1. Evolution of mgt. theories
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2. Early Management Concepts And Influences
Growth of companies
minor improvements in management tactics produced impressive increases in production quantity and quality
economies of scale - reductions in the average cost of a unit production as the total volume produced increases
opportunities for mass production created by the industrial revolution spawned intense and systematic thought about management problems and issues 1

3. Evolution Of Management Thought
Classical Approaches
Contemporary Approaches
Systematic
management
Scientific
management
Bureaucracy
Administrative
management
Human
relations
Quantitative
management
Organizational
behavior
Systems
theory
Contingency
theory
Current and
future revolutions
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4. Scientific Management (F.W. Taylor,Henry Gantt,Gilbreths)
Key concepts
used scientific methods to determine the “one best way’
emphasized study of tasks, selection and training of workers, and cooperation between workers and management
Contributions
improved factory productivity and efficiency
introduced scientific analysis to the workplace
piecerate system equated worker rewards and performance
Limitations
simplistic motivational assumptions
workers viewed as parts of a machine
potential for exploitation of labor
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5. Classical /Administrative Management(Henri fayol,,mary follet,Chester barnard)
Key concepts
Fayol’s five functions and 14 principles of management
executives formulate the organization’s purpose, secure employees, and maintain communications
managers must respond to changing developments
Contributions
viewed management as a profession that can be trained and developed
emphasized the broad policy aspects of top-level managers
offered universal managerial prescriptions
Limitations
universal prescriptions need qualifications for contingencies
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6. Bureaucracy(Max weber)
Key Concepts
structured network of relationships among specialized positions
rules and regulations standardize behavior
jobs staffed by trained specialists who follow rules
Contributions
promotes efficient performance of routine operations
eliminates subjective judgment by employees and management
emphasizes position rather than the person
Limitations
limited organizational flexibility and slowed decision making
ignores the importance of people and interpersonal relationships
rules may become ends in themselves
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7. Behavioral/Human Relations( Elton Mayo,Maslow,Mc Gregor)
Key concepts
productivity and employee behavior are influenced by the informal work group
should stress employee welfare, motivation, and communication
social needs have precedence over economic needs
Contributions
psychological and social processes influence performance
Maslow’s hierarchy of need
Limitations
ignored workers’ rational side and the formal organization’s contributions to productivity
research overturned the simplistic belief that happy workers are more productive
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8. stresses relationships among employees/managers
Key concepts
promotes employee effectiveness through understanding of individual, group, and organizational processes
stresses relationships among employees/managers
assumes employees want to work and can control themselves
Contributions
increased participation, greater autonomy, individual challenge and initiative, and enriched jobs may increase participation
recognized the importance of developing human resources
Limitations
some approaches ignored situational factors, such as the environment and technology
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9. Quantitative Management
Key concepts
application of quantitative analysis to management
Contributions
developed specific mathematical methods of problem analysis
helped managers select the best alternative among a set
Limitations
models neglect nonquantitative factors
managers not trained in these techniques may not trust or understand the techniques’ outcomes
not suited for nonroutine or unpredictable management decisions
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10. Systems Theory(contemporary theories)
Key concepts
organization is viewed as a managed system
management must interact with the environment
organizational goals must address effectiveness and efficiency
organizations contain a series of subsystems
there are many avenues to the same outcome
synergies enable the whole to be more than the sum of the parts
Contributions
recognized the importance of the relationship between the organization and the environment
Limitations
does not provide specific guidance on the functions of managers
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11. Contingency perspective
Key concepts
situational contingencies influence the strategies, structures, and processes that result in high performance
there is more than one way to reach a goal
managers may adapt their organizations to the situation
Contributions
identified major contingencies
argued against universal principles of management
Limitations
not all important contingencies have been identified
theory may not be applicable to all managerial issues
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12. An Era of Dynamic Engagement
New organisational environmets
Ethics and social responsibility
Globalization
Inventing and reinventing org.
Cultures and multiculturalism
Quality