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The Beginning of the Evolution of Modern Management
In 1903, Frederick W. Taylor released his first book entitled "Shop Management", where he explained some of his first thoughts. He started the evolution of management after studying why workers would give less than they could. Even though he was not the first person to realize that, he was the first that studied the reason of this restriction of output. -
"The Principles of Scientific Management"
Consider a mark in management, this publication by Ferederick W. Taylor describe a scientific method of studying work to increase worker and organizational efficiency. The ideas this publication brought for the management field such as, experiment ways of improving how tasks are performed, codify methods of performance into written rules, select workers according their abilities to match the job needs, and establish an acceptable level of performance. -
Fordism
Henry Ford introduced a simplification of the work process that changed manufacturing practices. Ford set a high level of performance through a moving conveyor belt, and in order to contain employee turnover he doubled the wage and reduced the workday length. -
The Gilbreths
Frank and Lillian Gilbreth were two followers of Taylor's ideas. Together, they refined Taylor's study of work movements and contributed to time-and-motion study. which was based in: break down each action into components; find better ways to perform it; reorganize each action to be more efficient. The Gilbreths also studied fatigue problems and other worker issues. -
The Administrative Management Theory
The study of how to build an organizational sctructure and how to achieve maximum efficieny and effectiveness, happened almost at the same time that managers were studying the scientific theory. There were two main contributors for the administrative management theory: Henri Fayol and Max Weber. -
Fayol's Principles of Management
Henry Fayol made great contribution to the study of management with 14 principles he believed to be fundamental to increase efficiency. Some of those would be: Division of labor, Centralization, Unity of Direction, Equity, Initiative, Authority and responsibility, and Line of authority. -
The Theory of Bureaucracy
Max Weber created the principles of a bureaucracy, which is defined by a formal system developed to ensure effectiveness and efficiency inside an organization. For Weber, a bureaucracy needs clearly specified authority, a clearly specified system of tasks, an evaluation system in order to reward employees fairly, and a system of written rules to specify appropriate behavior in the workplace -
Behavioral Management Theory
Mary Parker Follet was one of the most important contributors for the development of the management. She defined management as "the art of getting things done through people". The behavioral management theory is based on a broader view of the firm, defines management according to how managers deal with firm's primary needs, and it differentiates types of managers -
The Hawthorne
Managers that did not agree with Follet's work continued to follow Taylor's ideas, and in order to increase efficiency they made a research that is now known as the Hawthorne Studies. Managers measured the productivity according to level of illumination, and found out that regardless the level of illumination, productivity increased. -
The Hawthrone Effect
In order to understand the results of the Hawthorne Studies, researchers asked for help from Elton Mayo. The psychologist proposed a new series of experiments and found out that workers' performance is affected by the manager's behavior or leadership style. From this view the human relations movement was developed. -
Theory X and Theory Y
Douglas McGregor developed two sets of assumptions about workers' and managers' behavior. The Theory of X states a set of negative assumptions about employees that developed the idea that managers should supervise workers closely. The Theory of Y describes a set of positive assumptions about employees that concludes that managers should encourage initiative and self-direction between workers. -
Systems Approach
The systems theory approach studied the system characteristics that appeared to be common to all living systems from a simple cell to a complex social organization such as a business. Therefore this approach offers a way of understanding business organizations. -
Structural Approach
The Structural Approach was developed based on the studies of Taylor, Fayol, and Follet. It didn't show the significance of managing responsibility to raise capital to finance the organization and its development. This approach has five basic principles: Planning, Organization, Command, Control, and Coordination. -
Management Science Theory
A contemporary theory of management uses accurate quantitative techniques to help managers maximize the use of organizational resources. The Management Science has many branches of management and each one is responsible for a specific area. -
TQM - Total Quality Management
Total Quality Management is a management approach that originated in the same period of the Management Science Approach. TQM is an organization-wide effort to install and keep a permanent a climate in which it will continue to improve its ability to deliver high-quality services and products to customers. TQM usually makes use of the previously-developed tools and techniques of quality control. -
Human Relations
The Human Relation approach supports the idea that managers should have behavioral training in order to manage workers in ways that will increase their productivity and evoking their cooperation. -
Academy of Management Journal
Founded by the Professors Charles L. Jamison, from the University of Michigan, and William N. Mitchell, of the University of Chicago, with the goal of exploring and studying the philosophy of management. The scholars invited other professors to create the Academy of Management, which have been a fundamental tool of studying management for over 50 years now. The academy publishes a diversity of academic journals and researches. -
Organization Environment Theory
The organization environment theory begun when researchers started to consider how managers can control the relationship between the organization and the external environment, that could be defined as "the set of conditions that operate beyond the organization's boundaries but affect manager's ability to acquire and utilize resources". -
Managerial Grid Model
This management model was developed by Robert Blake and Jane Mouton in order to identify different leadership behaviors. The grid theory is still used and it is represented in a graph where the X-axis is the concern for production and Y-axis is the concern for people. Each axis ranges from 9 to 1, resulting in different types of leadership behaviors. -
Mechanic and Organic Structures
Based on Fayol's and Weber's principles of management, Tom Burns and M.Stalker developed these two way to control an organization's activities in order to respond the external environment's characteristics. The mechanic structure happens when authority is centralized and employees are closely supervised. The organization structure is decentralized and employees are encouraged to cooperate, -
Goal Setting Theory
Proposed and studied by Edwin Locke, this theory sets that goals that seems more difficult to achieve and are specific, are more likely to increase workers performance. The opposite also happens, goals that seem easy and are not specific call for less perofrmance. -
SWOT Analysis
SWOT Analysis is a management approach in which managers identify internal organizational strengths (S) and weaknesses (W), and external opportunities (O) and threats (T). Based on that, managers select the appropriate strategies to achieve organization's mission and goals. -
Rosabeth Moss Kanter
Her first publications "Work and Family in the United States" and "Men and Women of the Corporation" were published in 1977. The Professor of Harvard University, Rosabeth Moss Kanter is the first academic women to be considered a business guru. She is author and co-author of 18 books and was considered one of the "50 most influential business thinkers in the world" . -
HRM - Human Resource Management
This approach includes all the activities managers can engage in order to retain and attract employees, and to contribute to the achievement of organization's goals as make sure workers are performing at high level. -
Turnaround Management
This approach gives to a company that is struggling the possibility to create a new vision to planning and organizing in order to use better the company's resources. It is based on radical new strategies.
