Modern Management Theory
Management is one or the other form has existed in every nook and corner of the world since the dawn of civilization. Modern Management has grown with the growth of socialeconomics and scientific institution. Modern view consists that a worker does not work for only money. They work for their satisfaction and happiness with good living style. Here Non- financial award is most important factor. Modern management theories started after 1950s. Modern management theory focuses the development of each factor of workers and organization. Modern management theory refers to emphasizing the use of systematic mathematical techniques in the system with analysing and understanding the inter-relationship of management and workers in all aspect. It has following three StreamsQuantitative Approach System Approach Contingency Approach
Quantitative approach also called Operation Research. Quantitative approach is a scientific method. It emphasizes the use of statistical model and systematic mathematical techniques to solving complex management problems. Its helps the management to making decisions in operations. It can only suggest the alternatives based on statistical data. It cannot take final decision. It helps the management for improving their decision making by increasing the number of alternatives and giving faster decisions on any problem. Management can easily calculate the risk and benefit of various actions.
Major contributors in Quantitative Approach areJohan MacDonald George R. Terry Andrew Szilagyi System approach: System approach was developed inlate1960s. Herbert A. Simon is the father of system theory. A System is defined as a set of regularly interacting or inter - dependent components that create as a whole unit. The system concept enables us to see the critical variables and constraints and their interactions with one another. According to Cleland and King; “A system is composed of related and...
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