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Scientific Management Theory
After the industrial revolution mangers were trying to find new ways to satisfy customers' needs. The theory of scientific management was being developed to help redesigning the work process, trying to increase efficiency (Jones, G. R., George, J.M. (2014). Contemporary management (8th ed.). New York, NY: McGraw-Hill/Irwin). -
Scientific Management Theory gains Legitimacy
Boston lawyer and future Supreme Court justice Louis Brandeis argues on behalf of consumers that a $27 million rate increase sought by the nation's Eastern railroads should not be approved by the Interstate Commerce Commission. Brandeis contends that the railroads cannot justify their costs. Citing Taylor's ideas, Brandeis maintains that the railroads could save $300 million through improved productivity (The Basic of Business History: Nos 100 to 81. (1999, May 19). The Street. Retrieved (cont.) -
Scientific Management Theory gains Legitimacy
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Retrieved October 23, 2013, from http://www.thestreet.com/story/747904/1.html). I could not fit the whole reference in the given box. -
Rise of the Machines
American engineer named Frederick W. Taylor publishes the Principles of Scientific Management. Creating "Taylorism" the first modern management craze (A Brief History of Management, 2003). Scientific management, the systematic study of relationships between people and tasks for the purpose of redesigning the work process to increase efficiency (Jones, 2014). F. W. Taylor developed four principles to increase efficiency in the workplace. -
Ford introduces the assembly line
Ford's Highland Park in Mich., plant begins to use conveyor belts to move parts from worker to worker. Making costs of production drop, and the price of the Model T is cut by more than half. Creating a more efficient way of making products. Mangers had to become knowledgeable about the conveyor belts and train employees to use them. Creating new techniques in the workplace (The Basic of Business History, 1999). -
Fordism
At the Ford factories with the conveyor belt came other organization problems. Ford's car plants were experiencing high employee turnover rates, because employees could not handle the work-induced stress. Henry Ford provided incentivizes like shorter hours and a double wage increase. Henry Ford was know internationally known figure, the word "Fordism" was coined (Jones, 2014). -
Solan becomes president of General Motors
Alfred Sloan becomes president of General Motors and creates a decentralized bureaucracy that will help make GM the leading car and trunk manufacturer in the world (A Brief History of Management, 2003). Bring in discipline, making planning, strategizing, and organizing important company management techniques. Sloan revitalized GM's management with division heads. Giving them the power of freedom to come up with their own ideas (The Basic of Business, 1999). -
Gentler Workplace
The National Research Council co-funds the "Hawthorne Experiments," studies to determine what motivates workers. They find Taylor was wrong and that workers are not just machines, motivated by wages. They are people whose emotional need must be addressed as well (A Brief History of Management. (2003, October 1). CNNMoney.cnn.com/magazine/fsb/fsb_archive/2003/10/01/353427/index.htm). -
Bureaucratic Management Theory
Max Weber amplified the scientific management theory, with his bureaucratic theory. Focusing on dividing organizations into hierarchies, establishing strong lines of authority and control (Historical and Contemporary Theories of Management. (n.d.). Historical and Contemporary Theories of Management. Retrieved October 23,2013, from http://managementhelp.org/management/theories.htm). -
Human Relations Movement
Human Resource departments were added to organizations. Giving more attention to individuals and their unique capabilities in the organization. A belief that the organization would prosper if its workers prosper was adopted (Historical and Contemporary Theories of Management, n.d.). -
National Labor Relations Act
Federal law that supports collective bargaining and sets out the rights of employees to form unions (Noe, R. A. (2011). Fundamentals of human resource management (8th ed.). New York: McGraw-Hill/Irwin). -
General Theory of Employment, Interest, and Money
John Maynard Keynes came up with a theory where he saw the government as a counter-cyclical force, increasing spending and running deficits when the economy is slowing while cutting back and paying off its debt when times are good. Kenyes is believed to be one of the century's influential economist (The Basic of Business, 1999). This theory is believed to be the answer in the world when times are good and bad, if it would have been followed. -
