1. Development of Management Thought Classical Perspective Behavioral Perspective Management Science Perspective Integrative Perspectives

2. Classical Perspective Assumption: People are Rational Adam Scientific Administrative Bureaucracy Smith Management Management -F. Taylor -H. Fayol -M. Weber -Gilbreths Focus: Study what managers actually do. i.e., management functions Emphasis: EFFICIENCY

3. Scientific Management Motion Studies – used to design jobs more efficiently Time Studies – used to establish performance standards Frederick Taylor – Father of Scientific Management

4. Administrative Management Henri Fayol – Father of Modern Management Advocated studying functions of management Developed a set of “Principles” of management These principles were thought to be universally applicable

5. Characteristics of Bureaucracies. Clear-cut division of labor. Clear hierarchy of authority. Well defined jobs. Predetermined rules and procedures. Impartial treatment. Selection and promotion by merit

6. Criticisms of the Classical Perspective 1. Some principles too general, some too specific. 2. Some principles contradict others. 3. Overemphasis on universalism. 4. Neglect of the human element. 5. Many principles not empirically tested. 6. Totally internal, static focus.

7. Behavioral Perspective Assumption: People are social and self-actualizing Human Human Relations Resources -Hawthorne -Maslow Studies -McGregor -Social needs -Higher needs Focus: Management is working with people Emphasis: Employee Needs

8. Self- Actualization Esteem Belongingness Security Physiological Maslow’s Hierarchy of Needs

9. Management Science Perspective Assumption: Mgmt is a logical process OperationsOperationsMIS Research Management Focus: Use of mathematics to solve business problems.

10. Integrative Perspectives Systems ContingencyTheory Focus: Interrelatedness of parts and the role of the external environment Emphasis: Efficiency & Effectiveness

11. Input-Output Model vs Stakeholder Model I O SuppliersCustomers Competitors Labor Unions Fed., State Local Gov. Public Interest Groups Financial Institutions Regulators Courts

12. Recap: Management Theory has gone FROM: TO: IO Classical Behavioral Mgmt Sci. I O Systems Contingency “One Best Way”Contingency Internal FocusInfluence of External Environment also important Efficiency/StabilityEffectiveness/Adaptability also important