Management Theory and Practice, Research Paper Example

Evolution of Management

The earliest schools of thought on management date back to the time of the industrial revolution and termed ‘the classical management theory’. Given large-scale factory operations Managers were unsure how to deal with the new environment and the way to train employees, many of which were foreign immigrants. The classical school of thought derives much of its knowledge from chief contributors like Frederick, Taylor, Frank and Lillian Gilbreth and Henry Gantt.

Frederick Taylor gained fame for his scientific approach to productivity savings in the factories. He also developed new incentive systems that paid workers for increased productivity in meeting new standards. The result was that productivity sharply increased in a short timeframe also increasing profit margins in the steel plants. Tayler was dubbed ‘father of scientific management’.

Henry Gantt was an associate of Frederick Taylor and became widely known for his scheduling tools in planning production. The design of the Gantt chart is still widely used in project management planning today.

Frank and Lillian Gilbreth gained fame for their work in the field of time and motion studies. The study and refinement of processes increased productivity and reduced costs in the production cycle.

There are four general management theories that guide managers in organizations today:

Frederick Taylor | Theory of Scientific Management; helped in bringing science into the equation of management (theory of scientific management). He understood the concept of motivation and workers being paid fair compensation for the amount they produced. He was responsible for the introduction of the differential piece-rate system.

Henri Fayol set out the 14 underlying principles of management, thereby establishing a framework for management.

Max Weber | Beurocratic theory of management; focused more on the distinction of power and authority. He believed that management espousing power was more likely to create a coercive and threatening work environment. It failed to motivate, was intimidating and created barriers that was adverse to productivity and a motivated workforce.

Elton Mayo : behavioural theory of management; was more concerned with the behavioral aspects of management and how individual performance could be enhanced if they were motivated, maintained their self-esteem and made to feel an important part of the process.

Henri Fayol | Administrative management theory; responsible for setting down the foundations of management and the 14 underlying principles.

Management Principles

There are four main elements to the managerial process, these being planning, leading, organizing and control. Planning is the ability to orchestrate a number of different events with the objective of achieving specific goals that are delivered on-time, within scope and to specified budget constraints. Leadership is about a specific style that is adopted to manage either a business or a group of people towards a common purpose. Examples of leadership styles include that of transactional, transformational, path-goal oriented etc. Organizing is an extension of leadership in the sense of having the ability to manage a portfolio of resources and activities in the optimum manner towards achieving business objectives. Control is about effective governance and the maintenance of disciplines in order to achieve stated objectives and avoid deviating from the plan. (Daniel A. Wren, 2008)

Contrasting Management Theories Within the Work Environment

Max Weber’s Beurocratic Theory of Management

Weber attempted to make distinction between authority and power. He felt that power was a form of coercion that forced compliance by threat or force. This is turn forced individuals to comply with regulations. In this sense he defined three types of power (1) Charismatic Power, Traditional Power and Beurocratic / legal power. This still remains very evident in many educational administrative settings to this very day.

For example examples of Beurocratic power can be evidenced where these type of features exist

• Formal hierarchies, (2) Selection on Technical skills (3) Management by rules and local authorities (4) Written instructions (5) emphasis on legal powers (6) Mostly impersonal relations.

Management Leadership Models

In the last 10 years, Management Scientists have been trying to put forward the best styles of leadership for modern business management. The work to date indicates that there is not a single leadership style that fits all business management applications. Dr. Paul Hersey is a Management Professor that has put forward one model on situational leadership. In his book ‘The Situational Leader’ he focuses upon how a follower achieves a readiness state and illustrates this in four quadrants containing the elements of effective leadership. The Model as developed by Blanchard and Hersey essentially holds that managers must vary their leadership style in accordance with the situation that presents itself.

