Sunday, June 8, 2008

CLASSICAL APPROACH

Assessing Pre-Classical Contributions
Pre-classical contributions generally tried to find solution to contemporary managerial problems. The early pioneers, with their technical backgrounds, didn’t regard Management as a separate field of study. However, their ideas did lay the foundation for the management theorists of the 19th century.

CLASSICAL APPROACH
This Management thought can be divided into three separate schools:

1. Scientific Management.
2. Administrative Management Principles.
3. Bureaucratic Management.

1. Scientific Management: It can be defined as “ that kind of management which conducts a business or affairs by standards established, by facts or truths gained through systematic observation, experiment, or reasoning.” Some of earliest advocates of Scientific Management were FW Taylor, Frank Gilbreth, Lillian Gilbreth and Henry Gantt.

Frederick Winslow Taylor: He is considered as “father of Scientific Management”, wrote “The principles of Scientific Management”. This theory involves following four steps:
(i) Developed a science for each element of the job to replace old methods.
(ii) Scientifically selects employees and then train them to do the job as described in step (i).
(iii) Supervise employees to make sure they follow the prescribed methods for performing their jobs.
(iv) Continue to plan the work but use the workers to actually get the work done.
Note: Taylor dissolves the “Soldiering” problem, which refers to the practice of employees deliberately working at a pace slower than their capabilities.

The two major managerial practices that emerged from Taylor’s approach to Management are:
(i) Piece Rate Incentive System (PRIS).
(ii) Time-and-Motion Study (T&MS).

Piece Rate Incentive System: Taylor felt that the wage system was one of the major reasons for soldiering. To resolve this problem, he advocated the use of a PRIS. Under this system, a worker who met the established standards of performance would earn the basic wage rate set by management. It the worker’s output exceeded the set target, his wages would increase proportionately. This motivates the workers to produce more.

Time-and-Motion Study: Taylor tried to determine the best way to perform each and every job. To do so, he introduced a method called T&MS. In this, jobs are broken down into various small tasks or motions and unnecessary motions are removed to find out the best way of doing a job. Then each part of the job is studied to find out the expected amount of goods that can be produced each day. This was a simpler, easier and better way to perform a job.

Frank & Lillian Gilbreth: After Taylor, F& L Gilbreth made numerous contributions to the concept of Scientific Management. Frank is considered the “father of motion study”. Lillian was associated with the research pertaining to motion studies. Motion study involves finding out the best sequence and minimum number of motions needed to complete a task. They were mainly involved in exploring new ways for eliminating unnecessary motions and reducing work fatigue.

Henry Laurence Gantt: He is probably best remembered for his work on the task-and-bonus system and the Gantt Chart. Under Gantt’s Incentive Plan, if the worker completed the work fast, i.e. in the less than standard time, he received a bonus. He also introduced an incentive plan for foreman, who would be paid a bonus for every worker who reached the daily standard. If all the workers under a foreman reached the daily standard, he would receive an extra bonus.

Gantt Chart is still used today by many organizations. It is a simple chart that compares actual and planned performances. It was the first simple visual device to maintain production control. The chart indicates the progress of production in terms of time rather than quantity.




Limitations Of Scientific Management
In spite of numerous contribution it made, there are a few limitations appended below:

1. The principles of SM resolve around problems at the operational level and do not focus on the Management of an organization from a manager’s point of view. These principles focus in the solution of problems from an engineer’s point of view.

2. This approach overlooked the social needs of workers and overemphasized their economic and physical needs.

3. SM also ignored the human desires for job satisfaction. The worker strikes not because of salaries or wages, but due to bad working conditions and improper machineries and poor management.

4. They treated human beings as machines, like other factors of production.

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