Evolution of Management Lecture Notes

Introduction

• Overview of the class: Evolution and early history of management.
• Management is integral to human living and has existed as long as humans have lived in groups.
• Systematic study of management has originated recently (last 250 years).

Historical Context

• Civilizations & Management:
  • Ancient civilizations, such as Egyptians and Greeks, practiced management.
  • Historical examples include the construction of the pyramids around 5000 BC, which required significant planning and supervision.
• Management Practices:
  • Kings ruled with management and leadership skills.
  • Management existed informally before the formal study of the discipline began.

Pre-Classical Period

• Timeframe: Before 1880 (Pre-scientific Management Period).
• Key Contributors:
  • Robert Owen:
    • British industrialist advocating for better working conditions and human resource management.
    • Introduced concepts like cooperation and improved working environments.
  • Charles Babbage:
    • Mathematician who promoted labor specialization and efficiency.
    • Introduced the idea of using mathematics to improve productivity.
  • Adam Smith:
    • Father of economics, wrote about specialization and division of labor in "The Wealth of Nations."

Classical Management Period

• Timeframe: 1880-1930.
• Birth of formal study in management during the industrial revolution.
• Three Major Theories of Classical Management:
  1. Scientific Management:
     • Main proponent: Frederick Winslow Taylor.
     • Focused on efficiency, worker selection based on qualifications, and cooperation between workers and management.
     • Introduced principles such as standardization, training, and piece-rate systems.
  2. Administrative Management:
     • Main proponent: Henri Fayol, known as the father of general management.
     • Proposed 14 principles of management, focusing on organizing and managing staff effectively.
     • Classified managerial tasks into six groups: technical, commercial, financial, security, accounting, and managerial.
  3. Bureaucratic Management:
     • Main proponent: Max Weber.
     • Focused on ideal organizational structure based on authority relations, emphasizing impersonal relationships and clear roles.
     • Promoted a hierarchical structure and the need for written rules and regulations.

Post-Classical Developments

• After 1930, further developments were made on classical theories by figures like Luther Gulick, who expanded Fayol's work.
• Introduction of new concepts such as the coordination principle and span of control by James D. Mooney and Allan C. Railey.

Critiques of Classical Theories

• Criticism focused on their neglect of worker needs and informal organizational aspects.
• Limited applicability to complex and dynamic environments.
• Emphasized formal structure at the expense of interpersonal relationships and decision-making processes.

Conclusion

• Summary of the evolution of management and its foundational theories.
• Next class will continue the discussion on the evolution of management.