Chapter 2 – Management Yesterday and TodayTrue/FalseAccording to Adam Smith, division of labor was an important concept.In the Industrial Revolution, machine power began substituting for human power.“Principles of Scientific Management” was writ ten by Frederick Taylor.Frank Gilbreth’s best-known contribution to scientific management concerned selecting the best worker.Frederick Taylor is most associated with the principles of scientific management.One could say that Fayol was interested in studying macro management issues, whereas Taylor was interested in studying micro management issues.Bureaucracy, as described by Weber, emphasizes rationality and interpersonal relationships.Decisions on determining a company’s optimum inventory le vels have been significantly influenced by economic order quantity modeling.Barnard, Follet, Musterberg, and Owen are all theorists are associated with the early organizational behavior approach. Multiple ChoiceAdam Smith's, "The Wealth of Nations," put forth that the primary economic advantage by societies would be gained from which of the following concepts?a. management planning and controlb. on-the-job trainingc. union representationd. fair employment legislatione. division of laborWhich of the following is not one of the four management approaches that grew out of the first half of this century?a. scientific managementb. general administrativec. organizational behaviord. systems approache. quantitativeAccording to the text, probably the best-known example of Taylor’s scientific management was the ______________ experiment.a.horse shoeb.pig ironc.blue collard.fish tankWhich of the following is NOT one of Taylor’s four principles of management?a.Develop a science for each eleme nt of an individual’s work, which will replace the old rule-of-thumbmethod.b.Scientifically select and then train, teach, and develop the worker.c.Heartily cooperate with the workers so as to ensure that all work is done in accordance with the principlesdeveloped.d.Provide managers will less work than other employees so the managers can plan accordingly.General administrative theory focuses ona.the entire organization.b. managers and administrators.c. the measurement of organizational design relationships.d. primarily the accounting function.e. administrative issues affecting non-managerial employees.The fourteen principles of management are associated with whom?a. Weberb. Druckerc. Taylord. Gilbrethe. FayolWhich of the following approaches to management has also been labeled operations research or management science?a.The qualitative approachb.The quantitative approachc.The experimental approachd.The theoretical approachWhich of the following would not be associated with the quantitative approach to management?a. information modelsb. critical-path schedulingc. systematic motivation of individualsd. linear programminge. statisticsWithout question, the most important contribution to the developing field of organizational behavior came out of the _______________.a.Taylor Studies.b.Porter Studies.c.Parker Studies.d.Hawthorne Studies.What scientist is most closely associated with the Hawthorne Studies?a. Adamsb. Mayoc. Lawlerd. Barnarde. FollettOne outcome of the Hawthorne studies could be described by which of the following statements?a.Social norms are the key determinants of individual work behavior.b.Money is more important than the group on individual productivity.c.Behavior and employee sentiments are inversely related.d.Security is relatively unimportant.e.While groups are an important determinant of worker productivity, the individual him/herself is mostimportant.Scenarios and QuestionsHISTORICAL BACKGROUND OF MANAGEMENTA Look Back (Scenario)Cindy Schultz, tired from working with customers all day, decided to take a fifteen-minute nap to help clear her head before the 4:15 managers' meeting. Her company had recently begun a re-engineering process as well as other changes requiring copious management input. As she leaned back in her chair, she wondered if management science had always been this way and how it all began. As she napped, she dreamed that, along with "Mr. Peebodi" as her guide, she was traveling in the "Management Way Back Machine" that took her back through management history.106. One of the earliest sites Cindy visited was Adam Smith's home, author of The Wealth of Nations, which suggested that organizations and society would gain froma. time management.b. division of labor.c. group work.d. quality management.e. time and motion studies.107. Cindy visited a bookstore where there was a book signing occurring. She looked down and saw that the title of the book was Principles of Scientific Management and concluded that the author must bea. Adam Smith.b. Frank Gilbreth.c. Henry Gantt.d. Frederick Taylor.e. Henri Fayol.108. Cindy admired the works of Taylor and Gilbreth, two advocates ofa. scientific management.b. organizational behavior.c. human resource management.d. motivation.e. leadership.109. Cindy spent some time visiting with __________, a researcher she previously knew little about but who also contributed to management science by being among the first to use motion picture films to study hand-and-body motions and by devising a classification scheme known as a "therblig."a. Henry Ganttb. Max Weberc. Chester Barnardd. Frank Gilbrethe. Mary Parker FolletEssay QuestionsSCIENTIFIC MANAGEMENTIn a short essay, discuss Frederick Taylor’s work in scientific management. Next, list Taylor’s four principles of management.AnswerFrederick Taylor did most of his work at the Midvale and Bethlehem Steel Companies in Pennsylvania. As a mechanical engineer with a Quaker and Puritan background, he was conti nually appalled by workers’ inefficiencies. Employees used vastly different techniques to do the same job. They were inclined to “take it easy” on the job, and Taylor believed that worker output was only about one-third of what was possible.Virtually no work standards existed. Workers were placed in jobs with little or no concern for matching their abilities and aptitudes with the tasks they were required to do. Managers and workers were in continual conflict.Taylor set out to correct the situation by applying the scientific method to shop floor jobs. He spent more than two decades passionately pursuing the “one best way” for each job to be done.Taylor’s Four Principles of Managementa.Develop a science for each element of an individual’s work, whi ch will replace the old rule-of-thumbmethod.b.Scientifically select and then train, teach, and develop the worker.c.Heartily cooperate with the workers so as to ensure that al work is done in accordance with the principles ofthe science that has been developed.d.Divide work and responsibility almost equally between management and workers. Management takes overall work for which it is better fitted than the workers.