History of Management Thought

Lecture #3
Schools of Management Thought
Schools of Management Thought
Classical School

Behavioral School

Management Science School

 Classical School
One best way to manage

It is managements job to ascertain the best

way to perform a job, then teach that
method to workers. The same philosophy
applies to running the organization
(the managers job)
 Scientific Management
The Scientific Method applied to work
 Scientific Management
Observation

Measurement

Logic

Analysis
 Frederick Taylor
The Father of Scientific Management
Taylor & Scientific Management
Experiment in Iron Foundry

Shoveling Coal
 Taylor & Shoveling Coal
Standard Operating Procedure:
Hire the man with the
shovel
 Taylor & Shoveling Coal
New Idea: Use standardized shovels!!!
 Taylor & Shoveling Coal
Optimal shovel size for the average worker:

21 pounds
 Loading Pig Iron
Intermediate product in the processing of
iron ore into steel
 Taylor & Loading Pig Iron
Before: Average load of 12 tons per day

After: Average load of _____ tons per day

Wages increased ____%

 Taylor & Loading Pig Iron
Productivity gain for company

More money for worker

Worker was less fatigued at end of day

 Scientific Management
Frank & Lillian Gilbreth

Motion & Time Studies

Therbligs
 Gilbreths
Brick-laying
 Gilbreths
Cheaper By the Dozen

World War I telegram to President Wilson:

Arriving Washington 7:03 pm. If you dont
know how to use me, Ill tell you.
 Scientific Management
Application of the Scientific Method to
work

Selection of the most capable workers

Provide resources to workers

 Scientific Management
Train the workers

Provide fair pay incentives to workers

(share productivity gains)
 Scientific Management:
Bastardized Version

Application of the Scientific Method to

work
Selection of the most capable workers
Provide resources to workers
Train the workers
 Behavioral School
aka Human Relations School

Genesis was in an experiment in

Scientific Management
 Behavioral School
Western Electric Hawthorne plant in
Cicero, Illinois

Hawthorne Studies
 Hawthorne Studies
Experiment in lighting conditions

Experimental group

Control group
 Hawthorne Studies
(storybook version)
Increased lighting associated with
increased productivity!!

Decreased lighting associated with

_________ productivity??

Who ya gonna call?

 Hawthorne Studies
Elton Mayo

Researcher from Harvard

Workers were not reacting to the changes in

lighting
 Hawthorne Studies
Workers were not reacting to the conditions
of the experiment

Workers were reacting to being in an

experiment

Hawthorne Effect
 Classical vs. Behavioral
Two diametrically opposed views

Which view do you hold?

 Management Science School
Management Science is NOT the same as
Scientific Management

Originated in the Polaris missile project

 Management Science
A problem is defined, and a model of the
situation is developed

The model simplifies reality or represents

reality in an abstract manner
 Management Science
Step One: Develop a model of the
problem or situation

Step Two: Quantify the variables

 Management Science
A politically incorrect example
 Management Science
No underage!

No drink and drive!