Application of Management Theories

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1.Scientific Management Theory:
Frederick Winslow Taylor (1856-1915), the Father of Scientific Management, assumed that labor is not the cause of most problems in business and it is only the management which can provide solutions to the problems of the business. His principles were:

1. Develop a science for each element of an individual’s work to replace the old rule-of-thumb method. 2. Scientifically select and then,teach and develop the worker. 3. Heartily co-operate with the workers so as to ensure that all work is done in accordance with the principles of the science that has been developed. 4. Divide work and responsibility almost equally between management and workers. Management does all work for which it is better suited than the workers. EXAMPLE: In many ways McDonalds, Kentucky Fried Chicken(KFC) are the archetypical examples of organizations employing Scientific Management in production. Within this restaurant chain, uniformity is complete; no matter what country we are in every branch of McDonalds is the same, as the methods they use to prepare food, clean floors, promote staff and lock up on closing. It is this ability to efficiently supply standard food and service throughout the world that has allowed McDonalds to become the biggest restaurant chain on the planet.

Frank and Lilian Gilbreth, this couple invented a device called microchronometer and has contributed to eliminate unnecessary body movements of labors and thus save time. Using Gilbreth’s techniques, a bricklayer for example was more productive and less fatigued at the end of his/her working day. The Gilbreths implied their idea on their family too!

Frank and Lillian Gilbreth, parents of 12 children, ran their household using scientific management principles and techniques. Two of their children wrote a book, Cheaper by the Dozen, that described life with the two masters of efficiency.

Using time and motion study to eliminate wasted motions, hiring the best qualified workers for a job or designing incentive systems are some examples of scientific management principles used by today’s managers. 2.General Administrative Management Theory

Henri Fayol belongs to the administrative management branch of the classical school. His entire working career was spent with a mining company, Commentary-Fourchambault Company, where he rose from an apprentice to General Manager. His first writing on administration, Administration Industrielle et Generale, was published in 1916 in the Bulletin of the Society of Mineral Industries and later appeared as a book. Henri Fayol (1841-1925), as a result of his long management career, developed fourteen management principles: 1. Division of Work. Division of work, specialization, produces more and better work with the same effort. It focuses effort while maximizing employee efforts. It is applicable to all work including technical applications. There are limitations to specialization which are determined by its application. 2. Authority and responsibility. Authority is the right to give orders and the power to exact obedience. Distinction must be made between a manager’s official authority deriving from office and personal authority created through individual personality, intelligence and experience. Authority creates responsibility. 3. Discipline. Obedience and respect between a firm and its employees based on clear and fair agreements is absolutely essential to the functioning of any organization. Good discipline requires managers to apply sanctions whenever violations become apparent. 4. Unity of command. An employee should receive orders from only one superior. Employees cannot adapt to dual command. 5. Unity of direction. Organizational activities must have one central authority and one plan of action. 6.Subordination of individual interests to the general interest:The interests of any one employee or group of employees should not take precedence over the interests of the organization as a whole....
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