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Scientific Management
Frederick W. Taylor did studies to find ways to motivate his workers to work harder and more efficiently. He wanted to find the “one best way” to complete a task. This led him to create the scientific management principles. -
The interstate commerce act
Passed by congress because widespread practice of railroad rebates were given to a few of their customers but not all their customers. This was the first major piece of regulatory legislation -
The Sherman act
This act made it illegal for companies to make monopolies, this law was made to revamp competition during the time that monopolies took over many industries. -
Decentralization
Decentralization is when the power and decisions are made by multiple people in a company. Alfred Sloan split his company into five divisions in order to spred out the power and keep his company running smoothly. -
Centralization
Centralization is when power and important decision making is only done by one or two individuals. Henry Ford almost lost his company from not having multiple people help to make decision regarding whats best for the company. -
The Hawthorne Studies
These studies were done to examine the relationship between working conditions and productivity. One of their studies were held at Hawthorne plant of Western Electric. They lowered the lighting with expectations that the productivity would plummet however it did the opposite. From the studies they found that productivity increased because the workers work harder when they received attention. -
Maslow's Hierarchy of needs
Moslow created the hierarchy of needs for business managers. At the lowest level employee are motivated by basic needs and the physical condition of the workplace. The next level workers excel when their safety and security needs are met. In the next level workers have love and social needs. Moving forward, workers in the next level have ego and status needs. In the highest level workers have self-actualization and self-fulfillment needs. -
Theory X and Y
Identified by Douglas McGregor as two types of management. For Theory X managers have strict rules and make all the important decisions because this theory assumes that people are lazy and will avoid work. Theory Y managers allow their employes lots of freedom and allow them to make mistakes because this theory assumes that people find satisfaction in their work. This theory also believes that workers will be productive if they are placed in the right environment. -
Theory Z
Theory Z integrates Japanese and American business. This theory focuses on Japanese collective decision making and America’s idea of individual responsibility. -
Deming’s fourteen points
Deming's fourteen points were created for total quality management. Total quality management is the constant process of improving quality and productivity of a company by improving how the work is done.The fourteen points help to implement total quality management.
