Schools of Management Thought: Masunda M. Hit 210 L2 2015, Harare Inst. of Tech

SCHOOLS OF MANAGEMENT THOUGHT
MASUNDA M. HIT 210 L2 2015, HARARE INST. OF TECH
Schools of management
thought
L2
TEXTS
1.Robin S. and Coulter M. (2010),
Management, Pearson education,

India
2. Jones and George (2009),
Contemporary Management,
LEARNING OUTLINE
Study questions
What can be learned from classical
management thinking?
What ideas were introduced by the human
resource approaches?
What is the role of quantitative analysis in
management?
What is unique about the systems view and
contingency thinking?
What are continuing management themes
of the 21st century?
11
Time Line of Management

Thought
Major Schools of Management

Quantitative management approaches
Thought
Use of mathematical techniques for
management problem solving.
Modern approaches
Systems and contingency views of
organizations.
Classical approaches to
The term used to describe the hypotheses of
management
the scientific management theorists and the

general administrative theorists.
Scientific management
Administrative principles
Bureaucratic organization
Scientific management theorists
Fredrick W. Taylor, Frank and Lillian Gilbreth ,
and Henry Gantt

General administrative theorists
Henri Fayol and Max Weber
Scientific Management
Contributors
Frederick W. Taylor
The Principles of Scientific Management (1911)
Advocated the use of the scientific method to
define the one best way for a job to be done
Believed that increased efficiency could be
achieved by selecting the right people for the

job and training them to do it precisely in the
one best way.
To motivate workers, he favored incentive wage
plans.
Separated managerial work from operative work.
18
MASUNDA M. HIT 210 L2

2015, HARARE INST. OF
Scientific Management
Contributors
Frank and Lillian Gilbreth
Bricklaying efficiency improvements
Time and motion studies (therbligs)
Henry Gantt
Incentive compensation systems
Gantt chart for scheduling work
operations
19

What can be learned from

classical management thinking?
Scientific management (Frederick
Taylor)
Develop rules of motion, standardized work
implements, and proper working conditions

for every job.
Carefully select workers with the right
abilities for the job.
Carefully train workers to do the job and
provide proper incentives.
Support workers by carefully planning their
work and removing obstacles.
10

Scientific management (the
Gilbreths)
Motion study
Science of reducing a job or task to its

basic physical motions.
Eliminating wasted motions improves
performance.
11

Administrative principles (Henri Fayol)
rules of management
Foresightto complete plan of action for the
future.
Organizationto provide and mobilize resources
to implement the plan.
Commandto lead, select, and evaluate workers
to get the best work toward the plan.
Coordinationto fit diverse efforts together,
ensure information is shared and problems
solved.
Controlto make sure things happen according
to plan and to take necessary corrective action.
12

Administrative principles (Henri Fayol)
key principles of management

Scalar chainthere should be a clear and
unbroken line of communication from the

top to the bottom of the organization.
Unity of commandeach person should
receive orders from only one boss.

Unity of directionone person should be in
charge of all activities with the same

performance objective.
13
Henry Fayol
First came up with the five basic functions
of managementPlanning, Organizing,
Staffing, Directing, Communicating, and
Controlling
Max Weber Coined bureaucracy: the
perfect office
Well defined chain of command
Clear division of work (job descriptions)
Procedures for any situation
Impersonality
Employment and promotion based on
technical competence
14

Administrative principles (Mary Parker
Follett)
Groups and human cooperation
Groups are mechanisms through which
individuals could combine their talents for
a greater good.
Organizations as cooperating
communities of managers and workers.
Managers job is to help people in the
organization cooperate and achieve an
integration of interests.
15

Administrative principles (Mary Parker
Follett)
Forward-looking management insights

Employee ownership creates sense of
collective responsibility (precursor of
employee ownership, profit sharing, and gainsharing)
Business problems involve variety of interrelated factors (precursor of systems thinking)
Private profits relative to public good
(precursor of managerial ethics and social
responsibility)
16

Bureaucratic organization (Max
Weber)
Bureaucracy
An ideal, intentionally rational, and very

efficient form of organization.
Based on principles of logic, order, and
legitimate authority.
17