Management by Wandering
David Packard and Bill Hewlett form Hewlett-Packard. Their supervisory style, "Management by Wandering Around," encouraging bosses to leave their offices and talk with employees (A Brief History of Management, 2003). Opening up a world were there is communcation. -
Rosie the Riveter
Women and minorities help with the war effort in 1941-1945. World War II hits leaving women to pick up jobs in factories that were usually reserved for men. Making Rosie the Riveter into a feminist and patriotic icon and movement (The Basic of Business, 1999). Changing the way companies were managed and ran, women and minorities were now the employees, changing things forever. -
Fair Employment Practices Committee
A. Phillip Randolph civil rights leader and union president puts pressure on President Franklin Roosevelt to issue an executive order banning race discrimination by the feds and government contractors and created the Fair Employment Practices Committee to help enforce the rule, helping blacks to get job that used to be unavailable (The Basic of Business, 1999). -
Quality Management
W. Edward Deming, a consultant and former statistician for the U.S. Census Bureau, gives a lecture discussing the concept of "quality management." Concept being- profits come from repeat customers, so every person in a company should be focused on making the highest-quality product possible (A Brief History of Management, 2003). -
Equal Pay Act
John F. Kennedy signs the Equal Pay Act in 1963. Meaning new legislation reverses the practice of paying woman less than men for the same job, simply because of gender (The Basic of Business, 1999). -
Title VII of the Civil Rights Act
Prohitbits discrimiination based on race, religion, sex, color, or national origin. Covering employment decisions such as: hiring, firing, pay, promotion, and working conditions (Jones, 2014). -
My Years With General Motors
Alfred P. Sloan wrote a bestseller in 1964, My Years With General Motors, which created the genre of the mass-marketed CEO autobiography. His book talked about the different division leaders become responsible for meeting revenue and profit expectations, and are subject to price controls and budgets meted out by a central executive committee. He created a better, more accountable company (A Brief History of Management, 2003). -
Age Discimination in Employment Act
Prohibits discrimination against workers over the age of 40 and restricts mandatory retirement (Jones, 2014). -
Pregnancy Discrimination Act
Prohibits discrimination against women in employment decisions on the basis of pregnancy, childbirth, and related medical decisions (Jones, 2014). -
Quality Management adopted by U.S.
Deming's quality management is finally adopted by U.S. after NBC airs a documentary called "If Japan Can Do It, Why Can't We?" Catching the U.S. attention (A Brief History of Management, 2003). -
Harley-Davidson adopts Japanese management techniques
Chairman Vaughn L. Beals Jr. and management team realize that the Japanese motorcycle makers are beating them. What should they do? Join them, adopting Japanese techniques such as "just-in-time" inventory control. This eliminates the high and costly inventory levels that require elaborate handling systems. General Motors is quick to follow (The Basic of Business,1999). -
American with Disabilities Act
Prohibits discrimination against disabled individuals in employment decisions. Requiring that employers make accommodations for disabled workers so they can perform their job and duties (Jones, 2014). -
Civil Rights Act
Prohibits discrimination and allows for the awarding of punitive and compensatory damages, in addition to back pay, in case of intentional discrimination (Jones, 2014). -
Family and Medical Leave Act
Employers must provide 12 weeks of unpaid leave for a medical and family reasons, including paternity and illness of a family member (Jones, 2014). -
Uniformed Service Employment and Reemployment Rights Act
Employers must reemploy workers who left their job to fulfill military duties for up to five years. When they return they are provided the same seniority, status, adn pay rate they would have earned if their employment had not been interrupted (Noe, 2011). -
Genetic Information Nondiscrimination Act
Genetic Information Nondiscrimination Act (GINA)'s requirements, companies with 15 or more employees may not use genetic information in making decisions related to the terms, conditions, or privileges of employment (Noe, 2011).
