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Management CH2

Terms in this set (53)

What are the three forces that have influenced our ideas about management?
Social forces, economic forces, and political forces
What are social forces?
The relationship of people to each other within a particular culture
What are economic forces?
The relationship of people to resources
What are political forces?
The relationship of individuals, their rights, and their property to the state
What were the 4 major developments in Western culture that set the stage for the systematic study and teaching of management?
1) Protestant ethics
2) Capitalism and the division of labor
3) the Industrial Revolution
4) The productivity problem
What is the protestant ethic?
An interpretation of the purpose of life stating that instead of merely waiting on earth for release into the next world, people should pursue an occupation and engage in high levels of worldly activity so that they can fulfill their calling
What is capitalism?
An economic system wherein the natural laws of supply and demand and free competition within the marketplace will efficiently regulate the flow of resources within a society
What is the division of labor?
The idea of breaking an entire job into its component parts and assigning each specific task to an individual worker, also called specialization
Who created the idea of capitalism?
Adam Smith
What were the 4 things that Adam Smith outlined?
1) Supply and demand
2) Right to accumulate wealth
3) Right to private ownership of property
4) Division of labor
How did the Industrial Revolution affect management?
Machinery gave rise to the factory system where people came together under one roof to manufacture products rather than working in their homes
What is the productivity problem?
There was the technical and behavioral problem of meshing workers and machines, genearl inexperience in the operation of organizations and factories of the size needed to achieve the economies of scale inherent in mass production and distribution, and the lack of both management and trained managers
What is management theory?
A systematic statement based on observations of how the management process might best occur, given stated underlying principles
What is the best management theory?
There is none
What are the 4 categories of management theories?
Classical, behavioral, systems, and contingency
What is the classical approach?
Stresses the manager's role in a formal hierarchy of authority and focuses on the task, machines, and systems needed to accomplish the task efficiently
What are the two categories under the classical approach?
Scientific management and administrative management
What is scientific management?
Focuses on the improvement of operational efficiencies through the systematic and scientific study of work methods, tools, and performance standards
Who was Frederick Taylor?
Developed the theory for scientific management and stated that managers have the responsibility to discover the best way to complete the work task
What is soldiering?
The systematic slowdown in work by laborers with the deliberate purpose of keeping their employeers ignorant of how fast the work can be done
What are the principles of scientific management?
1) Develop the one best way to perform any task
2) Scientifically select, train, teach, and develop each worker
3) Cooperate with workers and provide an incentive
4) Divide the work equally among workers and managers
What is the quantitative approach?
A viewpoint of management that emphasizes the application of mathematical models, statistics, and structured information systems to support rational management decision making
What is management science?
The field of management that includes the study and use of mathematical models and statistical methods to improve the effectiveness of managerial decision making
What is administrative management?
The universality of management as a function that can be applied to all organizations
Who contributed to administrative management?
Henri Fayol and Max Weber
What did Henri Fayol do?
1) Functional definition of management, 2) emphasized the necessity of teaching management, 3) developed general principles of management including centralization and division of work
What did Max Weber do?
Emphasized bureaucracy as a theory of management by office or position based on rationality, advocated for impersonal and logical rules, including clear division of labor and selection based on technical qualifications
What is bureaucracy?
A theory of management by office or position, rather than by person, based on rational authority
What is the behavioral approach?
A view of management that emphasizes understanding the importance of human behavior, needs, and attitudes within formal organizations
What did Mary Parker Follett contribute to the behavioral approach?
Underscored the importance of work groups, advocated for shared self-control in groups
What are the Hawthorne studies?
A group of studies that provided the stimulus for the human relations movement within management theory and practice
What was the general conclusion drawn from the Hawthorne studies?
Human relations and the social needs of workers are a crucial aspect of business management
What is human-relations movement?
A practice whereby employees came to be viewed as informal groups of their own, with their own leadership and codes of behavior, instead of as just unrelated individual workers assigned to perform individual tasks
What was the Hawthorne studies criticized for?
Biased, overstated results, errors
What were the first set of lengthy tests conducted in the workplace to study worker behavior?
The hawthorne studies
Who was Abraham Maslow of the Behavioral theory?
He is best known for his hierarchy of human needs theory
What are the 5 human needs theory?
Physiological, safety, social, self-esteem and self-actualization needs
What did Maslow advocate?
A humanistic approach to management. It required taking the basic innate nature and needs of human beings into account
Who is Douglas McGregor of the Behavior al theory?
He is best known for the Theory X and Theory Y
What is Theory X?
The assumption that people are naturally lazy, must be threatened and forced to work, have little ambition or initiative and do not try to fulfill any need higher than security needs at work
What is Theory Y?
The assumption that people naturally want to work, are capable of self-control, seek responsibility, are creative, and try to fulfill higher-order needs at work
Who is Sigmund Freud with the behavioral theory?
Perhaps history's leading psychologist/psychiatrist. Worked on transference: individuals transferred relationships with important people from their childhood onto their relationships in the future
Who are Carl Jung and Myers Briggs?
Did a lot with personality and personality tests
What is the Systems approach to management theory?
Views organizations and the environments within which they operate as sets of interrelated parts to be managed as a whole in order to achieve a common goal
Who is Chester Barnard of the Systems theory?
Expressed the need for a universal theory of management that would guide managers in effectively adjusting the workings of the organization to a constantly changing external environment. Cooperative systems
What did Barnard state about ensuring cooperation?
It happens through communication
What is the acceptance theory of authority?
The theory that in formal organizations, authority flows up, because the decision as to whether an order, or communication, has authority lies with the person who receives the communication
Who is W. Edwards Deming of the Systems theory?
Was credited with transforming Japan's postwar economy. One contribution was to integrate various aspects of workplace dynamics into an overall approach in which all dimensions of the formal organization and its environment are considered as part of one system
What is the contingency theory of management?
An approach to management theories that emphasized identifying the key variables in each management situation, understanding the relationships among these variables, and recognizing the complex system of cause and effects that exists in each and every managerial situation. Uses the phrase "it depends"
What is 21st century management?
Peter drucker and Peter Senge
Who is Peter Drucker of 21st century management?
Came up with the theory of the knowledge worker
What is a knowledge worker?
21st century management. A person who works primarily with information or one who develops and uses knowledge in the workplace
What is a learning organization?
21st century management. Refers to companies that facilitate the learning of their members and continuously transform themselves
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