Scientific Management
Question:
Write a response to the following essay question: ‘There is only one best way to manage’.
In modern times, the management has a plethora of tools and techniques available at its disposal for the effective administration of the organization. The management of an organization has the responsibility of the optimum distribution of resources and then instituting mechanisms to supervise its performance in the organization, within its defined standards. The human resource within the organization has different cultures and background, so as a result of the implementation, there are chances of conflict of interest as well as alignment of the workforce with the same ideologies, which results in initializing a system of group dynamics (Timiyo, 2014). The method of administering an organization consists of various elements like designing, organizing, supervising, staffing and time -management to meet the objectives of the organization. The goal of the management should be profit maximization along with job satisfaction of the employees. There are different theories which explain the methods to manage the organization. The mangers should prefer the principle which suites for their organization in the best way.
The theory of Scientific Management asserts that there is only one best way to deal with all the issues that apply to the business. As per Frederick Winslow Taylor, the father of the Theory of Scientific Management the utmost welfare of all the employees and the prosperity of the business are the important aspects of Scientific Management .Taylor conveyed that the workforce should be technically hired and provided training in order to enable them to do their work skillfully, resulting in job satisfaction. So, it can be envisaged that in order to increase the efficiency of the organization, the concern of both the parties should go hand in hand, which in turn will lead to profit maximization (Turan, 2015).
Contingency Theory is one of the theories of management which attempts to ascertain and evaluate the situations under which things will probably happen (Peretomode ,2012). It explains the analysis of organizational behavior pertaining to the effect of contingent factors such as technology; competitors and factors external to the organization have an impact on its performance. The presumptive fundamental to this theory is that every organization is affected by distinct factors. Alternatively its performance depends on a variety of factors such as size, technology adopted, its structure and culture adopted (Islam & Hu 2012).The efficacy of the structure of an organization depends on its capability to adjust to fluctuations in the external and internal atmosphere .So, the managerial personnel uses the contingency theory to analyze the contingent factors and to upgrade the efficiency of the organization (Amara & Benelifa ,2017).
Another theory of management is Fordism. It forms the foundation of contemporary economic and social systems in public consumption and production. Named after Henry Ford, it is often used in societal, financial and administrative principles of procurement, working environment and associated events. This theory has three aspects. The first one is assembly line .The laborer has to manufacture only a part of the whole product. The second one is standardization. Each and every process to manufacture the product is mechanical and standardized. The third is by increasing the worker’s pay; they would be able to buy the products which they manufactured. As a result, the cash would flow back into the owner’s pocket. It helped in cost effectiveness, by lowering the operational cost through the employment of unskilled workers. It has an impact on the execution of the modern organizational policies to approach the requirements of the fierce market competition such as total quality management, just in time etc (Turi, et. al., 2015).
Contingency Theory
Toyotaism is another theory of modern management. Evolved by Toyoda, it is unsegregated socio-technical mechanism, encompassing the production and transportation for the automobile manufacturers, along with the communication with suppliers and consumers. It was developed by Taiichi Ohno and Eiji Toyoda ,the two Japanese engineers ,between 1948-1975.Known as Just-In-Time Production, it is formed by the principles created by the founder of Toyota, Sakichi Toyoda,his son Kiichiro Toyoda and the engineer Taiichi Ohno. The major objectives of this theory are to abolish wastage and instability by planning a process which is able to deliver the preferred result efficiently. It is based on two concepts .Just-In-Time and Jikoda. Just-In-Time refers to manufacturing only what is desirable, when it is desirable and the desired quantity. Jikoda pertains to mechanization with a human touch. Its basic principles are continuous improvement and respect for people. So, its focus is on elimination of wastage and managing people (Turi, et. al., 2015).
Bureaucratic Management Theory by Max Weber is yet another theory of management which explains two main components- constitution of a firm into a hierarchy and precisely describing the regulations to administer a firm. There are five doctrines of Bureaucratic Management Theory. The first one is appropriate division of labor. There must be equilibrium between rights and responsibilities. The second one is organizational hierarchy. It should be organized systematically so that the information related to work and decision making flows smoothly from the upper to the lower management. The third one is segregation of personal and official estate. The estates of the owner and the firm are segregated and cannot be considered same by the management. The fourth one is implementation of homogeneous regulations. There should be complete mandate to manage the organizations. These should be applicable to the organization and its personnel in uniformity. The fifth one is the preference of the candidates should be on the basis of their qualification, skills and the position for which it is applied. It should not be biased and influenced by some personal interests. On the other hand, this system is dominated by high level of authorization among the top management .So, it is considered as inappropriate mechanism for management (Fry & Raadschelders,2013).
