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Peter Drucker & book (5): |
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Definition
an Austrian trained in economics and international law and “was the creator and inventor of modern management”; wrote The Practice of Management which proposed 1) that management was major social innovation of the 20th century 2) management should be treated as a profession 3) workers should be treated as assets 4) corporation could be considered a human community 5) there is "no business without a customer" |
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Evidence-based Management |
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translating principles based on best evidence into organizational practice, bringing rationality to the decision-making process |
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Jeffrey Pfeffer and Robert Sutton & their beleifs |
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proponents of evidence-based management; state that evidence-based management is based on the belief that 1) “facing the hard facts about what works and what doesn’t, 2) understanding the dangerous half-truths that constitute so much conventional wisdom about management, 3) and rejecting the total nonsense that too often passes for sound advice will help organizations perform better” |
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includes three viewpoints- classical, behavioral, and quantitative |
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includes three viewpoints- systems, contingency, and quality-management |
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Reasons to study perspectives and viewpoints (5): |
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1) understanding of the present (understanding theory helps us understand why some practices are still favored, whether for right or wrong reasons) 2) guide to action (good theories assist you in making predictions and enable you to develop a set of principles that will guide your actions) 3) source of new ideas (theories can provide new ideas that may be useful when you come against new situations) 4) clues to meaning of your managers’ decisions (theories can help you understand your firm’s focus and where the top managers are “coming from”) 5) clues to meaning of outside events (theories allow you to understand events outside the organization that could affect it or you) |
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emphasized finding ways to manage work more efficiently, had two branches- scientific and administrative |
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emphasized the scientific study of work methods to improve the productivity of individual workers; proponents: Frederick Taylor and the Gilbreths |
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American engineer from Philadelphia known as “the father of scientific management”; believed managers could eliminate soldiering (deliberately working at less than full capacity) by applying the Four Principles of Scientific Management |
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Four Principles of Scientific Management |
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created by Frederick Taylor to eliminate soldiering 1) evaluate a task by scientifically studying each part of the task 2) carefully select workers with the right abilities for the task 3) give workers the training and incentives to do the task with the proper work methods 4) use scientific principles to plan the work methods and ease the way for workers to do their jobs |
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Fredrick Taylor's scientific management theory based on: 1) motion studies (breaking down each worker's job into basic physical motions and training workers to use the methods of the best-performing coworkers) 2) differential rate system (in whcih more efficient workers earned higher wages); met considerable resistance from employees |
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husband-and-wife team of industrial engineers who lectured at Purdue University and raised 12 children, used their experiences and were able to propose a way to eliminate motions while simultaneously reducing fatigue; scientific management |
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Administrative Management |
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concerned with managing the total organization; proponents: Henri Fayol and Max Weber |
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French engineer and industrialist who became the first to systematize management behavior in his work General and Industrial Management; Fayol was the first to identify the major functions of management (planning, organizing, leading, and controlling) as well as coordinating; administrative management |
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adminstrative management; said a better-performing organization should have five positive bureaucratic features: 1) a well-defined hierarchy of authority 2) formal rules and procedures 3) a clear division of labor, with parts of a complex job being handled by specialists 4) impersonality, without reference or connection to a particular person 5) careers based on merit |
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Importance & Problem with the Classical Viewpoint |
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importance:it states that work activity is amenable to a rational approach (through the application of scientific methods, time and motion studies, and job specialization it is possible to boost productivity) problem: too mechanistic; tends to view humans as cogs within a machine, not taking into account the importance of human needs |
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Behavioral Viewpoint & phases (3): |
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emphasized the importance of understanding human behavior and of motivating employees toward achievement; proponents: Munsterberg, Follett, Mayo, Maslow, and McGregor; developed over three phases: 1) early behaviorism 2) the human relations movement 3) behavioral science |
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early behaviorist viewpoint; “the father of industrial psychology” and his ideas lead to the field of industrial psychology (the study of human behavior in workplaces); suggested that psychologists could contribute to industry in three ways: 1) study jobs and determine which people are best suited to specific jobs 2) identify the psychological conditions under which employees do their best work 3) devise management strategies to influence employees to follow management’s interests |
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early behaviorist viewpoint; developed the concepts of “worker empowerment”, “self-managed teams”, and “interdepartmental teams”; believed managers and employees should work cooperatively based on these ideas: 1) organizations should be operated as “communities” with managers and subordinates working together in harmony 2) conflicts should be resolved by having managers and workers talk over differences and find solutions that would satisfy both parties (integration) 3) the work process should be under the control of workers with the relevant knowledge, rather than of managers, who should act as facilitators |
