Characteristics of Management

Management is a process Management is a social process Management is a system of authority Management is goal-oriented Management is dynamic Management involves effective and efficient utilization of resources. Management is multi-disciplinary

Characteristics ..
Management

is an innovative process Management exercises influences .

Evolution of Management Thought

a) b) c)

Classical School Bureaucratic Organization Max Weber Administrative theory of managementHenry fayol, Allen Scientific management F.W.Taylor

Bureaucratic Organisation
This model is developed by Max Weber Military organisation is the example of such types Specific characteristics :

a)Division of Labour b) Hierarchy of authority c) Technical competency d) Rigidity in procedure and framework of rules. e) Impersonality

Scientific Management

F.W.Taylor is generally acknowledged as the father of scientific management . Taylors major concern through out most of his life was to increase efficiency in production ,not only to lower cost but also to make possible increased pay for workers through their higher productivity .

The problem of productivity was a matter of ignorance on the part of both management and labour . In his view productivity as the answer to to both higher wages and higher profits . He believed that the application of scientific methods could yield productivity without the expenditure of more human energy or effort .

Taylors principles

Replacing rule of thumb with science Obtaining harmony in group action rather than discord . Achieving co-operation of human being rather than chaotic individualism Working for maximum output ,rather than restricted output Developing all workers to fullest extent possible for their own and their companys highest prosperity .

Scientific Management: Major Contribution

a) b) c) d)

Aim was to increase operational efficiency of workers by solving their work related problems Guidelines developed :
Scientific study and planning of work Standardization Division of responsibility between workers and management Wage incentives (different wage plan based on productivity. )

e) Scientific selection ,placement and training f) Time and motion study for doing the work properly,by finding out the best way to do it.

Followers of Taylor
A)

Henry .L.Gantt: a) He sought to increase worker efficiency through scientific investigation

c) Scientific selection

d) Gantt is most noted for creating a graphic bar chart that could be used by manager as scheduling device for planning and controlling work . e)Forerunner of modern technique like PERT

B) Frank and Lillian Gilbreth

Administrative Theory
Development of management process Main contribution was how complex management process can be separated into interdependent areas of responsibilities and function. 14 principles of general management

Henry Fayol & his contribution

activities Elements of management General principle of management.

Industrial activities

Technical(production) Commercial( buying, selling , and exchanging) Financial(search for and optimum use of capital Security (protection of property and person) Accounting() Managerial (planning, organizing, command ,coordination and control )

Elements of management :
planning control Managers activities

organizing

coordination Command

General principle of management

Division of work Authority & responsibility Discipline Unity of command Unity of direction Subordination of individual to general interest

Remuneration Centralization Scalar chain Order Equity Stability of tenure Initiative Esprit de corps

Neo-classical school

Human relation school Behavioral school.

Human Relation School

remarkable attempt on the part of the management practitioner for making manager more sensitive to employee needs

Important contribution :
Organization is a Psycho-social system. Turned management theorist away from simple model of economic man to

social man .

Highly optimistic assumption were made

regarding human nature .

Continues
There should be no conflict in the organization . To motivate the employee the manager should understand the individual . To secure maximum contribution the manager should get along with employees .

Continues .
Giving the employee more importance and getting them involved in decision making . It basically aim at providing high degree of satisfaction and motivation through improved working condition,style of supervision etc.

Behavioral science approach

Main

emphasis has been on the scientific and systematic analysis of human behavior with a view to determine causes of behavior of an individual

Important Contribution :
Organization is a socio technical system . Integration of individual goal with organizational goal . Conflict and co-operation exist in the organization .

Continues..
Behavioral scientist recognize individual difference People are the key to productivity and technology .

Remarkable Contributors :
A)
o

Robert Owen :

Famous Scottish businessman o First to introduce paternalistic approach o Reframe the work timing , age group etc.

Remarkable Contributors:
B) H.Munster berg

Father of Industrial Psychology o Scientific study of human behavior o To explain individual difference o Use of psychological test to improve selection and training procedure .
o

Remarkable Contributors:
C) Mary Parker Follett:
o

o o

Organization could be viewed from the perspective of individual and group behavior. Organization should be based on a group ethic rather than on individualism. Manager should rely more on their knowledge and their experience to lead employees rather than on formal authority . Manager and worker should view themselves as part of a common group.

Remarkable Contributors:
D) Chester Barnard : o Success depends on maintaining good relation and with people and institution o Continuous flow of input. o Organization were made up of people with interacting social relationship .

Continues .
E)Hawthorne Study :
o o o

Undertaken at the western electric company. Begun in 1924 and continued through the 1930s Basic aim- effect of illumination on the productivity

Continues ..
Findings : o As the light level increases output for both group increases . o As the light level was dropped in he experimental group ,productivity continues to increase in both groups o Productivity decreased in the experimental group only after light intensity has been reduced to moon light .Illumination is not directly related to group productivity.