Management tenth edition

Stephen P. Robbins Mary Coulter

Chapter
Management
2 History

2–1
Learning Outcomes
Follow this Learning Outline as you read and study
this chapter.
1. Historical Background Of Management.
2. Classical Approach.
3. Quantitative Approach.
4. Behavioral Approach
5. Contingency/Contemporary Approach

2–2
Historical Background of
Management
• Ancient Management
 Egypt (pyramids) and China (Great Wall)

 Two events are significant to management history.

• Adam Smith
 Published The Wealth of Nations in 1776 (Division of
Labor or Job Specialization)
• Industrial Revolution (Human Power to Machine
Power)
2–3
Exhibit 2–1 Major Approaches to Management

2–4
Classical Approach
The first Studies of management, which
emphasized rationality and making
organizations and workers as efficient as
possible.

2–5
 Scientific Management
• Fredrick Winslow Taylor
 The “father” of scientific management
 Published Principles of Scientific Management (1911)
Says “Management is a science.
There is one best way and one best
person to do the task. I love
efficiency and I love to study people at work.
Management should be an academic
discipline.” (He had a point…)

2–6
 Exhibit 2–2 Taylor’s Scientific Management Principles

1. Develop a science for each element of an individual’s work, which

will replace the old rule-of-thumb method.
2. Scientifically select and then train, teach, and develop the worker.
3. Heartily cooperate with the workers so as to ensure that all work
is done in accordance with the principles of the science that
has been developed.
4. Divide work and responsibility almost equally between
management and workers. Management takes over all work for
which it is better fitted than the workers.

2–7
• Frank and Lillian Gilbreth
 Studied work to eliminate inefficient hand-and-
body motion.
 Micro chronometer (Device to record a
worker’s motion)

2–8
General Administrative Theory
An approach to management that focuses on
describing what managers do and what constitutes
good management practice.

2–9
General Administrative Theory
• Henri Fayol
 Principles of Management

• Max Weber
 Developed a theory of authority based on an ideal
type of organization (bureaucracy)
 A form of organization characterized by division of labor, a
clearly defined hierarchy, detailed rules and regulations and
impersonal relationships.
2–
10
Exhibit 2–3 Fayol’s 14 Principles of
Management
1. Division of work (Job Specialization Increases)
2. Authority (Managers give orders)
3. Discipline (Obey and respect the rules)
4. Unity of command (Receive orders from only one supervisor)
5. Unity of direction (Organizations should have single plan of
Action)

6. Subordination of individual interests to the general

interest (Common interest)

2–
11
7. Remuneration (Workers must be Paid a Fair wage)
8. Centralization (Degree to which subordinates are
involved in decision making)

9. Scalar chain (The line of authority from top

management to lower management)
10. Order (People and material should be in right place at
the right time)

11. Equity (Managers should be kind and fair to everyone)

12. Stability of tenure of personnel (Proper personnel
planning)

13. Initiative (Employees who are allowed to originate and

carry out plans with high level of efforts)

14. Esprit de corps (Promoting Team spirit) 2–

12
Exhibit 2–4 Weber’s Bureaucracy

2–
13
Quantitative Approach to
Management
• Quantitative Approach
 Evolved from mathematical and statistical methods
developed to solve WWII military logistics and quality
control problems
 British and American military had developed techniques using
math/stats to plan for attacks, convoy sizes, bombing raids,
etc…
 Focuses on improving managerial decision making by
applying:
 Statistics, optimization models, information models, and
computer simulations
 Computers do most of this work today
2–14
Total Quality Management
A philosophy of management that is driven by

continues improvement and responsiveness to

customer needs and expectations.

2–
15
Exhibit 2–5 What Is Quality Management?
• Intense focus on the customer.
• Concern for continual improvement.
• Process-focused.
• Improvement in the quality of everything.
• Accurate measurement

• Empowerment of employees

2–16
Understanding Organizational
Behavior
• Organizational Behavior (OB)
 Behaviors (actions) of people at work.

2–17
The Hawthorne Studies
•A series of productivity experiments conducted
at Western Electric from 1924 to 1932.

•Experimental findings
Productivity unexpectedly increased under imposed
adverse working conditions. (Lighting level experiment)
 The effect of incentive plans was less than
expected.

•Research conclusion
Social norms, group standards and attitudes more
strongly influence individual output and work behavior
than do monetary incentives.
2–18
 Contemporary Approach
Systems theory
A set of interrelated and interdependent parts
arranged in a manner that produces a unified
whole is called system.
• Closed System
Systems that are not influenced by and do not
interact with their environment.
• Open system
2–

Systems that interact with their environment. 19

Exhibit 2–7 The Organization as an Open
System

2–20
Implications of the
Systems Approach
• Coordination of the organization’s parts is
essential for proper functioning of the entire
organization.
• Decisions and actions taken in one area of the
organization will have an effect in other areas of
the organization.
• Organizations are not self-contained and,
therefore, must adapt to changes in their
external environment.
2–21
The Contingency Approach
• Contingency Approach Defined
 Also sometimes called the situational approach.
 There is no one universally applicable set of
management principles (rules) by which to manage
organizations.
 Organizations are individually different, face different
situations (contingency variables), and require
different ways of managing.

2–22
Exhibit 2–8 Popular Contingency Variables

• Organization size
• As size increases, so do the problems of coordination.
• Routineness of task technology
• Routine technologies require organizational structures,
leadership styles, and control systems that differ from
those required by customized or non-routine
technologies.
• Environmental uncertainty
• What works best in a stable and predictable environment
may be totally inappropriate in a rapidly changing and
unpredictable environment.
• Individual differences
• Individuals differ in terms of their desire for growth,
autonomy, tolerance of ambiguity, and expectations.
2–23