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Evolution of Management Theory (4)

Evolution of Management Theory (4) - 1 Evolution of...

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1 Evolution of Management Theory The so-called classical management theories emerged around the start of the 20 th century. SCIENTIFIC MANAGEMENT THEORY: -Began in the closing decades of the 19 th century after the Industrial Revolution had swept through Europe, Canada and the United States. -Small workshops run by skilled workers who produced hand manufactured products were replace by large factories. -Many of the managers and supervisors had only technical knowledge and were unprepared for the social problems that occur when people work together in large groups. BASIC QUESTION: How can management increase the level of worker productivity and innovation? J OB S PECIALIZATION AND T HE D IVISION L ABOUR Adam Smith He compared the relative performance of two different manufacturing methods. Focused on the definition of duties and responsibilities Led to scientific management Employees who specialized became much more skilled at their specific tasks, and as a group, were able to produce a product faster than the group of employees in which everyone had to perform many tasks. Job specialization: The process by which a division of labour occurs as different employees specialize in different tasks over time, C ONCLUSION : Increasing the level of job specialization increases efficiency and leads to higher organizational performance. F.W T AYLOR AND S CIENTIFIC M ANAGEMENT . Frederick Taylor o Use 3 S’s Standardize – do things the same way, repeatedly Specialize – For workers or machines
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2 Simplify – Perform each of those tasks as simple as possible hTaylor believed that the production process would become more efficient if the amount of time and effort that each employee spent to produce a unit of output could be reduced. hincreased specialization and the division of labour could increase efficiency, hUse money as an incentive hTraditional thinking to scientific analysis hProductivity did improve PROBLEMS: -Often resulted in layoffs because fewer employees were needed -Often monotonous and repetitive, and many employees became dissatisfied with their jobs (oversimplification). -It brought employees more hardship than gain, distrust of managers who did not seem to care about their well-being. -Failed to realize: influence of group norms, social needs, and pressure. M EASURE T IME M OTION -Frank Gilbreth (Lilian) -He believed that there was “one best way to perform a job” There aim was to (1) break up a particular task into individual actions, and analyze each individual actions, and analyze each step needed to perform the task (2) find better ways to perform each step (3) reorganize each of the steps so that the action as a whole could be performed more efficiently.
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Evolution of Management Theory (4) - 1 Evolution of...

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