This document provides an overview of the evolution of management theory from early thinkers like Machiavelli and Sun Tzu to modern schools of management. It describes Scientific Management founded by Frederick Taylor based on time and motion studies. Classical Organization Theory developed by Henry Fayol emphasized division of work, authority, and discipline. Max Weber's bureaucratic model focused on hierarchy, rules, and impersonal relationships. Later theorists like Mary Parker Follett emphasized participative leadership and group network management.

1. Management Theory
Chapter II

2. Nicolo Machiavelli
• Father of Modern Politics
• Born in Florence, Italy
• « Machiavellian » is often used to
describe cunning and manipulative
opportunist.
• Discourses, 1531

3. Sun Tzu
• Chinese General (6th Century BC)
• The Art of War
 When enemy advances, we
retreat!
 When enemy halts, we harass!
 When enemy seeks to avoid
battle, we attack!
 When the enemy retreats, we
pursue!

5. Why Study Management theory?
• Provide a stable focus for
understanding what we experience.
• Enable us to communicate efficiently
and thus move into more and more
complex relationships with other
people.
• Theories make it possible to keep
learning about our world.

6. Evolution of Management Theory
• Scientific Management
• Classical Organization Theory
• Behavioral School
• Management Science

7. Scientific Management
School

11. Frederick W. Taylor
• Father of Scientific Management
• Mechanical Engineer
• Midvale Steel Company

17. « Scientific Management »

19. « Time and Motion Studies »

21. 4 Principles Of Scientific Management
• The development of true science of
management, so that the best
method for performing each task
could be determined.
• The scientific selection of workers,
so that each worker would be given
responsibility for the task which he
or she was best suited.
• The scientific education and
development of the worker.
• Intimate, friendly cooperation
between management and labor.

30. Henry L. Gantt
• Associate of Frederick Taylor
• His main focus was to apply
scientific analysis to all facets of
the work being done as a means
of increasing productivity.
• Gantt Chart and the task and
bonus system

40. « Task and Bonus System »

42. Frank B. and Lilian M. Gilbreth
• Made their contribution to the
scientific management as a
husband-and-wife team
• Motion studies
• Help the workers to reach their
full potential.

43. « Motion Studies »

48. Classical Organization
Theory School

49. Henry Fayol
• Founder of Classical management
school
• Fayol was interested in the total
organization and focused on
management

52. Principles of Management by Fayol
• Division of work
• Authority
• Discipline
• Unity of Command
• Unity of direction
• Subordination of individual interest
• Remuneration
• Centralization
• The hierarchy
• Order
• Equity
• Stability of Staff
• Initiative
• Esprit de Corps

54. Division of work
• The most people specialize, the more
efficient they can perform to work.

59. Authority
• Manager must have the authority
to give orders, but they must also
keep in mind that with authority
comes responsibility.

61. Discipline
• Members need to respect the rules
and agreements that govern the
organization.

64. Unity of Command
• Each employee must receive
instruction from only one person.

66. Unity in direction
• Those operations within the
organization that have the same
objective should be directed by
only one manager using one plan.

68. Subordination of Individual interest
to the Common Interest
• In any undertaking, the interest of
the employees should not take
precedence over the interest of the
organization as a whole.

71. Remuneration
• Compensation for work done
should be fair to both employees
and employers.

74. Centralization
• This principle refers to how close
employees are to the decision-
making process. It is important to
aim the approciate balance.

77. The Hierarchy
• The line of authority in an
organization runs in order of rank
from top management to the
lowest level of the enterprise.

80. Order
• The workplace facilities must be
clean, tidy and safe for employees.
Everything should be in its place.

83. Equity
• Manager should be both friendly
and fair to their subordinates.

87. Stability of Staff
• The managers should strive to
minimize employee turnover.
Personnel planning should be
priority.

91. Initiatives
• Subordinates should be given the
freedom to conceive and carry out
plans.

93. Esprit de corps
• Promoting team spirit will give the
organization a sense of unity.

96. Max Weber (Germany)
• Bureaucrarcy
 Ideal type of organization
charaterized by division of labor, a
clearly defined hierarchy, detailed
rules and regulations, and impersonal
relationships.

97. « A well-defined formal hierarchy
of command »

99. « Management by rules and regulation
provides a set of standard operating
procedures that facilitates consistency in
both organization and management
practices.

101. « Division of labor and work
specilization »

103. « Managers should maintain an
impersonal relationship »

106. « Competence, not personality, is
the basis for job appointment »

109. « Formal written records »

110. Mary Parker Follet
• People Oriented
• Group Network Management
• Participative Leadership
 Involves managers and employees
working together towards common
goals like decision-making and
problem-solving.

119. Group Network Management
• Groups of people within the
organization with equal power over
outcomes.

123. « Group Interactions »

131. Chester Bernard
• Acceptance theory of authority.
– A manager’s authority rests on worker’s
acceptance of his right to give orders
and to expect compliance.
• Individual workers form informal
social groups that become informal
organization

139. Informal Organization
• It is the personal contacts and
interactions between workers that
form into small groups.

148. ~End~