Planning.
ii. Organizing .
iii. Leading .
iv. Control.
1. Historical Background .
I. Eary Examples: There are several Examples that prove managemnt existed eras ago. For
example :
✓ Pyramids of Egypt .
✓ Wall of china .
These structures were constructed thousand years ago took hundreds of years to
complete and a mass off labour , this all was done by managemnt although there was no
proper concept of Management .
II. Adom Smith (Wealth of Nation (Book)):
Concept of Job Specialization.
▪ Division of Work.
▪ Division of Labour .
▪ Distribution of work as per specialization of employ .
III. Industrial Revolution:
There was no concept of industries before 19th century .
➢ Self production.
➢ Barter System .
➢ Small Industries .
➢ Large industries .
This all concept was based on Management but as a specialized Field.

2. Classical approach.
A. Scientific Management (Fredric W Taylor ) :
Worked as a Mechanical Engineer in an American steel Mill .
o Monitor the work of employs to know about productivity .
o Maximum output was 12 tons per day.
o Thought to increase this quantity .
o Replaced the Rail cars with Assembly lines.
o It was one best way for job being done.
o Ford Motors used this Method.
o 3-8 days taken to manufacture a car contracted to 1.5 to 3 hours .
✓ Putting right person for right Job ( same concept as Adam Smith ).
o With right tools and equipment .
o Motivate workers.
o Increase Salaries and Rewards .
Principles of Scientific Managemnt (Bookl .
Principlas:
I. Develop a science to Replace old rule of thumb method . ( For every unique
problem there Must Be a Unique Solution) .
II. Scientifically Select,Train and Motivate employs .
III. Heartly corporate with Employs .
IV. Divide the work and responsibility equally among employs and manager.

B. Genral and Admnistrative Theory / Approach (Henry Fyol):


❖ Coal mining organization worker.
❖ Organization was about to be bank Rupt.
❖ Henry Fayol decided to be CEO.
❖ Organization back to profit .

14 Principals (Genral and Industrial Admnistration (Book)):


1) Division of Workers: (same concept as Adam Smith and Fredry W Taylor).
2) Authority (Ordering Power): it is a managers right to have ordering power/ Authority.
3) Discipline (Rules and Regulations ) : Employ Must follow Rules and Regulation by
organization .
4) Unity of Command : There must be one commanding Authority ( immediate boss for
single employ) .
5) Unity of Direction: one goal at a time .
6) Subordinates of Industrial Interest to General interest:
• Scarifies Personal Interest .
• Do not be biased .
• Work for interest of organization.
• No Nepotism .
7) Remuneration (Salaries and Rewards) : Fair Salaries and Rewards.
8) Centralisation and Decentralization: There must be Dual Approach system eg core
Decission made by Top managers and small decisions made by low level Managemnt.
9) Scalar Chain : Sequence of Authority.
10) Order (Sequence) : Right time Right job.
11) Equality: Equality Behaviour.
12) Stability: Stability of Tenure of Employ.
13) Initiative (Bring New Ideas) : Appreciate Employ Bringing New Ideas .
14) Esprit De Corps ( Japanese Term): Unity is strength (work in groups ).
3. Quantitative Approach to Management
• How to improve quantity.
• Concept after second world war.-----After world war many of army officers resigned and
joined different companies and started working with skills and Techniques learned in
army. Eg : No of Weapons ,No of army person.
• This bought boost to organizations in which these workers worked

6 sigma: If you are producing 1 million products you can only produce 3.4 defective products . Only then
you can meet the standards .

I.S.O: International Standard Organisation.

J.IT: Just In Time

Factors that effect Qualitative Approach


i. Instance Focus on Customer : Produce tge Quality a custimer Demands , As he is the one to
buy .
ii. Concern Must be of continues improvement : Even very good is not good .
iii. Process focused: Focus should be on process . Ie: Working process : Raw material -
--Working process--- Finished Goods.
iv. Improvement in the Quality of Everything an Qrganization does .
v. Accurate Measurements.
vi. Empowerment of Employs

Till Here It was all about Quantity of Product.

4. Behavioural Approach.
Early Advocates :
How employs behave in any organization.
Organizational Behaviour : Study of actions of people in an organization .
Earlv 0B Advocates

A brief overview of the contributions of these early advocates of


organizational behavior:

1. **Frederick Taylor:** Known as the father of scientific management, Taylor focused


on improving efficiency through the scientific analysis of work processes. His approach
emphasized breaking down tasks into smaller parts to determine the most efficient way to
perform them. Taylor's work laid the foundation for the principles of standardization,
specialization, and the time-and-motion study.

