1 Principles of Administration and Management

Arellano University
Graduate School of Nursing




In Partial Fulfillment for the Requirements in C 204 RC
HISTORICAL DEVELOPMENT OF ADMINISTARTION AND MANAGEMENT




Submitted by:
Estuya, Mary Grace D.

Submitted to:
Mrs. Dalao

Date Submitted:
August 2, 2014





2 Principles of Administration and Management

MANAGEMENT THEORY
THE HISTORICAL DEVELOPMENT OF ADMINISTARTION AND MANAGEMENT
INTRODUCTION
Although examples of management practice go back several thousand years, the
development of management as a field of knowledge is much more recent. Much of the impetus
for developing management theories and principles stemmed from the industrial revolution,
which spawned the growth of factories in the early 1800s. With the proliferation of factories
came the widespread need to coordinate the efforts of large numbers of people in the continual
production of goods.
This challenge brought forth number of individuals who began to think about innovative
ways to run factories more effectively.
The Major viewpoints in the development of modern management








PRECLASSICAL
CONTRIBUTORS
CLASSICAL
VIEWPOINT
BEHAVIORAL
VIEWPOINT
QUANTITATIVE
VIEWPOINT
CONTEMPORARY
VIEWPOINT
SCIENTIFIC
MANAGEMENT
BUREAUCRATIC
MANAGEMENT
ADMINISTRATIVE
MANAGEMENT
EARLY
BEHAVIORISTS
HAWTHORNE
STUDIES
HUMAN
RELATIONS
MOVEMENT
BEHAVIORAL
SCIENCE
APPROACH
MANAGEMENT
SCIENCE
OPERATIONS
MANAGEMENT
MANAGEMENT
INFORMATION
SYSTEMS
SYSTEMS
THEORY
CONTINGENCY
THEORY
EMERGING
VIEWS
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PRECLASSI CAL ERA
A number of individuals in the pre classical period of the middle and late 1800s offered
ideas that laid the groundwork for subsequent, broader inquiries into the nature of management.
ROBERT OWEN (1771-1858)
He became particularly interested in the working and living conditions of his
employees while running a cotton mill in New Lanark, Scotland. He tried to improve the
living conditions of the employees by upgrading streets, houses, sanitation, and the
educational system in New Lanark. At that time, Owen was considered to be radical, but
today his views are widely accepted. His ideas lead the groundwork for the human
relations movement.
CHARLES BABBAGE (1792-1871)
He was the father of modern computing. His projects produced the worlds first
practical mechanical calculator and an analytical engine that had the basic elements of
a modern-day computer. Difficulties in directing his various projects, however, led him
to explore new ways of doing things. In the process, he made direct contributions to
management theory. He saw that work specialization could apply mental tasks as well as
physical ones, and he devised ways to motivate workers through bonuses and profit
sharing.
HENRY R. TOWNE (1844-1924)
He was the president of the Yale and Towne manufacturing Company. He
articulated the need to consider management as a separate field of systematic inquiry on a
par with engineering. He outlined the importance of management as a science and called
for the development of management principles.
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Although the early pioneers explored several different avenues relating to management,
their efforts were somewhat fragmentary. They were largely oriented toward developing specific
techniques, often to solve visible problems.
CLASSICAL ERA
Henry Townes call for establishing management as a separate field of inquiry helped
usher in a major new approach called the classical viewpoint. It is a perspective on management
that emphasizes finding ways to manage work and organizations more efficiently. It is made up
of three (3) different approaches: scientific management, administrative management, and
bureaucratic management. This viewpoint is labeled classical because it encompasses early
woks and related contributions that have formed the main roots of the field of management.
(1) Scientific Management (1900)
It started around 1900 with stopwatch studies to identify efficiency.
FREDERICK WINSLOW TAYLOR (1856-1915)
He is known as the Father of scientific management. Through the use of
stopwatch studies, he applied the principles of observation, measurement, and scientific
comparison to determine the most efficient way to accomplish a task (Taylor, 1903,
1911)
FRANK GILBRETH (1868-1924) and LILLIA GILBRETH (1878-1972)
Although Frank had qualified for admission to the Massachusetts Institute of
Technology, he decided to become a bricklayer because of the importance of the
profession at that time. As frank become involved in training young bricklayers, he
noticed the inefficiencies that were handed down from experienced workers.
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To remedy the situation, he proposed using motion studies to streamline the
bricklaying process. Meanwhile, frank married Lillian Moller, who begun working with
him on projects while she completed her doctorate in psychology. They emphasized the
benefits of job simplification and the establishment of work standards, as well as the
effects of incentive wage plans and fatigue on work performance. They also developed
the flow diagram and the process chart to record their observations. Lillian Gilbreth is
known as the first lady of management.
HENRY GANTT (1861-1919)
He was a disciple of Taylor. He was also concerned with problems of efficiency.
He contributed to scientific management by refining previous work rather than
introducing new concepts. His most well-known contribution is the Gantt chart, a
graphic aid to planning, scheduling, and control that is still in use today. He also devised
a unique pay incentive system that not only paid workers extra for reaching standard in
the allotted time but also awarded bonuses to supervisors when workers reached
standard. Thus the system encouraged supervisors to coach workers who were having
difficulties.
(2) Bureaucratic Management (1930)
It is an approach that emphasizes the need for organization to operate in a rational
manner rather than relying on the arbitrary whims of owners and managers.
MAX WEBER (1864-1920)
Weber argued that efficiency is achieved through impersonal relations within a
formal structure (bureaucracy) in contrast to the traditional European family-type
organizational structure I which employees are loyal to an individual manager or
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supervisor. It focused on employee competence as the basis for hiring and promoting
