Chapter 2: The History of Management

Question 1

Domestic system of production

Answer 1

A system of small-scale production where work is done by hand, often by family members in their own homes, or in local workrooms

Question 2

Industrial Revolution

Answer 2

A period of time, beginning in the late 1700s, when a variety of important innovations spurred the growth of large-scale industrial organizations

Question 3

Innovations in transportation:

Answer 3

• Steam technology
• Railroads
• Automobile
• Airplane

Question 4

Innovations in production:

Answer 4

• Spinning jenny
• Cotton gin
• Sewing machine
• Electricity
• Assembly line
• Technology

Question 5

Innovations in communication:

Answer 5

• Morse code
• Telegraph
• Telephone
• Wireless technology

Question 6

Nepotism

Answer 6

Favouritism in hiring and other administrative decisions in favour of family members rather than applicants and employees who may be better qualified

Question 7

Scientific management

Answer 7

A perspective of management which sought to examine work tasks and tools to identify changes that could be made to increase employee productivity and their well-being.

Question 8

Fredrick Taylor’s scientific management theory :

Answer 8

• To replace the guesswork, bias, favoritism, and traditions out of managing and replace them with scientific logic. The new approach involved studing work processes, workers, and various methods of identify the best way to do work to maximize productivity.

Question 9

Administrative and bureaucratic perspective

Answer 9

A view that organizations can be understood and managed from the top down, by focusing on the structure and quality of the management functions

Question 10

Max Weber found 3 types and bases of authority :

Answer 10

1. Traditional authority
2. Charismatic authority
3. Rational-legal authority

Question 11

Traditional authority

Answer 11

authority owed to a person in a position of power because they inherited the post rather than obeying rules.

Question 12

Charismatic authority

Answer 12

Authority based on virtue of personal trust in a leader, heroism, or exemplary qualities of a leader

Question 13

Rational-legal authority

Answer 13

Authority based on law – the personal order of a person in a position of authority within the defined area of legitimate power.

Question 14

Henri Fayol Theories:

The primary functions a successful leader has are:

Answer 14

1. Forecasting and planning
2. Organizing
3. Commanding
4. Coordinating/leading
5. Controlling

There are 14 reasons Fayol believed managers should follow to be effective.

Question 15

Munsterberg Theories:

Answer 15

He used experimental psychology to examine whether individual differences in things like mental traits or abilities have implications for work-related processes.

Question 16

Hawthorne effect

Answer 16

people will modify their behavior because they are being observed

Question 17

Human relations perspective of management

Answer 17

focused less on management of people within organizations and more on how people actually work within organizations.

Question 18

Grass roots / bottom up approach

Answer 18

studied how work was really done and then developed some critical considerations that serve as major issues in modern organizations.

Question 19

Management science

Answer 19

A field of study that uses sophisticated mathematical and statistical models to account for a multitude of variables in order to improve decisions in organizations

Question 20

Total quality management (TQM)

Answer 20

A structured approach to organizational management that strives for continuous improvement and enhancement of quality. It blends parts of administrative theory, scientific management, and behavioural pperspectives.

Question 21

The Juran Trilogy

Answer 21

It highlights the need to think about quality from several view points:

Quality planning: it’s important to think about features offered in a product or service from the customers view point

Quality control – Measure performance against standards to identify deficiencies

Quality improvement – take steps to find the causes of the quality problems and take action to eliminate them from returning.

Question 22

System perspective

Answer 22

A perspective of management that recognizes organizations function in an environment that must be considered when making decisions.

Inputs: raw materials

Processes: transformational processes

Outputs: the outputs influence the external environment

Question 23

Contingency Perspective

Answer 23

the leaders effectiveness depends on how well the leader style matches a specific setting or situation.

Theory Y: presumes employees have an innate desire to have automony and responsibility, and they can contribute to the organization through particiative and self directed behavior.

Theory X: presumes employees do not like to work and they tend to avoid responsibility. Thus their behavior need sto be actively directed and managed using coercion and control.

Question 24

Human capital

Answer 24

The knowledge that people hold in an organization

Question 25

Social capital

Answer 25

The knowledge that is shared among individuals in groups or organizations

Question 26

Organizational capital

Answer 26

Knowledge that is retained by the organization in routines, databases, patents, manuals, structures, and processes

Question 27

Knowledge workers -

Answer 27

Employees who rely on their knowledge and who combine their knowledge with others to make job-related contributions

Question 28

Project management

Answer 28

The systematic process of managing a work-related project from its inception to conclusion

Question 29

The factory model

Answer 29

-