1 Chapter 2 The History of Management Dr. Ellen A. Drost.

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Chapter 2 The History of Management

Dr. Ellen A. Drost

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Objectives

• What are the origins of management• Look at the evolution of management

– Scientific management– Bureaucratic and administrative

management– Human relations management– Operations management

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Management Ideas and Practice Throughout History

5000 BC5000 BC

4000-2000 BC4000-2000 BC

1800 BC1800 BC

600 BC600 BC

500 BC500 BC

400 BC400 BC

400 BC400 BC

175175

284284

900900

11001100

14181418

14361436

15001500

15251525

SumeriansSumerians

Egyptians Planning, organizing, controlling. Egyptians Planning, organizing, controlling.

HammurabiHammurabi

NebuchadnezzarNebuchadnezzar

Sun TzuSun Tzu

XenophonXenophon

CyrusCyrus

CatoCato

DiocletianDiocletian

AlfarabiAlfarabi

GhazaliGhazali

BarbarigoBarbarigo

VenetiansVenetians

Sir Thomas MoreSir Thomas More

MachiavelliMachiavelli

Record keepingRecord keeping

Plan, organize, control. Written requests.Plan, organize, control. Written requests.

Controls and written documentationControls and written documentation

Wage incentives, production controlWage incentives, production control

StrategyStrategy

Management as a separate artManagement as a separate art

Human relations and motion studyHuman relations and motion study

Job descriptionsJob descriptions

Delegation of authorityDelegation of authority

Listed leadership traitsListed leadership traits

Listed managerial traitsListed managerial traits

Different organizational forms/structuresDifferent organizational forms/structures

Numbering, standardization, interchangeabilityNumbering, standardization, interchangeability

Critical of poor management and leadershipCritical of poor management and leadership

Cohesiveness, power, and leadershipCohesiveness, power, and leadership

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Why We Need Managers Today

Work in familiesWork in families

Skilled laborersSkilled laborers

Small, self-organizedgroups

Small, self-organizedgroups

Unique, small batchesof production

Unique, small batchesof production

ThenThenThenThen

Work in factoriesWork in factories

Specialized,unskilled laborers

Specialized,unskilled laborers

Large factoriesLarge factories

Large standardizedmass production

Large standardizedmass production

NowNowNowNow

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The History of Scientific Management: Efficiency

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Scientific Management

Studies and tests methods to identifythe best, most efficient ways

Scientific Management

Studies and tests methods to identifythe best, most efficient ways

“Seat-of-the Pants” Management

No standardization of procedures

No follow-up on improvements

“Seat-of-the Pants” Management

No standardization of procedures

No follow-up on improvements

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Frederick W. TaylorFrederick Taylor is known today as the "father of scientific management." One of his many contributions to modern management is the common practice of giving employees rest breaks throughout the day.

Frederick W. Taylor, 1856-19152.22.2

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Frank & Lillian Gilbreth

2.22.2

Frank and Lillian Gilbreth were prolific researchers and often used their family as guinea pigs. Their work is the subject of Cheaper by the Dozen, written by their son and daughter.

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Motion Studies: Frank & Lillian Gilbreth

2.22.2

Time Study

Timing how long it takes good workers to complete each part of their jobs.

Motion Study

Breaking each task into its separatemotions and then eliminating those that are unnecessary or repetitive.

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Flow/Task Chart: Henry Gantt

2.32.3

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The History of

Bureaucratic Management

Bureaucracy

The exercise of control on the basis ofknowledge, expertise, or experience.

Max Weber, 1864-1920

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The Aim of Bureaucracy1. Qualification-based hiring1. Qualification-based hiring

2. Merit-based promotion2. Merit-based promotion

3. Chain of command3. Chain of command

4. Division of labor4. Division of labor

5. Impartial application of rules and procedures5. Impartial application of rules and procedures

6. Recorded in writing6. Recorded in writing

7. Managers separate from owners7. Managers separate from owners

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Administrative Management: Planning, Organizing, Leading, Controlling

Henri Fayol1. Division of work1. Division of work

2. Authority and responsibility

2. Authority and responsibility

3. Discipline3. Discipline

4. Unity of command4. Unity of command

5. Unity of direction 5. Unity of direction

6. Subordination ofindividual interests

6. Subordination ofindividual interests

7. Remuneration7. Remuneration

8. Centralization8. Centralization

9. Scalar chain9. Scalar chain

10. Order10. Order

11. Equity11. Equity

12. Stability of tenure of personnel

12. Stability of tenure of personnel

13. Initiative13. Initiative

14. Esprit de corps14. Esprit de corps

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The History of

Human Relations Management

Efficiency alone is not enough to produce organizational success.

Success also depends on treating workers well.

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Hawthorne Studies: Elton Mayo

• Workers’ feelings and attitudes affected their work

• Financial incentives weren’t the most important motivator for workers

• Group norms and behavior play a critical role in behavior at work

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Operations, Information, Systems Management

Information ManagementInformation Management

Operations ManagementOperations Management Systems ManagementSystems Management

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Operations Management Tools

Quality controlQuality control

Forecasting techniquesForecasting techniques

Capacity planningCapacity planning

Productivity measurement and improvement Productivity measurement and improvement

Linear programmingLinear programming

Scheduling systemsScheduling systems

Inventory systemsInventory systems

Work measurement techniquesWork measurement techniques

Project managementProject management

Cost-benefit analysisCost-benefit analysis

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Information ManagementMilestones in information management:

1400s Horses in Italy1500-1700 Creation of paper and the printing press1850 Manual typewriter1860s Vertical file cabinets and the telegraph1879 Cash registers 1880s Telephone1890s Time clocks1980s Personal computer1990s Internet

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Systems Management