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m  
a   
Ô Harold Koontz & Heiz Weihrich defined
management as µ      
   
   

        
        
Ô mouis E. Boone & David m. Kurtz defines
management as µ        
       

a   
Ô Delton E. McFarland defines management as µ
           
        

       
      
   
Ô Mary Parker Fellot termed management as µ 
           
 
Ô       
   
      
         
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Ô ll these definition suggest the following aspects
of management:
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( % & m     
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( m %& - $   ' .)))*+
( %    /%       
 ' 01))0,))ma
( % 02   
P < ndustrial revolution
P < Mass production
P < Huge capital
P < wnership separated from management
( .)   
P < World war
P < mimited resources available
P < eed for solution to use them in an optimum way
P < World War added to the problem
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34 !056,' 02.)"

( Max Weber analyzed functioning of church,


government, military and business organisations.

( He believed that bureaucracy was the most efficient


form of a business structure for any type of business
organisation.
ý      
( m  
+ /
( ÷his class exists in a bureaucratic organisation
( ÷he employees are full time and look after coordination
among activities
( -  /
( t is a system of ranking
( Strict rules of authority<responsibility
( Serves lines of communication and delegation of
authority
( a
   /
( rganisation divided in various departments
( Each department will have a specific function
( Clear definition of work
( ~ 7 /
( mdministrative process covered by rules
( mntithesis to ad hoc
( Provides stability and uniformity
( %   7   
( fficial relationships free from personal involvement,
emotions and
( sentiments
( Decisions are based on rational thinking
( ~ 7 /
( Maintenance of official records
( Beneficial for future reference
( Filing system used extensively
  &ý  
4 !05(6&020("
( m worker and then a supervisor in steel company
( Carried experiments to increase efficiency of the
workers
( Published many books and papers
( Studied M.E (Masters of Engineering)
( His experiments are divided into
( Elements and tools of scientific management
( Principles of scientific management
    
ô. Separation of planning and doing<Supervisor plans, worker
only carries out the task
2. Functional foremanship<  types of supervisors for planning
aspect, while  for supervision aspect of the work
3. Job mnalysis< best way to do a job
. Standardisation ± of process, period and amount of work,
working conditions, tools used etc
5. Scientific selection and training of workers
6. Financial incentives
7. Economy< optimum usage of resources an eliminate or
reduce wastages
8. Mental revolution ± cooperation between workers and the
management
#    
( ¬eplacing rule of thumb with science
( Harmony in group actions
( Cooperation
( Maximum output
( Development of workers
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( ¬elevant from an engineering point of view rather than
management point of view
( Human aspect of the work was sidelined< workers got
aggressive resulting in unhealthy competition
( ncreased authoritarian approach in industries< strict
supervision
( Financial incentives exploited the workers (Differential
piece rate system)
m  
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ý !05,0&020("
( Henry Fayol< French ndustrialist
( Used the term< mdministration instead of Management
( Divided industrial organisation into 6 groups<
( ÷echnical
( Commercial
( Financial
( Security
( mccounting
( Managerial
( dentified qualities of a Manager
  8   &
  ý
( # & Health
(   & ability to learn, judge, think, plan
(   & loyalty, firmness, tact, dignity
(    & acquaintance to subjects not related to
functions performed
(  & pertaining to the function performed, eg,
production
( 3 & arising through work
ý 0,   
0 a
   
÷o take advantage of specialisation, every worker/
manager works on a same part/function. t increases the
accuracy, ability and speed of work.
. m        
Both are related. muthority arises out of a manager¶s
position and responsibility, out of assignment of activity.
mcc, to Fayol, there should be parity (equality) between
both.
1 a 
t can be self imposed, or commanded. Disciple by
command arises through company policies.
, 9  
m person should get orders from only one superior. ÷his
increases clarity, reduces conflict and builds a personal
responsibility for results
f it is violated, discipline is lost, importance of authority
decreases and stability is threatened.

( 9     
Each group of activities with same objective, must have
only one plan and one head.
Unity in command defines the reporting relationship, while
unity in direction defines the grouping of activities.
t ensures better coordination among activities.
6     
      
nterest of the organisation is more important than the
interest of one/few employees, when there is a conflict
between the two.
Hence, superiors should be the ideals, supervise
employees continuously and also have a fair agreement
with them.

