IE256

Engineering
Management

Session II

“History of
Management” Ch. 2
Management Ideas and Practice
throughout the History
 Scientific Management
The thorough study and testing of
different work methods to identify the
best, most efficient ways to complete
a job.

The following are some of the

management gurus’ directions
Taylor’s Four Principles of Scientific
Management
Frank and Lillian Gilbreth

Motion study

Breaking each task or job into separate

motions and then eliminating those that
are unnecessary or repetitive
 Henry Gantt
Gantt Chart

Visually indicates what tasks must be

completed at which times in order to
complete a project
Gantt Chart Example
 Max Weber
Bureaucratic Management

The exercise of control based on knowledge

people led by virtue of rational-legal

authority
 Henri Fayol
Administrative Management

“The success of an enterprise generally

depends much more on the
administrative ability of its leaders than
on their technical ability.”
 Fayol’s Fourteen
Principles of Management
1. Division of work 7. Remuneration
2. Authority and 8. Centralization
responsibility 9. Scalar chain
3. Discipline 10. Order
4. Unity of command 11. Equity
5. Unity of direction 12. Stability of tenure
6. Subordination of of personnel
individual interests to 13. Initiative
the general interest 14. Esprit of corps
 Hawthorne (Human Factors
Studies)
• Human factors related to work were found to be
more important than physical conditions or
design of work.
• Workers not just extensions of machines, and
financial incentives weren’t necessarily the most
important for motivating workers.
• Managers better understood effect of group
social interactions, employee satisfaction, and
attitudes on individual and group performance.
 Zone of Indifference
People will be indifferent to managerial
directives if they
➢ are understood
➢ are consistent with organization’s purpose
➢ are compatible with people’s personal
interests
➢ can be carried out by those people
Information Management

Throughout history, organizations have

pushed for and quickly adopted new
information technologies to reduce the
cost or increase the speed with which
they can acquire, retrieve, or
communicate information.
 Systems Management
• System
a set of interrelated elements or parts that function as
a whole

• Subsystems
smaller systems within a larger system

• Synergy
occurs when two or more subsystems working
together can produce more than they can working
apart
 Systems
• Closed systems
can function without interacting with their
environments

• Open Systems
interact with their environments and depend on
them for survival
Traditional System Model
Environment Sys. Boundaries

Feed Back

Inputs Processes Outputs

Opened System

Closed System

Control Management
 System Characteristics
Purpose
Components
Interrelationships
Boundary
Business Environment
Interface
Constraints
Processes Input
Output
 Factors

Restrictions

Regulations
Policies
Mission

Rules
Strategy
Management

Positive Influence
Style
Input Structure
Support

Systems
Output
Culture

Personnel

Actors