GROUP 2

“In the past the

man has been first;
in the future the
system must be
first... The first
object of any good
system must be
that of developing
first class men.”
Industrial Age
-Migration to cities
-Reliance on electricity
and gasoline
-Changes both on the
farm and in factories
-Autos, airplanes,
movies, and radio
became common
1913 – Federal Reserve
System created
WWI begins and
Panama Canal opens
1919-1933 Prohibition
1920 - Nineteenth
Amendment
1929 - Stock Market
Crash
 the art of knowing exactly what is to
be done in the best and the cheapest
way
 systematic study of relationships
between people and tasks for the
purpose of redesigning the work
process to increase efficiency
 founder of scientific Management
 one of the first people to study the behavior and
performance of people at work
 was a manufacturing manager
 became a consultant and taught other managers
how to apply his scientific management techniques
 believed that by increasing specialization and the
division of labor, the production process will be
more efficient.
 Worked with Taylor at Midvale Steel
Company
 Specialized in incentive wage plans
 Introduced a differential piece rate system –
Task work with a bonus
 Permitted workers to improve the
production system
 Introduced a bonus for foremen based on
the number of their workers who earned
bonus
 Developed to help
industrial age
managers plan for
mass production
 Utilized to
coordinate WWI
shipbuilding
 Visual display
used to schedule
based on time
 Associates of
Fredrick Winslow
Taylor, their work
was intertwined with
his and their motion
studies predated
Taylor’s system first
published in 1903.
 Developed the
laws of human
motion from which
evolved the principles
of motion economy
 Pioneers in the field of motion studies and
provided the foundation for job simplification,
meaningful work, and incentive wage plans
 Analyzed each motion of work for wasted
efforts in an attempt to reduce each task to the
smallest amount of expended time and energy
 Professed: effective training, effective work
methods, improved work environment,
positive psychological perspective
 Made the connection between standardization
and efficiency
 Believed that time could not be separated from
motion; the two were intertwined.
 Systematically examined how repetitive tasks
were performed
 These repetitive tasks were broken down into
Therbligs
 Therbligs are systems for analyzing the motions
involved in performing a task
 This consisted of identification of individual
motions, as well as moments of delay in the
process, designed to find unnecessary or
inefficient motions and to utilize or eliminate
even split seconds of wasted time
 Believed that public administration could have
made more effective if it were practiced according
to a set of guidelines
 All organizations are characterized by a tension
between the need for division and the need for
coordination
 Work division is the foundation of organization
 It is important to recognize that there are limits
beyond which labor cannot usefully be divided
 Gulick believed that, labor divided makes for
efficiency, but only if the labor and its outputs are
harmonized with the organization’s goals
 By Purpose – the aims of the work unit
 By Process – what the unit actually does
 By Clientele – work with similar
materials or clients
 By Location – organized together due to
geographic location, regardless of
function
 Uncertainty concerning the future
 Lack of knowledge on the part of the leaders
 Lack of administrative skills on the part of the
leaders
 A general lack of knowledge and skills on the
part of the other members of the organization
 The vast number of variables involved and
incompleteness of human knowledge,
particularly with regard to man and life
 Planning
 Organizing
 Staffing
 Directing
 Coordinating
 Reporting
 Budgeting
 The most difficult task of the chief executive is
not command, it is leadership, which is the
development of the desire and will to work
together for a purpose in the minds of those
who are associated in any activity
 Gulick sees ideas as more potent and more
powerful than organizations
 GILBRETHS GULICK
- Devoted to Efficiency -Applied Scientific
- Analyzed Motion Method to
and Movements of Management
Workers -“Dean of American
Public Administration”
- Created Therblig -Division of Labor and
System Integrated
- Their studies were Organization
part of the -Applied Scientific
manufacturing Approach to Personnel
revolution in the U.S. Management
-Defined work in terms of
positions needed to carry out a
process, rather than the people
doing the work
 Weberian Model of
Bureaucracy
 Division of Labor and
Specialization
 Impersonal
Orientation
 Hierarchy of Authority
 Rules and Regulations
 Career Orientation
 Charismatic

