Management Chapter Two – Flashcards
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Sumerians
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practiced the management function of controlling by keeping records of tax receipts, real estate holdings, and lists of farm animals
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Egyptians
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used planning, organizing, leading, and controlling to build their great pyramids
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Chinese
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applied the managerial concepts of delegation, cooperation, efficiency, organization, and control
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Sun Tzu
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discussed the importance of planning and leading in his book The Art of War
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Greeks
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recognized management as a separate art and advocated a scientific approach to work
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Venetians
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standardized production through the use of an assembly line, building warehouses and using an inventory system to monitor the contents
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Adam Smith
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discussed control and the principle of specialization with regard to manufacturing workers
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economies of scale
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reductions in the average cost of a unit of production as the total volume produced increases
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economies of scale
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played a large role in the Industrial Revolution
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systematic management, scientific management, bureaucracy, administrative management, human relations
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classical approaches of management thought (in chronological order)
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sociotechnical systems, quantitative management, organizational behavior, systems theory, modern contributions to current and future revolutions
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contemporary approaches of management thought (in chronological order)
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management
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emerged as a formal discipline at toward the end of the Industrial Revolution
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classical period
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extended from the mid-19th century through the early 1950s
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systematic management
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attempted to build into operations the specific procedures and processes that would ensure coordination of effort to achieve established goals and plans
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scientific management
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applied scientific methods to analyze and determine the "one best way" to complete production tasks
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systematic management
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emphasized economical operations, adequate staffing, maintenance of inventories to meet consumer demand, and organizational control
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systematic management
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when the government did not constrain business practices significantly, labor was poorly organized, and managers were oriented toward things other than people
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precise, scientific, general guidelines, scientifically, job, cooperate, plans, principles, division, work, responsibility
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Taylor's four principles of Scientific Management: 1. Management should develop a _____, _____approach for each element of one's work to replace _____, 2. Management should _____ select, train, teach, and develop each worker so that the right person has the right _____, 3. Management should _____ with workers to ensure that jobs match _____ and _____, and 4. Management should ensure an appropriate _____ of _____ and _____ between managers and workers.
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Frederick Taylor
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introduced scientific management
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Lillian Gilbreth
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the "mother of modern management," studied how job satisfaction motivated employees and how fatigue and stress affected workers' well-being and productivity
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time and motion studies and differential piecerate system
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two key elements to Taylor's scientific management approach
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differential piecerate system
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a pay system in which workers were paid additional wages when they exceeded a standard level of output for each job, used in scientific management
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bureaucracy
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emphasized a structured, formal network of relationships among specialized positions in the organization
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Weber
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showed in his book "The Theory of Social and Economic Organizations" how the ideal model for management is the bureaucracy approach
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bureaucracy
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can be very difficult to dismantle once established, quite permanent
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administrative management
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emphasized the perspective of senior managers within the organization, and argued that management was a profession and could be taught
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administrative management
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a classical management approach that attempted to identify major principles and functions that managers could use to achieve superior organizational performance
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human relations
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a classical management approach that attempted to understand and explain how human psychological and social processes interact with the formal aspects of the work situation to influence performance
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hawthorne effect
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people's reactions to being observed or studied resulting in superficial rather than meaningful changes in behavior
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Henri Fayol
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laid out a framework for administrative management when he published a book identifying five functions and fourteen principles of management
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Chester Barnard
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outlined the role of the senior executive (formulating the organization's purpose, hiring key individuals, and maintaining organizational communications) in his book "The Functions of the Executive
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Fayol and Barnard
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the two associated with administrative management
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human relations
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the first major approach to emphasize informal work relationships and worker satisfaction
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Hawthorne Studies
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research project that involved Western Electric hiring a team of Harvard researchers to investigate the influence of physical working conditions on workers' productivity and efficiency in one of the companies factories outside Chicago, found that workers acted differently when watched--no change in productivity with lighting
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Hawthorne Studies
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concluded with the idea that productivity may be affected more by psychological and social factors than by physical or objective influences
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Maslow
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a contributor to the field of human relations with his five levels of needs
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sociotechnical systems theory
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an approach to job design that attempts to redesign tasks to optimize operation of a new technology while preserving employees' interpersonal relationships and other human aspects of the work
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quantitative management
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a contemporary management approach that emphasizes the application of quantitative analysis to managerial decisions and problems
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sociotechnical systems theory
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suggests that organizations are effective when their employees (the social system) have the right tools, training, and knowledge (the technical system) to make products and services that are valued by customers
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social system (of sociotechnical systems theory)
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the employees of a company
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technical system (of sociotechnical systems theory)
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the right tools, training, and knowledge to make a product or products
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quantitative management
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helps a manager make a decision by developing formal mathematical models of the problem, usually as a supplement to other decision-making factors
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quantitative management
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not used very often, perhaps because many managers have not been trained in using the techniques, because many aspects of a decision can't be expressed through formulas/symbols, and because many of the decisions managers face are non-routine and unpredictable
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organizational behavior
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a contemporary management approach that studies and identifies management activities that promote employee effectiveness by examining the complex and dynamic nature of individual, group, and organizational processes
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systems theory
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a theory stating that an organization is a managed system that changes inputs into outputs
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inputs
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goods and services organizations take in and use to create products or services
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outputs
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the products and services organizations create
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organizational behavior
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draws from a variety of disciplines, including psychology and sociology, to explain the behavior of people on the job
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Theory X managers
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assume workers are lazy and irresponsible and require constant supervision and external motivation to achieve organizational goals--a self-fulfilling prophecy
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Theory Y managers
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assume employees want to work and can direct and control themselves
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Douglas McGregor
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suggested the idea of Theory X and Theory Y managers, preferring Theory Y managers
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organization, external environment, one aspect, other considerations
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The classical approaches as a whole were criticized because they 1. ignored the relationship between the _____ and its _____, and 2. usually stressed _____ of the organization or its employees at the expense of _____.