The Situational Leadership Model by Blanshard and Hersey is an important contribution because it has created a relatively simple matrix in order to explain a complex subject. Managers in larger business enterprises are able to examine their directive and supportive leadership styles and determine where they are portrayed on the Model. By adjusting, the dynamics of their leadership style that can fine-tune the behavioural stance of leadership to be more supportive or more directive as the occasion demands. Hersey pointed out that this is not a theoretical concept but that of a leadership model. This is because the model is more application oriented and may be modified or adapted to meeting various situations as opposed to theoretical considerations that are normally more fixed. Much of the work of Blanschard and Hersey aligned with the founding principles of management by Henri Fayol. (Cole, 2004)

The negative side of traditional leadership models is that it has been more inwardly focused upon personal leadership styles as opposed to taking a more holistic viewpoint in terms of looking who leadership serves and how best to gain the optimum outcomes for the organization i.e. managing customer relationships and ensuring the business objectives are driven and focused towards meeting these needs. Positive attributes are that it has promoted group dynamics within the organization and helped in business transformation and change management.

In more recent years Educational Administrators and Teachers have become more focused on the concept of Servant Leadership. Servant Leadership may be defined as a leadership style that influences, models and supports how people learn to serve others first. It encourages the concept of speed (efficiency) and integrity in the way people interact and negotiate in a business setting. The concept covers both an internal and external focus. The approach works on the basis that in meeting peoples legitimate needs one gains more influence as a leader. This builds trust within the organization and is seen as dedication and commitment by customers. The qualities of servant leadership can be seen in individuals that:-

• Have Empathy – they are good listeners
• Empowered – They encourage others to lead by active delegation
• Positive attitude – They promote a positive outlook in the organization
• Desire – They have honesty and integrity and work on building trust
• Problem Escalation – They will resolve issues or problems in an expedient manner
• Serve – Excellent provision of customer service

Pros and Cons of Servant leadership

This approach aligns somewhat to the managerial theory put forward by Elton Mayo and his early behavioural experiments. The importance of the psychological impacts on workers and how worker participation and involvements gains improved aspects of productivity. In Educational administration this means 360 degree participation in policy formulation and decision making e.g. Headmasters, Teachers, Students, Parents, Local law enforcement, etc.

The improved work environment is improved by inclusion of people who feel involved in helping to make the Administrative system work.

Servant leadership has become an extremely popular approach in modern business. In a difficult financial climate competition for business increases and a good customer, relationship management team becomes of paramount concern. Good servant leaders bring about a very positive approach in the development of internal resources by promoting them, coaching and encouraging them, whilst equally motivating them towards a sense of community building. People will follow such leaders because they portray a selfless and generous demeanour and concerned about the welfare of others.

This style is very paternalistic and encourages others not to be selfish but consider what they can do to help others

The style treats employees more as business partners as opposed to helpless drones of a slavish and subordinate mentality. Equally, the customers will look at the positive internal dynamics that are being generated. Customers will see this as indicative of the manner they will be treated i.e. with equality, respect, personal concern and a willingness to achieve a high quality product or service.

It can prove very challenging for a Transactional Leader to move over towards that of the Servant Leadership style. Consider the traits of the Transactional Leader – these leaders have an authoritarian relationship with their staff. They believe motivation is attained by concepts of reward and punishment. These leaders believe in a hierarchical organizational structure and employees accept the authority of the manager. This power model will find it hard to relinquish control in favour of delegation of responsibility. They are less involved in negotiation but more management by achievement of objectives.

Conclusion

The founding fathers from the classical school of management helped to establish the foundations of modern management theory and practice. Since the early 19^th century a huge body of knowledge has been added to management science and the business world has completely transformed from that time owing to the internet, sophistication communications and technology and the dawning of globalization. With multi-national companies operating throughout the world and research projects in Universities involving world-wide collaboration.

Management has become scientific based and universal by nature. Diversity has increased in importance one of the most compelling arguments for the training of diversity, is in the US business sector, the shifting demographics. Almost 18% of the working population speaks a language other than English. The range of diversity amongst the American people is changing to a blend of ethnic origin from Black, White, Hispanic and Asian backgrounds. This creates the need to understand the diversity and cultural needs of different ethnic backgrounds in the work place today.

References

Cole, G. A. (2004). Management: Theory And Practice. New York: Cengage Learning .

Daniel A. Wren, A. G. (2008). The Evolution of Management Thought. London: Wiley & Sons.