(Max Weber)
Characteristics of
bureaucratic
organizations:
Clear division of
labor
Clear hierarchy of
authority
Formal rules and
procedures
Impersonality
Careers based on
merit
Possible
disadvantages of
bureaucracy:
Excessive paperwork
or red tape
Slowness in handling
problems
Rigidity in the face
of shifting needs
Resistance to
change
Employee apathy
18
What ideas were introduced by

the human resource approaches?
Behavioral management (or human
resource) approaches include:

Hawthorne studies
Maslows theory of human needs
McGregors Theory X and Theory Y
Argyriss theory of adult personality
19
Human Resources Approach

Robert Owen
Claimed that a concern for employees
was profitable for management and

would relieve human misery.
Hugo Munsterberg
Created the field of industrial psychology
the scientific study of individuals at

work to maximize their productivity and
adjustment.
120


Hawthorne studies
Initial study examined how economic
incentives and physical conditions affected

worker output.
No consistent relationship found.
Psychological factors influenced results.
21

A need is a physiological or
psychological deficiency a person feels

compelled to satisfy.
Need levels
Physiological
Safety
Social
Esteem
Self-actualization
22

Hawthorne studies
Employee attitudes, interpersonal relations
and group processes
Some things satisfied some workers but not
others.
People restricted output to adhere to group
norms.
Lessons
Social and human concerns as keys to
productivity.
Hawthorne effectpeople who are singled
out for special attention perform as expected.
23

Deficit principle
A satisfied need is not a motivator of

behavior.
Progression principle
A need becomes a motivator once the

preceding lower-level need is satisfied.
24

McGregors Theory
McGregors Theory
X assumes that
workers:
Y assumes that
workers are:
Dislike work
Lack ambition
Willing to work
Capable of self
Are irresponsible
Resist change
Prefer to be led
control
Willing to accept
responsibility
Imaginative and
creative
Capable of selfdirection
25

McGregors Theory X and Theory Y
Managers create self-fulfilling prophesies.
Theory X managers create situations
where workers become dependent and
reluctant.
Theory Y managers create situations
where workers respond with initiative and
high performance.
Central to notions of empowerment and
self-management.
26

Classical management principles and
practices inhibit worker maturation and

are inconsistent with the mature adult
personality.
Management should accommodate the
mature personality.
27

Management practices consistent with
the mature adult personality:

Increasing task responsibility
Increasing task variety
Using participative decision making
28
What is the role of

quantitative analysis in
management?
Management science (operations

research) foundations
Scientific application of mathematical
techniques to management problems

Techniques and applications include:
Mathematical forecasting
Inventory modeling
Linear programming
Queuing theory
Network models
Simulations
29
What is the role of

quantitative analysis in
management?
Quantitative analysis today
Use of staff specialists to help managers
apply techniques.
Software and hardware developments
have expanded potential quantitative
applications to managerial problems.
Good judgment and appreciation for
human factors must accompany use of
quantitative analysis.
30
What is unique about the

systems view and contingency
thinking?
Systems thinking
System
Collection of interrelated parts that function
together to achieve a common purpose.
Subsystem
A smaller component of a larger system.
Open systems
Organizations that interact with their environments
in the continual process of transforming resource
inputs into outputs.
31
2e
2e
Contingency Management
Theory
Approaches depend on the variables of
the situations
Draws on all past theories in attempting
to analyze and solve problems
Is integrative
Summarized as an it all depends device
Tells managers to look to their
experiences
and the past and to consider many
options before choosing
Encourages managers to stay flexible
32
What is unique about the

systems view and contingency
thinking?
Contingency thinking
Contingency perspective - different ways of
managing are required in different organizations

and different circumstances. Tries to match
managerial responses with problems and
opportunities unique to different situations.
Especially individual or environmental
differences.
No one best way to manage.
Appropriate way to manage depends on the
situation.
33
Lessons from the systems

theory
People are key to commitments and
performance
What is done must be evaluated
quantitatively and qualitatively
34
What are continuing management

themes of the 21st century?
Quality and performance excellence
Managers and workers in progressive
organizations are quality conscious.

