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Principles of Management

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Principles of Management ­ MGT503
VU
Lesson 2.6
MANAGEMENT IDEAS: YESTERDAY AND TODAY
The purpose of this lecture is to demonstrate that knowledge of management past history can help you
better understand current management theory and practice. Thus, in order to understand the theories and
practices used today, it's important for management students to look at the evolution of management
thought and practices. The practice of management has always reflected historical times and societal
conditions.
1.
INTRODUCTION
Many current management concepts and practices can be traced to early management theories. The practice
of management has always reflected the times and social conditions, so many organizations are responding
to technology breakthroughs and developing Web-based operations. These new business models reflect
today's reality: information can be shared and exchanged instantaneously anywhere on the planet. The
purpose of this chapter is to demonstrate that knowledge of management history can help understand
today's management theory and practice.
2.
MANAGEMENT'S CONNECTION TO OTHER FIELDS OF STUDY
Management courses have a rich heritage from humanities and social science courses.
A.
Anthropology--the study of societies, which helps us learn about humans, their activities, and
differences in fundamental values, attitudes, and behavior between people in different countries and
within different organizations.
B.
Economics--concerned with the allocation, distribution of scare resources, and understanding the
changing economy, as well as the role of competition and free markets in a global context.
C.
Philosophy--examines the nature of things, particularly values and ethics.
D.
Political Science--studies the behavior of individuals and groups within a political environment,
including structuring of conflict, allocating power in an economic system, and manipulating power
for individual self-interest.
E.
Psychology--science that seeks to measure, explain, and sometimes change the behavior of
humans and other animals.
F.
Sociology--the study of people in relation to their fellow human beings.
3.
HISTORICAL BACKGROUND OF MANAGEMENT
There are many examples from past history that illustrates how management has been practiced for
thousands of years.
A.
The Egyptian pyramids and the Great Wall of China are good examples of projects of tremendous
scope and magnitude that employed tens of thousands of people. How was it possible for these
projects to be completed? The answer is management.
B.
Other examples of early management practices can be seen through assembly lines, accounting
systems, and personnel functions as just a few of the processes and activities in organizations at
that time that are also common to today's organizations.
C.
Adam Smith, author of the classical economics doctrine, The Wealth of Nations, argued brilliantly
about the economic advantages that division of labor (the breakdown of jobs into narrow,
repetitive tasks) would bring to organizations and society.
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Principles of Management ­ MGT503
VU
D.
The Industrial Revolution can be thought of as possibly the most important pre-twentieth-
century influence on management. The introduction of machine powers, combined with the division of
labor, made large, efficient factories possible. Planning, organizing, leading, and controlling became
necessary.
i.
the birth of Early management ideas
A.
The Evolution of Management Theories Trying to achieve goals through the judicious
use of people and resources, getting the others to work toward these goals, and keeping
track of whether or not we are accomplishing what we set out to do has been around for
centuries. Expressed in other terms we could say that management is a very old concept.
Generally, though, we think of "modern management" and the specific identification of
planning, organizing, leading, and controlling being the functions of management as having
begun at the end of the 1800s. Most of the contributors we recognize today have been
twentieth century people.
B.
Pre-classical Contributors
These contributors presented their ideas before the late
1800s.
1.
Robert Owen (1771-1858) was a British factory owner who advocated concern
for the working and living conditions of workers, many of them young children.
Many of his contemporaries thought he was a radical for such ideas.
2.
Charles Babbage (1792-1871) is considered to be the "father of modern
computing." He foresaw the need for work specialization involving mental work.
His management ideas also anticipated the concept of profit sharing to improve
productivity.
3.
Henry E. Towne (1844-1924) called for the establishment of a science of
management and the development of management principles that could be applied
across management situations.
4.
An assessment of the preclassical contributors indicates that their efforts were
fragmentary. By and large they applied their efforts towards developing specific
techniques or solutions. They laid the groundwork for major management theories
which came later.