employees (rather than interpersonal relationship with superiors) and promoted strong
top-down hierarchy with clear superior-subordinate communication and relationships. In
this model, a persons power is assigned based on the authority of his rank or position.
(3) Administrative Management (1930)
It is an approach which focuses on principles that can be used by managers to
coordinate the internal activities of organizations.
HENRY FAYOL (1841-1925)
Fayol studied the functions of managers and concluded that management is
universal. He believed in the division of work and argued that specialization increases
efficiency. He also recommended centralization through the use of a scalar chain or
levels of authority, responsibility accompanied by authority, and unity of command and
direction so that each employee receives orders from only one superior. He also
encouraged development of group harmony through equal treatment and stability of
tenure of personnel.
CHESTER BARNARD (1886-1961)
One of Barnards best-known contributions is his acceptance theory of
authority, which holds that authority flows from the bottom to the top. How much
authority managers wield depends to a large extent on the willingness of employees to
accept the directives of managers. Thus, managers should communicate their
requirements in a way that takes the feelings and capabilities of employees into account.
Barnard helped integrate concern with authority, which was growing on the
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administrative and bureaucratic approaches, with emphasis on worker needs, which was
simultaneously developing within the behavioral viewpoint
BEHAVI ORAL ERA
A behavioral viewpoint is a perspective on management that emphasizes the importance
of attempting to understand the various factors that affect human behavior in organizations.
(1) Early Behaviorists
With the growing interest in the subject of management, individuals from other
backgrounds began to offer alternatives to the emphasis on engineering that characterized
the scientific management approach. Two early behaviorists, psychologist Hugo
Munsterberg and political scientist Mary Parker Follet contributed pioneering ideas that
helped make the behavioral perspective a major viewpoint.
HUGO MUNSTERBERG (1863-1916)
He pioneered in the field of industrial psychology. He was especially interested in
identifying the conditions that would promote an individuals best work and in finding
ways to influence workers to act in accord with management interest.
MARY PARKER FOLLET (1868-1933)
She focused on group dynamics in her work and writings. Her ideas on power
sharing, conflict resolution, and the integration of organizational systems were far in
advance of their time.
(2) Hawthorne Studies
While Follet was doing her speaking and writing, a number of researchers were
involved in the Hawthorne studies, it is a group of studies conducted at the Hawthorne
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plant of the Western Electric Company during the late 1920s and early 1930s whose
results ultimately led to the human relations view of management, a behavioral approach
that emphasized concern for the worker.
First set of Studies: The first set of studies was called Illumination Studies,
took place between 1924 and 1927 under the direction of several engineers. In one of
these studies, light was decrease over successive periods for the experimental groups (the
group for whom the lighting was altered), while light was held at a constant level for the
control group. In both groups, performance rose steadily even though the lighting for the
experimental group became so dim that the workers complained that they can hardly see.
At that point, performance in the experimental group finally begun to decline. The
researchers concluded that factors other than lighting were at work ( since performance
rose in both groups), and the project was discontinued.
Second set of Studies: The second set of experiment took place between 1927
and 1933. The most famous study involve five women who assembled electrical relays in
the Relay Assembly Test Room, where they were away from other workers and the
researchers could alter work condition and evaluate the results. Researchers found that
regardless of what working conditions manipulated, the women still increased their
productivity over the period. Later researchers concluded that the major reason for the
rise in productivity was a change in supervisory arrangement that had been made to
facilitate the experiments and that was not part of the experimental manipulations.
Third set of Studies: The third set was built on the emerging findings of the
second set. It included the famous Bank Wiring Observation Room study (1931-1932),
which involved a group of male workers. Studying the group provided knowledge about
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informal social relations within groups and about the use of group norms to restrict output
when doing so seems advantageous to the group.
(3) Human Relations Movement (1940s)
The human relations movement began in the 1940s with attention focused on the
effect individuals have on the success or failure of an organization. Classic organization
and management theory concentrates on the physical environment and fails to analyze the
human element; this theory stresses the social environment. The chief concerns of the
human relations movement are individuals, group process, interpersonal relations,
leadership and communication. Instead of concentrating on the organizations structure,
managers encourage workers to develop their potential and help them meet their needs
for recognition, accomplishment and sense of belonging.
KURT LEWIN (1890-1947)
He revived the study of group dynamics. Lewin maintained that groups have
personalities of their own: composites of the members personalities. He showed that
group forces can overcome individual interests. He confirmed the importance of group
control over output. He advocated democratic supervision.
JACOB MORENO (1889-1974)
He developed sociometry to analyze group behavior. Claiming that people are
attracted to, repulsed by, or indifferent toward others, he developed the sociogram to
chart pairings and rankings of preferences for others. This process of classification can
be used to calculate which workers are capable of harmonious interpersonal
relationships.

