MANAGEMENT:
(Taylorism):
Is the performance of conceiving and achieving
desired results by means of group effort
consisting of utilizing human talents and
resources
Getting things done through people
Planning and implementing
Satisfying the economic and social needs by
being productive for the human being, for the
company, and for society
Is a distinct process of planning, organizing,
staffing, directing, and controlling, performed to
determine and accomplish stated objectives by
the use of human being and other business
resources
DEFINITION OF TERMS:
PLANNING refers to the formulation of
objectives, programs, policies, procedures, rules,
and regulation to achieve the goals of the
business
ORGANIZING is the grouping together of
people, establishing relationship along them,
and defining the authority and responsibility
STAFFING involves filling and keeping filled the
positions provided in the organization structure
DIRECTING involves motivation, leadership
styles and approaches, and communication
CONTROLLING is a process of measuring and
correcting the activities of subordinates and the
company itself to assure conformity to plans
Frederick Winslow Taylor
Believed that the industrial management of his
days was amateurish, that management could
be formulated as an academic discipline
Best results would come from the partnership
between trained and qualified management and
a cooperative and innovative workforce
Each side needed the other and there is no need
for trade unions
SCIENTIFIC MANAGEMENT
The systemic study of the relationships between
people and tasks for the purpose of redesigning
the work process for higher efficiency
Art of knowing what exactly you want from your
men to do & then seeing that it is done in best
possible manner
FOUR PRINCIPLES OF SCIENTIFIC MANAGEMENT
I. SCIENCE, not rule of thumb
Taylor maintained that the rule of
thumb should be replaced by scientific
knowledge
II. HARMNONY, not discord between employers
and employees
Means that a group should work as a
unit and contribute to the maximum.
Within it there should be mutual give
and take situation and proper
understanding
III. SCIENTIFIC SELECTION, TRAINING and
DEVELOPMENT
Choose the best employee according to
the need. Their skill and experience
must match the requirement of the job.
IV. DIVISION OF WORK/RESPONSIBILTY
The responsibility of workers and
management should be properly
divided & communicated so that they
can perform them in an effective way
and should be reward for the same
Taylors two managerial practices:
INCENTIVE WAGE SYSTEM
o Taylor for the first time advocated an
incentive wage system in the form of
differential piece wages instead of time
wages.
o Under differential piece system two
wage rates are prescribed, i.e. one lower
and the other higher.
o Those who are unable to perform
standard work within standard time are
paid wages at lower rate per unit.
TIME AND MOTION STUDY by Frank and Lilian
Gilbreth
o It emphasized the ideal motions
required to perform a job in an optional
fashion
o The two researchers developed the
concept of THERBLIG
o THERBLIG is an elemental hand or arm
motion
PRINCIPLES OF ADMINISTRATION EMERSON'S 12 PRINCIPLES:

Division of Work (Basis of Organization) Clearly defined ideas

Base of Departmentalization (Basis of Division Common sense
Work) Competent counsel
Coordination Through Hierarchy Discipline
Deliberate Coordination The fair deal
Coordination Through Committees Reliable, immediate and adequate records
Decentralization Dispatching
Delegation Standards and schedules
Line and Staff Standardized conditions
Chain of Command Standardized operations
Span of Control Written standard-practice instructions
Efficiency-reward

THEORY OF ORGANIZATION

Fayols Theory (14 Principles)

Psychological, Behavioral, and HUMAN RELATION MOVEMENT:
Structural Issues
Human relations movement refers to the researchers of
Mooney & Reiley Organiztional
organizational development who study the behavior of
structure governed by principles
people in groups, in particular workplace groups and
4 Universal Principles Coordinative,
other related concepts in fields such as industrial and
Scalar, Functional & Line and Staff
organizational psychology

