-
Period: to
Adam Smith Makes Conclusion About Job Specialization
Adam Smith studied factories during the Industrial Revolution. He found that factories who had workers specialized in specific parts of production were more efficient than those who performed the entire manufacturing process themselves. (Jones, Gareth R., and Jennifer M. George. Contemporary management. 8th ed. -
Andrew Carnegie Born
Andrew Carnegie was born in 1835. He was successful by constantly increasing efficiency and reducing costs while working his way up in the railroad business. Soon he got into steel production after realizing how high operating costs were when each part of the process was done at a different location. He adopted new practices, lowering the price of steel from $132 to $12 per ton. An incredible feat.
(Jones, G., George, J. 2014) -
Henri Fayol is Born
Henri Fayol was born in 1841. He contributed his to management with the creation of his 14 principles for management success. Most of these principles are still widely practiced today.
(Jones, G., George, J. 2014) -
Max Weber is Born
Max Weber was born in 1864. He developed what is known as "bureaucracy". Bureaucracy is a system of organization/administration which promotes effectiveness and efficiency.
(Jones, G., George, J. 2014) -
Frank Gilbreth Born
Frank Gilbrethw as born in 1868. During his life, he and his wife worked to refine some of Taylor's work. They broken down actions into component actions and analyzed them. They would then find ways to make them more efficient.
(Jones, G., George, J. 2014) -
Mary Parker Follett is Born
Mary Parker Follett was born in 1868. She proposed that "authority should go with knowledge". This meant that the people with the best understanding of what is going on should be in control. She also advocated for departments working together to make decision making faster. This process is still used today.
(Jones, G., George, J. 2014) -
Henry Towne Delivers "The Engineer as an Economist" Speech
Henry Towne delivers a famous speech that started "the management century". He emphasized that management could be improved and studied. He also stated that it was rooted in economics. His speech was given to a group of engineers who took it to mean achieving the highest level of efficiency possible.
Walter, Kiechell III. "The Management Century." Harvard Business Review 90.11 (2012): 62-75. Business Source Premier. Web. 23 Oct. 2013. -
Period: to
Henry Ford Develops Converyor Belt and Social Problems
Henry Ford developed a moving conveyor belt that was revolutionary to the car industry. However, this process also created extreme stress on employees as they began to hate that their job was always the same. Turnover reached somewhere between 300% and 400% every year. Ford decided to put a stop to this and reduced the length of the work day as well as doubling wages.
(Jones, G., George, J. 2014) -
Peter Drucker is Born
During his life, Peter Drucker wrote many books and provided the foundation for the modern corporation. He wrote 36 books in all that covered wide range of topics including human resources and financing.(Tanz, J 2003) -
Taylorism is Created
Frederick Winslow Taylor publishes his book The Principles of Scientific Management. This gives rise to Taylorism, in which Taylor encouraged managers to consider their employees "specialized replaceable components"(Tanz, J (2003, Oct 1). A Brief History of Management. CNN Money). This new approach was very efficient. -
Alfred P. Sloan Becomes President of General Motors
After becoming president of General Motors, Sloan decides to decentralize the organization. This caused GM to become the leader in car and truck manufacturing at the time.(Tanz, J 2003) -
Period: to
Hawthorne Experiments Take Place
Hawthorne Experiments, funded by The National Research Council show that Taylor was wrong. The study found that employees have emotional needs that also need to be met meaning that they care about more than just money. This is the beginning of "human relations"(Tanz, J 2003). -
Geert Hofstede is Born
On October 2, 1928, Geert Hofstede was born. Hofstede is known for developing his five dimensions of culture. He spent a great deal of time indentifying the differences in values and normals of IBM employees across the world. (Jones, G., George, J. 2014) -
Hewlett-Packard is Formed
David Packard and Bill Hewlett introduced a new style of management where they would go around and talk to their employees(Tanz, J 2003). -
Michael Porter is Born
On May 23, 1947, Michael Porter was born. Porter is known for his five forces model which described the five main potential threats or competitive forces in the external environment. These forcers are rivalry, entry, power of large suppliers, power of large customers, and threat of substitute products. (Jones, G., George, J. 2014) -
W. Edwards Deming Introduces Quality Management
W. Edwards Deming discusses a new management strategy upon which the basis is to create the best product possible in order to profit off of repeate customers(Tanz, J 2003). -
Contingency Theory is Developed
In the 1960s, Tom Burns, G. M. Stalker, Paul Lawrence, and Jay Lorsch developed the contingency theory. This theory held that managers should choose structur and control systems based on the environment that the organization is in. (Jones, G., George, J. 2014) -
Equal Pay Act Passed
In 1963, the Equal Pay Act was passed. This act requires that men and women be paid equally for equal work. It was a big victory for women's rights.
(Jones, G., George, J. 2014) -
Title VII of the Civil Rights Act Passed
In 1964, Title VII of the Civil Rights Act was passed. This act prohibited many discriminatory management practices that were occurring based on sex, race, religion, and more. It covered a large area of decisions "including hiring, firing, pay, promotions and working conditions".
(Jones, G., George, J. 2014) -
John Kenneth Galbraith published "The New Industrial State"
In 1967 John Kenneth Galbraith published "The New Industrial State". Some people at this time had began to believe that American companies were becoming too aggressive and successful. The 200 largest manufacturing companies at the time had a very large amount of control over assets, sales, employment and income. Galbraith believed that, in a sense, these companies could control what we bought and how we lived. (Kiechell III, W. 2013) -
Americans With Disabilities Act Passed
In 1990, the Americans with Disabilities Act was passed. This act protected disabled individuals from employment discrimination and required that reasonable accomodations be made for them. This changed how many managers had to operate. (Jones, G., George, J. 2014) -
Civil Rights Act Passed
In 1991, the Civil Rights act was passed. This act allowed damages to be sought by employees who were discriminated against by management. (Jones, G., George, J. 2014) -
Enron, Worldcom, Tyco Scandals
In 2002, the stock market suffered losses due to financial scandals at Enron, Worldcom, and Tyco. This reflects negatively on management as a whole and result in new legislation in the future.
(Ackman, Dan(2002, July 1) “WorldCom, Tyco, Enron--R.I.P.” Forbes http://www.forbes.com/2002/07/01/0701topnews.html) -
Sarbanes-Oxley is Signed Into Law
Due to the recent financial scandals, Sarbanes-Oxley was created and signed into law on July 30, 2002. Sarbanes-Oxley focused on oversight, disclosures, auditor independence, conflicts of interest, accountability, and responsibility. Failing to comply with Sarbanes-Oxley comes with severe penalties.
(Donald Simon, “Corporate Accountability: A Summary of the Sarbanes-Oxley Act” http://www.legalzoom.com/business-law/corporate-law/corporate-accountability-summary) -
A Tariff on Imported Vehicle Tires is Enacted
In 2009, a tariff on vehicle tire imports was enacted. A tariff is a tax on imported goods. This tariff was enacted to help protect American tiremakers from unfair competition and business practices in other countries.
(Jones, G., George, J. 2014)
