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Industrial Revolution
The Transition to new manufacturing processes. Including machine tools, increase use of steam and water power, and the change form wood to bio-fuels and coal. With greater need for products and workers there was a greater need for organization leading to the start of Management needs. -
Henry R. Towne
Towne delivered an address called the “The Engineer as an Economist.” in this adderss he said "Towne argued that there were good engineers and good businessmen, but seldom were they one and the same. He went on to assert that “the management of works has become a matter of such great and far-reaching importance as perhaps to justify its classification also as one of the modern arts.” (kiechel,2012) This led to the idea that management should be view as a studied practice. -
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Scientific Management Theory
Scientific management principles were used to increase lean production and total quality management. This led to increased efficiency and paved the way for mass production. Taylor and Gilbreths were the two big contributors to Scientific management. -
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Administrative Management Theory
Weber and Fayol developed the principles of bureaucracy and administration that are still studied and used today. (Jones, 2014, P.59) -
Frederick W. Taylor
"F.W. Taylor is best known for defining the techniques of Scientific Management." (Jones, 2014, P.39) By dividing labor and having employees specialize at work Taylor was able to create a higher level of production. This lead to companies being able to manufacture more and helped the transition from small-scale crafts production to large-scale mechanized manufacturing. (Jones, 2014, P.39) -
Henry Ford
Henry Ford founder of Ford motor Company. Ford broke down the processes of making a car into 84 steps and could make many cars a day. He did all this by creating the assembly line. By using the assembly line he could control worker pace. He also was one of the first people to have a supervisor department that watched over the workers and their progress. (Goss) -
Pierre S. du Pont
Pierre took over General Motors in 1920, while working there he created the decentralized management structure which helped structure the business and separate the many different tasks of GM. (innovation Starts here) -
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Behavioral Management Theory
McGregor's X and Y Theory stated that a manager's way of thinking greatly effects their workers this is still used today by many companies like Apple and Dell. Follett advocated that workers should have a say in the development of the work place but her ideas were ignored until conditions changed. (Jones, 2014, P. 59. -
Max Weber
“Max Weber developed the Principles of bureaucracy, a formal system of organization and administration designed to ensure efficiency and effectiveness.” (Jones, 2014, P.45) By having rules, standard operation procedures, and norms a work place could be managed more easily and efficiently. This lead to higher efficiency and effectiveness. (Jones, 2014, P.45) -
The Gilbreths
Frank and Lillian Gilbreth were the followers of Taylor. The Gilbreth’s analyzed every movement needed to perform the task, broke it down, and found better ways to perform tasks in the work place. Their study’s refined Taylor’s studies and changed how we look at time and motion in the work place. (Taylor, 2014, P.42) -
Henri Fayol
"Henri Fayol identified 14 principles that he believed essential to increase the efficiency of the management processes." (Jones, 2014, P.47) Fayol’s principles increased efficiency the efficiency of management. Most of his principles have endured time and are used today. (Jones, 2014, P.47) -
Hawthorne Effect
The Hawthorne effect found that a manager’s behavior or leadership approach can affect a workers level of performance. By studying the Hawthorne effect if was found that managers have an impact on the workers performance. This led to the Human relations movement, which suggested management should receive behavioral training to manage subordinates to increase productivity. (Jones, 2014, P. 52) -
Mary parker Follett
Mary Parker Follett was the first person to consider the workers. She stated that workers know the most bout their jobs and they should be involved in the job analysis. She also supported cross-functioning where different departments worked with each other to finish the job. Cross-functioning is widely used today. (Jones, 2014, P. 51) -
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Management Science Theory
Management science theory is an extension of scientific management. It looks at Quantitative management, operations management, total quality management, and management information systems. Tease tools help managers make decisions about product, location, inventory, ect.. (Jones, 2014, P.59) -
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Organizational Environment Theory
Organizational environment theory looks into how managers control the organization’s relationship with its external environment instead of just how they influence the behavior within organizations. This was an important milestone for management which led to the improvement of how managers used strategic and total quality management to better use organizational resources. (Jones, 2014, P.59) -
Frederick Herzberg
Herzberg theorized the two factor theory which deals with workplace motivation in the workplace and how that effect productivity. (Wigdor, House) -
Douglas McGregor
McGregor came up with the idea of theories of X and Y. This looked at how managers looked at workers attitudes. Theory X stated that a manager's task is to supervise workers and control their behavior. Theory Y stated that a manager’s task is to create a work environment that encourages workers. Theory Y is used greatly today and some examples of companies that use it are Apple, google, and 3M. (Jones, 2014, P.55) -
Contingency Theory
Tom Burns, G.M. Stalker, Paul Lawrence, and Jay Lorsch developed the Contingency Theory. The Contingency Theory states that “there is no one best way to organize” (Jones, 2014, P.57) -
The Open-Systems View
Daniel Katz, Robert Kahn, and James Thompson were the first to view organizations as an open system. This prevented organizations form experiencing entropy and allowed them to interact and adjust to their environment. (Jones, 2014, P.56) -
Michael Jensen and William Meckling
Jensen and mackling were the two co-creators of the agency theory which suggests that the company’s shareholders, agents, and executives come together to make a company successful. It’s like a miniature government for the company.
