Peter Drucker (b. 1909) made an enduring contribution to understanding the role of manager in a business society. Unlike the previous Fayolian process texts, Drucker developed three broader managerial functions: (1) managing a business; (2) managing managers; and (3) managing workers and work. He proposed that in every decision the manager must put economic considerations first. Drucker recognized that there may be other non-economic consequences of managerial decision, but that the emphasis should still be placed on economic performance. W. EDWARDS DEMING.
Deming, an American, is considered to be the father of quality control in Japan. In fact, Deming suggested that most quality problems are not the fault of employees, but the system. He emphasized the importance of improving quality by suggesting a five-step chain reaction. This theory proposes that when quality is improved, (1) costs decrease because of less rework, fewer mistakes, fewer delays, and better use of time and materials; (2) productivity improves; (3) market share increases with better quality and prices; (4) the company increases profitability and stays in business; and (5) the number of jobs increases. Deming developed a 14-point plan to summarize his teachings on quality improvement. These fourteen points are listed> 1.Create consistency of purpose toward the improvement of product and service, and communicate this goal to all employees.
2.Adopt the new philosophy of quality throughout all levels with the organization. 3.Cease dependence on inspection to achieve quality; understand that quality comes from improving processes. 4.No longer select suppliers based solely on price. Move towards developing a long-term relationship with a single supplier.
5.Processes, products, and services should be improved constantly; reducing waste. 6.Institute extensive on-the-job training.
8.Drive out fear of...