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 Introduction to Management  11e 

 John Schermerhorn

Chapter 2History of Management

Thought

1

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 Planning Ahead —  Chapter 2 Study Questions

1. What can be learned from classical

management thinking?

2. What insights come from behavioral

management approaches?

3. What are the foundations of modern

management thinking?

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 Figure 2.1 Major branches in the classical approach to

management

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Study Question 1: 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 and provide

proper incentives Support workers by carefully

planning their work and removing

obstacles

4

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Study Question 1: What can be learned from classical management

thinking?

Scientific management (the Gilbreths)

Motion study

Science of reducing a job or task to its basicphysical motions

Eliminating wasted motions improves

performance

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Study Question 1: What can be learned from classical management

thinking?

Practical lessons from scientific management

Make results-based compensation a performance

incentive

Carefully design jobs with efficient work methods

Carefully select workers with the abilities to do these

 jobs

Train workers to perform jobs to the best of their

abilities

Train supervisors to support workers so they can

perform jobs to the best of their abilities

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Study Question 1: What can be learned from classical management

thinking?

 Administrative principles (Henri Fayol) Scalar chain

there should be a clear and unbroken line of

communication from the top to the bottom of theorganization

Unity of command

each person should receive orders from only one boss

Unity of direction one person should be in charge of all activities with

the same performance objective

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Study Question 1: What can be learned from classical management

thinking?

Bureaucratic organization (Max Weber)

Bureaucracy

 An ideal, intentionally rational, and very efficientform of organization

Based on principles of logic,

order, and legitimate

authority

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Study Question 1: What can be learned from classical management

thinking?

Characteristics of bureaucratic

organizations:

Clear division of labor Clear hierarchy of authority

Formal rules and procedures

Impersonality

Careers based on merit

10

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Study Question 1: What can be learned from classical management

thinking?

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

Chapter 2 11

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 Figure 2.2 Foundations in the behavioral or human resource

approaches to management

Human

resourceapproaches   Assumption:People are

social and self-actualizing

Theory ofhum an needs  

 AbrahamMaslow

Hawthornestudies  

Elton Mayo

Organizat ionsas

communi t ies  Mary Parker

Follett Theory X and

Theory Y  Douglas

McGregor

Personal i tyand

organizat ion  Chris Argyris

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Study Question 2: What insights come from the behavioral management

approaches?

Behavioral Management - human

resource approaches include:

Hawthorne studies Maslow’s theory of human needs 

Mary Parker Follett’s Organizations as

communities

McGregor’s Theory X and Theory Y 

 Argyris’s theory of adult personality 

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Study Question 2: What insights come from the behavioral

management approaches?

Organizations as communities

 – Mary Parker Follett

Groups and human cooperation: Groups allow individuals to combine their talents for a

greater good

Organizations are cooperating ―communities‖ of managers

and workers

Manager’s job is to helppeople cooperate and

achieve an integration of

interests

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Study Question 1: What can be learned from classical management

thinking?

Organizations as communities

Forward-looking management insights:

• precursor of employee ownership,profit sharing, and gain-sharing

Making every employee

an owner creates asense of collective

responsibility

• precursor of systems thinkingBusiness problemsinvolve a variety of

inter-related factors

• precursor of managerial ethics andsocial responsibility

Private profits relative topublic good

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Study Question 2: What insights come from the behavioral management

approaches?

Hawthorne studies

Initial study examined how economic

incentives and physical conditions affected

worker output

No consistent relationship found

―Psychological factors‖ influenced results

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Study Question 2: What insights come from the behavioral management

approaches?

Hawthorne studies (cont.)

Relay assembly test-room studies

Manipulated physical work conditions to assessimpact on output

Designed to minimize the ―psychological factors‖

of previous experiment

Factors that accounted for increased productivity: Group atmosphere

Participative supervision

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Study Question 2: What insights come from the behavioral management

approaches?

Hawthorne studies (cont.)

Employee attitudes, interpersonal relations

and group processes

Some things satisfied some workers but not

others

People restricted output to adhere to group norms

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Study Question 2: What insights come from the behavioral management

approaches?

Lessons from the Hawthorne Studies:

Social and human concerns are keys to

productivity

Hawthorne effect — people who are singled

out for special attention perform as expected

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Study Question 2: What insights come from the behavioral

management approaches?

Maslow’s theory of human needs 

 A need is a physiological or psychological

deficiency a person feels compelled to satisfy

Need levels:

Physiological

Safety

Social

Esteem

Self-actualization

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 Figure 2.3 Maslow’s hierarchy of human needs

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Study Question 2: What insights come from the behavioral

management approaches?

Maslow’s theory of human needs 

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

Both principles cease to operate at self-actualization level

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Study Question 2: What insights come from the behavioral

management approaches?

McGregor’s Theory X assumes that

workers:

Dislike work Lack ambition

 Are irresponsible

Resist change

Prefer to be led

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Study Question 2: What insights come from the behavioral

management approaches?

McGregor’s Theory Y assumes that

workers are:

Willing to work Capable of self control

Willing to accept

responsibility

Imaginative and creative

Capable of self-direction

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 Argyris’s theory of adult personality 

Classical management principles and

practices inhibit worker maturation and are

inconsistent with the mature adult personality

Study Question 2: What insights come from the behavioral

management approaches?

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Study Question 2: What insights come from the behavioral

management approaches?

 Argyris’s theory of adult personality 

Management practices should accommodate

the mature personality by:

Increasing task responsibility

Increasing task variety

Using participative

decision making

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Study Question 3: What are the foundations of modern management

thinking?

Foundations for continuing developments

in management

Quantitative analysis and tools

Systems view of organizations

Contingency thinking

Commitment to quality and performance

Knowledge management and learning organizations

Evidence-based management

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Study Question 3: What are the foundations of modern management

thinking?

Management science or operations

research Queuing theory allocates service

personnel/workstations to minimize service cost

and customer waiting time

Network models break large tasks into smaller

components for for better coordination

Simulations create problem models to test

different solutions

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Study Question 3: What are the foundations of modern management

thinking?

Operations management is the study of

how organizations produce goods and

services

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Study Question 3: What are the foundations of modern management

thinking?

Organizations as Systems

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

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 Figure 2.4 Organizations as complex networks of interacting

 subsystems

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Contingency thinking

Tries to match managerial responses with

problems and opportunities

unique to different situations

No ―one best way‖ to manage

 Appropriate way to manage

depends on the situation

Study Question 3: What are the foundations of modern management

thinking?

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Study Question 3: What are the foundations of modern management

thinking?

Quality and performance excellence

Managers and workers in progressive

organizations are quality conscious

Quality and competitive advantage are linked

Total quality management (TQM)

Comprehensive approach to continuous quality

improvement for a total organization Creates context for the value chain

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Study Question 3: What are the foundations of modern management

thinking?

Learning organizations

Organizations that are able to continually

learn and adapt to new circumstances

Core ingredients include:

Mentalmodels

Personalmastery

Systemsthinking

Sharedvision

Teamlearning

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Study Question 3: What are the foundations of modern management

thinking?

Evidence-Based Management

Making management decisions on ―hard

facts‖ about what really works 

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Study Question 3: What are the foundations of modern management

thinking?

Evidence-Based Positive Human

Resource Management Practices

Employment security Selective hiring

Self-managing teams

High pay based on merit

Training and development

Reduced status distinctions

Shared information

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