Development of Management Thought
Development of Management ThoughtSubmitted toMS. CHANDRANI GANGULYClass teacher of BBA 1st semesterSubmitted byGroup-5BBA 1st semesterIntroductionDevelopment of management thought is basically theory of Management. Theory is known as body of principles.
As in Mathematic they are known as theorem. Theory is concerned with generation derived from data and establishing significant relationship.
The Classical Theory of Management It includes :-
Bureaucratic Model by Max Webber in 1990
Scientific Management by F.W. Taylor in 1910
III. Functional or Administration or Process Management by Henry Fayal in 1910I. Features of Bureaucratic Model
Rules and regulationTechnical competenceDivision of workRecord keepingII. Features of Scientific Management
Separation of planning and designMental revolutionStandardization of instruments, tools and work condition.
Books published on Scientific management 1. 1903, Shop management2. Principle and method of scientific management3. 1913 Scientific management
1. 1895, A piece rate system2. 1905, On the art of cutting metalsIII. Functional management theoryContribution of Henry Fayal:-
Planning, Organization, Command, Co-ordination, Control
Other Contribution Under Functional Theory
(i) Henry L. Gantt:- Gantt is regarded as one of the greatest contributor of Scientific Management era.
(ii) Gantt Chart:- He developed a daily balance sheet chart called Gantt chart.
Neo Classical Theories It includes:-1. Elton Mayos Human Relation Management (1927-1932)
2. Douglas Mc-Gregars contribution in X and Y theory
3. Abraham Maslow's contributionModern Management Theories It includes:-1. Quantative or Mathematical approach to management
2. System approach to management
3. Contingency approach to management1. It increases the efficiency of workers2. Making good relation3. It helps in decision making4. It helps in coordinationImportance of Development of Management ThoughtTheory X and Y Douglas McGregor proposed the two different sets of worker assumptions.Theory X: Assumes the average worker is lazy, dislikes work and will do as little as possible.Managers must closely supervise and control through reward and punishment.Theory Y: Assumes workers are not lazy, want to do a good job and the job itself will determine if the worker likes the work.Managers should allow the worker great latitude, and create an organization to stimulate the worker.Theory ZWilliam Ouchi researched the cultural differences between Japan and USA. USA culture emphasizes the individual, and managers tend to feel workers follow the Theory X model.Japan culture expects worker committed to the organization first and thus behave differently than USA workers.Theory Z combines parts of both the USA and Japan structure. Managers stress long-term employment, work-group, and organizational focus.