Principles of Management

Prof A.K. Komiski, Dr P. Korzyski

Class schedule
10:15 11:30
11:30 11:45
11:45 12:45

Course Reguirements
Participate actively in the class sessions: take
part in discussions
(it will enable you to prepare to an oral exam)

Course Reguirements
Read carefully assigned book after each class
session
Andrzej K. Kozminski, Dariusz Jemielniak The
New Principles of Management Peter Lang:
Frankfurt am Main 2013

Course Reguirements
Prepare to oral exam (you will receive a list of
questions at the end of December 2015)

Course Reguirements
Receive positive assessment of exam at the
end of the semester.
Final exam will take a form of an oral exam
with open-ended questions.
Attendance at the exam is mandatory.

Course Requirements to read

Course Requirements to read

Course Requirements to read

Course Requirements to read

Grading System
oral exam at the end of semester- 100%

Course Program
Organization and management theory and
practice in historical perspective.
Management functions, roles of managers and
leaders.

Course Program
Formalization: mechanisms, merits and
pitfalls. Bureaucracy.
Structures and structuring of organizations.
Resources and processes.

Course program
External and internal, material and social
equilibrium
People and motivation.
Information, knowledge and wisdom.
Organizational culture.

Course program
Change, development and strategy.

Innovation and entrepreneurship

Organizational life cycle

Management and Organization

Theory as scientific discipline
is characterized by two fundamental features:
practical and interdisciplinary character.

Practical character
consecutive management theories
schools of thought,
concepts and ideas
were driven predominantly by changing needs
and problems of business practice.

Practical character
They are not "true" or "false" in logical sense
of the word.
They are more or less appropriate in different
situations and environments in which
businesses and other organizations are
operating.

Practical character
Management practice is eclectic and draws
simultaneously from different Management
and Organization theories.

Interdisciplinary character
Management draws among others on the work
of:
sociologists, anthropologists, psychologists,
economists,
engineers,
lawyers,
mathematicians, statisticians,
political scientists and others.

Interdisciplinary character
Other disciplines are needed:

to explain organizational phenomena

to formulate plans for the future, future
structures and processes.

Interdisciplinary character
In this class we will be studying contemporary
approach to management but on the occasion
of this introductory lecture some historical
background will be provided.
Old theories are not useless in contemporary
world. Different fragments of them are still
applicable in different sets of circumstances.

History of modern management

thought 5 chapters

Classical
Human relations
Management science
Systems
Contingency
Resources dependences

Classical
Scientific management initiated by Frederic
Winslow Taylor (1856-1915) based on six key
ideas:
observation,
experiment,
specialisation and stadardization,
selection and training,
payment by results,
cooperation.

Classical
Glibreth (1868-1924) basic
motions called therbligs
using film.

A basic motion element is

one of a set of fundamental
motions required for a
worker to perform a
manual operation or task.

Classical
Gantt bar graphs used to plan and sequence
events along a time line.

Classical
Max Weber (1864-1920) ideal-typical
bureaucracy. Principles:

division of labour,
organization of positions into hierarchy,
people assigned to positions according to qualifications,
decisions and actions recorded in writing,
management and ownership separated,
all are subject to rules and regulations
procedures applied impersonally and equally to all to
ensure predictability.

Classical
Henri Fayol (1841-1925) 14 principles of
management:
division of work, authority and responsibility,
discipline, unity of command, unity of direction,
subordination of individual to group interest,
remuneration, centralization, scalar chain and
horizontal links Fayol's path, order, equity,
stability of tenure, business strength initiative
and entrepreneurship, esprit de corps.

Classical
Rebel Mary Parker Follet (1868-1933) conflict,
power, leadership.

Human Relations
Roots: rising influence and power of trade
unions, industrial humanism
B.Seebohm Rowntreer (1871-1954),
social research Hawthorne Plant of Western
Electric (1924-1933); Relay Assembly Test
Room.

Human Relations
D. McGregor (1906-64)
theory x: the average person dislikes works
and will avoid it if possible, most people must
be coerced, directed or threatened, the
average person in unambiguous, prefers
direction, avoids responsibility and desires
security.

Human Relations
D. McGregor (1906-64)
Theory Y: expenditure of effort physical and
mental is natural, person will exercise self
control and self direction when committed to
task, is prepared to seek and accept
responsibility,

Management science
Application of science physics, mathematics,
statistics. Born in the WWII and transfer to the
civilian life.

Management science
Requires expression of problem in
mathematical terms (set of equations) and
optimization, enhanced by development of IT.

Military consultants such as Lyndale Urwick

(1891-1983) moved to business consultancy.

Systems
Unity of science and integrating approach to
organizations. Bertalanffy (50s) Common
patterns in different kinds of system ex.

Organization as machine or living organism.

Systems
Features of systems thinking: holism and
synergy effect, open systems in search of
equilibrium, hierarchy (systems subsystems),
significance.

Systems
Sociotechnical systems (people, objectives
goals, structures, physical plant and
equipment).

Systems
System and control cybernetics (Beer)
feedback loops, self regulating systems, law of
requiste variety (Ashby)

Chaos theory (Gleick)

muddling through (Lindblom),
thriving on chaos (Tom Peters)
chaos uncertainty as opportunity.

Contingency
No one best way, case by case.
Links between organizational structure and
other variables such as: technology, strategy,
conflict.
Search for excellence Peters and Waterman.

Contingency
Excellence characteristics: bias for action,
close to customer, autonomy and
entrepreneurship, productivity through
people, hands on value driven management
style, simple form lean staff, simultaneous
loose tight properties.
No quick fix management recipes like cook
book proof is in eating.

Resources and dependeces

Unique configuration of resources decides
about competetive advantage

Pfeffer & Salancik

the most important element for the
functioning of organizations is not so much
processing resources, but rather acquiring
them

Pfeffer and Salancik

The ones who have external control of
organizations:

possess the necessary resources;

are the owners of the necessary resources
can control the accessibility of the resources;
can control the ongoing utilization of the
resources (e.g. air traffic controllers);
create the rules based on which the access to the
resources is regulated.

Burns and Stalker

Organizations that operate in a volatile and
unstable environment more often adapt an
organic-adaptive strategic management style
(they dynamically adjust to changes)
organizations that function in a relatively
stable environment, where changes occur
slowly, rather adapt a mechanistic model
(formalized, bureaucratic, centralized).