Chapter (2)

Management History
Introduction :Management has been practiced a long time .organized endeavors directed by
people responsible for planning , organizing , leading & controlling activates
have existed for thousands of year
Historical Background of Management :1- Ancient Management
Revaluation

2- Adam Smith

3- Industrial

1- Ancient Management :a- Egypt ( pyramids ) & china ( great Wall )

b- Venetians ( floating warship assembly lines )
2- Adam Smith :1- Published The Wealth of Nations in 1776
2- Advocated the division of labor (job specialization ) to increase the
productivity of the workers
Division of labor (job specialization ) : braking down jobs into narrow and
repetitive tasks
Adam smith concluded that division of labor increased productivity by
increasing each workers skills
3- Industrial Revaluation : Substituted machine power for human power
Created large organization in need of management

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Major Approaches to Management :1- Classical

2- Quantitative
3- Behavioral
Contemporary

4-

1- Classical Approach :1- Scientific Management Theory

Administrative Theory

2- General

1- Scientific Management Theory :a- Fredrick Winslow Taylor

b- Frank and Lillian Gilbreth

a- Fredrick Winslow Taylor :

1- The father of scientific management
2- published the principles of scientific management (1911 )
The theory of ScientificManagement :using the scientific methods to define one best way for a job to be done
1- Putting the right person on the job with the correct tools & equipment
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2- Having standardized method of doing the job

3- Providing an economic incentive to the worker
Taylors Scientific Management Principles :1- Develop a science for each element of an individuals work when will
replace the old rule of thumb method
2- Scientifically select and train, teach & develop the worker
3- Heartily cooperate with the workers so as to ensure that all work is done
in accordance with the principles of the science that has been developed
4- Divided work and responsibility almost equally between management
and workers , Management takes over all work for which it is better fitted
than the workers
b- Frank & Lillian Gilbreth :1- Forced on increasing the work productivity through the reduction of
wasted motion ( inefficient hand and body motions )
2- Developed the micrometer to time worker motions and optimize work
performance
How Do Todays Managers Use ScientficManagement :Use time & motion studies to increase productivity
Hire the best qualified employees
Design incentive systems based on output

2-General Administrative Theory :A-Henri Fayol

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B- Wax Weber

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A- Henri Fayol :1- Believed that the practice of management was distinct from other
organizational functions
2- Developed principles of management that applied to all organization
situations
Principles of Management :1- Division of work : specialization increase output by making employees
more efficient
2- Authority : managers must be able to give orders & authority gives
them this right
3- Discipline : employees must obey and respect the rules that govern the
organization
4- Unity of command : every employee should receive orders from only
one
5- Unity of direction : the organization should have s single plan of action
to guide managers and workers
6- Subordination of individual interests to the general interest :the
interests of any one employee or group employees should not take the
precedence over the interests of organization as a whole
7- Remuneration :workers must be paid a fair wage for their services
8- Centralization :this term refers to the degree to which subordinates are
involved in decision making
9- Scalar chain :the line of authority from top management to the lowest
rank is the scalar chain
10-Order :people &materials should be in right place and time
11-Equity :managers should be kind and fair to their subordinates
12-Stability of tenure of personnel :management should provide
orderly personnel planning and ensure that replacement are available to fill
vacancies

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13-Initiative :employees who are allowed to originate and carry out plans
with exert high levels of efforts
14-Esprit de corps :promoting teams sprit will build harmony and unity
within the organization

B- Max Weber : Developed a theory of authority based on ideal type of organization

( bureaucracy )
Emphasized rationality, impersonality , technical competence &
authoritarianism

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2-Quantitative Approach : Also called operations research OR Management science

Evolved from mathematical and statistical methods to solve world war 2
military logistics and quality control problems
Focuses on improving managerial decisions making by applying : Statistics
Optimization models
Information models
Computer simulations
What is Quality Management :1- Intense focus on the customer : the customer include outsiders who
buy the organizations products and services and internal customers who
interact with and serve other in the organization
2- Concern for continual improvement : quality management is a
commitment to never being satisfied very good is not enough quality
can always be improved
3- Process focused : quality management focuses on work process the
quality of goods and services is continually improved
4- Improvement in the quality of everything the organization does :
this relate to the final product how the organization handle , deliver , how
rapidly it respond to complains , how politely the phones answered and
the like
5- Accurate measurement : quality management uses statistical
techniques to measure every critical variable in the organizations

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operations there are compared against standards to identify problems

trace them to their roots and eliminate their causes
6- Empowerment of employees : quality management involves the
people on the line in the improvement process . teams are widely used in
quality management program me as empowerment vehicles for finding
and solving problems

3- Behavioral Approach :a- Organizational Behavior (OB) :The study of the action of people at work People are the most important asset
of an organization
Early OB Advocates :1- Robert Owen

2- Hugo Munsterberg

3-Mary parker Follett

4- Chester Barnard

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b- The Hawthorne studies :A series of productivity management experiments conducted at Western

Electric from 1924 to 1932
a- Experimental findings :1-productivity unexpectedly increased under imposed adverse working
conditions
2-The effect of incentive plans was less than expected
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b- Research conclusion :Social norms , groups standards and attitudes more strongly influence
individual output & work behavior than do monetary incentives
4- Contemporary Approaches
a- System approaches
b- contingency approaches

a- System Approaches :System :a set of interrelated & interdependent parts arranged in a manner
that produces as unified whole
Basic Types of systems :1-Closed system

2- open system

1- Closed system :Are not influenced by and do not interact with their environment ( all system
input & output is internal )
2- Open system :Dynamically interact to their environmentsby taking in inputs and
transforming them into outputs that are distributed into the environments

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Implication of the System Approach :1- Coordination : of the organizations parts is essential for proper
function of the entire organization
2- Decisions and actions taken in one area of the organization will have
an effect in other areas of the organization
3- Organization are not self-contained and therefore must adapt to
changes in their external environment

The Contingency Approaches : Also sometimes called situational approach

There is no one universally applicable set of management principles by
which to manage organization
Organization are individually different ,face different situations
contingency variables and require different ways of managing
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1- Organization size : as size increase so do the problems of coordination

2- Routineness of task technology : routine technology requires
organizational structures , leader ship styles and control systems that
differ from those required by customized or non- routine technologies
3- Environmental uncertainty : what works best in stable and
predictable environment may be totally inappropriate in a rapidly
changing and unpredictable environment
4- Individual differences : individuals differs in terms of their desire for
growth , autonomy , tolerance of ambiguity and expectations

Important Questions
1- Explain why studying management history is important
2- Describe some early evidence of management practices
3- Describe two important historical events that are significant to the
study of management
4- Describe the importance contributions made by Frederick W Taylor and
Frank and Lillian Gilbreth
5- Discuss Fayols and Webers contributions to management theory
6- Explain how todays managers use scientific management and general
administrative theory
7- Explain what the quantitative approach has contributed to the field of
management
8- Describe total quality management
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9- Discuss how todays managers use the quantitative approaches

10- Describe the contributions of the early advocates of OB
11- Explain the contributions of the Hawthorne studies to the field of
management
12- Discuss how todays managers use the behavioral approach
13- Describe the organization using system approach
14- Discuss how the systems approaches helps us and understand
management
15- Explain how contingency approach is appropriate for studying
management

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