1. Falkné dr. Bánó Klára BGF Külkereskedelmi Főiskolai Kar Alkalmazott Kommunikáció Tanszék Falkne.dr.BanoKlara@kkfk.bgf.hu falk.cs@t-online.hu An Outline of the History of Management Thought The Classical School

2. Management thinking

3. Summary of Management theories

4. SCIENTIFIC MANAGEMENT is ’…a major approach to management advocated by Frederick W. Taylor that focuses on standardized work methods and rational selection of employees coupled with training and job development.’ (David Holt) ’…the management of work and workers.’ (R. Griffin) ’…the name given to a philosophy and set of methods and techniques that stressed the scientific study and organization of work at the operations level for the purpose of increasing efficiency.’ (Gray and Smeltzer) Workers were viewed as isolated individuals and more as units of production to be handled almost in the same way as machines. Hence, scientific management is often referred to as a machine theory model.

5. MOTION STUDY is the study of physical actions required to perform a task in the most efficient way possible.

6. SOLDIERING is the practice of workers restricting their output. Taylor’s classification of soldiering: Natural soldiering: - the tendency of workers to take it easy. Simple solution: good supervision Systematic soldiering: - the result of a conscious effort by workers to abide by preset group output standards. This is a more difficult problem which can be overcome only through careful job design, training, and proper incentives: these can be established only through scientific investigation.

7. Principles of Scientific Management

9. Steps in Scientific Management

10. The Functional Foremanship Structure

11. Henry Fayol’s analysis of the operations which occur in business government Technical operations - Production, Manufacture, etc Commercial operations – Purchases, Sales Financial op.– Finding and controlling capital, making best possible use of available funds, avoiding dangerous liabilities Security op.– Protection of goods and persons against all hazards, including avoidance of strikes Accounting op.– Stocktaking, balance sheets, accounts, costing, statistics, etc.

12. Administrative Operations Administrative op. – Management a./ organizing - to fulfill the administrative duties b./ coordinating – give things their proper proportions, adapt means to the end c./ commanding – the org. must be made to work d./ controlling – seeing that everything is being carried out in accordance with the plan, the orders given and the principles laid down. e./ ’Prevoyance’: 1. forecasting (managing is foreseeing), 2. planning (to foretell the future and to prepare for it

14. The Main Characteristics of Bureaucracy A well-defined hierarchy of authority A division of work based on functional specialization. A system of rules covering the rights and duties of position incumbents. A system of procedures for dealing with work situations. Impersonality of interpersonal relationships. Selection for employment and promotion based on technical excellence.

15. Conditions for Use of Bureaucracy

16. CLASSICAL MANAGEMENT PRINCIPLES Bruno Lussato (1976) identified a group of concepts and principles common to all classical school writers: Scalar concept Unity of command – unity of direction Exception principle Span of control concept Organizational specialization Application of scientific methods Lyndall Urwick: The principle of the objective The principle of correspondence – responsibility and authority should correspond

18. The Classical School