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systems theory
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emphasizes that an organization is one system in a series of subsystems
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contingency perspective
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an approach to the study of management proposing that the managerial strategies, structures, and processes that result in high performance depend on the characteristics or the situation in which they are applied
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contingencies
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factors that determine the appropriateness of managerial actions
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systems theory
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Which management theory deals with the contingency perspective?
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contingency perspective
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holds that there is no "one best way" to manage and organize because circumstances vary, gives the "it depends" answer within management
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Jim Collins
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researched 1435 companies to understand why some reached high levels of sustained performance and others did not, discovered that some are managed by "level 5 leaders" who often display humility while simultaneously inspiring those in the organization to apply self-discipline and self-responsibility while pursuing high standards
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Jack Welch
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transformed General Electric and is known to have mastered "all of the critical aspects of leadership: people, process, strategy and structure" although he does rank employees and sell off underperforming divisions
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Michael Porter
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a Harvard professor who is a well-known and influential expert on competitive strategy
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Gary Hamel
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recently ranked as the "world's most influential business thinker" by the WSJ, has published numerous influential articles as well as a book
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Peter Drucker
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a management guru who first discussed "management by objective" (MBO) by which a manager must be self-driven to meet goals, also championed decentralization, employees as assets and not liabilities, and corporation as a human community
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Collins, Welch, Porter, Hamel, Drucker
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five "modern contributors" to management"
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teamwork, work groups
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According to sociotechnical systems theory, _____ and _____ are key to creating efficient work systems.
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participative management
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a value of organizational behavior stressed by Rensis Likert
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pin factory
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Adam Smith studied _____ workers with respect to specialization.
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Adam Smith
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Who introduced the notion of economies of scale?
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Henry Gantt
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expanded on the piecerate system to include bonuses to supervisors whose workers completed their assigned daily tasks
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Gantt chart
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a device helpful for completing daily tasks
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motion studies
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when the Gilbreths filmed workers to identify and remove wasteful movements
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Frank and Lillian Gilbreth
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associated with scientific management, used motion studies, learned from their 12 children (popularized in Cheaper by the Dozen)
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administrative management
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still had a primary focus on efficiency, but now at the level of the whole organization rather than on the individual
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whole organization, individual
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Administrative management still had a primary focus on efficiency, just at the level of the _____ rather than on the _____.
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business executives
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Major contributors to administrative management were _____ writing about their experiences.
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five, fourteen
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How many functions of management did Henri Fayol identify? How many principles?
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espirit de corps
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promotes a unity of interests between management and employees
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bureaucracy
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has roots in a variety of ancient cultures (Sumer, Egypt, Rome, China)--usually tied to systems of taxes, collection and distribution of resources, etc.
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division of labor, authority, qualifications, ownership, rules and controls
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five characteristics of an effective bureaucracy
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Mary Follett
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social worker and social philosopher who emphasized cooperation and involvement of workers in decisions
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Elton Mayo
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Who is associated with the Hawthorne effect?
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Follett and Mayo
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two people associated with Human Relations
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human relations
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proponents argued that better human relations could improve productivity and that social needs were at least as important as economic needs for motivating employees
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organizational behavior
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What is Douglas McGregor's Theory X/Y associated with?
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competition, zero-sum outcomes, cooperation, growth
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Traditional economists tend to take a Theory X view of people, companies, and countries, leading to _____ and _____. If we view them through a Theory Y lens, we get _____ and _____.
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organizational behavior
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the outgrowth of the human relations movement
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organizational behavior
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studies and identifies management activities that promote employee effectiveness
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organizational behavior
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first system that focuses on the complex and dynamic nature of the individual, group, and organizational processes
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systems theory
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takes inputs from the environment outside the firm and transforms them into outputs that go back in to the environment
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does not, very limited
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Contingency Perspective _____ mean that you can just do anything, it means that given a set of contingencies, there may be a _____ set of appropriate responses.
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institutional theory
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there are a variety of institutional components necessary for business, many institutional constraints on businesses, businesses must seem "legitimate" to be successful, management might do things that are not "legitimate" do be successful
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institutional theory
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under "current contributions"