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The figure shows the four major approaches to management theory: classical, behavioral, quantitative, and contemporary.
Copyright © 2018, 2016, 2014 Pearson Education, Inc. All Rights Reserved
1. Early management
Practices
The figure shows the four major approaches to management theory: classical, behavioral, quantitative, and contemporary.
Copyright © 2018, 2016, 2014 Pearson Education, Inc. All Rights Reserved
Classical approach
• Although we’ve seen how management has been used in
organized efforts since early history, the formal study of
management didn’t begin until early in the twentieth
century.
• The first study of management, often called the classical
approach, emphasized on economic rationality of employees
and making organizations and workers as efficient as possible.
• Three major theories comprise the classical approach:
1. Scientific management theory (Frederick W. Taylor, Frank and
Lillian Gilbreth, Henry Gantt)
2. Administrative management theory (Henri Fayol)
3. Bureaucratic management theory (Max Weber)
Copyright © 2018, 2016, 2014 Pearson Education, Inc. All Rights Reserved
Example
• How did these scientific principles really work? Let’s look at an example.
• Probably the best known example of Taylor’s scientific management efforts was
the pig iron experiment. Workers loaded “pigs” of iron (each weighing 92 lbs.)
onto rail cars. Their daily average output was 12.5 tons. However, Taylor
believed that by scientifically analyzing the job to determine the “one best way”
to load pig iron, output could be increased to 47 or 48 tons per day.
• After scientifically applying different combinations of procedures, techniques,
and tools, Taylor succeeded in getting that level of productivity. How? By putting
the right person on the job with the correct tools and equipment, having the
worker follow his instructions exactly, and motivating the worker with an
economic incentive of a significantly higher daily wage. Using similar approaches
for other jobs, Taylor was able to define the “one best way” for doing each job.
• Overall, Taylor achieved consistent productivity improvements in the range of
200 percent or more. Based on his groundbreaking studies of manual work using
scientific principles.
• Developed
techniques, including
the Gantt chart, to
improve working
efficiency through
planning/scheduling
Henry Gantt…..
• Developed by Henry
Gantt to help
industrial age
managers plan for
mass production
• Utilized to coordinate
WWI shipbuilding
• Visual display used
to schedule based on
time
01/17/2023 SMUC, MBA program 38
Henry Gantt – A scheduling Devise
Planned 1 2 3 4 5 8 9 10 11 12 15 16 17 18 19 22 23 24 25 26
1. Design
2. Purchase Parts
3. Fabricate Bodies
4. Fabricate Frames
6. Assemble Carts
7. Test Carts
How today’s managers use scientific
management?
• Many of the guidelines and techniques that Taylor
and the Gilbreths devised for improving production
efficiency are still used in organizations today.
• When managers analyze the basic work tasks that
must be performed, use time-and-motion study to
eliminate wasted motions, hire the best-qualified
workers for a job, or design incentive systems
based on output, they’re using the principles of
scientific management.
• Administrative &
bureaucratic Management
Focuses on managing
the total organization
Contribution of classical approach
• The growth of management as an important
element of organized society having principles
that can be learned and practiced.. Field of study
• The identification of functions and process of
management
• Many management techniques used today
(motion and time study, work simplification,
incentive system, production scheduling,
personnel testing and budgeting …) are derived
from the classical approach
01/17/2023 SMUC, MBA program 56
Limitation of classical approach
• Result:
– Remarkable positive employee perceptions
• Conclusions:
– New Supervisory Style improved worker morale
– The findings confirmed the importance of social factors at
work in the total work environment.
• Improved management
Copyright © 2018, 2016, 2014 Pearson Education, Inc. All Rights Reserved
How does the systems approach contribute to
our understanding of management?
• organization are made up of “interdependent
factors, including individuals, groups, attitudes,
motives, formal structure, interactions, goals,
status, and authority.”
• What this means is that as managers
coordinate work activities in the various parts
of the organization, they ensure that all these
parts are working together so the
organization’s goals can be achieved.
01/17/2023 SMUC, MBA program 82
Systems approach…