1. MANAGEMENT
RICHARD L. DAFT

2. The Evolution of Management Thinking
The Evolution of Management Thinking
CHAPTER 2

3. Learning Outcomes
Understand how historical forces influences the practice of management.
Identify and explain major developments in the history of management thought.
Describe the major components of the classical and humanistic management perspectives.
Discuss the management science perspective and its current use in organizations.
Explain the major concepts of systems theory, the contingency view, and total quality management.
Explain what a learning organization is and why this approach has become important in recent years.
Describe the management changes brought about by a technology-driven workplace, including the role of supply chain management, customer relationship management, and outsourcing.
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4. Are You a New-Style or an Old-Style Manager?
Management and managers are undergoing tremendous change
Past strategies are no longer effective in today’s dynamic business environment
History provides perspective and a broader view
Manager can find patterns and insight from history
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5. Management and Organization
Managers must “see the big picture”
Social Forces: culture and values
Political Forces: political and legal institutions and systems
Economic Forces: availability and distribution of resources
Mangers must face environmental turbulence
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6. Management Perspectives Over Time
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7. Classical Perspective
The early study of management.
19th – late 20th Century
Scientific Management
Bureaucratic Organizations
Administrative Principles
Very powerful, gave companies fundamental skill for high productivity
Helped US surge in management techniques
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8. Scientific Management
Frederick Winslow Taylor ( ), father of scientific management
Focus on improving efficiency and labor productivity
Workers could be retooled like machines
Managers would need to change
Incentive systems for meeting standards
Others added to the theories
Lillian M. Gilbreth added a human component to the study
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9. Characteristics of Scientific Management
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10. Bureaucratic Organizations
Max Weber ( ), a German theorist introduced the bureaucratic theories
Rational authority—more efficient and adaptable to change
Selection and advancement would be focused on competence and technical qualifications
The term bureaucracy has taken on a negative tone, associated with endless “red tape”
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11. Characteristics of Weberian Bureaucracy
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12. Administrative Principles
Henri Foyal ( ), French mining engineer and other contributors led the ideas
Foyal wrote down his own management practices
In the text, General and Industrial Management; 14 general principles were outlined
Several of the principles include:
Unity of Command
Division of Work
Unity of Direction
Scalar Chain
Foyal identified five functions of management: Planning, Organizing, Commanding, Coordinating, and Controlling
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13. Humanistic Perspective
Led by Mary Parker Follett and Chester Barnard
Importance of understanding human behaviors: needs, attitudes and social interactions
Human Relations Movement
Human Resources Perspective
Behavioral Sciences
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14. Human Relations Movement
Control comes from the individual worker rather than authoritarian control
The Hawthorne studies found increased output due to managers’ better treatment of employees
Money mattered a great deal
Productivity increased from feelings of importance
Created a focus on positive treatment of employees
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15. Human Resources Perspective
Focus on job tasks and theories of motivation
Reduce dehumanizing or demeaning work
Allow workers to use full potential
Main contributors: Abraham Maslow and Douglas McGregor
Maslow’s Hierarchy of Needs
McGregor’s Theory X/Theory Y
Perspective cam from the idea that cows gave more milk when they were more satisfied
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16. Theory X and Theory Y
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17. Behavioral Sciences Approach
Scientific methods that draw from sociology, psychology, anthropology, economics and other disciplines
Focus on human behavior and interaction
Organizational development came from behavioral sciences approach
Applied behavioral sciences to improve organizational health and effectiveness
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18. Management Science Perspective
Developed to meet changing and dynamic environment created from WWII
Engaged mathematics, statistics and quantitative techniques to aid in decision making
Increased study of management led by Peter Drucker
Use of technology and programming for optimizing operations
Introduced new subsets of management:
Operations Research
Operations Management
Information Technology
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19. Recent Historical Trends
Systems Theory. A holistic view of management as a interrelated parts to achieve a common purpose.
Contingency View. Successful resolution of organizational problems depends on situations.
Total Quality Management. Management of the total organization to deliver quality.
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20. The Systems View of Organizations
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21. Contingency View of Management
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22. Total Quality Management
W. Edward Deming, known as the father of the quality movement
US initially scoffed at Deming
During the 1908s and 1990s, quality became a focus to meet global competition
Four key elements of quality management:
Employee involvement
Focus on customer
Benchmarking
Continuous improvement
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23. The Learning Organization
Learning aids in the adaptation to change
Peter Senge began the discussion about the learning organization
All employees are engaged in identifying and solving problems
Learning increases the capacity to learn and grow
Move from efficiency to solving problems
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24. Managing the Technology-Driven Workplace
Most work is performed on computers in today’s workplace
Companies use technology to communicate and collaborate
Key technologies in today’s workplace:
Supply Chain Management
Customer Relationship Management
Outsourcing
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25. Supply Chain for a Retail Organization
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