2. **Max Weber:** Weber's work centered around bureaucratic theory, where he


proposed an ideal organizational structure based on rationality, rules, hierarchy, and impersonal
relationships. He highlighted the significance of clear authority, job descriptions, and formalized
procedures within organizations. Weber's ideas have had a lasting impact on how organizations
are structured and managed.

3. **Elton Mayo:** Mayo's contributions emerged from the famous Hawthorne Studies
conducted at the Western Electric Company. These studies revealed the importance of social
and human factors in the workplace. Mayo's findings challenged the traditional view of workers
as mere production units and emphasized the significance of social interactions, group
dynamics, and the impact of psychological factors on productivity.

4. **Mary Parker Follett:** Follett focused on human relations within organizations and
was a forerunner in integrating conflict resolution, power dynamics, and the importance of
collaboration and cooperation among employees. She advocated for a more democratic
approach to management, emphasizing the need for managers to act as facilitators of group
dynamics rather than authoritative figures.

These early advocates laid the groundwork for understanding organizational dynamics,
emphasizing aspects of efficiency, structure, human relations, and the role of individuals within
organizations.
Howthorns studies :
A study in American city about employs behaviour during work.
Two groups were made .
1. Control group . (Not Disturbed ) .
2. Experimental group .
• Lightning effect observed .
➢ Increased light.
➢ Decreased light.
• No effect on workers .
• Alton Mayo a professor from Howard's University was hired and shared the
results.
• He said it'd something else (To improve productivity).
• Suggestions:
▪ Make work groups.
▪ Work Breaks.
▪ Rest Periods.
▪ Wage Planes.
▪ Redesign the job .
▪ Group wages.

“People are the Most important assets for any Organization”.

Contigency Approach.
How a manager has to behave in a contingent/ contemporary situation.

Q. HOW todays managers use Behavioural Approach ?


Today's managers use the behavioral approach in various ways to understand and improve
organizational dynamics:
1. **Leadership Styles:** Managers employ behavioral theories to understand different
leadership styles, such as transformational, transactional, or servant leadership. They adapt their
approaches to motivate and guide teams effectively.

2. **Team Dynamics:** Behavioral theories help managers comprehend team dynamics,


fostering collaboration, effective communication, and conflict resolution within teams.

3. **Motivation and Engagement:** Understanding motivational theories (like Maslow's


hierarchy of needs or Herzberg's two-factor theory) aids managers in creating work environments that
promote employee engagement and satisfaction.

4. **Employee Development:** Behavioral approaches assist in designing training programs


and performance management systems that focus on improving employee skills, knowledge, and
abilities.

5. **Decision-Making Processes:** Behavioral theories provide insights into decision-making


processes, helping managers understand biases, heuristics, and cognitive limitations that can affect
judgments.

6. **Organizational Culture:** Managers utilize behavioral approaches to shape and reinforce


positive organizational cultures, aligning values and behaviors for better performance and employee
satisfaction.

7. **Conflict Resolution:** Applying theories on conflict management, such as Thomas-


Kilmann's conflict resolution styles, aids managers in addressing and resolving conflicts constructively.

Overall, today's managers leverage the behavioral approach to better understand human behavior in
the workplace, fostering more effective leadership, teamwork, motivation, and overall organizational
performance.

Contingency Approach.
The contingency approach in management emphasizes that there's no one-size-fits-all solution for
managing organizations or leading teams. Instead, it suggests that the most effective management style
or organizational structure depends on various situational factors. Here are key aspects:

1. **Context Matters:** Managers consider the unique circumstances, environment, and


challenges faced by their organization. They analyze these factors to determine the best course of action
rather than following a fixed approach.

2. **Flexibility in Decision-Making:** The contingency approach promotes flexibility in


decision-making. Managers adapt their strategies, leadership styles, and structures based on the specific
needs and demands of a situation.
3. **Matching Approach:** The aim is to match the management or leadership style to the
current situation. For instance, a crisis might require a more autocratic leadership style, while a creative
project could benefit from a participative approach.

4. **Factors Considered:** Elements like the organization's size, industry, technology, culture,
external environment, and the task or goal at hand are considered when determining the best approach.

5. **Ongoing Assessment:** Managers continuously evaluate and reassess the situation,


making adjustments as needed. This dynamic approach ensures adaptability in a constantly changing
business landscape.

The contingency approach allows managers to be more responsive and adaptive, recognizing that what
works in one situation may not work in another. It emphasizes the importance of considering multiple
variables and adapting management practices accordinzgly for optimal effectiveness.

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