management theories

Scientific Management (F W Taylor)

This provides managers with a scientific basis for solving problems and making decisions. It arose out of a need to improve manufacturing productivity through more efficient use of physical and human resources, and grew from the pioneering work of five people, Frederick W. Taylor, Frank and Lillian Gilbreth, Henry Gantt, and Harrington Emerson.

Frederick Winslow Taylor known as ,the father of scientific management, insisted that management itself would have to change and, further, suggested that decisions based on rules of thumb be replaced with precise procedures developed after careful study of individual situations. The essence of his scientific management can be summarized in the following principles which became the basic guidelines for managing the work of individuals.

• Develop a science for each element of a worker's job to replace rules of thumb.
• Job specialization should always be part of each job.
• Ensure the proper selection, training and development of workers.
• Planning and scheduling of the work are essential.
• Standards with respect to methods and time for each task should be established.
• Wage incentives should be integral part of each job.

Taylor’s ideas also stimulated others to continue the formulation of management thought

Hawthorne Studies (Elton Mayo)

Elton Mayo conducted a series of experiments on worker productivity in 1924 at the Hawthorne plant of Western Electric Company in Illinois. These experiments have come to be known as the Hawthorne studies. Mayo suggested that the way people were treated had an important impact on performance. Individual and social processes played a major role in shaping worker attitudes and behavior. Therefore, management must recognize the importance of worker's needs for recognition and social satisfaction. Mayo termed this concept the social man, since individuals are motivated by social needs and good on the job relationships, and respond better to work-group pressure than to management control activities.

Human Relations Movement

The human relations movement grew from the Hawthorne studies. Two of the best-known contributors who helped advance the human relations movement were Abraham Maslow and Douglas McGregor.

Abraham Maslow, a practicing psychologist, observed that his patients were motivated by a sequence of needs, including monetary incentives, social acceptance, and others. He generalized his work and suggested a hierarchy of needs. Maslow's theory of "hierarchical needs" was a primary factor in the increased attention that managers began to give to the work of academic theorists.

Douglas McGregor advanced two beliefs for managers about human behavior, that is, Theory X and Theory Y. Theory X takes a relative pessimistic and negative view of workers. Theory Y represents the assumptions that human relations advocates make. The point of Theory Y is that organizations can take advantage of the imagination and intellect of all its employees.

Contingency Approach

This is the study of the effect of technology on the organization. Joan Woodward found that many variations in organization structure were associated with differences in manufacturing techniques. She pointed out that, “Different technologies imposed different kinds of demands, and these demands had to met through an appropriate structure. Commercially successful firms seemed to be those in which function and form were complementary.”

James D. Thompson whose work in the area of technology's effect on organization was already a classic argued that organizations that experience similar technological problems will engage in similar behavior. The contingency view approaches management from a totally different perspective than the formal schools of management do. It brought out that not all people or situation should be handled identically therefore universal solutions and principles cannot be applied to organizations. The contingency theory suggests that what managers do in practice depends on a given set of circumstances or situations.

The contingency perspective tells us that the effectiveness of various managerial practices, styles, techniques, and functions will vary according to the particular circumstances of the situation. The main determinants of the contingency view relate to the external and internal environments of the organization. Its major problem is that it is often used as an excuse for not acquiring formal knowledge about management. This formal study of management helps managers decide which factors are relevant in what situations and certain elements should serve as a foundation for continued growth and developments.