Essential Concepts:
THE COORDINATIVE PRINCIPLE (THE MASTER
A managers success in directing depends on his
PRINCIPLE)
ability to create such a healthy human relations
The orderly arrangement of group effort to climate.
provide unity of action in the pursuit of a
Leaders need to understand workers as human
common purpose. - Mooney
beings with social and emotional needs
Involves encouraging completion of the tasks of
multiple workers in order to accomplish their
organizational objectives.
BEHAVIORAL MANAGEMENT THEORY:

The study of how managers should personally behave to

THE SCALAR PROCESS (PRINCIPLE OF HIERARCHY) motivate employees and encourage them to perform at
high levels and be committed to the achievement of
Tasks are assigned based on levels of authority
organizational goals.
arranged vertically in the organization
Created by delegating, which entails authority
from a higher official to a lower official
HUMAN RELATIONS THEORY:

The human relations theory of management began

THE LINE AND STAFF PRINCIPLE development in the early 1920's during the industrial
revolution. At that time, productivity was the focus of
Refers to the creation of staff units to advise or
business. Professor Elton Mayo began his experiments
support line authorities in the performance of
(The Hawthorne Studies), to prove the importance of
their duties
people for productivity - not machines.
Line authority based on the supervisor-
subordinate relationship; creating a direct line of
authority from the top to the bottom of the
organization structure
Staff authority specialists in a particular field
used to support and advise line personnel
Mayos Theory:
Mayo had discovered a fundamental concept. Working
places should be like as a social environments and good
relationship should be maintained between all the
workers. People are motivated by much more than self-
interest.
Human Relations Implications
Hawthorne effect workers attitudes toward
their managers affect the level of workers
performance
Douglas McGregor (1906-1964):
Theory X assumes the average worker is lazy, dislikes
work and will do as little as possible.
Workers have little ambition and wish to avoid
responsibility
Managers must closely supervise and control
through reward and punishment
Theory Y assumes workers are not lazy, want to do a
good job and the job itself will determine if the worker
likes the work.
Managers should allow workers greater latitude,
and create an organization to stimulate the
workers.
ORGANIZATIONAL MANAGEMENT THEORY:
It is the study of how managers can influence
behavior within the organizations to consider
how managers control the organizations
relationship with its external environment, or
organizations environment.
MANAGEMENT SCIENCE THEORY:
Is a broad interdisciplinary study of problem
solving and decision making in human
organizations, with strong links to economics,
business, engineering, and other sciences.
Observation:
Identification of the problem that exist in the
system. The system must be continuously and
closely observed to identify the problems.
Problem Definition:
Must be clear and concisely defined.
A stated objective helps to focus attention on
what the problem is.
Model Construction:
An abstract representation of an existing
problem situation.
Chart, graph, but frequently consists of
mathematical relationships that consists of
numbers and symbols
Model Solution:
Identified problems are often solved using
management science techniques.
The model type and solution method are both
part of the management science technique.
Implementation of the Results
Management science technique provides
information that can aid the manager in
deciding.
3 TYPES OF MODERN MANAGEMENT

Quantitative Approach
o Main contributors Taylor, Gilbreths,
Gantt, Newman and Joel Dean.
o Management is concerned with problem
solving and it must take use of
mathematical tools and techniques for
the purpose
o The different factors involved in
management can be quantified and
expressed in the form of equations
o Management problems can be
described in mathematical models.
o Operation research, mathematical tools,
simulation and model building are the
basic methodologies developed by this
approach

System Approach
o Main contributors Johnson,
Churchman, Kenneth, Boulden and
Rosen Zweig
o Related to organization system is
defined as an established
arrangement of components which lead
to accomplish of particular objectives as
per plan
o All organizations are open system

Contingency Approach
o Main contributors John Woodward,
Fiedler, Lorsch and Lawrence.
o The last approach to management
which interact the various approaches
to management is known as the
contingency approach.
o the work of Joan Woodward in the
1950s marked the beginning of this
approach in management
o Contingency school states that the
management is situational and the
study of management lies in identifying
the important variables in the situation.
o It recognizes that all the subsystem of
the environment is interconnected and
interrelated.
o By studying their relationship, the
management can find solution to
specific situation.