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(4) Behavioral Science (1950)
Advocates of the behavioral science became concerned that much scientific,
classic, and human relations management theory had been accepted without scientific
validation. Behavioral science emphasizes the use of scientific procedures to study the
psychological, sociological, and anthropological aspects of human behavior in
organization. They stress the importance of maintaining a positive attitude towards
people, training managers, fitting supervisory actions to situations, meeting employees
needs, promoting employees sense of achievement, and obtaining commitment through
participation in planning and decision making.
ABRAHAM MASLOW (1908-1970)
He contributed through his theory of motivation. Maslow concluded that human
needs go beyond the most basic ones for food and shelter. The discovery of the need for
self-actualization (developing ones own potential) has provided managers with new
insights on how to motivate workers.
FREDERICK HERZBERG (1923-1968)
Herzbergs theory (maintenance factors include adequate wages and safe
workplace; motivations include meaningful work, recognition of accomplishments, and
development opportunities.)
DOUGLAS MCGREGOR (1906-1964)
He influenced how managers think about and deals with their employees. He
maintained that managers who expect the worst of their employees and treat them
accordingly often find that the employees respond in ways that reinforce these
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assumptions. But managers who assume the best about their employees and give them
wide latitude to perform are generally rewarded with committed and satisfied workers.
CHRIS ARGYRIS (1923-)
He focused his research on the coexistence of personal and organizational needs,
found that individuals give priority to meeting their own needs. He found that the greater
the disparity between individual and organizational needs, the more tension, conflict,
dissatisfaction, and subversion result.
RENSIS LIKERT (1903-1981)
Likerts theory of management is based on his work at the University of
Michigans Institute for Social Research. He identified three types of variables in
organizations: causal, intervening, and end result. The casual variables include leadership
behavior, organizational structure, policies and controls. Intervening variables are
perceptions, attitudes, and motivations. The end-result variables are measures of profit,
costs, and productivity. He believed that managers may act in ways harmful to the
organization because they evaluate end results to the exclusion of intervening variables.
Consequently, he developed a Likert Scale questionnaire that includes measures of casual
and intervening variables.
ROBERT BLAKE(1918-) and JANE MOUTON(1930-1987)
They maintained that there are two critical dimension of leadership: Concern for
people and concern for production. They developed the managerial grid.
HERSEY and BLANCHARD
They extended the work of Blake and Mouton by considering the readiness of the
followers in more detail.
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PETER DRUCKER
He maintains that the only way for management to justify its existence is through
economic results. He introduced management by objectives as a way to manage
managers.
QUANTI TATI VE MANAGEMENT ERA
The quantitative management viewpoint focuses on the use of mathematics, statistics, and
information aids to support managerial decision making and organizational effectiveness.
(1) Management Science
An approach aimed at increasing effectiveness through the use of sophisticated
mathematical models and statistical methods.
(2) Operations Management
The function, or field of expertise, that is primarily responsible for managing the
production and delivery of an organizations products and services.
(3) Management Information Systems
It refers to the field of management that focuses on designing and implementing
computer-based information systems for use by management.
CONTEMPORARY ERA
While the classical, behavioral, and quantitative approaches continue to make contributions
to management, other viewpoints have also emerged. These are contemporary in the sense that
they represent major innovations in ways of thinking about management.
(1) Systems Theory
An approach based on the notion that organizations can be visualized as systems.
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(2) Contingency Theory
A viewpoint that argues that appropriate managerial action depends on the
particular parameters of the situation.
(3) Emerging views
Given that management is a complex endeavor, innovative approaches are
constantly needed to help advance the knowledge base. Some new approaches develop
into major viewpoints when research and managerial practice show that they are
effective. Other new ideas wither after investigations indicate that they are not living up
to their promise.
Japanese management approach: since it focuses on aspects of management in
Japan that may be appropriate for adoption in the United States. Management expert
William Ouchi has outlined Theory Z. The Theory Z is a concept that combines positive
aspects of American and Japanese management into modified approach aimed at
increasing U.S. managerial effectiveness while remaining compatible with the norms
and values of American society and culture. A number of U.S. companies, such as
General Motors, the Ford Motor Company, Hewlette-Packard, and Intel have adopted
aspects of theory Z. Another perspective that has become important in recent years is
total quality management. It is a management system that is an integral part of an
organizations strategy and is aimed at continually improving product and service quality
so as to achieve high levels of customer satisfaction and build strong customer loyalty.
Many companies such as Whirlpool, Corning,Inc., Ford Motor, and Xerox,
haveninstituted total quality management systems as part of their efforts to increase
global competitiveness.
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References
Bartol, K. M., & Martin, D. C. (1998). Management. Boston: McGraw-Hill Co.
Carroll, P. (2006). Nursing leadership and management: A practical guide. Clifton Park, NY:
Thomson/Delmar Learning.
Tomey, A. (2009). Guide to Nursing Management and Leadership (8th ed.). Singapore: Mosby
Elsevier.