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Solution Manual for Management 13th Edition by Richard L. Daft

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Book Title: Management

Edition: 13th Edition

Author: Richard L. Daft

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 CHAPTER 2

THE EVOLUTION OF MANAGEMENT THINKING

CHAPTER OUTLINE

2-1. The Historical Struggle: The Things of Production Versus the Humanity of Production
2-2. Classical Perspective
2-2A. Scientific Management
2-2B. Bureaucratic Organizations
2-2C. Administrative Principles
2-2D. Management Science
2-3. Humanistic Perspective
2-3A. Early Advocates
2-3B. Human Relations Movement
2-3C. Human Resources Perspective
2-3D. Behavioral Sciences Approach
2-4. Recent Historical Trends
2-4A. Systems Thinking
2-4B. Contingency View
2-5. Innovative Management Thinking into the Future
2-5A. Managing the New Technology-Driven Workplace
2-5B. Managing the New People-Driven Workplace
2-6. The Historical Struggle: Is Social Business the Answer?

ANNOTATED LEARNING OUTCOMES

After studying this chapter, students should be able to:

1. Summarize the historical struggle between managing the “things of production” and the
“humanity of production.”

There has long been a struggle within management to balance “the things of production” and
“the humanity of production. The scientific numbers-driven push for greater productivity and
profitability and the call for more humanistic, people-oriented management have caused a
dilemma that has continued to the present day. Social business which refers to using social media
technologies for interacting with and facilitating communication and collaboration among
employees, customers, and other stakeholders, is one current answer to the historical struggle.

© 2018 Cengage. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 20
21  Chapter 2

2. Describe the major components of the classical and humanistic management perspectives.

The thrust of the classical perspective was to make organizations efficient operating machines.
This perspective contains the following subfields, each with a slightly different emphasis:
 Scientific management emphasizes that decisions based on rules of thumb and tradition be
replaced with precise procedures developed after careful study of individual situations as the
solution to improve efficiency and labor productivity.
 Bureaucratic organizations emphasize management on an impersonal, rational basis through
elements such as clearly defined authority and responsibility, record keeping, and separation
of management and ownership.
 Administrative principles focus on the productivity of the total organization rather than the
productivity of the individual worker.

The humanistic perspective emphasizes the importance of understanding human behaviors,

needs, and attitudes in the workplace, as well as social interactions and group processes. Major
components include the:
 Human relations movement, which recognized and directly responded to social pressures for
enlightened treatment of employees, and the notion that human relations was the best
approach for increasing productivity – a belief that persists today.
 Human resources perspective, which maintained an interest in worker participation and
considerate leadership but shifted the emphasis to consider the daily tasks that people
perform, combining prescriptions for design of job tasks with theories of motivation.
 Behavioral sciences approach, which develops theories of human behavior based on
scientific methods and draws from sociology, psychology, anthropology, economic and other
disciplines to develop theories about human behavior and interaction in an organizational
setting.

3. Discuss the management science approach and its current use in organizations.

Management science, also called the quantitative perspective, uses mathematics, statistical
techniques, and computer technology to facilitate management decision making for complex
problems. The Walt Disney Company uses management science to solve the problem of long
lines for popular rides at its theme parks. Management science has three subsets:
 Operations research consists of mathematical model building and other applications of
quantitative techniques to managerial problems.
 Operations management refers to the field of management that specializes in the physical
production of goods and services.
 Information Technology (IT) is reflected in management information systems and provides
relevant information to managers in a timely and cost-efficient manner.

4. Explain the major concepts of systems thinking and the contingency view.

Systems thinking is the ability to see both the distinct elements of a system or situation and the
complex and changing interaction among those elements. A system is a set of interrelated parts
that function as a whole to achieve a common purpose. Subsystems are parts of a system that
depend on one another for their functioning. The organization must be managed as a coordinated
whole. An important element of systems thinking is to discern circles of causality.
© 2018 Cengage. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
 The Evolution of Management Thinking  22

The contingency view is an extension of the humanistic perspective in which the successful
resolution of organizational problems is thought to depend on managers’ identification of key
variations in the situation at hand. Certain contingencies, or variables, exist for helping
management identify and understand situations. The contingency view tells us that what works in
one setting might not work in another. Management’s job is to search for important
contingencies, such as the industry. When managers learn to identify important patterns and
characteristics of their organizations, they can then fit solutions to those characteristics.

5. Provide examples of contemporary management tools and explain why these trends change
over time.

Contemporary management tools include customer relationship management, Employee

engagement surveys, benchmarking, strategic planning, outsourcing, balanced scorecard, mission
and vision statements, supply chain management, and chain management programs.
Management trends change over time primarily as a result of changes in economic conditions,
but also due to culture shifts, changes in customer needs, and the demands of the environment.

6. Describe the management changes brought about by a technology-focused workplace,

including the role of big data analytics and supply chain management.

Companies are using technology to keep in touch with customers and collaborate with other
organizations on an unprecedented scale. Social media programs include company online
community pages, social media sites, microblogging platforms, and company online forums. One
frequent, and controversial, use of social media has been to look into the backgrounds and
activities of job candidates. Other uses of social media include generating awareness about the
company’s products and services, sharing ideas and seeking feedback from customers and
partners, strengthening relationships among employees, and selling products.