: +    
mn organisation must have a proper balance of
centralisation and decentralisation, depending on its
size, activities, objectives, employees etc.
5 7   
Should be fair to both< employee and employer
n line with cost of living and value of employee
Fayol did not advocate profit sharing plan for workers,
but for managers

2   
t is the flow of authority or command, through which
every communication, must pass
n special circumstances, this flow can be µshort<
circuited¶ in situations, when the scalar chain of
communication is non feasible. ÷his is done, using a
gang plank
0) ~ 
÷his refers to arrangement of things and people in an
organisation < m place for everything and everything in
place
Similarly, the right person must be placed at the right
position. ÷his demands for precise knowledge of human
requirement and resources

00 ; 
combination of justice and kindness
t should be maintained in behaviour and treatment
towards employees
0.      
Employee should be given a minimum job security at
least
÷his ensures that he is given time to adjust to new work
and succeed in it.
01 %  

Managers must encourage employees to take initiative,
within the limits of their authority.
t increases the zeal and energy in the employee
ô  
Union is strength
Managers must encourage the team spirit among the
employees
Erring employees must be given oral directions and not
asked for a written explanation
     '

( Conducted the famous Hawthorne Experiments carried out at
the Western Electric Company, in the United States of mmerica
that started in the early ô 20s.
( n the approaches by ÷aylor and Fayol, the human element in
the organisation was not stressed upon.
( ÷he elements in these approaches were not giving evoking
positive results.
( ÷he Western Electric Company, Chicago had Hawthorne plant
that manufactured telephone bell system
( ÷he company was progressive, with sickness and pension
benefits
( n spite of this, there was a dissatisfaction among workers.
( 3  %/ ÷wo group of workers, experimented with
the lighting or illumination and its effect on productivity,
showed no clear correlation between light level and
productivity.
( 3  %%/ m girls group was chosen who worked in
the telephone relay assembly department. 5 types of
changes introduced over a period of time and productivity
measured after every change.
( 3  %%%/ 20,000 interviews conducted in two years
to determine employee¶s attitude towards company, work,
supervision, waged, insurance, incentives etc.
( 3  %</ ô male workers were employed and
hypothesis was that they would produce more in order to
earn more. t was proved wrong due to  reasons given by
workers for a lesser output.
  ý  
Ô Focus on individual, his needs and behavior
Ô Highlight interpersonal relations
Ô Emphasis on motivation morale and job
satisfaction
Ô Conflict in an organization is always destructive
and should be always avoided.
Ô Based on Hawthorne experiments.
Ô People behavior as a individual may be different
than his behavior in a group.
  ý  
Ô Emphasis on improving the working condition,
interpersonal relation, supervisory styles and
communication systems.
Ô People working in the organization may have
different goals but it is the work of management
to guide them toward the common goal.
Ô People working in the organization form their own
informal groups and these groups have a
significant influence on the attitude and values of
people.
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( He was the president of ew Jersey Bell
÷elephone Company.
( He saw organizations as social systems that
required human cooperation.
( He believed that managers¶ major roles were to
communicate and stimulate subordinates to high
levels of effort.
( He also introduced the idea that managers have
to examine the environment and then adjust the
organization to maintain a state of equilibrium.
     ' +  *  
( He connected Scientific Management with Human
¬elations.
( ý  3 
 
       /
( Must establish and maintain a communications system
among employees.
( Must establish the objectives of the organization and
motivate employees.
( a
           /
( muthority ofa manager flows from the ability of
subordinates to accept or reject an order from the
manager once they:
Ô Comprehend what the order requires of them.
Ô ¬eview the order¶s consistency with organization goals.
Ô Perceive a personal benefit in obeying the order.
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( Characterized by its use of       
and other ;   
 ; for 
   and problem solving.
( ÷his approach has four      :
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 ÷     
( a &ý 
( ÷he primary focus of the quantitative approach is on
problems or situations that require direct action, or a
decision, on the part of management.
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( ÷he decision<making process requires that the decision
maker select some alternative course of action.
( ÷he alternatives must be compared on the basis of
measurable criteria.
( 8   
 
