BUS 250 Chapter 2

Max Weber

-19th-century German intellectual -insights have made a significant impact on the field of management and the sociology of organizations -bureaucratic organization -classical approach (assumption - people are rational)

Motion Study

-Frederick W. Taylor -science of reducing a job or task to its basic physical motion -used by Frank and Lillian Gilbreth (Taylor's contemporaries)

Hawthorne Work Studies

-focused attention on the human side or organizations -involved over 21,000 people -research team headed by Elton Mayo of Harvard University -sought to determine how economic incentives and physical conditions of the workplace affected the output of workers -results were perplexing due to the appearance of unforeseen "psychological factors" -isolated 6 relay-assembly workings in a special room and measured the effect on outputs of various rest pauses as well as lengths of workdays and workweeks -criticized for poor research design, weak empirical support for the conclusions drawn, and overgeneralized findings

Hawthorne Effect

-from the hawthorne work studies -the tendency of persons singled out for special attention to perform as expected -example: most students do better in smaller classes because the instructor pays more attention to them

W. Edwards Deming

-his work is a cornerstone of the quality movement in management -1951: taught Japanese to - tally defects, analyze, and trace them to the source, make corrections, and keep a record of what happens afterward -his approach to quality emphasizes constant innovation, use of statistical methods, and commitment to training in the fundamentals of quality assurance

Continous Improvement

-involves always searching for new ways to improve work quality and performance -goal is that one can never be satisfied; something always can and should be improved on

Total Quality Management (TQM)

-managing with an organization wide commitment to continuous improvement, product quality, and customer needs -this process makes quality principles part of the organization's strategic objectives, applying them to all aspects of operations and striving to meet customer's needs by doing thing right the first time -insistence that the total quality commitment applies to everyone in an organization

Contingency Thinking

-tries to match management practices with situational demands -holds that there is no one best way to manage -more than one pathway to solve a problem - personal or organizational -managers should be trying to identify practices that best fit with the unique demands of different situations

Theory X/Theory Y

-Douglas McGregor -Theory X: assumes people dislike work, lack ambition, are irresponsible, and prefer to be led; uses classical directive "command and control" style; negative assumptions -Theory Y: assumes people are willing to work, accept responsibility, are self-directed, and are creative; managers should be this; uses behavioral "participative" style

Scientific Management

-Frederick W. Taylor -emphasizes careful selection and training of workers and supervisory support -4 core principles: 1) develop a "science" for each job - rules of motion, standard work tools, and proper work conditions 2) hire workers with the right abilities for the job 3) train and motivate workers to do their jobs according to the science 4) support workers by planning and assisting their work according to the science -based on the notion that jobs should be studied to identify their basic steps and motions as well as determine the most efficient ways of doing them

Bureaucracy

-a rational and efficient form of organization founded on logic, order, and legitimate authority -Max Weber -characteristics of an ideal bureaucracy: 1) clear division of labor - jobs are well defined, and workers become highly skilled at performing them 2) clear hierarchy of authority - authority and responsibility are well defined, and each position reports to a higher-level one 3) formal rules and procedures - written guidelines describe expected behavior and decisions in jobs; written files are kept for the historical record 4) impersonality - rules and procedures are impartially and uniformly applied; no one gets preferential treatment 5) careers/promotions based on merit - workers are selected and promoted on ability and performance; managers are career employees of the organization -intended to address the inefficiencies of organizations in the late 19th-century -reliance on logic, order, and legitimate authority -people are selected for their jobs because of competency and are only promoted to higher-level ones because of demonstrated performance -bureaucracies don't always live up to Max Weber's expectations

Management Science and Operations Research

-applies mathematical techniques to solve management problems -(quantitative approach) a problem is encountered, it is systematically analyzed, appropriate mathematical models and computations are applied, and an optimum solution is identified.

Henri Fayol

-classical approach (assumption - people are rational) -his administrative principles describe managerial duties and practices -5 "rules" or "duties" of management: 1) foresight - complete a plan of action 2) organization - provide and mobilize resources to implement plan 3) command - lead, select, and evaluate workers 4) coordination - fit diverse efforts together, ensure information is shared and problems solved 5) control - make sure things happen accordingly to plan, take necessary corrective action -scalar chain principle: states that organizations should operate with clear and unbroken lines of communication top to bottom -unity of command principle

Frederick Winslow Taylor

-classical approach (assumption - people are rational) -scientific management and motion study -"the principal object of management should be to secure maximum prosperity for the employer, coupled with the maximum prosperity for the employee" -ideas are still used in the United Parcel Service (GPS technology plots the shortest routes, deliver stops are studied and carefully times; supervisors generally know within a few minutes how long a driver's pickups and deliveries will take)

Abraham Maslow's Hierarchy of Needs

-need: a physiological or psychological deficiency that a person wants to satisfy 1) physiological needs - most basic of all human needs; need for biological maintenance; food, water, and physical well-being 2) safety needs - need for security, protection, and stability in the events of day-to-day life 3) social needs - need for love, affection, sense of belongingness in one's relationships with other people 4) esteem needs - need for esteem in eyes of others; need for respect, prestige, recognition and self-esteem, personal sense of competence, mastery 5) self-actualization needs - highest level: need to self-fulfillment; to grow and use abilities to fullest and most creative extent -higher-order needs = esteem needs & self-actualization needs -lower-order needs = physiological needs, safety needs, and social needs -progression principle: a need at any level becomes activated only after the next-lower-level need is satisfied -deficit principle: people act to satisfy needs for which a satisfaction deficit exists; a satisfied need doesn't motivate behavior

Frank and Lillian Gilbreth

-pioneered the use of motion studies as a management tool -Frederick Winslow Taylor's contemporaries -they reduced the number of motions used by bricklayers and tripled their productivity with motion study

Unity of Command

-states that a worker should receive order from only one boss

Operations Management

-the study of how organizations produce goods and services efficiently and effectively -study and improvement of operations: the transformation process through which goods and services are actually created -essentials of operations management - business process analysis, workflow designs, facilities layouts and locations, work scheduling and project management, production planning, inventory management, and quality control