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Management
is a Global
Affair

ï    ï . stretching as far back as the construction of the pyramids. copyright © Houghton Mifflin company. 0 he practice of management is much older. All rights reserved.      0 he systematic study of management did not begin in earnest until after 1900.

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vast amounts of relevant information are readily available in print and electronic media. psychology..g. 0 oday. ï    ï . copyright © Houghton Mifflin company. history. 0 An nterdisciplinary Field 0 he manifold increase in management theory information is due largely to its interdisciplinary nature in drawing from several fields (e. and engineering). economics. mathematics.     £   0 nformation Overload 0 Management has not had a systematically recorded body of knowledge until recently. All rights reserved.

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     0 here are several approaches to the theory and practice of management. 0 he universal process approach 0 he operational approach 0 he behavioral approach 0 he systems approach 0 he contingency approach 0 he attributes of excellence approach copyright © Houghton Mifflin company. ï    ï . All rights reserved.

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All rights reserved. 0 he management process can be reduce to a set of separate functions and related principles. copyright © Houghton Mifflin company. ï    ï .    0 niversal Process Approach 0 Assumes all organizations require the same rational management process. 0 core management process remains the same regardless of the purpose of the organization.

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All rights reserved.   0 Fayol published Administration ndustrielle et Générale in 1916. organizing. 0 ivided manager¶s job into five functions: 0 Planning. copyright © Houghton Mifflin company. 0 eveloped 14 universal principles of management. and control. ï    ï . coordination. command.

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All rights reserved. 0 Management is a largely. 0 he functional approach is useful because it specifies what managers should do. copyright © Houghton Mifflin company. 0 Management is a continuous process. rational process.  £   0 essons from the niversal Process Approach 0 he management process can be separated into interdependent functions. ï    ï . though not an entirely.

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0 Systematic selection and training of workers to increase efficiency and productivity. 0 Standardization of work practices and methods reduce waste and increase productivity 0 ime and task study of workers¶ efforts to maximize productivity and output. aylor¶s Scientific Management 0 eveloping performance standards on the basis of systematic observations and experimentation. All rights reserved.  0 Frederick W. ï    ï . copyright © Houghton Mifflin company. 0 ifferential pay incentives based on established work standards.

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2  aylor¶s ifferential Piece-Rate Plan copyright © Houghton Mifflin company. All rights reserved. ï    ï .

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copyright © Houghton Mifflin company. 0 eveloped the Gantt chart for work-scheduling of projects. 0 arly advocate of the importance of the human factor and the importance of customers service over profits. ï    ï .  0 Frank and illian Gilbreth 0 Refined time and motion study methods for use in work simplification. 0 Henry . All rights reserved. Gant 0 Refined production control and cost control techniques.

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copyright © Houghton Mifflin company. dwards eming 0 ased his 14 principles on reformed management style.  0 Walter A. employee participation. 0 eveloped fishbone diagram approach to problem- solving. ï    ï . 0 aoru shikawa 0 Proposed a preventive approach to quality. All rights reserved. Shewhart 0 ntroduced the concept of statistical quality control. 0 W. and striving for continuous improvement.

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crosby 0 Promoted the idea of     (doing it right the first time). partnerships with suppliers. 0 eveloped    (80/20 rule) as a tool for separating major problems from minor ones. 0 Armand V. All rights reserved. teamwork. 0 Philip . Feigenbaum 0 eveloped the concept of    . and brainstorming. £   0 oseph M. ï    ï . copyright © Houghton Mifflin company. uran 0 Proposed the concept of internal customers.

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copyright © Houghton Mifflin company. inspired by the scientific approach. have been right all along about the importance of quality and continuous improvement 0 he operational approach fostered the development of operations management. 0 uality advocates. ï    ï . 0 sing scientific management doesn¶t dehumanize workers.  £   0 essons from the Operational Approach 0 A dedication to finding a better way is still important. All rights reserved.

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0 the philosophy of industrial humanism. copyright © Houghton Mifflin company.  0 he Human Relations Movement 0 An effort to make managers more sensitive to their employees¶ needs. All rights reserved. 0 Arose out the influences of 0 the threat of unionization. ï    ï . 0 the Hawthorne studies.

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2 # he Human Relations Movement Pyramid .

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  £   0 he hreat of nionization 0 he Wagner Act of 1935 legalized union- management collective bargaining. ï    ï . promoting the growth of unions and union avoidance by firms. copyright © Houghton Mifflin company. 0 he Hawthorne Studies (1924) 0 he study¶s results that productivity was strongly affected by workers¶ attitudes turned management toward the humanistic and realistic viewpoint of the ³social man´ model. All rights reserved.