 Traditional

 Legal
 Dysfunctional Consequences
 Neglect of the Informal
Organization
 Internal Inconsistencies
 Gender Bias
 Oppressive Features
 Organizational Pathologies
 Described the bureaucratic
characteristics used by most
educational institutions.
 Described organizations as social
systems that interact and are
dependent upon their environments.
 Provides a starting point for
modified structures.
Fayol’s Five Functions
of Management
1. Forecasting and
Planning
2. Organization
3. Command
4. Coordinate
5. Control
1. Specialization/Division
of Labor
2. Authority with
Corresponding 8. Centralization
Responsibility 9. Scalar Chain/Line of Authority
3. Discipline 10. Order
4. Unity of Command 11. Equity
12. Stability of Tenure
5. Unity of Direction
13. Initiative
6. Subordination of 14. Esprit de Corps
Individual Interest to the
General Interest
7. Remuneration of Staff
 WEBER FAYOL
- Ideal Type -One Best Way
- Hierarchy of -Top Down Management
authority -Specialization
-Stability of Tenure
- Division of Labor
-Discipline
- Career Orientation
- Rules and
Regulations
 WEBER FAYOL
- Organization as a - No parallel
Social System - Personal experience
dependent on and observation
environment - Esprit and Initiative
- Rationality - Future Planning
- Impersonal
Orientation
- Administrative
Efficiency
 1. It provides trained minds for achieving higher
degree of excellence in all branches of shop
management.
 2. It completely revolutionizes and improves
layout, routing, scheduling, purchasing, stores
keeping and accounting.
 3. It aims to standardize the materials, tools,
equipment and methods of work.
 4. It offers facilities for specialization and division
of labour.
 5. It replaces the old system of management rule of
thumb method and introduces new and scientific
methods.
 6. Careful time and motion studies eradicate delays,
avoid bodily strains of the workers, eliminate wastage
and thereby contribute to the efficiency of the workers
and ensures waste less utilization of the resources.
 7. It seeks to introduce a mental revolution in the ideas of
both the employer and employee and assures co-
operation of the labour force.
 8. It seeks a reduction in the cost of production through
increased output. This would help the organization to
complete on a better footing and thereby enlarge the
market.
 9. The workers are in a position to get higher wages. This
removes most of the causes for industrial disputes and
unrest. Further, enhanced earnings also lead to higher
standard of living of the workers Thus, scientific
management does justice to various sections of the society
such as producers, workers and the consumers.
 High Costs:
 Unsuitable for Small Firms:
 Response from the workers:
 Loss of Individual’s Initiative:
 Speeding up of Workers
 Autocratic Control of Functional Bosses:
 Creation of Unemployment:
 Unfairness:
 Monotony:
 Opposed by Trade Unions:
 Absence of Non-financial Incentives:
 1. Workers are human beings and cannot be
standardized in the same way as machines and
materials. Any attempt to standardize their activities
will not result in a success.
 2. The Scientific Management places emphasis on
discovering the one best way of doing a work without
considering the individual difference of the workers.
Each human being has his own genius, abilities, style
and mode. Hence, the best can be obtained only by
giving scope to shape their carrier according to their
carrier abilities and aptitudes.
 3. Payment of wages on piece rate basis will make the
workers disappointed, particularly the beginners and
untrained workers.
 Defined  Homogeneity of
Administrative Roles Positions
 Supervision of work  Engineering for
rather than people Efficiency
 Work specializations  Assembly Line
Production
 Span of control
 Emphasis on Quality
 Cost accounting
Control
 Teaching Objectives
 Vocational Curriculum
Design
 Division of Labor
 Subjects Departmentalized
 Improvements by Analysis
 Data-driven decisions
 Outcomes for Instruction
 Standardized assessments
 Teacher Merit-pay
 Staff Development Programs
 Scientific Management Humanistic Approach
- The most efficient - Concern for people not
manner to perform a
task is determined and the task
everyone does it that - Participatory decision-
way making
- Task Analysis
- Emphasis on Individual
- Personnel Selection and
Training Contributions and
- Bureaucratic Personal Awareness
Organization Structure - Flexibility
- Span of Control and
Top Down Management
 Scientific Management Social Systems Approach
- The most efficient - Focused on the
manner to perform a interaction of the
task is determined and organization and its
everyone does it that larger environment
way - Leaders are high-task
- Task Analysis oriented (work
- Personnel Selection and structure) and high-
Training relationships oriented
- Bureaucratic (concern for others)
Organization Structure - Organizations are a set
- Span of Control and of interrelated elements
Top Down Management functioning as a whole
 Scientific Management Situational Leadership
- The most efficient way - No one style is
to perform a task is appropriate for all
established and situations
everyone does it that - Increased involvement in
way decision making
- Task Analysis - Collaborative Planning
- Personnel Selection and - Flexible Change Strategies
Training
- Unique Organizational
- Bureaucratic Personality must be
Organization Structure accounted for in structure,
- Span of Control and leadership, and decision-
Top Down Management making
 Scientific Management Futuristic Approach
- The most efficient - Focus on an improved,
manner to complete a decentralized system of
task is determined and
everyone does it that management
way - “Learning organizations”
- Task Analysis able to predict for and
- Personnel Selection and respond to a changing
Training environment
- Bureaucratic - Organizational Change
Organization Structure Models that help
- Span of Control and organizations prepare for
Top Down Management future challenges