Henry Fayol is considered as the ‘Father of the Administrative School’. His management theory states that the organizational undertakings should be divided into six classes. Technical comprises of production, procurement and designing .Commercial consists of purchasing, selling and interchanging. Financial comprises of the optimal utilization of wealth of the business. Security refers to the safety of resources and the workforce. Accounting comprises of being cost effective and stock and financial analysis .Lastly, Managerial refers to drafting, arranging, supervising and synchronizing the activities of an organization. This five point approach counsels the managers to perform their responsibilities in a better way. However, He has instituted some general Principles which guide the management in better administration. He was the pioneer in explaining the mechanism of management from top to bottom .Hence ,His principles which were explained 100 years ago are relevant even in the modern times ( Fayol 2016) ( Williams 2013).
Fordism
According to ?nday (2016), the Neoclassical Theory of Management by Elton Mayo is another concept of management which integrates the way of conduct with the managerial science .He is known as ‘The Father of Human Relations Movement.’ His theory emphasizes on the human side of the management. The human relations movement and the behavioral movement are the two approaches of the Neoclassical Theory of Management. The former intended to enhance the output of the staff by analyzing the aspects related to working conditions like the duration of work, the week offs and the working conditions. It was inclined towards the humanitarian aspect of management and explained the importance of human integrity. In 1927 at Chicago, an experiment was conducted on the workers of the Hawthorne Works of the Western Electricals to discover the connection between the working conditions, the general exhaustion, and the resulting boredom among the workers. It explained that the workers were willing to work only to ensure sufficient income and denied to work beyond that. The latter is recognized as the advanced stage of the human relations movement. Mayo’s ideologies were stimulation of the workforce for better output, perceiving the organization as a community ,improvement of the capabilities of the staff for the growth of the organization , emphasis on the inter personal roles and responsibilities and the influence of efficient discussion and leadership qualities on the development of the organization. This theory insisted the thinkers to consider the humanitarian aspect of the organization and to move away from the traditional theories which insisted on the hierarchy and organizational design (Nhema, 2015).
Therefore, there are different theories which explain their ideologies about ‘There is only one best way to manage’. Different organizations operate in different environments. So, the managers should be cautious while selecting the theory to manage their organization. The philosophy chosen should take care of organization’s exposure, the flow of powers within the organization, the various resources employed and the decision making authority. The factors such as the adopting the optimum methods to employ the capital and enforcing the rights of the workforce should also be taken into consideration while choosing ‘The best way to manage.’ Hence, while assessing the techniques of management, the managers should evaluate whether they have appropriate resources to develop them to meet the organization’s goals (Owoyemi & Ekwoaba, 2014)
References
Amara,T. , Benelifa,S. (2017). The Impact of External and Internal Factors on the Management Accounting Practices. International Journal of Finance and Accounting 2017. 6(2).pp 47.
Fayol, H.( 2016). General and industrial management. Ravenio Books.
Fry, B.R. and Raadschelders, J.C.( 2013). Mastering Public Administration: From Max Weber to Dwight Waldo.CQ Press.USA.
Islam, J. & Hu ,H. (2012). A review of literature on contingency theory in managerial accounting. African Journal of Business Management. 6(15).5159
Nhema, G., A.(2015). Relevance of Classical Management Theories to Modern Public Administration: A Review. Journal of Public Administration and Governance.5(3).
?nday,O. (2016). Human Resource Theory: From Hawthorne Experiments Of Mayo To Groupthink Of Janis. Global Journal of Human Resource Management. 4(1).
Owoyemi O., O. & Ekwoaba J.O(2014). Organisational Culture: A Tool for Management to Control, Motivate and Enhance Employees’ Performance. American Journal of Business and Management. 3(3).
Peretomode ,O.(2012). Situational And Contingency Theories Of Leadership: Are They The Same?. Journal of Business and Management.4(3).
Timiyo,A.,J.(2014), High Performance Work Practices: One best-way or no best-way, IOSR Journal of Business and Management.16(6).
Turan, H.(2015). Taylor’s “Scientific Management Principles”: Contemporary Issues in Personnel Selection Period. Journal of Economics, Business and Management. 3(11).
Turi, A., Mocan,M., Ivascu, L. , Goncalves ,G. & Maistor, S. (2015). From Fordism To Lean Management: Main Shifts In Automotive Industry Evolution Within The Last Century,[Online].Available at : https://www.toknowpress.net/ISBN/978-961-6914-13-0/papers/ML15-098.pdf [Accessed on : 13 December,2017]
Williams, C.( 2013). Principles of management. South-Western Cengage Learning.
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