(difficult)122. In a short essay, discuss the work in scientific management by Frank and Lillian Gilbreth.AnswerFrank Gilbreth is probably best known for his experiments in bricklaying. By carefully analyzing the bricklayer’s job, he reduced the number of motions in laying exterior brick from 18 to about 5, and on laying interior brick the motions were reduced from 18 to 2. Using the Gilbreth’s techniques, the bricklayer could be more productive and less fatigued at the end of the day. The Gilbreths were among the first researchers to use motion pictures to study hand-and-body motions and the amount of time spent doing each motion. Wasted motions missed by the naked eye could be identified and eliminated. The Gilbreths also devised a classificationscheme to label 17 basic hand motions, which they called therbligs. This scheme allowed the Gilbreths a more precise way of analyzing a worker’s exact hand movements.(moderate)GENERAL ADMINISTRATIVE THEORISTS123. In a short essay, discuss the work of Henri Fayol as it relates to the general administrative approach to management. Next li st and discuss seven of Fayol’s fourteen principles of management.AnswerFayol described the practice of management as something distinct from accounting, finance, production, distribution, and other typical business functions. He argued that management was an activity common to all human endeavors in business, government, and even in the home. He then proceeded to state 14 principles of management—fundamental rules of management that could be taught in schools and applied in all organizational situations.Fayol’s Fourteen Principles of Managementa.Division of work. – specialization increases output by making employees more efficient.b.Authority – managers must be able to give orders. Authority gives them this right. Along with authority,however, goes responsibility.c.Discipline – employees must obey and respect the rules that govern the organization.d.Unity of command – every employee should receive orders from only one superior.e.Unity of direction – the organization should have a single plan of action to guide managers and workers.f.Subordination of individual interests to the general interest – the interests of any one employee or group ofemployees should not take precedence over the interests of the organization as a whole.g.Remuneration – workers must be paid a fair wage for their services.h.Centralization – this term refers to the degree to which subordinates are involved in decision making.i.Scalar chain – the line of authority from top management to the lowest ranks in the scalar chain.j.Order – people and materials should be in the right place at the right time.k.Equity – managers should be kind and fair to their subordinates.l.Stability of tenure of personnel –management should provide orderly personal planning and ensure that replacements are available to fill vacancies.m.Initiative – employees who are allowed to originate and carry out plans will exert high levels of effort.n.Esprit de corps – promoting team spirit will build harmony and unity within the organization.(difficult)124. In a short essay, discuss Max Weber’s contribution to the general administrative approach to management.AnswerMax Weber was a German sociologist who studied organizational activity. Writing in the early 1900s, he developed a theory of authority structures and relations. Weber describes an ideal type of organization he calleda bureaucracy—a form or organization characterized by division of labor, a clearly defined hierarchy, detailedrules and regulations, and impersonal relationships. Weber recognized that this “ideal bureaucracy” didn’t exist in reality. Instead he intended it as a basis for theorizing about work and how work could be done in large groups. His theory became the model structural design for many or today’s large organizations.(easy)TOWARD UNDERSTANDING ORGANIZATIONAL BEHAVIOR125. In a short essay, describe the Hawthorne Studies. Next, discuss the role of Elton Mayo in these studies and some of the findings of his research.AnswerWithout question, the most important contribution to the developing OB field came out of the Hawthorne Studies,a series of studies conducted at the Western Electric Company Works in Cicero, Illinois. These studies wereinitially designed by Western Electric industrial engineers as a scientific management experiment. They wanted to examine the effect of various illumination levels on worker productivity. Based on their research, it wasconcluded that illumination intensity was not directly related to group productivity. In 1927, the Western Electric engineers asked Harvard professor Elton Mayo and his associates to join the study as consultants.Through additional research, Elton Mayo concluded that behavior affected individual behavior, that group standards establish individual worker output, and that money is less a factor in determining output than are group standards, group sentiments, and security. These conclusions led to a new emphasis on the human behavior factor in the functioning of organizations and the attainment of their goals.(difficult)CURRENT TRENDS AND ISSUES126. In a short essay, define entrepreneurship and discuss the three import themes that stick out in this definition of entrepreneurship.AnswerEntrepreneurship is the process whereby an individual or a group of individuals uses organized efforts and means to pursue opportunities to create value and grow by fulfilling wants and needs through innovation and uniqueness, no matter what resources are currently controlled. It involves the discovery of opportunities and the resources to exploit them. Three important themes stick out in this definition of entrepreneurship. First, is the pursuit of opportunities. Entrepreneurship is about pursuing environmental trends and changes that no one else has seen or paid attention to. The second important theme in entrepreneurship is innovation. Entrepreneurship involves changing, revolutionizing, transforming, and introducing new approaches—that is, new products or services of new ways of doing business. The final important theme in entrepreneurship is growth. Entrepreneurs pursue growth. They are not content to stay small or to stay the same in size. Entrepreneurs want their businesses to grow and work very hard to pursue growth as they continually look for trends and continue to innovate new products and new approaches.