Evolution Of Mngt . Thought – Ms. Meera Mody

1. Evolution Of Mngt. Thought –Ms. MeeraMody

2. Content : • Introduction • Scientific management By Taylor - Time & Motion Study - Differential Payment - Drastic Reorganization & Supervision - Scientific Recruitment & Training - Co-Operation between workers & Mngt. Ref : L. M. Prasad Tripathi

3. Evolution of management Thought - • Mngt. Practice is as old as Human Civilization. • In Early time, mngt could not get an attention of researchers b’coz… - business fields in which management was applied was held low, unworthy of study, treatment of management as an art instead of science & commonly held belief that mngrs are born & not made.

4. Due to above mentioned factors the need for Systematic study of management was not felt….. • This situation continued till the beginning of 20th century.. • In the beginning of 20th century specially after World war I, people started thinking of solutions to the problem of How Limited resources can be applied in a better way.

5. Large business organizations & Growing competition provided impetus to develop systematic mngt. concepts and principles.

6. This attracted the attention of wide varieties of intellectuals.. - Economist - Sociologist - Psychologist - Mathematics - Management practiceners to develop principles & ultimately make the organization more effective.

7. This factors led to the development of varieties of approches in management. 1. Classical Approach - Scientific Mngt. - Administrative mngt. 2. Behavioral Approach 3. Systems Approach 4. Contingency Approch

8. Taylor & Scientific Management • Concept of scientific management was introduced by Frederick Winslow Taylor in U.S.A. in the beginning of 20th century. • Scientific Management was concerned essentially with improving the operational efficiency at the shop-floor level.

9. Taylor has defined Scientific Management as follows: “Scientific Management is concerned with knowing exactly what you want men to do & they see that they do it in a best & cheapest way”

10. Taylor has put the emphasis on ‘solving managerial problem in scientific way’ & his contributions as the ‘Principles of Scientific Management’. • He is called ‘Father of Scientific Management’.

11. He conducted a series of experiments in 3 companies • Midvale Steel Co. • Simond’s Rolling Machine • Bethlehem Steel

12. Taylor made several important contributions which are classified under Scientific Management. • Time & Motion Study • Since Taylor had been machinist himself, he know piece-work employees used to hold back production to its one-third level b’coz they feared that their employers would cut their piece rate as soon as there was a rise in production.

13. According to Taylor, the real problem was that ‘No one knew how much work it was reasonable to expect a man to do’. • He, therefore, started time & motion study, under which each motion of job was to be timed with the help of a stop watch & shorter & fewer motions were to be developed.

14. Thus, ‘the best way of doing a job’ was found.

15. Differential Payment - • Taylor introduced a new payment play called ‘Differential Piecework’ in which he linked incentives with production. • Under this plan a worker received low piece rate if he produced the standard no. of piece & high rate if surpassed the standard. • Taylor thought that the attraction of high piece rate would motivate workers to increase production.

16. Drastic Reorganization of Supervision Taylor suggested 2 new concepts: 1. Seperation of planning & doing. 2. Functional Foremanship

17. Seperation of Planning & Doing: • In those days it used to be customary for each worker to plan his work. • The worker himself used to select his tools & decide the order in which the operations were to be performed.

18. The foreman simply told the workers what jobs to perform & how to do that? • Taylor suggested that work should be planned by a foreman & not by a worker.

19. Functional Foremanship: • According to Taylor there should be as many foreman as there are special functions involved in doing a job & each of these foreman should give the order to the worker on his speciality.

20. Scientific Recruitment & Training • Taylor emphasised the need 4 Scientific selection & development of the workers. • He said that Management should develop & train every workers to bring out his best faculties & to enable him to do a higher, more interesting & more profitable class of work than he has done in the past.

21. E. Intimate friendly co-operation between workers & management • By doing so, ptofit w’d increase to such an extent that labour & mngt w’d no longer compete for it. • In short, Taylor believe that both s’d have the common interest in increasing productivity.

22. Contributions & Limitations of Scientific Management • Time & Motion studies have made us aware that the tools & physical movements involved in a task can be made more efficient & rational. • The stress which scientific management placed on scientific selection of workers has made us recognize that “without ability & training a person cannot be expected to do his job properly”

23. 3. Finally, Scientific management gave ‘one best way’ of doing job.

24. Scientific Management is severely criticized on following grounds • Taylor’s belief that economic incentives are strong enough to motivate workers for increased production proved wrong. • No man is entirely an ‘economic man’. A man’s behavior is not always dictated by his financial needs.

25. He has many other needs also. such as, 1. Security Need 2. Social Need 3. Egoistic Need which motives him for more potentially than his desire for money after starvation level.

26. Taylor’s time & motion study is not accepted as entirely scientific. Because two time studies done by two separate individuals may time the same job entirely differently. There is no such thing as ‘one best way’, because no two individuals can be expected to work in the same way at the same rhythm, with the same attention & same learning speed.