( ÷o assess the likely impact of each alternative on the
stated criteria, a quantitative model of the decision
situation must be formulated.
( +   
( Computers are quite useful in the problem<solving
process.
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(  a
( m set of interrelated and interdependent parts arranged
in a manner that produces a unified whole.
( mn approach to problem solving based on an
understanding of the basic structure of systems.
 m 
( *  
( +  
( mre not influenced by and do not interact with their
environment (all system input and output is internal)
( ~ 
( Dynamically interact to their environments by taking
in inputs and transforming them into outputs that are
distributed into their environments
~    ~     

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mabour, Finances, Management & Production Products/Services,


Material, nformation Process Profit/moss

 
    
 
     



         
   
    

   

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( mlso sometimes called the situational approach.
( ÷here is no one universally applicable set of management
principles (rules) by which to manage organizations.
( rganizations are individually different, face different
situations (contingency variables), and require different
ways of managing.
( msserts that managers are responsible for determining
which managerial approach is likely to be most effective
in a given situation.
( ÷his requires managers to identify the key contingencies
in a given situation.
* +    +  #  

m  +  m 

( Useful because of its diagnostic approach, which


clearly departs from one of the best approach of
traditionalist.
( t is more flexible, although draw heavily from
other approaches.
( mllows managers to apply principles from those
approaches selectively and appropriately.
>   
 @
( ÷heory Z is humanistic approach to management
approach by William uchi.
( mdvocates trusting employees and making them feel like
an integral part of the organization.
( Based on the assumption that once a trusting relationship
with workers is established, production will increase.
   >     /
( ~     !        "
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( %               ((
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( ncreasing number of global organizations.
( Building competitive advantage through superior
efficiency, quality, innovation, and
responsiveness.
( ncreasing performance while remaining ethical
managers.
( Managing an increasingly diverse work force.
( Using new technologies.
- mA
( m colleague of ÷aylor¶s at Bethlehem Steel Works
( mplemented a wage incentive program.
( Gantt¶s incentive system provided bonuses  
   who completed their jobs in less time than
the standard.
( nitiated a bonus plan  
 .
( Developed planning and control techniques using
a simple graphic bar chart , ÷   to
display relationships between planned and
completed work on one axis and elapsed time on
the other.ë
Æ
A   !0565&02.,"
Frank and millian Gilbreth refined ÷aylor¶s methods
and made many improvements to time and
motion studies, and industrials efficiency & were
early contributors to personnel management.

Æ
÷he Gilbreths
( Frank and millian Gilbreth refined ÷aylor¶s
methods.
( Made many improvements to time and motion
studies.
( ÷ime and motion studies:
( ô. „
 

 into components.
( 2.  
 to perform it.
( 3. ¬


 to be more
efficient.
( Gilbreths also studied fatigue problems,
lighting, heating and other worker issues.
Behavioral Management
( ý         
      
 
 
(   #  ý  /    
       
( Suggested workers help in analyzing their
jobs for improvements.
( ÷he worker knows the best way to improve
the job.
( f workers have the knowledge of the task,
then they should control the task.
B  
  &

( McKinsey's problem<solving process
has  
 

( ý &
( 7     
( -   



( Facts are the foundation of problem solving.
( Facts aid in the development of a sound hypothesis,
and then provide the evidence needed to support or
refute it.
( Facts compensate for the lack of instinct a consultant
must face since he or she does not have a lifetime of
experience in the industry on which to draw.
( Facts also bridge the credibility gap, lending respect to
the analysis of newcomers.
( Hiding from the facts is only a recipe for failure,
because sooner or later, the truth will show itself.
( ÷hus, a successful consultant will find the facts and use
them to his or her advantage.
w
( ne of the most fundamental tenants of McKinsey
problem solving is the concept of MECE, à   
         
( w        
   
issues related to the problem at hand.
( First, the associate must ensure that the list is
mutually exclusive, or that every item is separate and
distinct. ÷hen, he must check that it is collectively
exhaustive, that it includes every issue relevant to the
problem.
( ÷his approach prevents overlap and confusion.
÷  
  
( ÷he 3rd pillar of the McKinsey problem<solving
process is the initial hypothesis ( H).
( ÷he initial hypothesis serves as a roadmap toward the
solution.
( t is the solution that seems most probable early in the
engagement, after the group has brainstormed using
their knowledge of the situation, but before they have
spent a lot of time gathering additional information and
analyzing.
( ÷he initial hypothesis may or may not prove correct,
but it will provide a starting point from which to work
and it will guide the research and early data analysis.
m8  CCC