The newest business technology is big data analysis, which refers to technologies, skills, and
processes for searching and examining massive, complex sets of data that traditional data
processing applications cannot handle to uncover hidden patterns and correlations. Supply chain
management refers to managing the sequence of suppliers and purchasers, covering all stages of
processing from obtaining raw materials to distributing finished goods to consumers. Many
organizations manage the supply chain with sophisticated electronic technology.

7. Explain how organizations are implementing the ideas of bossless workplaces and
employee engagement to facilitate a people-focused workplace.

How and where work gets done has shifted because new technology enables many people to
work from home or other locations outside a regular office, shedding layers of managers.
Employees are given access to the information they need and the training to make good
decisions.

In a bossless environment, nobody gives orders and nobody takes them. Accountability is to the
customer and the team. Employee engagement is essential. Employees unite around a compelling
purpose and become emotionally involved. A bossless workplace empowers employees and
encourages them to give their best.
© 2018 Cengage. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
23  Chapter 2

© 2018 Cengage. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
 The Evolution of Management Thinking  24

8. Explain how social business is bridging the historical struggle between managing the
“things of production” and the “humanity of production.”

Social media technology can improve efficiency, increase productivity, and facilitate faster and
smoother operations by improving communication and collaboration within and across firms. It
can also improve the human aspect of organizations by enabling a sense of community and
facilitating communication, collaboration, and knowledge sharing. This bridges the “things of
production” and the “humanity of production.”

LECTURE OUTLINE

2-1. THE HISTORICAL STRUGGLE: THE THINGS OF PRODUCTION VERSUS THE

HUMANITY OF PRODUCTION Exhibit 2.1
Exhibit 2.2

Management has changed over time. Studying management history is a way to achieve strategic
thinking, see the big picture, and improve conceptual skills.

Traditionally, management focused on production, the things of production. Improvements

meant changes in things—better equipment and better processes that improved efficiency.
Management theories have changed and evolved.

Teaching Tip: Use Exhibit 2.1 to discuss how management theories have changed and the current management
perspective. Although perspectives start on the timeline, an end date can’t be determined. Many practices from
earlier management theories continued to be used and some are still in use today.

Development has been the result of conflict between prioritizing things versus prioritizing
people. Today, the focus is on people.

Teaching Tip: Use Exhibit 2.2 to discuss the forces that cause changes in management theories.

EOC Discussion Question #4: A management professor once said that for successful
management, studying the present was most important, studying the past was next, and studying
the future should come last. Do you agree? Why?

2-2. CLASSICAL PERSPECTIVE

The classical perspective emerged during the nineteenth and twentieth centuries, and
emphasized a rational, scientific approach to the study of management. The factory system of the
1800s faced new challenges in tooling plants, organizing managerial structure, training non-
English speaking employees, scheduling complex manufacturing operations, and resolving labor
disputes. The classical perspective contains four subfields, each with a slightly different
emphasis—scientific management, bureaucratic organizations, administrative principles, and
management science.
© 2018 Cengage. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
25  Chapter 2

2-2A. Scientific Management Exhibit 2.3

Teaching Tip: Use Exhibit 2.3 to reinforce the characteristics of scientific management. Students can create a
similar image for the other three subfields—bureaucratic organizations, administrative principles, and
management science.

Frederick W. Taylor developed scientific management, a subfield of the classical

perspective, that emphasizes scientific changes in management to improve labor productivity.
However, because scientific management ignored the social context and workers’ needs, it
led to increased conflict and clashes between management and employees. Taylor suggested
that decisions based on rules of thumb and tradition should be replaced with precise work
procedures developed after careful study of individual situations.

Henri Gantt, an associate of Taylor’s, developed the Gantt Chart—a bar graph than measures
planned and completed work along each stage of production by time elapsed. Frank B. and
Lillian M. Gilbreth pioneered time and motion study, which stressed efficiency and the best
way to do work.

Scientific management dramatically increased productivity across all industries. To use this
approach, managers should develop standard methods for doing each job, select workers with
appropriate abilities, train workers in the standard methods, support workers and eliminate
interruptions, and provide wage incentives. However, because scientific management ignores
the social context and worker’s needs, it can lead to increased conflict and clashes between
managers and employees.

EOC Discussion Question #3: Can you think of potential drawbacks to retailers using labor-
waste elimination systems based on scientific management principles, as described in the text?
Do you believe that scientific management characteristics will ever cease to be a part of
organizational life, since they are now about 100 years old? Discuss.

2-2B. Bureaucratic Organizations Exhibit 2.4

The bureaucratic organizations approach is a subfield within the classical perspective that
looked at the organization as a whole. Max Weber introduced management on an impersonal,
rational basis through clearly defined authority and responsibility, formal recordkeeping, and
separation of management and ownership.

Teaching Tip: Use Exhibit 2.4 to discuss the six characteristics of Weberian bureaucracy. How many of these
characteristics are frequently found in organizations today?

