management approaches
DESCRIPTION
Management Approaches. Overview. Human resources approach to management Quantitative approach to management How social events shape management approaches Management approaches today. Quick Write. - PowerPoint PPT PresentationTRANSCRIPT
Management Approaches
Chapter 2 Lesson 2
Overview
Human resources approach to management
Quantitative approach to management
How social events shape management approaches
Management approaches today
Chapter 2 Lesson 2
Quick Write
Do you have an optimistic or pessimistic view of human nature? How does this view affect your
thinking about organizations?
Courtesy of Clipart.com
Chapter 2 Lesson 2
Human Resources Approach to Management
Courtesy of Clipart.com
Chapter 2 Lesson 2
Robert Owen
Successful Scottish Businessman
Early Industrial Revolution
Saw practices that repulsed him
Children working in factories
Workers not making living wage
Sought to reduce suffering of workers
Courtesy of Library of Congress
Chapter 2 Lesson 2
Hugo Munsterberg
Founder of Industrial Psychology
Called for psychological tests to better match people with jobs
Today’s knowledge built on his ideas
Choosing, training, and motivating employees
Designing jobs
Chapter 2 Lesson 2
Mary Parker Follett
One of first to consider organizations in terms of individual and group behavior
Believed that the manager’s job was to coordinate group efforts
Stressed the manager’s power with employees, rather than power over them
Her ideas about motivation, leadership, power, and authority remain current today
Chapter 2 Lesson 2
Chester Barnard
President of the New Jersey Bell Telephone Company
Saw organizations as social systems that needed human cooperation to work rather than being impersonal
A company, in Barnard’s view, was a set of people with interacting social relationships
Chapter 2 Lesson 2
Chester Barnard
Suggested that the manager’s job was to communicate and to get workers to put out top effort
Realized that a successful business has to win and keep the support of investors, suppliers, customers, and other outside stakeholders
Chapter 2 Lesson 2
The Hawthorne Studies
A series of studies during the 1920s and 1930s that provided new insights into group norms and behaviors
Researchers studied the influence of factors such as lighting intensity, job redesign, length of the work day and work week, rest periods, and pay systems on productivity
Chapter 2 Lesson 2
The Hawthorne Studies
Discovered that group influences, group standards, and group acceptance and security affect behavior more than other factors
Brought renewed attention to human factors
Helped business owners get away from the idea that workers were just like machines
Chapter 2 Lesson 2
The Human Relations Movement
Members of this group felt that a satisfied worker would be a productive worker
Dale Carnegie, Abraham Maslow, and Douglas McGregor were three people leading the human relations movement
Views were rooted more in their personal philosophies than in objective research
Courtesy of Library of Congress
Chapter 2 Lesson 2
Carnegie’s Four Points
Make others feel important by sincerely appreciating their efforts
Make a good first impression Win people over to your way of thinking
by letting them do the talking, being sympathetic, and never telling a man that he is wrong
Change people by praising their good traits and letting offenders save face
Chapter 2 Lesson 2
Maslow’s Hierarchy of Needs
Physiological
Safety
Social
Esteem
Self-actualization
Chapter 2 Lesson 2
McGregor on Human Nature
Theory X is a negative view that assumes people have little ambition, dislike work, shun responsibility, and need close supervision to get anything done
Theory Y, on the other hand, assumes human beings like to work and can accept responsibility and direct themselves
Chapter 2 Lesson 2
Role Play ~ Theory X or Y?
Your employee has just arrived late to work for the third time in two weeks.
Role play how you will confront his or her tardiness as a “Theory X” manager.
Role play how you will confront his or her tardiness as a “Theory Y” manager.
Chapter 2 Lesson 2
Role Play ~ Theory X or Y?
Your employee grew frustrated with a rude customer and walked away from him or her.
Role play how you will confront his or her frustrated behavior as a “Theory X” manager.
Role play how you will confront his or her frustrated behavior as a “Theory Y” manager.
