Module 2

Frederick Winslow Taylor published Principles of Scientific

Management in 1911
Father of Scientific Management
One best way of doing a job
Pig Iron experiment
 1841-1925
Five functions of manager: Planning,
organizing, commanding, coordinating,
and controlling
Published principles of management

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1. Division of work
2. Authority
3. Discipline
4. Unity of command
5. Unity of direction
6. Subordination of individual interest to the interests of the
organisation

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7. Remuneration
8. Centralization
9. Scalar chain
10. Order
11. Equity
12. Stability of tenure
13. Initiative
14. Esprit de corps
Bureaucracy

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 Elton Mayo
Lead to new emphasis on the human
relations in the management
of organisations.
 Illumination Experiment (1924-27)
Relay Assembly Experiment (1927-29)
Mass Interviewing Programme (1928-1930)
Bank Wiring Experiment (1932)
 Piece-work for eight weeks (Output up)
Two 5 minute rest pauses introduced (Output up again)
Rest pauses lengthened to 10 minutes each (Output up)
Six 5 minute pauses introduced (Output fell slightly)
Return to the two rest pauses, with a hot meal (Output up)
Dismissed at 4.30 p.m. instead of 5.00 p.m. (Output up)
Dismissed at 4.00 p.m. (Output same)
Finally, all improvements taken away (Output highest ever)
 Employees work more efficiently when they believe that
management is interested in their welfare.
Financial incentives and working conditions alone are not
enough; social and psychological factors are important.
Employees perform better if they are allowed to participate
in decision-making and express themselves freely.
Informal relations influence the workers' behaviour and
performance
 Teams
Communication
Motivation
Leadership
Group behavior and development
Operations Research (Management Science): Use of
quantitative techniques to improve decision making
Applications of statistics
Optimization models
Computer simulations of management activities

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 System Defined
A set of interrelated and interdependent parts arranged in a
manner that produces a unified whole.

Basic Types of Systems

Closed systems
Open systems

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 Coordination of the organizations parts is essential for
proper functioning of the entire organization.
The key to performance is to have good process.
Organizations are not self-contained and, therefore,
must adapt to changes in their external environment.

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 Also sometimes called the situational approach.
There is no one universally applicable set of management principles
(rules) by which organizations are managed.
Organizations are individually different, face different situations
(contingency variables), and require different ways of managing.

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