Business

Scope of Management: Evolution and Theories

Wilkson et al (1994) see a functional manager as responsible only for a single area of activity, such as production, finance or personnel. A general manager, by contrast, is responsible for many activities.

Evolution and Development of Management Theory

Before now human beings were leaving on their own, but the history of barter is still fresh in your memory. People were operating in groups; this came as a result of the extension of families and tribes.

As society develops, and things become more complex, there is a need for managers.

Technological development leads to the rapid industrial revolution, this led to:

  • Specialization;
  • Division of labour;
  • Systematic approval to managers.

Business and organization become the order of the day, factories were growing, and the question was how to manage human and natural resources. How to manage responsibilities. This led to theories of management.

1. Classical Theories of Management

These theories include Specialization and the division of labour. A professor of mathematics known as Charles Babbage (1792-1971), who invented the first mechanical calculator which lead to todays computer, believe that the application of the scientific method of production could lead to an increase in output and a reduction in cost. He, therefore, advocated for the division of labour.

He believes that workers could specialize in a specific job, and by so doing, they may require less training. This thinking has led to todays modern assembly line method of production.

Read Also: How Brain of Girls and Boys Produces Equal Math Ability

2. Scientific Management

Fredrick Taylor, whose study on how to improve the productivity of workers was carried out in Midvale Steel Company in Philadelphia and Simonds Rolling Machines and Bethel Steel. He rose to a management position in a rolling mill at age 31.

  • His study brought about the following:
  • Improving the productivity of workers
  • Importance of selection and training procedures.
  • Need for proper cooperation and communication between workers and management.
  • Henry Gantt (1961-1919) worked with Taylor he developed the idea for an incentive scheme:
  • Instituted a reward for workers
  • Reward from supervisors of training employee
  • Garth chart for producing scheduling

Frank Gilbreth (1869-1924) and Lillian Gilbreth (1879-1972) – Their study is popularly known as time and motion studies, they involves fatigue involved in a variety of jobs, resulting in several new techniques.

Their study recalls that:

  • It will raise the morale of workers.
  • Their position plan- teaching, doing and learning.
  • Scientific selection of workers.
  • Stress the importance of training some of the problems with this finding.
  • They see managers as born and not made.
  • It stresses material gains and income psychological and social needs.

3. Organization Theory

This theory is attributed to Henry Taylor (1841-1925), who sees his success as a mining engineer with a French coal and Iron company because he applies management principles, rather than personal qualities.

The five functions include Planning, Organizing, Commanding, Coordinating, and Controlling.

Taylor expanded his principles into fourteen (14):

  • Division of work;
  • Authority and responsibility: the right to command others;
  • Discipline: firm but fair;
  • Unity of command: an employee received an order from one superior only;
  • Unit of declaration: everyone pulls the same way;
  • Subordination of individual interest to general interest;
  • Remuneration: the pay must be fair;
  • Centralization: the extent to which authority is delegated through  departments;
  • Chain of Authority: ranging from ultimate authority to lower levels.
  • Order: there must be a place for every employee.
  • Equity: treating employees well, fostering loyalty;
  • Stability of tenure of staff: job security;
  • Initiative: thinking out a plan and executing actions;
  • Espirit de corps: teamwork and harmony build up the strength of the organization.

Behavioural Theories of Management

Hugo Mitsberg and Eltin Mayo undertook a study: having in mind that psychology and sociology have developed rapidly and that it has an effect on a worker more than the environment as such they could be used in selecting, training and motivating worker.

The use of lightening to measure the effect of worker productivity was inclusive because productivity improves when there was no lightning.

It means therefore that other factors affect workers rather than the artificial condition.

Read Also: Introduction, Characteristics of Business and Resources Business Use

Some of the things that workers care for include:

  • Sympathetic supervision and care for their welfare
  • Group pressure at work
  • Relationship at home.

1. Management Science

The statutory of management science can be traced back to after the Second World War. Operational research teams were set up consisting of mathematicians, physicists and other scientists, who pooled their knowledge together to solve problems.

They try to solve problems that could not be solved by conventional means with the development of scientific means i.e. computers problems could be solved fast.

Management science is more useful in planning and controls i.e.

  • Capital budgeting;
  • Production scheduling;
  • Control of stocks;
  • Scheduling of bus, transportation etc.

This scientific method has little or no effect on people.

Management science differs from other schools because management science depends on overall planning and decision-making process.

It advocates the use of computers and mathematical models in planning.

Evaluation of the effectiveness of models.

2. The System Approach

In an organization, a systematic approach is a combination of interrelated parts, for a common purpose under the same environment.

There is at the end of the day coordination which results in synergy.

This system relies on; Information and feedback and all these are to achieve the same goal:

The system approach to management adopted from modern business administration 6th ed Robert C. Appleby (Tidman Publishing N Y 1994).

In summary, a business concern cannot be achieved except you administer it through planning, organizing, commanding and controlling. All are coordinated into a system to achieve customer satisfaction.

Business activities have two basic dimensions, in the process of implementing it, from history we have classical and behavioural aspects of attending to management problem of business.

All these human aspects of management must be looked at seriously to achieve a targeted business goal.

Read Also: The Different Types of Manure and How they Work

Share this:

Leave a Reply

Your email address will not be published. Required fields are marked *