INTRODUCTION 1
CHAPTER 1. Evolution of Management Thought 3
CHAPTER 2. Classical Approaches to Management 6
Overview 6
Scientific Management 7
The Birth of Bureaucracies 8
The Search for an Administrative Process 11
The Management Process 11 CHAPTER 3. Human Relations Movement 20
Evolution of Behavioral Practices in the Workplace 20
Human Resource Management 23
A Final Comment 24 CHAPTER 4. Systems View of Management 25
Systems Thinking 25
The Quality Commitment 30
The Malcom Baldridge Awards 31
A Final Note 32 CHAPTER 5. Strategic Management 34
The Change Process 34
The Process 38
Strategic Management vs Strategic Leadership 41
A Final Note 44 CHAPTER 6. Future Trends in Management 45
New Age Management 45
Chaordic Organizations 47 SUMMARY 52
REFERENCES 53 TABLES
1 - Characteristics of Types of Organizations 10
2 - Levels of Planning 13
3 - Characteristics of Organization Development 22 FIGURES
1 - Evolution of Management Thought 4
2 - Continuum of Organizational Design 10
3 - Management Process (POMC Model) 12
4 - Relative Amount of Emphasis Placed on Each Function of Management
19
5 - POMC Model of Change 35
6 - Organizational Transformation 37
7 - The Strategic Management Process 39
8 - Management vs. Leadership 42
9 - A Systems View of Organizations 43
10 - An Example of a Chaordic Organizational Design 48
PREFACE
The term management is one of those words that may be losing its value
in today's world. This is due to the fact that its usage is so broad
and diverse that its meaning needs to be qualified in order for people
in organizations to have a workable operational definition of the term.
Review of the current textbooks on the subject of management also reveals
a wide divergence when it comes to defining the term itself. It may
be a little unfair to leave the impression that they are in total disagreement,
but suffice to say that there is enough looseness in the various definitions
to warrant some credence that this looseness is detracting from the
real value of the concept.
This argument is not merely a mind game in semantics. Fields of study
certainly evolve over time, but the main tenets of most disciplines
are normally pretty well fixed. Some may argue that this is the case
in
management; however, the experience of the author in the classroom with
graduate and executive students as well as his almost 40 years in the
work force leads him to believe that this is not so. Although many people
take courses in management, once they get into the work force the concepts
learned in management are deemed no longer applicable and thus soonforgotten.
The purpose of this text is twofold. First, it is designed to help those
individuals who have never taken a formal course in management. Although
executives reading this text will probably have practical experiences
in the field of management, they may be lacking in the conceptual foundation
that would give them a deeper understanding of the concepts that frame
those experiences. Before one can fully appreciate management at the
strategic level, it is first necessary to understand the general concept
of management in its most robust form. The second reason for the text
is to help those individuals who have taken a course or two in management,
but for whom time has eroded some of their knowledge of the field management.
In conversations with managers and leaders in the workplace and in the
classroom, many relate that through the years their experiences have
been good and have left them with good feelings as to the nature of
what is entailed in the process of management. Others who have had some
bad experiences have neutral feelings or the view that management is
a necessary evil. The reality is tha t management lies somewhere in
between.
INTRODUCTION
In order to develop the critical-thinking skills needed to make efficient
and effective decisions, managers and leaders need to be well- grounded
in the general concepts of management. To gain this perspective, it
becomes necessary to trace the evolution of these concepts in order
to appreciate what roles the various major schools of thought are playing
in today’s management theories. It should be noted at this point
that the author feels that there is a real difference between managers
and leaders. Although this difference will be discussed in Chapter 5,
suffice it to say at this point that the author will not use the terms
interchangeably as other writers in this area often do.
As a starting point, Griffin (1999) defines the term management as:
“A set of activities (including planning and decisionmaking, organizing,
leading, and controlling) directed at an organization’s resources
(human, financial, physical, and information) with the aim of achieving
organizational goals in an efficient and effective manner” (p.
6).
In the definition, several key concepts are used. First, it is understood
that management applies “equally to public, private, nonprofit,
and religious organizations.” Murphy (1974) made the point that
". . . management is an organizational phenomena and not exclusive
to the world of profit organizations” (p. 7).
The second issue in the definition is that the field of management is
comprised of a universal process. This process with its distinct functions,
as we will see in the discussion on the Administrative Approach section,
that are interwoven and integral to every action taken by managers,
whether they recognize it or not. The concept of an interwoven process
will be discussed more in the Systems View of Management.
The next point to be made is that the sole purpose of management is
to focus the energies within an organization in order to achieve a common
purpose. This purpose is normally formalized through the vision, mission
statement, goals, and objectives of the organization. Although it is
highly desirable that these forms of focus be formalized and made public
to the individuals within an organization, their absence in writing
does not mean that they do not exist. On the contrary, they live informally
in the heads of the key decision- makers in an organization and are
revealed through the orders of these people.
The last issue to be addressed is the focus on efficiency and effectiveness.
These terms are often confused and usually cause problems in fully understanding
the concept of management. Simply put, efficiency focuses on maximizing
the output derived from the use of each unit of input whether it is
land, labor, capital, or information. Effectiveness, on the other hand,
refers to whether the formalized mission, goals, and objectives of the
organization have been accomplished. Thus, an organization becomes effectively
organized when activities within that organization are established fo
r the purpose of moving the organization toward accomplishing goals
and objectives. Whether the organization is managed efficiently is another
issue and is dependent on standards of productivity and the mission
of the organization. In many organizations the choices are not so clear.
Often redundant systems need to be established due to the fact that
failure to accomplish a goal may be catastrophic from a human life perspective
as in military organizations, or failure of the task will cause a total
collapse of the organization. It becomes imperative that managers and
leaders understand the double edge of this “effectiveness vs. efficiency”
dilemma to make the best decisions for their organization.
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