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Henry Fayol and Principles of Management
Henry Fayol developed principles of management, in addition to a number of other management related topics. His strengths included noting how important the 'line of authority' is within each management structure. His principles are still used in today's society. (Jones: George, 2014). -
Scientific Management
Frederick W. Taylor defined what scientific management is and how it operates with his four principles he created. He believed that "if the amount of time and effort that each worker expends to produce a unit of output (a finished good or service) can be reduced by increasing specialization and the division of labor, the production process will become more efficent" (Jones, George, 2014, pg. 39). He assisted later with the production efficiency at Ford Motor. (Jones: George, 2014) -
Theory of Bereaucracy
The Theory of Bureaucracy was created by Max Weber. It is a "formal system of organization and administration designed to ensure efficiency and effectiveness" (Jones: George, Pg. 45). To put together this theory, Weber created five principles. One of his principles is that "In a bureaucracy, people should occupy positions because of their performance, not because of their social standing or personal contacts" (Jones, George, Pg. 45). (Jones: George, 2014). -
Henry Ford and the Assembly Line
In 1914 Henry Ford, who was already a successful bussiness man, and responsible for the development and creation of automobiles, created the Assembly Line. This made it so the Ford Auto Company could produce automobiles more efficiently and effectively. The invention provided a way for each employee to work on specific parts of a car along the line, therefore multiple cars could be built at the same time.
(Witzel, M., 2008). -
Hawthorne Effect
Starting in 1924, an electrical company, Western Electric, tried performing studies to assess worker behavior. More specifically, worker efficiency and effectiveness while performing certain tasks. Instead, they found what is now called the 'Hawthorne Effect', "workers' attitudes toward their managers affect the level of workers' performance" (Jones: George, pg. 52). From here, researchers were able to expand on what they had learned to develop new information. (Jones: George, 2014). -
Mary Parker Follet
Mary Parker Follet was involved with consulting regarding management and its practices. She believed that there shouldn't be just one leader, that it management should be divided up so people could work together. She said the "leader’s role in these situations is to see the unifying
thread or ‘total inter-relatedness’ between all the dif-
ferent factors in a situation" (Burns: Sorenson: Goethals: Sage Publications, pg. 750). (Burns: Sorenson: Goethals: Sage Publications, 2004). -
Two-Factor Theory
The Two-Factor Theory was developed in the 1950's by Frederick Herzberg. This theory involves employee feelings and thoughts regarding their work. Herzberg focused on the fact that "demotivation is as important as motivation" ( Capstone Encyclopedia of Business, 2003). -
Open-Systems View
The Open-Systems View was created by Daniel Katz, Robert Kahn, and James Thompson. This view broke down the process of businesses in regards to flow of goods and services. It labeled different stages of an organization's activities such as the "input stage", where "an organization acquires resources such as raw materials, money, and skilled workers to produce goods and services" (Jones: George, pg. 56). Once each stage is complete, a repeated cycle is formed. (Jones: George, 2014). -
Equity Theory
The Equity Theory was created in the 1960's by J. Stacy Adams. This theory relates to an employee's view of their work based on the work they put in and the final outcome. It was used to assess motivation in the work place. It is a "theory of motivation that concentrates on people's perceptions of the fairness of their work outcomes relative to, or in proportion to, their work inputs" (Jones: George, pg. 416). (Jones: George, 2014). -
SWOT Analysis
SWOT Analysis, stands for Strengths, Weaknesses, Opportunities, and Threats. It was used in the 1960's and 1970's and developed by Albert Humphrey. It is used to analyze a business and all of its components. When performing a SWOT Analysis, it can focus on one section or department of a business. It is a highly criticized piece of management history. (Hindle, 2008). -
Theory X and Theory Y
Theory X and Theory Y were created by Douglas McGregor. These theories give assumptions about worker behavior and attitude toward work. In Theory X, he says "the average worker is lazy, dislikes work, and will try to do as little as possible" (Jones: George, pg. 53). In Theory Y, he says "workers are not inherently lazy, do not naturally dislike work, and, if given the opportunity, will do good for the organization" (Jones: George, pg. 54). (Jones: George, 2014). -
Mechanistic Structure
This structure was proposed by Tom Burns and G. M. Stalker. This structure is used in companies where there is more stability, and employees understand the layout of rules and who is a manager or supervisor of them. Employees have a lot of structure and are aware they are being supervised while completing tasks. (Jones: George, 2014). -
Organic Structure
Tom Burns and G.M. Stalker developed the organic structure where workplaces did not follow a strict structure of management. Employees are given more motivation to be a self starter and make decisions on their own, without reaching out to management. When environments are continuously changing, this helps employees to act quicker in certain situations. (Jones: George, 2014). -
The Civil Rights Act of 1964
The Civil Rights Act of 1964This act was put into place by the federal government to prevent discrimination against race, color, religion, sec, and national origin. This law regarded the public work place, government programs, and any public spaces. -
Contingency Theory
Contingency Theory was created by Tom Burns and G.M. Stalker. This theory regards organization of management, more specificially, "there is no one best way to organize" (Jones: George, pg. 57). Managers can choose the best way to organize their business operations depending on the business and the organization. Each business is different in how it operates, therefore different systems of management work better for different companies. (Jones: George, 2014). -
Herzberg's Theory
Frederick Herzberg developed a theory regarding motivation in management. "The implicit hypothesis in this theory is that the individual should grow through their work" (Witzel, 2006). This theory focuses on humans and their daily needs in order to become successful in the workplace by making sure the environment was comfortable. (Witzel, 2006). -
OSHA
OSHA, or 'Occupational Safety and Health Act' is a federal law that was established in 1970. It makes so employees have a safe and healthy work environment. Before this time, there wasn't any structured list for how companies should create safe environments for their employees. (Tompkins, 1993). -
The Employee Retirement Income Security Act
U.S. Department of LaborThe Employee Retirement Income Security Act was created by the federal government in 1974. This law assures that private benefits such as pensions and healthcare will meet certain requirements and standards to be fair for all. Retirement Plans, Benefits & Savings. (n.d.). Retrieved September 10, 2014. -
Peters and Waterman
Tom Peters and Robert Waterman assessed the performance of organizations and released 62 of them that they felt were the best performing in the United States. Their reasonings included "top managers of successful companies create principles and guidelines that emphasize managerial autonomy and entrepreneurship and encourage risk taking and initiative" (Jones: George, pg. 50). (Jones: George, 2014). -
Total Quality Management
Total Quality Management is a branch of the 'Management Science Theory' that is used to assist with management effectiveness and efficieny through the use of IT programs. It assists with increasing product quality through the use of a computer program. The goal is to improve in the end, the customer's experience with a company.