1. © Prentice Hall, 2005 1 - 1

2. © Prentice Hall, 2005 1 - 2ObjectivesObjectives 1.An understanding of the classical approach to management 2.An appreciation for the work of Frederick W.Taylor, Frank and Lillian Gilbreth, Henry L. Gantt, and Henri Fayol 3.An understanding of the behavioral approach to management 4.An understanding of the studies at the Hawthorne Works and the human relations movement 5.An understanding of the management science approach to management 6.An understanding of how the management science approach has evolved 7.An understanding of the system approach to management 8.Knowledge about the learning organization approach to management 9.An understanding of how triangular management and the contingency approach to management are related

3. © Prentice Hall, 2005 1 - 3 The Classical Approach

4. © Prentice Hall, 2005 1 - 4 The Classical Approac The classical approach to management was the product of the first concentrated effort to develop a body of management thought. Frederick W.Taylor (1856–1915) Lower-Level Management Analysis – concentrates on the “one best way” to perform a task; that is, it investigates how a task situation can be structured to get the highest production from workers. This process is known as scientific management Taylor is called the “father of scientific management”. He studied at work at Bethlehem Steel Co.

5. © Prentice Hall, 2005 1 - 5 The classical Approach – continue Frank Gilbreth (1868–1924) and Lillian Gilbreth (1878–1972) The primary investigative tool in the Gilberths’s research was “Motion study” which consists of reducing each job the most basic movements possible. “Bricklaying” “The Right Way” “The Wrong Way” Lillian Gilbreth, who begun as her husband’s collaborator, continued to write on motion studies after his death. The role of home worker and handicapped

6. © Prentice Hall, 2005 1 - 6 The Classical Approach Henry L. Gantt (1861–1919 ) – the third contributor to the scientific manager approach was Henry L. Gantt. He was interest as his predecessors worker efficiency. Scheduling Innovation Rewarding Innovation

7. © Prentice Hall, 2005 1 - 7 The Classical Approach Comprehensive Analysis of Management Henri Fayol (1841–1925) 1. Division of work 2. Authority 3. Discipline 4. Unity of command 5. Unity of direction 6. Subordination of individual interests to the general interests 7. Remuneration 8. Centralization 9. Scalar chain 10. Order 11. Equity 12. Stability of tenure of personnel 13. Initiative 14. Esprit de corps Limitations of the Classical Approach

8. © Prentice Hall, 2005 1 - 8 The Behavioral Approach The behavioral approach to management emphasizes increasing production through an understanding of people. The Hawthorne Studies, conducted between 1924-1932, investigated the behavior and attitudes of workers at the Hawthorne (Chicago) Works of the Western Electric Company. The Relay Assembly Test Room Experiments – (discovering the working conditions that maximizes production, for example, the relationship between intensity of lighting and worker efficiency, as a measure of worker output). The result surprised the researched: increase in production in both cases. The conclusion become to recognize the impact of human component in organizations.

9. © Prentice Hall, 2005 1 - 9 The Bank Wiring Observation Room Experiment – analyze social relationships in a work group. The study focused on the effect of group piecework incentives on a group’s performance. They study proved the work group pressured the faster workers to slow down their work rate. Recognizing the Human Variable The Hawthorne studies gave management thinkers a new direction for research. Human variable in the organization needed much more analysis, since it could either increase or decrease production dramatically.

10. © Prentice Hall, 2005 1 - 10 The Behavioral Approach The Human Relations Movement Human Relations Skill is defined the ability to work with people in a way that enhances organizational success. Understand (Maslow): Physiological - Safety - Social - Esteem Self-actualization People can be (Douglas McGregor): Self-directed Accept responsibility Consider work to be as natural as play

11. © Prentice Hall, 2005 1 - 11 The Management Science Approach The Beginning of the Management Science Approach Management Science is defined as (1) an application of the scientific method to problems arising in the operation of a system and (2) the solution of these problems by solving mathematical equations representing the system. 1.Observe 2.Construct 3.Deduce 4.Test

12. © Prentice Hall, 2005 1 - 12 The Management Science Approach Management Science Today Characteristics of Management Science Applications 1) Problems studied are complicated 2) Economic implications as guidelines 3) Mathematical models to investigate the decision situation 4) Use of computers

13. © Prentice Hall, 2005 1 - 13 The Contingency Approach 1. Perceiving organizational situations as they actually exist 2. Choosing the management tactics best suited to those situations 3. Competently implementing those tactics

14. © Prentice Hall, 2005 1 - 14 The System Approach Types of Systems A system is number of interdependent parts functioning as a whole for some purpose. Closed – are not influenced by, and do not interact with, their environments. Open – is continually interacting with its environment.

15. © Prentice Hall, 2005 1 - 15 The System Approach Systems and “Wholeness” 1. The whole should be the main focus of analysis 2. Integration is the key variable in wholeness analysis 3. Modifications weighed in relation to effects on every other part 4. Each part has some role to perform 5. Part and its function determined by its position in the whole 6. All analysis starts with the existence of the whole

16. © Prentice Hall, 2005 1 - 16 The System Approach The Management System Information for Management System Analysis Triangular management 1. Classical approach 2. Behavioral approach 3. Management science approach

17. © Prentice Hall, 2005 1 - 17 The System Approach

18. © Prentice Hall, 2005 1 - 18 The System Approach

19. © Prentice Hall, 2005 1 - 19 Learning Organization:A New Approach? 1. Systems Thinking 2. Shared Vision 3. Challenging of Mental Models 4. Team Learning 5. Personal Mastery

20. © Prentice Hall, 2005 1 - 20 Questions