(moderate)127. In a short essay, define e-business and e-commerce. Next discuss the three categories of e-business involvement.AnswerE-business (electronic business) is a comprehensive term describing the way an organization does its work by using electronic Internet-based) linkages with its key constituencies (employees, managers, customers, suppliers, and partners) in order to efficiently and effectively achieve its goals. It’s more than e-commerce, although e-business can include e-commerce. E-commerce (electronic commerce) is any form of business exchange or transaction in which the parties interact electronically. The first category of e-business involvement an e-business enhanced organization, a traditional organization that sets up e-business capabilities, usually e-commerce, while maintaining its traditional structure. Many Fortune 500 type organizations are evolving into e-businesses using this approach. They use the Internet to enhance (not to replace) their traditional ways of doing business. Another category of e-business involvement is an e-business enabled organization. In this type of e-business, an organization uses the Internet to perform its traditional business functions better, but not to sell anything. In other words, the Internet enables organizational members to do their work more efficiently and effectively. There are numerous organizations using electronic linkages to communicate with employees, customers, or suppliers and to support them with information. The last category of e-business involvement is when an organization becomes a total e-business. Their whole existence is made possible by and revolves around the Internet.(moderate)128. In a short essay, discuss the need for innovati on and flexibility as it relates to the survival of today’s organizations.AnswerInnovation has been called the most precious capability that any organization in today’s economy must have and nurture. Without a constant flow of new ideas, an organization is doomed to obsolescence of even worse, failure.In a survey about what makes an organization valuable, innovation showed up at the top of the list. There is absolutely no doubt that innovation is crucial. Another demand facing today’s organizations and managers is the need for flexibility. In a context where customers’ needs may change overnight, where new competitors come and go at breathtaking speed, and where employees and their skills are shifted as needed from project to project, one can see how flexibility might be valuable.(easy)129. In a short essay, discuss the concept of total quality management and the six characteristics that describe this important concept.AnswerA quality revolution swept through both the business and public sectors during the 1980s and 1990s. Thegeneric term used to describe this revolution was total quality management, or TQM for short. It was inspired bya small group of quality experts, the most famous being W. Edwards Deming and Joseph M. Juran. TQM is aphilosophy of management driven by continual improvement and responding to customer needs and expectations.The objective is to create an organization committed to continuous improvement in work processes. TQM is a departure from earlier management theories that were based on the belief that low costs were the only road to increased productivity.The Six Characteristics of Total Quality Managementa.Intense Focus on the customer –the customer includes not only outsiders who buy the organization’sproducts or services but also internal customers (such as shipping or accounts payable personnel) whointeract with and serve others in the organization.b.Concern for continual improvement –TQM is a commitment to never being satisfied. “Very good” is notgood enough. Quality can always be improved.c.Process-focused –TQM focuses on work processes as the quality of goods and services is continuallyimproved.d.Improvement in the quality of everything the organization does –TQM uses a very broad definition ofquality. It relates not only to the final product but also to how the organization handles deliveries, howrapidly it responds to complaints, and how politely the phones are answered.e.Accurate measurement –TQM uses statistical techniques to measure every critical variable in theorganization’s operations. These are compared against standards or benchmarks to identify problems, tracethem to their roots, and eliminate their causes.f.Empowerment of employees – TQM involves the people on the line in the improvement process. Teams arewidely used in TQM programs as empowerment vehicles for finding and solving problems.(difficult)130. In a short essay, describe the learning organization and discuss the concept of knowledge management.AnswerToday’s managers confront an environment where change takes place at an unprecedented rate. Constant innovations in information and computer technologies combined with the globalization of markets have created a chaotic world. As a result, many of the past management guidelines and principles no longer apply. Successful organizations of the twenty-first century must be able to learn and respond quickly, and will be led by managers who can effectively challenge conventional wisdom, manage the organization’s knowledge bas e, and make needed changes. In other words, these organizations will need to be learning organizations. A learning organization is one that has developed the capacity to continuously learn, adapt, and change. Part of a manager’s responsibility in fostering an environment conducing to learning is to create learning capabilities throughout the organization—from lowest level to highest level and in all areas. Knowledge management involves cultivating a learning culture where organizational members systematically gather knowledge and share it with others in the organization so as to achieve better performance.(moderate)Answer:TTTFT TFTT EDBDA EBCDB ABDAD。
