Management

and Engineering Concepts

Approximate Period Management Thoughts/Concept Accomplishments and Their Contributors

 5000 – 1600 BC Planning and control; material scheduling Pyramids: transportation system for huge
systems; organizational hierarchy. objects; marketing of metal alloys
2000 – 1700 BC Minimum wage; written receipts for control Code of Hammurabi purposes.
1491 BC Planning, organizing, controlling, partici- Moses, exodus of Jews from Egypt pative
managements, span of control
600 BC Production control; incentive wage payments Nebuchadnezzar, colour coding of raw materials
for specific production lots
500 – 325 BC System approach; specialization, scientific Mencius; Cyrus; Plato; Socrates; Alexander the Great;
methods used; motion study; material handling development of trading companies; development of
techniques; use of the staff principle military organizations
 1900 – AD 1920 , Scientific Management; functional organization; principles of management; time and
motion studies; research on production methods; Gantt charts; training programs for workers; appli-Max
Webber cation of psychology to management; economic lot size theory; office management concepts;
efficiency engineering
 Huge growth in productivity; revolutionary methods in the workplace; Frederick Taylor; Frank and Lillian
Gilbreath; Henry Gantt; Hugo, Munsterberg; Walter Dill Scott; Harrington Emerson; Henri Fayol;
1920 – AD 1940 Modern birth of human relations in industry; Hawthorne studies; Elton Mayo; Mary Parker Follett; Oliver Sheldon;
social responsibility of management; group James Mooney; Chester Burnard
dynamics; theories of motivation and communi-
cation; principles of organization
Contemporary Contributors
to Management
Contemporary Contributors to Management

Russell Ackoff 1956, 1963

Developed modern theories in operations research and

quantitative applications to business

Contributor
Year
Contributions
Contemporary Contributors to Management

Howard Raiffa and Robert Schlaifer 1965, 1967

Contributed to statistical decision-making theory under

conditions of uncertainty
Used strategic analysis to study competitive markets
Contributor
Year
Contributions
Contemporary Contributors to Management

Herbert Simon 1955, 1960, 1965

Developed the field of decision theory by use of quantitative models of

human behavior. Wrote on information sciences, economics and
decision-making, forming a theoretical base for study of organizations
Contributor globally change.
Year
Contributions
Contemporary Contributors to Management

Norbert Weiner 1949

Developed theories of cybernetics used for modelling operations
of the firm. Applied systems analysis to the study of organizations.

Contributor
Year
Contributions
Contemporary Contributors to Management

Abraham Maslow 1954, 1964

Developed major theory of individual motivation known as hierarchy
of needs. Considered as the founder of humanism in modern
organizations.
Contributor
Year
Contributions
Contemporary Contributors to Management

Douglas Mcgregor 1960, 1967

Described Theory X and Theory Y assumptions of human behavior.
Laid groundwork for coordinating human effort in complex
organizations
Contributor
Year
Contributions
 Where it all began?

Scientific Management Theory

 Frederick Winslow Taylor was one of the

earliest proponents of management theory. A
mechanical engineer, he authored The  At its most basic, his theory proposed for the
Principles of Scientific Management in 1909. simplification of jobs. By keeping things simple, he
argued, productivity would improve. He also argued
that managers and employees must work together.
This was a new idea in the history of management.
In the early-20th century, most companies still
operated like dictatorships. The manager assigned
the work, and the employee did it.
 Four principles of management
Taylor also created four principles of management as part of his work. These are:

 Use scientific methods to determine the most efficient way to complete a task.
 Monitor employees to determine performance. This involves offering guidance to those that aren’t as efficient as
needed.
 Assign employees to work that suits their skills and motivation levels. Then, coach them to reach maximum
efficiency.
 Managers must focus on planning and professional improvement. Employees must focus on the tasks given to them.
 Administrative Management Theory

 Fayol developed his 14 principles while working in his directorship. As a result, they
came from the direct experience of a man who had been there and done it all.
 He created 14 principles of management. However, most of these focused on the
administrative side of management.
 He argued that many managers didn’t interact well with their employees. In this, he
agreed with Taylor. But Fayol’s principles focused less on science. Instead, he looked
at how to create an efficient company structure.
 He argued for employee specialization and a focus on organizational interests. Fayol
also believed that all employees should only have one direct manager.
 Fayol’s book became one of the key leadership tools in the history of management.
Even today, his 14 principles of management agree with most modern organization’s
aims.
Bureaucratic Management Theory

 One of the earliest examples of evolution in  Weber touched on an important

the history of management, Max Weber built on
Taylor’s theory. He argued for similar principles.
Weber believed that all managers must build chains
of command. He also argued for standardization.
aspect of modern business. Hiring for
fit, he believed, involved searching
for employees with the correct skills.

 Weber and Taylor differed in a key area. Weber

realized that Taylor’s scientific theory did not account
for emotions. He argued that the rise of technology
could lead to a toxic workplace culture. He differs
from many management theorists because of this focus
on the negatives. Too much change can affect morale.
Bureaucratic Management Theory
Weber’s bureaucratic theory argues for the following:

 Detailed record-keeping at all levels of an organization.

 Employees must have clear job roles so they maintain their focus.
 All organizations should have clear hierarchies.
 The standardization of common procedures.
 Organizations must only hire employees who are fit for the job in question.
Human Relations Management Theory

 Elton Mayo’s Studies added a new wrinkle. For five

years, Mayo studied employees at Chicago’s Western
Electric Hawthorne Works. He placed his focus on
workplace conditions, and how they affected
productivity.
 Mayo’s work laid the foundations for the focus on
teamwork that today’s management theories have. He
was the first to prove that the right people in the right
teams leads to higher productivity.
 His study found that relationships work as a key
motivator for employees. When working as part of a
team, people become more productive. The
improvement was so marked that it became known as
“The Hawthorne Effect”.
Human Relations Management Theory

 His work led to the founding of the Human Relations Management Theory.
Other theorists adopted his research. They used it to look for ways to
create high-performing teams. These efforts still had the same aims of
previous theories. They aimed for greater efficiency and better results. But
Mayo’s work emphasised the importance of the human factor.

 As a result, the Hawthorne Studies

are a major benchmark in the history
of management.
 X & Y Management Theory
 Theory X relates to authoritarianism. Such managers
take a negative view of their employers. They
assume their people have no motivation and won’t
work well unless pushed. This leads to the leader
taking too much control, often micromanaging
projects.
 In 1960, Douglas McGregor built on the
teamwork-related ideas in the Hawthorne Studies.
He published The Human Size of Enterprise to
make his points. In that book, McGregor presents
two types of management: Theory X and Theory Y.
 most modern management theories.
 Theory Y built more directly from Mayo’s studies. Such
managers take a much more positive approach to their
people. They believe that teamwork leads to better
results. Furthermore, Theory Y managers encourage
professional development and give employees more
responsibilities. They want to see initiative, which builds
a positive workplace culture.
 McGregor argued that Theory Y is the better
choice of the two. Modern management bears his
claims out as well. Though authoritarianism still
exists, most don’t see it as the way to develop a
healthy organization. Theory Y forms the basis of
 Reference:

 https://www.greatmanagers.com.au/management-theory-origin/