Management concerned with managing the total organization.
Behavioral science approach
Relies on scientific research for developing theories about human behavior that can be used to provide practical tools for managers.
Emphasizes the importance of understanding human behavior and of motivating employees toward achievement.
In the historical perspective, the viewpoint that emphasizes finding ways to manage work more efficiently; it has two branches—scientific and administrative.
A system that has little interaction with its environment. (P54)
The study of how order and pattern arise from very complicated, apparently chaotic systems. (P54) Used in strategic management and organizational studies
In contrast to the historical perspective, the business approach that includes the systems, contingency, and quality-management viewpoints.
The belief that a manager’s approach should vary according to—that is, be contingent on—the individual and the environmental situation. (P55) IMPORTANT: would seem to be the most practical of the viewpoints discussed so far because it addresses problems on a case-by-case basis and varies the solution accordingly.
Translating principles based on best evidence into organizational practice, bringing rationality to the decision-making process.
The receiver’s expression of his or her reaction to the sender’s message. Also, the information about the reaction of the environment to the outputs that affect the inputs; one of four parts of a system, along with inputs, outputs, and transformational processes. (P53)
In contrast to the contemporary perspective, the view of management that includes the classical, behavioral, and quantitative viewpoints.
Human relations movement
The movement that proposed that better human relations could increase worker productivity.
The people, money, information, equipment, and materials required to produce an organization’s goods or services. (P53)
An organization that actively creates, acquires, and transfers knowledge within itself and is able to modify its behavior to reflect new knowledge. (P60) 3 parts: 1. Creating and acquiring knowledge 2. Transferring knowledge 3. Modifying Behavior
Sometimes called operations research; branch of quantitative management; focuses on using mathematics to aid in problem solving and decision making.
System that continually interacts with its environment. (P54)
A branch of quantitative management; focuses on managing the production and delivery of an organization’s products or services more effectively.
The products, services, profits, losses, employee satisfaction or discontent, and the like that are produced by the organization (P53)
The total ability of a product or service to meet customer needs. (P58)
A means of ensuring quality that focuses on the performance of workers, urging employees to strive for “zero defects,” (P58)
A means of ensuring quality whereby errors are minimized by managing each stage of production. (P58)
Perspective that focuses on quality control, quality assurance, and total quality management. (P58)
The application to management of quantitative techniques, such as statistics and computer simulations. Two branches of quantitative management are management science and operations management.
Management approach that emphasizes the scientific study of work methods to improve the productivity of individual workers.
The collection of parts making up the whole system. (P53)
A set of interrelated parts that operate together to achieve a common purpose. (P53)
Perspective that regards the organization as a system of interrelated parts (P53)
Total quality management (TQM)
A comprehensive approach—led by top management and supported throughout the organization—dedicated to continuous quality improvement, training, and customer satisfaction. It has four components: (1) Make continuous improvement a priority. (2) Get every employee involved. (3) Listen to and learn from customers and employees. (4) Use accurate standards to identify and eliminate problems. (P59)
An organization’s capabilities in management, internal processes, and technology that are applied to converting inputs into outputs. (P53)
1. You observe events and gather facts 2. You pose a possible solution or explanation based on those facts 3. You make a prediction of future events 4. You test the prediction under systematic conditions (P39)
Evidence Based Management
translating principles based on best evidence into organizational practice, bringing rationality to the decision making process (P39) (Attitude of Wisdom)
Attitude of Wisdom
a mind-set that, first, is willing to set aside belief and conventional wisdom and to act on the facts and, second, has an unrelenting commitment to gathering information necessary to make informed decisions and to keeping pace with new evidence (Jeffrey Pfeffer and Robert Sutton) (P39)
3 Truths of evidence based management
1. There are few really new ideas 2. True is better than new 3. Doing well usually dominates (P39)
creator and inventor of modern management (P40)
includes 3 view points: 1. classical 2. behavioral, and quantitative (P41)
includes 3 view points: 1. systems 2. Contingency 3. Quality-Management
Stanford business scholars (P39-40)
Stanford business scholar (P39-40)