Quality provides competitive advantage.
Total quality management (TQM)
Comprehensive approach to continuous

quality improvement for a total
organization.
Creates context for the value chain.
35

Eight attributes of performance
excellence:
A bias toward action
Closeness to the customer
Autonomy and entrepreneurship
Productivity through people
Hands-on and value-driven
Sticking to the knitting
Simple form and lean staff
Simultaneous loose-tight properties
36

Global awareness
Pressure for quality and performance
excellence is created by a highly competitive

global economy.
Has fostered increasing interest in new
management concepts.
Process engineering
Virtual organizations
Agile factories
Network firms
Adoption of Theory Z management practices.

37
Theory z
Developed by Dr. William Ouchi (1981)
Not necessarily an offshoot of McGregors
Theory X/Y, Ouchis theory blends modern
western management approaches with
Japanese management techniques
Ironically, many so-called Japanese management

techniques such as Kaizen are based on American
Edward Demings 14 Points For Management
Theory Z focuses on increasing employee

loyalty to the company by providing a job for
life with a strong focus on the well-being of the
employee, both on and off the job
This means stable employment, and high
employee morale and satisfaction by creating
opportunities for collaboration, lateral job
movements, and multi-level participation in
decision-making
38

Contemporary businesses must learn to
become learning organizations.

Learning organization success depends on:
Culture that emphasizes information, teamwork,
empowerment, participation, and leadership.

Leadership that emphasizes motivation and
rewards, communication, conflict and

negotiation, teamwork, and change
management.
39

In the 21st century managers must
be:
A global strategist
A master of technology
A consummate politician
A leader/motivator
40

Schools of Management Thought: Masunda M. Hit 210 L2 2015, Harare Inst. of Tech

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SCHOOLS OF MANAGEMENT THOUGHT

MASUNDA M. HIT 210 L2 2015, HARARE INST. OF TECH

MASUNDA M. HIT 210 L2 2015, HARARE INST. OF TECH

Management, Pearson education,

MASUNDA M. HIT 210 L2 2015, HARARE INST. OF TECH

Time Line of Management

Major Schools of Management

Use of mathematical techniques for

management problem solving.

MASUNDA M. HIT 210 L2 2015, HARARE INST. OF TECH

the scientific management theorists and the

and Henry Gantt

achieved by selecting the right people for the

MASUNDA M. HIT 210 L2

MASUNDA M. HIT 210 L2

What can be learned from

implements, and proper working conditions

What can be learned from

Science of reducing a job or task to its

What can be learned from

Foresightto complete plan of action for the

What can be learned from

key principles of management

unbroken line of communication from the

receive orders from only one boss.

charge of all activities with the same

What can be learned from

What can be learned from

Forward-looking management insights

What can be learned from

An ideal, intentionally rational, and very

What can be learned from

MASUNDA M. HIT 210 L2 2015, HARARE INST. OF TECH

What ideas were introduced by

resource) approaches include:

MASUNDA M. HIT 210 L2 2015, HARARE INST. OF TECH

Human Resources Approach

was profitable for management and

the scientific study of individuals at

MASUNDA M. HIT 210 L2

What ideas were introduced by

incentives and physical conditions affected

MASUNDA M. HIT 210 L2 2015, HARARE INST. OF TECH

What ideas were introduced by

psychological deficiency a person feels

What ideas were introduced by

What ideas were introduced by

A satisfied need is not a motivator of

A need becomes a motivator once the

What ideas were introduced by

MASUNDA M. HIT 210 L2 2015, HARARE INST. OF TECH

What ideas were introduced by

What ideas were introduced by

practices inhibit worker maturation and

What ideas were introduced by

the mature adult personality:

MASUNDA M. HIT 210 L2 2015, HARARE INST. OF TECH

What is the role of

Management science (operations

techniques to management problems

MASUNDA M. HIT 210 L2 2015, HARARE INST. OF TECH

What is the role of

MASUNDA M. HIT 210 L2 2015, HARARE INST. OF TECH