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ï    ï . 0 Mary Parker Follett 0 Managers should be aware of how complex each employee is and how to motivate employees to cooperate rather than to demand performance from them. copyright © Houghton Mifflin company.   0 lton Mayo 0 motional factors were more important determinants of productive efficiency than were physical and logical factors. All rights reserved.

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creative. and willing workers. 0 heory Y: the positive view of employees as energetic. copyright © Houghton Mifflin company. ï    ï .  £   0 ouglas McGregor 0 eveloped heory X and heory Y 0 heory X: management¶s traditionally negative view of employees as unmotivated and unwilling workers. All rights reserved.

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All rights reserved. ï    ï . 0 Success depends on motivated and skilled individuals committed to the organization."    0 Organization ehavior 0 A modern research-oriented approach seeking to discover the causes of work behavior and to develop better management techniques. 0 essons from the ehavioral Approach 0 People are the key to productivity. copyright © Houghton Mifflin company. 0 Managerial sensitivity to employees is necessary to foster the cooperation needed for high productivity.

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ï    ï .    0 What is a System? 0 A collection of parts that operate interdependently to achieve a common purpose. 0 Seeks to identify all parts of an organized activity and how they interact. 0 Analytic versus synthetic thinking: outside-in thinking versus inside-out thinking. copyright © Houghton Mifflin company. 0 Systems Approach 0 Posits that the performance of the whole is greater that the sum of the performance of its parts. All rights reserved.

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ï    ï .    0 chester . copyright © Houghton Mifflin company. 0 communication. 0 characterized all organizations as cooperative systems. 0 efined principle elements in an organization as 0 willingness to serve. 0 common purpose. 0 Strong advocate of business ethics. All rights reserved. arnard¶s arly Systems Perspective 0 Wrote 2     .

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All rights reserved. ï    ï . 2 & arnard¶s cooperative System copyright © Houghton Mifflin company.

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0 evels of systems 0 ach system is a subsystem of the system above it.   0 General Systems heory 0 An area of study based on the assumptions that everything is part of a larger. All rights reserved. copyright © Houghton Mifflin company. 0 dentification of systems at various levels helps translate abstract systems theory into more concrete terms. ï    ï . interdependent arrangement.

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2 ' evels of iving Systems copyright © Houghton Mifflin company. ï    ï . All rights reserved.

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0 Systems are classified open (closed) by how much (how little) they interact with their environments. 0 Open system 0 Something that depends on its surrounding environment for survival. ï    ï . copyright © Houghton Mifflin company.  £   0 closed Versus Open Systems 0 closed system 0 A self-sufficient entity. All rights reserved.

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0 complex adaptive systems 0 complex systems are self-organizing. copyright © Houghton Mifflin company. 0 chaos theory 0 very complex system has a life of its own. with its own rule book. All rights reserved. ï    ï .  £   0 ew irections in Systems hinking 0 Organizational learning and knowledge management 0 Organizations are living and thinking open systems that learn from experience and engage in complex mental processes.

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copyright © Houghton Mifflin company.  c   0 contingency Approach 0 A research effort to determine which managerial practices and techniques are appropriate in specific situations. All rights reserved. ï    ï . 0 ifferent situations require different managerial responses. 0 can deal with intercultural feelings in which custom and habits cannot be taken for granted.

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0 A multivariate approach 0 Many variables collectively account for variations in performance. 0 A practical research orientation 0 ranslating research findings into tools and situational refinements for more effective management. ï    ï . copyright © Houghton Mifflin company.  c   £   0 contingency characteristics 0 An open-system perspective 0 How subsystems combine to interact with outside systems. All rights reserved.

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copyright © Houghton Mifflin company.  c   £   0 essons from the contingency Approach 0 Approach emphasizes situational appropriateness rather than rigid adherence to universal principles. ï    ï . All rights reserved. 0 Approach creates the impression that an organization is captive to its environment.

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All rights reserved. 0 Made key points with anecdotes and stories rather than quantifiable objective data and facts. 0 Replaced conventional management terminology with new catch phrases. copyright © Houghton Mifflin company.  0 Peter and Waterman¶s Approach 0 Attacked conventional management theory and practice as outmoded in almost every dimension. ï    ï .

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   £   0 A critical Appraisal of the xcellence Approach 0 Raises more questions than it answers. All rights reserved. 0 Fails to position management effectiveness as important to sustaining corporate excellence. ï    ï . 0 Relies heavily on unsupported generalizations. 0 gnores the contingency approach to management. copyright © Houghton Mifflin company.

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   £   0 essons from the xcellence Approach 0 Reminded managers to pay close attention to the basics. All rights reserved. 0 Reminded managers of the importance of on-the-job experimentation. ï    ï . copyright © Houghton Mifflin company.

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2 + he contingency View: A compromise copyright © Houghton Mifflin company. All rights reserved. ï    ï .

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