Assessment – Scientific management made contributions at the production level. It created a revolution in the fields of engineering, production and work performance. It contributed efficiency, standardization, specialization and simplification. A centralized control mechanism was developed to harness the maximum opportunities with the existing human and material resource. The basic tasks were given prime importance on the basis of analysis, planning and control. It aims to increase the efficiencies of human beings by giving those ample opportunities to use materials and machines. With introduction of scientific management, faster and better methods of production as well as efficient used of organization and management developed. The management can achieve success through the use of science and technology. Industrial efficiency increased on account of scientific management. Man was equated with the machine. It was revealed that workers who worked like machines were well rewarded. Man’s motives and desires had no place in scientific management. It was not really people-oriented; rather it was work-oriented. Mechanical performance and management worked satisfactorily, but the human relations front has become totally obsolete. Man was considered a rational and not an emotional being. It assumes that man wants only money, and this assumption provides the maximum opportunity to exploit employees. Scientific management fragments the whole work into small units which are allotted to individual employees who are controlled mechanically. Fragmented jobs dehumanize employees and reduce them to the level of machines. It induces a sort of pressure in the minds of workers to get more wages by over exertion. It pays no attention to the health and desires of the people. Even managers were subject to rules and regulations. They had to follow them at any cost. Scientific management had become in effect the shop management. With the advance of technological development, human relations have become a dire necessity. Scientific management instead of its relegated importance by self-centered managers has become the origin of scientific thinking in the field of management. The scientific practice of management has been replaced by well-recognized, clearly-defined and accurately-controlled technical management.
3. Process Management
This theory was propounded by Henry Fayol, wherein technical, commercial, financial security, accounting and managerial activities are well-defined. Henry Fayol describes administration as the main component of management, having special features of the deductive theory — closed system, hierarchy, formal organization, organized groups and the universal principle of management. He said that the manager has the right to disseminate managerial functions and can exercise his discretion for getting thins done through and with people. The employees are directed and controlled by managers. Process management was propagated by H. Simon, L.F. Luwich, L. Gulick, G. Terry and several others who pointed out that planning, organizing, motivating, coordinating and controlling are important functions of management.
Principles of Management: – Fayol has given the following principles of management:
- Authority and responsibility. The management has the authority to issue orders. Supervisors are given more authority to carry out the work effectively. Subordinates will have to follow the orders of the supervisors who take on the responsibility of getting things done through the subordinates.
- Division of work. The whole process is divided into small fragments which are performed by specialized persons. The division of work helps in performing all the activities effectively and efficiently.
- Discipline. Obedience and the following of rules and regulations are considered discipline. This is seen in process management. The leader has the maximum power to lead the employees as per the established practices of the organization.
- Unity of order. The employees are directed towards a single objective. All the activities in a particular segment of each department are channelized to achieve the single objective.
- Scalar chain. The superior subordinates are in single vertical order. The top management controls middle management who commands the lower management. The chain continues to the level of workers. The competence of each chain decides the future of organization. There is an unbroken hierarchy of command.
- Centralization. Centralization of power is preferred, but it does not have much scope for complete centralized power. Decentralization is also practiced to get the work done by people at different places.
- Order. Human activities are arranged in an orderly form. People and materials are available at the right place at the right time. They are put on the jobs most suited to them.
- Proper remuneration system. The employees are issued proper remuneration according to their contribution to the work. The payment is remunerative and not exploitative.
- Equity and fairness. There is enough scope for equity and fairness. Employees are given justice and kind treatment. The employees are assured of continuity of jobs and promotions. Efficiency is increased by proper treatment of employees.
- Initiative. Managers offer sufficient opportunities for the development of employees. Initiatives to exert energy and enthusiasm are provided by the management.
- Team work. The spirit de corps is exercised for getting the objectives fulfilled efficiently and effectively.