Chapter 2 Lesson 2
Behavioral Science Theorists
Used the scientific method to study organizational behavior
Tried to keep their personal beliefs out of their work
Tried to do research others could replicate
Chapter 2 Lesson 2
Human Resources Approach Today
Hundreds of different approaches
Researchers have generated a wealth of studies that fairly accurately predict behavior in organizations
Work affects the current understanding of issues such as leadership, motivation, job design, organizational culture, and performance appraisal
Chapter 2 Lesson 2
Quantitative Approach to Management
Courtesy of Photos.com
Chapter 2 Lesson 2
Management by the Numbers
Began during World War II
Efforts to find mathematical and statistical solutions to military problems
After the war, businesses began to use these number-crunching techniques on their own problems
Courtesy of Comstock Images
Chapter 2 Lesson 2
Quantitative Techniques
Computer simulation ~ analyze the effect on a company’s payroll if everyone receives a 10 percent pay increase every year for 10 years
Optimization model ~ analyze the best price the company can charge for its new product, to maximize profit but not scare away potential customers
Critical path analysis ~ examine how long it will really take to get a new product to market, with separate teams working on different parts of the project all at the same time
Chapter 2 Lesson 2
How Social Events Shape Management Approaches
Courtesy of Photos.com
Chapter 2 Lesson 2
What Stimulated the Classical Approach
Industrial revolution created a need to improve productivity by making work places more efficient
Developing efficiencies reduced the cost of making products ~ allowed prices to go down and sales to go up
Selling more products allowed markets to grow and companies to hire more people
As more people were earning a living wage and product prices went down more people could afford to purchase products like stoves and refrigerators
Scientific management raised the entire country’s standard of living
Chapter 2 Lesson 2
What Stimulated the Human Resources
Approach The classical view of workers as
machines and the Great Depression stimulated the human resources approach
The human resource approach encouraged employers to treat people like people, not machines
Encouraging workers was very important during the tough times of the Depression
Courtesy of Library of Congress
Chapter 2 Lesson 2
What Stimulated the Quantitative Approach
World War II was the force behind the quantitative approach
There was a need to develop mathematical and statistical tools to apply to military problems
When these efforts scored some impressive successes, they soon found applications in civilian life
Chapter 2 Lesson 2
Management Approaches Today
Taken from Fundamentals of Management, 5th Ed.By Robbins/DeCenzo, p. 42Pearson Prentice Hall, 2005
Chapter 2 Lesson 2
The Process Approach
Process approach considers the performance of planning, organizing, leading, and
controlling as circular and continuous
Courtesy of Photos.com
Chapter 2 Lesson 2
The Systems Approach
The systems approach defines a system as a set of related and interdependent parts arranged in a manner that produces a unified whole
An organization, with its management, is a system that interacts with and depends on its environment
Chapter 2 Lesson 2
The Systems Approach
Managers deal with an organization’s stakeholders who are any group affected by the organization’s decisions and policies
Government agencies, labor unions, competing companies, employees, suppliers, customers and clients, local community leaders, and public interest groups can all be stakeholders in the system
Chapter 2 Lesson 2
The Systems Approach
The manager’s job is to coordinate all these parts (stakeholders) to achieve the organization’s goals
In the global economy, “environment” has a broader meaning than ever, including broad labor-market trends (e.g., Asian workers receiving more education and competing against American workers), new technologies, changes in energy and oil prices, and political developments are all part of the global environment
Chapter 2 Lesson 2
What Do You Think?
How does the principal of the school “coordinate all the parts to achieve the school’s goals?” What are the parts the principal coordinates?
Who are the stakeholders?Is the government a stakeholder?Are there labor unions? Competing companies?Employees? Suppliers? Community Leaders?
Chapter 2 Lesson 2
A Contingency Approach
The contingency approach replaces simpler principles of management and integrates much of management theory
In management theory, contingency means something like “variable”
How a manager manages depends (is contingent) on the “variables” in a particular organizational environment
Chapter 2 Lesson 2
Review
Owen, Munsterberg, Follett, and Barnard were major historical contributors to the human resource approach to management
The Hawthorne studies were a series of studies during the 1920s and ’30s that provided new insights into group norms and behaviors and brought renewed attention to human factors of production
Carnegie, Maslow, McGregor, and the behaviorists were all key contributors to the human relations movement
Chapter 2 Lesson 2
Review
The quantitative approach is management by the numbers that seeks to find mathematical and statistical solutions to problems
After the war, businesses began to use these number-crunching techniques on their own problems
Quantitative techniques include computer simulations, optimization models, and critical path analysis
Chapter 2 Lesson 2
Review
The industrial revolution stimulated the classical approach because of a need to improve productivity by making work places more efficient
The classical view of workers as machines and the Great Depression stimulated the human resources approach
The need to find solutions to military problems during World War II stimulated the quantitative approach
Chapter 2 Lesson 2
Review
The process approach considers the performance of planning, organizing, leading, and controlling as circular and continuous
The systems approach defines a system as a set of related and interdependent parts arranged in a manner that produces a unified whole
The contingency approach suggests that how a manager should manage depends (is contingent) on the “variables” in a particular organizational environment
Chapter 2 Lesson 2
Summary
Human resources approach to management
Quantitative approach to management
How social events shape management approaches
Management approaches today
Chapter 2 Lesson 2
What’s Next…
Management and the Economy
Courtesy of Clipart.com