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 Influences Having an Impact on
Organizations & Management

• Social Forces … values, needs, and standards

of behavior
• Political Forces … influence of political and
legal institutions on people & organizations
• Economic Forces … forces that affect the
availability, production, & distribution of a
society’s resources

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 Management Perspectives
Over Time
2000
The Technology-Driven Workplace
1990 2010
The Learning Organization
1980 2010
Total Quality Management
2000
1970
Contingency Views
2000
1950
Systems Theory
2000
1940
Management Science Perspective
1990
1930
Humanistic Perspective
1990
1890
Classical
1940

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 Classical Perspective
Three Sub-Fields

Scientific
Bureaucratic Organizations
Administrative Principles

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 Characteristics of Scientific Management

General Approach
• Developed standard method for performing each job.
• Selected workers with appropriate abilities for each job.
• Trained workers in standard method.
• Supported workers by planning work and eliminating interruptions.
• Provided wage incentives to workers for increased output.
Contributions
• Demonstrated the importance of compensation for performance.
• Initiated the careful study of tasks and jobs.
• Demonstrated the importance of personnel and their training.
Criticisms
• Did not appreciate social context of work and higher needs of
workers.
• Did not acknowledge variance among individuals.
• Tended to regard workers as uninformed and ignored their ideas.

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 Bureaucracy Organizations

• Labor is divided with clear definitions of authority

and responsibility.
• Positions are in hierarchy of authority.
• Personnel are selected and promoted based on
qualifications.
• Management is separate from the ownership.
• Rules and procedures ensure reliable, & predictable
behavior.
• Rules are impersonal and uniformly applied.
SOURCE: Adapted from Max Weber, The Theory of Social and Economic Organizations, ed. and trans. A.M. Henderson and Talcott Parsons (New York: Free Press, 1947), 328-337.

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 Administrative Principles

• Contributors to this approach, Henri Fayol, Mary

Parker, and Chester I. Barnard
• Focused on organization rather than the individual
• Delineated the management functions of planning,
organizing, commanding, coordinating, and
controlling

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 Henri Fayol’s 14 Points

 Division of labor  Centralization

 Authority  Scalar chain
 Discipline  Order
 Unity of command  Equity
 Unity of direction  Stability and tenure of
 Subordination of staff
individual interest  Initiative
 Remuneration  Esprit de corps

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 Hawthorne
Studies
• Ten year study
• Four experimental &
three control groups
• Five different tests
• Test pointed to factors other than illumination for
productivity
• 1st Relay Assembly Test Room experiment, was
controversial, test lasted 6 years
• Interpretation, money not cause of increased output
• Factor that increased output, Human Relations

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 Abraham Maslow’s Hierarchy

General Examples Organizational Examples

Self-fulfillment Self-actualization Challenging Job

Status Esteem Job Title

Friendship Belonging Friends

Stability Safety Retirement Plan

Shelter Physiological Wages

Based on needs satisfaction
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 Douglas McGregor
Theory X & Y

Theory X Theory Y
• People are lazy • People are energetic
• People lack ambition • People want to make
• Dislike responsibility contributions
• People are self-centered • People do have ambition
• People don’t like change • People will seek
responsibility

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 Behavioral Sciences Approach

• Develops theories about human behavior based on

scientific methods & study
• Sub-field of the Humanistic Perspective
• Applies social science in an organizational context
• In understanding employees draws from
economics, psychology, sociology

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 Management Science Perspective

• Emerged after WW II
• Distinguished for its application of mathematics,
statistics to problem solving
 Operations Research emerged
 Operations Management emerged
 Information Technology

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 Three Contemporary Trends

Systems Theory
Contingency View
Total Quality
Management (TQM) Managers need certain core skills and
basic understanding of management and
leadership if they plan to operate within
a TQM System. This site has several
core modules.

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 Systems View

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 Contingency View

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 Elements of a Learning Organization

Team-Based
Structure

Learning
Organization

Empowered Open
Employees Information

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 Types of E-Commerce

Business-to-Consumer
B2C
Selling Products and
Services Online

Consumer-to-Consumer
Business-to-Business
C2C
B2B
Electronic Markets
Transactions
Created by Web-Based
Between
Intermediaries
Organizations
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