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Table of Contents:
  1. HISTORICAL OVERVIEW OF MANAGEMENT:The Egyptian Pyramid, Great China Wall
  2. MANAGEMENT AND MANAGERS:Why Study Management?
  3. MANAGERIAL ROLES IN ORGANIZATIONS:Informational roles, Decisional roles
  4. MANAGERIAL FUNCTIONS I.E. POLCA:Management Process, Mistakes Managers Make
  5. MANAGERIAL LEVELS AND SKILLS:Middle-level managers, Top managers
  6. MANAGEMENT IDEAS: YESTERDAY AND TODAY, Anthropology, Economics
  7. CLASSICAL VIEW OF MANAGEMENT:Scientific management
  8. ADMINISTRATIVE VIEW OF MANAGEMENT:Division of work, Authority
  9. BEHAVIORAL THEORIES OF MANAGEMENT:The Hawthorne Studies
  10. QUANTITATIVE, CONTEMPORARY AND EMERGING VIEWS OF MANAGEMENT
  11. SYSTEMíS VIEW OF MANAGEMENT AND ORGANIZATION:Managing Systems
  12. ANALYZING ORGANIZATIONAL ENVIRONMENT AND UNDERSTANDING ORGANIZATIONAL CULTURE
  13. 21ST CENTURY MANAGEMENT TRENDS:Organizational social Responsibility
  14. UNDERSTANDING GLOBAL ENVIRONMENT WTO AND SAARC
  15. DECISION MAKING AND DECISION TAKING
  16. RATIONAL DECISION MAKING:Models of Decision Making
  17. NATURE AND TYPES OF MANAGERIAL DECISIONS:Decision-Making Styles
  18. NON RATIONAL DECISION MAKING:Group Decision making
  19. GROUP DECISION MAKING AND CREATIVITY:Delphi Method, Scenario Analysis
  20. PLANNING AND DECISION AIDS-I:Methods of Forecasting, Benchmarking
  21. PLANNING AND DECISION AIDS-II:Budgeting, Scheduling, Project Management
  22. PLANNING: FUNCTIONS & BENEFITS:HOW DO MANAGERS PLAN?
  23. PLANNING PROCESS AND GOAL LEVELS:Types of Plans
  24. MANAGEMENT BY OBJECTIVE (MBO):Developing Plans
  25. STRATEGIC MANAGEMENT -1:THE IMPORTANCE OF STRATEGIC MANAGEMENT
  26. STRATEGIC MANAGEMENT - 2:THE STRATEGIC MANAGEMENT PROCESS
  27. LEVELS OF STRATEGIES, PORTERíS MODEL AND STRATEGY DEVELOPMENT (BCG) AND IMPLEMENTATION
  28. ENTREPRENEURSHIP MANAGEMENT:Why Is Entrepreneurship Important?
  29. ORGANIZING
  30. JOB DESIGN/SPECIALIZATION AND DEPARTMENTALIZATION
  31. SPAN OF COMMAND, CENTRALIZATION VS DE-CENTRALIZATION AND LINE VS STAFF AUTHORITY
  32. ORGANIZATIONAL DESIGN AND ORGANIC VS MECHANISTIC VS VIRTUAL STRUCTURES
  33. LEADING AND LEADERSHIP MOTIVATING SELF AND OTHERS
  34. MASLOWíS NEEDS THEORY AND ITS ANALYSIS
  35. OTHER NEED AND COGNITIVE THEORIES OF MOTIVATION
  36. EXPECTANCY, GOAL SETTING AND RE-ENFORCEMENT THEORIES
  37. MOTIVATING KNOWLEDGE PROFESSIONALS LEADERSHIP TRAIT THEORIES
  38. BEHAVIORAL AND SITUATIONAL MODELS OF LEADERSHIP
  39. STRATEGIC LEADERSHIP MODELS
  40. UNDERSTANDING GROUP DYNAMICS IN ORGANIZATIONS
  41. GROUP CONCEPTS, STAGES OF GROUP DEVELOPMENT AND TEAM EFFECTIVENESS
  42. UNDERSTANDING MANAGERIAL COMMUNICATION
  43. COMMUNICATION NETWORKS AND CHANNELS EFFECT OF ICT ON MANAGERIAL COMMUNICATION
  44. CONTROLLING AS A MANAGEMENT FUNCTION:The control process
  45. CONTROLLING ORGANIZATIONAL PERFORMANCE THROUGH PRODUCTIVITY AND QUALITY