The evolution of Management.

Classical approach The views that we now call the classic perspective really developed at the end of 19 century. Under classical approach we can identify 3 management schools: scientific management, bureaucracy and administrative/management principles.

Scientific Management the movement’s pioneer Frederic Taylor, an American engineer. He set a pattern for industrial work which many others have followed, and his ideas are still of practical importance. He argued that work should be studied and analysed systematically. The new method was scientific. The way of doing a job was no longer determined by guesswork and rule-of-thumb practices. Instead, management should work out scientifically the method for producing the best result. Thus, Taylorism was founded on six key ideas:* observation and analysis of every aspect of the production process;* experiments to discover the optimal methods; * standartisation and elaboration of instructions for the workers; * selection and training; * payment by results; * cooperation between labour and management. The weakness of this approach was that it focused on the system of work rather than on the worker. Another criticism is that the worker has to do the same boring, repetitive job hour after hour, day after day while maintaining a high level of productivity.

Bureaucracy. The study of bureaucracy looked at the problem of managing the organization as a whole. Advocates, led by a well-known sociologist Max Weber, argued that there must be one best way to run an organization. This was the rational-legal model of organization. The elements of a bureaucracy are the following: Division of labour; Organisation of positions into a hierarchy; People assigned to positions based on qualifications; Decisions and actions recorded in writing; Separation of management from ownership;

All subjects to rules and procedures applied impersonally and equally to ensure predictable behavior

Management principles: The Theory of Fayol. Fayol identified general abilities, principles and functions of management. 1) Abilities required of managers. He distinguishes management from other abilities required of people in organizations and indicated the need for and the possibility of teaching management as a discipline. 2)General principles of management are: Division of labour, Authority and responsibility, Discipline, Unity of command, Unity of management, Subordination of individual interests to the common goal, Renumeration of the staff, Centralisation, The Hierarchy, Order, Equity, Stability of staff, Initiative, Esprit de Corps.

3)Functions of management. Planning, organizing, commanding, coordinating, controlling.

Human Relations Approach. Hawthorne Studies

Human Relations Approach. Hawthorne Studies. The human aspects of work and organisation were not ignored but treated as a secondary issue in increasing the efficiency of enterprises.

Professor Mayo and his colleagues held a series of experiments on how working conditions affected output.

The researchers came to the conclusion that social relations among workers and their bosses affected output, quality of work and motivation. Another important finding was that a worker needed more than money and good working conditions to be productive. The feeling of belonging to a group and the status within that group strongly affected the behavior.

Human Relations Movement The Theory of. Douglas McGregor (1906-1964) introduced the concept that the attitudes managers hold about the nature of people greatly influence their behavior. His Theory X and Theory Y were ideal types describing typical management attitudes presented in terms of assumptions. The theory X managers behaved according to the following assumptions: * The average person dislikes work and will avoid it if possible; * The average employee has little ambition, prefers direction and desires job security above all other outcomes; * Most employees avoid taking on responsibilities; * Therefore, most people must be coerced, directed and closely supervised or threatened to get them to put in adequate effort to achieve organizational objectives. The Theory Y managers behaved according to the different set of assumptions: * The expenditure of effort, both physical and mental, is as natural as play or rest; * Control and direction are not the only means of stimulating effort; a person will exercise self-control and self-direction; * The average person learns, when encouraged, and is prepared to both accept and seek responsibility; * People are interested in demonstrating imagination, ingenuity and creativity to sokve organizational problems; * In most industrial jobs, employees’ intellectual potential is only partially tapped.