Introduction
The current management theory and practices did not pop out of thin air, they evolved over many years. The evolution of management thought is not clearly understood, but many tried to defined management in different ways starting from the early days. Even before the term management came to be realized it concepts was applicable in most part of the world; in the ancient world the ideas or concepts of sound organizational structure, the concepts management is group activity and other concepts were already in use before the foundation of management as field.
In this paper we will try to see about history of management, the two main schools of thoughts and their interrelation with one another and the development of modern
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The need had arrived for a formal theory to guide managers in running their organizations. However, it was not until the 1900’s that the first major step toward developing such a theory occurred.
People who contributed to development of different management theories * Adam Smith(1723-90)
He was known as father of political economy. He wrote a book entitled “wealth of nations” which stressed on division of labour in increasing productivity. * Robert Owen(1771-1858)
He was an English industrialist and utopian socialist who improved the working condition of workers by reducing the length of working day. He said that human element is central to management function (1981; 40)
School of Thoughts 2. Classical management school of thought
This was new philosophy and attitude toward the use of human effort. It emphasized maximum output with minimum effort through the elimination of waste and inefficiency at the operative level A. Scientific management school of thought
Frederick Taylor
It was founded by Frederick Taylor who was known as “the father of scientific management”. He was concerned with increasing productivity through greater efficiency in production and increasing pay for workers through the
His work became more prominent after his death. His philosophy was that “Humans” weren’t motivated by grand designs but were motivated by materialistic goods and greed. Which in turn lead to the separation of the classes the rich
Management as a concept was developed in the last 100 years partly due to the booming industrial revolution. “The definition of management is to
Nick: “To put it in a brief synopsis he was very much a capitalist. He believed in capitalist economics. It replaced the Keynesian economics.
He was an English political economist. His laissez-faire theory were characterized in his Iron Law of Wages that said, all tries to help make the real income of workers better by producing and making wages remained near the normal. In his paper on the Influence of a Low Price of Corn on the Profits of Stock he said what was to be known as the law of diminishing returns. He wrote about theory's of value into his own theories of action of sharing. Ne wanted to answer economic questions that everyone had so he thought host economics to a very hard state and it was a very long and hard process. He shows the system more clear and better than other people, because they needed to know it better
In what ways are management of companies different or how are they similar to one another? And what is the importance of management in how a company runs nowadays? Many of us question about why knowing the history of management is important to Managers? According to (Samson et al, 2012, Page 53) “A historical perspective provides a broader way of thinking; a way of searching for patterns and determining whether they recur across time periods.” In the history of management, many trends have appeared. Many argue that the new techniques being introduced may not have a permanent solution. Others think that managers adapting to new techniques for continuous improvement in this ever changing world. It is important to know the background of how these management perspectives evolved and who and how is it being used now.
The year 1911 saw Frederick Winslow Taylor publish a book titled ‘The principles of scientific management’ in which he aimed to prove that the scientific method could be used in producing profits for an organization through the improvement of an employee’s efficiency. During that decade, management practice was focused on initiative and incentives which gave autonomy to the workman. He thus argued that one half of the problem was up to management, and both the worker and manager needed to cooperate in order to produce the greatest prosperity.
Managers throughout history have been interested in studying ways to increase productivity. For example, Frederick Taylor began the movement of scientific management in the 1880’s. Scientific management looked to improve productivity through means of scientific analysis of worker’s tasks and work processes rather than the old “rule of thumb” (Taylor, 1914). Taylor believed that he could maximize worker efficiency and productivity through focusing on workers specific hand motions and patterns. After this period, beginning in about the 1930’s, managers looked to take productivity to yet another level by studying worker physiology and motivation. This new movement came to be known as the human relations movement.
In a historical aspect the evolution of management consist of six approaches starting with America’s Industrial Revolution in the late 19th century to the present: Classical, Behavioral, Quantitative, Systems, Contingency and Quality. Before the creation of factories the need for managerial skills was not needed, since products and services were delivered on a small scale and by hand. But with the invention of engines that did not require rivers to make them run, companies started to create factories to produce products in mass quantities requiring a need for more knowledge in the field of management.
Successful management requires an understanding of the fundamental concepts of effective management techniques and principles. In order to gain such insight, and manage effectively and efficiently, managers must develop an awareness of past management principles, models and theories. From the turn of the 20th Century, the
Over the past hundred years management has continuously been evolving. There have been a wide range of approaches in how to deal with management or better yet how to improve management functions in our ever changing environment. From as early as 1100 B.C managers have been struggling with the same issues and problems that manager's face today. Modern managers use many of the practices, principles, and techniques developed from earlier concepts and experiences.
Taylor imagined that workers would be able to make out the relationship between completion of more work in units and the economic rewards been increased. Taylors work as described by (Buchanan and Huczynski, 2004) depicts how theories were to take place at shop floor levels, then how facts were substituted for opinion and guess work. Henri Fayol, his fellow classical writer had a different perception which looked at organisation from top to bottom. The pace setters of classical theories had engineering background hence derived theories with scientific approach. (Buchanan and Huczunski, 2004). (Cole, 2004) talks about how the production environment under the classical theory in America had created difficulties, where labour force were skint, uneducated, and in quest of making economic fortunes. (Lemak, 2004) point out how the classical management has had
c. Thus the workers were urged to surpass their previous performance standards to earn more pay .Taylor called his plane the differential rate system.
The history of management includes multiple theories and understanding them can help individuals identify the ideas their organization is built upon. Classical organizational theory encompasses several major approaches to management that continue to be influential even today. The early to mid-twentieth century included the introduction of many concepts of management theory such as scientific management, bureaucratic and administrative theory. Most of these early approaches revolved around control of employees and processes in order to achieve more
First, I will discuss the exemplary management theories that transpired around the twentieth century. These involve scientific management, which center of attraction was on associating per-sonnel and jobs to increase effectiveness; and administrative management, which center of atten-tion is on recognizing the principles that will impel to the beginning of the nearly adept structure of management and organization. Next, you have behavioral management theories which was estab-lished both prior and subsequently the Second World War, which spotlight was on supervisors should guide and supervise their personnel to optimize their effectiveness. Then you have man-agement science theory, which was current during the Second World War and which has evolved to be very
The history of management has been grouped into phases of development. Classical Management was introduced in the beginning of the 201th century. This addresses the organization’s search for efficiency on the basis that people will work for themselves and be economically beneficial. In other words, they work because they are determined by the economic concerns. Workers are expected to accept every opportunity that comes and they must work for it to achieve a personal and financial improvement. All of this has been supported by 3 theories in which the companies still used it today.