3 Historical Management Viewpoints
1. Classical 2. Behavioral 3. Quantitative (P42)
emphasized finding ways to manage work more efficiently, had two branches–scientific and administrative; assumes people are rational; IMPORTANT because – The essence of the classical viewpoint was that work activity was amendable to a rational approach, that through the application of scientific methods, time and motion studies, and job specialization it was possible to boost productivity (P45) FLAW – it is mechanistic (P45)
Pioneered by Taylor and Gilbreths; emphasized the scientific study of work methods to improve the productivity of individual workers (P42)
deliberately working at less than full capacity (P43) Taylor believed that soldiering could be eliminated by applying four principles of science
4 Principles of Science
1. Evaluate a task by scientifically studying each part of the task (not use old rule-of-thumb methods) 2. Carefully select workers with the right abilities for the task 3. Give workers the training and incentives to do the task with the proper work methods 4. Use scientific principles to plan the work methods and ease the way for workers to do their jobs. (P43)
Taylor based his system on motion studies, in which he broke down each worker’s job and then trained workers to use the methods of their best-performing coworkers. (P43)
Differential Rate System
more efficient workers earned higher wages (P44)
Gilbreth, Lillian and Frank
pioneered time and motion (P44)
Pioneered by Fayol & Weber; is concered with managing the total organization (P44)
Fayol, Henri (functions of managment)
he was the first to identify the major functions of management–planning, organizing, leading, and controlling (P44)
Weber, Max (rationality of bureaucracy)
his work was not translated into English until 1947, but it came to have an important influence on the structure of large corporations, such as the Coca-Cola Company. (P45)
emphasized the importance of understanding human behavior and of motivating employees toward achievement. Developed over three phases 1. early behaviorism, 2. the human relationship movement, and 3. behavioral science (P46)
Pioneered by Munsterberg, Follett, & Mayo. (P46)
called “the father of industrial psychology”. His ideas led to the field of industrial psychology, the study of human behavior in workplaces, which is still taught in colleges today. (P46)
Follett, Mary Parker
“one of the most important women America has yet produced in the fields of civics and sociology”. She anticipated some of today’s concepts of “self-managed teams” “worker empowerment” and “interdepartmental teams”–that is, members of different departments working together on joint projects (P47)
began with an investigation into whether workplace lighting level affected worker productivity. that employees worked harder if they received added attention, if they thought that managers cared about their welfare, and if supervisors paid special attention to them. (P47) Elton Mayo IMPORTANCE: the studies were faulted for being poorly designed and not having enough empirical data to support the conclusions. Nevertheless, they succeeded in drawing attention to the importance of “social man” (social beings) and how managers using good human relations could improve worker productivity. This in tun led to the so-called human relations movement in the 50’s and 60’s. (P48)
Hawthorne Effect (P47-48)
Human Relations Movement
proposed that better human relations could increase worker productivity – Pioneered by Maslow & McGregor (P48)
Hierarchy of Human Needs (P48)
Hierarchy of Human Needs
physiological, safety, love, esteem, and self-actualization (P48)
Theory X and Theory Y (P48)
a pessimistic, negative view of workers (P48)
an optimistic positive view of workers (P48)
relies on a scientific research for developing theories about human behavior that can be used to provide practical tools for manager (P49) Tge disciplines of behavioral science include psychology, sociology, anthropology, and economics
the application to management of quantitative techniques such as statistics and computer simulation. Two branches quantitative management are management science and operations management. (P50)
focuses on using mathematics to aid in problem solving and decision making. (not the same as Taylor’s scientific management) (P50) IMPORTANT: Management science stresses the use of rational, science-based techniques and mathematical models to improve decision making and strategic planning. Its use is consistent with the practice of evidence-based management already discussed.
focuses on managing the production and delivery of an organization’s products or services more effectively. (P51) IMPORTANT: Through the rational management of resources and distribution of goods and services, operations management helps ensure that business operations are efficient and effective.
Consist of three viewpoints: Systems, Contingency, Quality-Management (P52)
4 Parts of a System
1. Inputs 2. Transformation Processes 3. Outputs 4. Feedback
Deming, W. Edwards
(P59) 85/15 rule
TQM organizations are always alert to how competitors do things better, then try to improve on them, known as benchmarking (P59)
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