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early behaviorist viewpoint; began an investigation (poorly designed study) into whether workplace lighting level, wage levels, rest periods, and length of workday affected worker productivity called the Hawthorne Effect |
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employees worked harder if they received added attention, if they thought that managers cared about their welfare and, if supervisors paid special attention to them |
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proposed that better human relations could increase worker productivity; proponents Abraham Maslow and Douglas McGregor |
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created the hierarchy of human needs (physiological, safety, love, esteem, and self-actualization are what motivates us to perform) |
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it’s not enough for managers to be liked, but to be aware of their attitudes toward employees (Theory “X” or Theory “Y”) |
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represents a pessimistic, negative view of workers |
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represents an optimistic, positive view of workers (HR proponents) |
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relies on scientific research for developing theories about human behavior that can be used to provide practical tools for managers (i.e. psychology, sociology, anthropology, and economics) |
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the application to management of quantitative techniques, such as statistics and computer simulations; two branches: 1) management science/operations research 2) operations management |
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Management Science/ Operations Research |
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focuses on using mathematics to aid in problem solving and decision making; concerned with strategic planning |
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focuses on managing the production and delivery of an organization’s products or services more effectively; concerned with work scheduling, production planning, facilities location and design, and optimum inventory levels |
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a set of interrelated parts that operate together to achieve a common purpose |
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regards the organization as a system of interrelated parts; you can look at your organization both as: 1) a collection of subsystems (parts making up the whole system) 2) a part of the larger environment |
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1) inputs 2) transformation processes 3) outputs 4) feedback |
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the people, money, information, equipment, and materials required to produce an organization’s goods or services |
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the organization’s capabilities in management, internal processes, and technology that are applied to converting inputs into outputs |
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the products, services, profits, losses, employee satisfaction or discontent, and the like that are produced by the organization |
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information about the reaction of the environment to the outputs that affects the inputs |
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continually interacts with its environment |
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has little interaction with its environment (receives very little feedback from the outside) |
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the study of how order and pattern arise from very complicated, apparently chaotic systems |
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emphasizes that a manager’s approach should vary according to the individual and the environmental situation (case by case basis); proponent: Gary Hamel |
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cofounder of the Management Innovation Lab, believes that forward-looking managers get the ball rolling in management innovation by identifying the four core beliefs that people have about that organization with questions: challenging? valid? self-fulfilling? |
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Quality-Management Viewpoint |
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includes quality control, quality assurance, and total quality management; proponents: W. Edwards Deming and Joseph M. Juran |
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refers to the total ability of a product or service to meet customer needs; *one of the most important ways of adding value to products and services through these two strategies: 1) quality control 2) quality assurance |
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the strategy for minimizing errors by managing each stage of production. These techniques were developed at Bell Telephone Labs by Walter Shewar, who used statistical sampling to locate errors by testing some of the items in a production run |
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focuses on the performance of workers, urging employees to strive for “zero defects” |
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TQM; believed that quality stemmed from “constancy of purpose” (steady focus on an organization’s mission) along with statistical measurement and reduction of variations in production processes; 85-15 rule (when things go wrong, there is an 85% chance that the system is at fault and only a 15% chance that the individual worker is at fault) |
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TQM; defined quality as “fitness for use” (a product or service should satisfy a customer’s real needs) |
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a comprehensive approach- led by top management and supported throughout the organization- dedicated to continuous quality improvement (throughout the total organization), training, and customer satisfaction |
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Components of Total Quality Management (4): |
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1) make continuous improvement a priority 2) get every employee involved 3) listen to and learn from customers and employees 4) use accurate standards to identify and eliminate problems |
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an organization that actively creates, acquires, and transfers knowledge within itself and is able to modify its behavior to reflect new knowledge |
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Parts of a Learning Organization (3): |
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1) creating and acquiring knowledge (new ideas and information are the prerequisites for learning) 2) transferring knowledge (reducing barriers to sharing information and ideas among employees) 3) modifying behavior (managers encourage employees to use the new knowledge obtained to change their behavior to help further the organization’s goals) |
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Ways build learning organizations (3): |
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Managers must perform these functions/roles: 1) build a commitment to learning 2) work to generate ideas with impact 3) work to generalize (reduce the barriers to learning among employees and within your organization) ideas with impact |
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