Weber’s idea of organization was the bureaucracy: a system that incorporated division of
labor, hierarchy, rules and procedures, written decisions, promotion based on technical
qualifications, and separation of ownership and management. In a bureaucracy, managers do
not depend on personality for successfully giving orders, but rather on the legal power
invested in their managerial positions.

© 2018 Cengage. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
 The Evolution of Management Thinking  26

The term bureaucracy has taken a negative meaning in today’s organizations and is
associated with endless rules and red tape; however, ideally everyone gets equal treatment,
and everyone knows the rules.

2.2C. Administrative Principles

The administrative principles approach focused on the total organization rather than the
individual worker. Henri Fayol identified 14 principles of that include the following four.

 Unity of command. Each employee should have only one boss.

 Division of work. Specialized employees produce more with the same effort.

 Unity of direction. Similar activities should be grouped under one manager.

 Scalar chain. A chain of authority extends from the top of an organization.

Fayol felt that these principles could be applied in any organizational setting. He also
identified five basic functions or elements of management: planning, organizing,
commanding, coordinating, and controlling.

Charles Spaulding also contributed to the administrative principles approach by outlining

eight fundamental necessities. Spaulding applied his management principles as president of
an insurance company.

2.2D. Management Science

Management science, which is also known as the quantitative perspective, is distinguished

for its application of mathematics, statistics, and other quantitative techniques to
management decision making and problem solving. The most recent approach within the
classical perspective, management science was developed to solve military problems
involving the movement of people and material during World War II.

Quantitative techniques are the result of combining statistical techniques and computers. It
is often used by companies that deal with large numbers of people and objects.

Discussion Starter: Ask students to identify companies or industries that could use quantitative techniques.

Management science includes the subsets of operations research, operations management,

and information technology (IT), which is the most recent subfield developed to provide
relevant information to managers in a time- and cost-efficient manner.

EOC Discussion Question #2: Big data analytics programs (which analyze massive data sets to
make decisions) use gigantic computing power to quantify trends that would be beyond the grasp
of human observers. As the use of this quantitative analysis increases, do you think it may
decrease the “humanity of production” in organizations? Why?

© 2018 Cengage. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
27  Chapter 2

2-3. HUMANISTIC PERSPECTIVE

The humanistic perspective on management emphasizes the importance of understanding

human behaviors, needs, and attitudes in the workplace, as well as social interactions and group
processes. Subfields within the humanistic perspective include the human relations movement,
the human resources perspective, and the behavioral sciences approach.

2.3A. Early Advocates

Mary Parker Follett stressed the importance of people rather than engineering techniques and
addressed ethics, power, and empowerment. Her concepts included facilitating rather than
controlling employees, and allowing employees to act according to the situation.

Chester I. Barnard contributed the concept of the informal organization, which occurs in all
formal organizations and includes cliques and social groupings. Barnard argued that informal
relationships are powerful forces that can help the organization if properly managed. Barnard
also contributed the acceptance theory of authority—the notion that employees have free will
and can choose whether to follow management orders. Acceptance of authority can be
critical to success in important situations.

EOC Discussion Question #6: Why do you think Mary Parker Follett’s ideas tended to be
popular with businesspeople of her day but were ignored by management scholars? Why are her
ideas appreciated more today?

2.3B. Human Relations Movement

The human relations movement was based on the idea that truly effective control comes
from within the individual worker rather than from strict, authoritarian control. This school
of thought recognized and directly responded to social pressures for enlightened treatment of
employees. The human relations movement emphasized satisfaction of employees’ basic
needs as the key to increased worker productivity.

The Hawthorne studies were a series of experiments on worker productivity at the

Hawthorne plant of Western Electric Company, Chicago. The tests were originally designed
to investigate the effects of illumination on output; however, many of the tests pointed to the
importance of factors other than illumination in affecting productivity. The Hawthorne
studies were important in shaping ideas concerning how managers should treat workers.

Early interpretations agreed that human relations, not money, caused increased output.
Workers performed better when managers treated them positively. New data showed that
money mattered, but productivity increased because of increased feelings of importance and
group pride employees felt when they were selected for the project.

One unintended contribution of the experiments was a rethinking of field research practices.
Researchers realized that the researcher could influence the outcome of an experiment by
being too involved with research subjects—a phenomenon now known as the Hawthorne
effect.

© 2018 Cengage. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
 The Evolution of Management Thinking  28

EOC Discussion Question #8: Why can an event such as the Hawthorne studies be a major
turning point in the history of management even if the results of the studies are later shown to be
in error? Discuss.

SELF-ASSESSMENT: WHAT IS YOUR MANAGER FRAME?

This graded assignment in MindTap helps students see how their priorities align with the
demands placed on a manager. New managers view their world through one or more
mental frames of reference. (1) The structural frame of reference sees the organization as
a machine. (2) The human resource frame sees the organization as people. Many new
managers evolve through and master each of the frames as they become more skilled and
experienced.

2-3C. Human Resources Perspective Exhibit 2.5

The human resources perspective suggests jobs should be designed to meet higher-level
needs by allowing workers to use their full potential. This perspective combines prescriptions
for design of job tasks with theories of motivation.

Abraham Maslow, a psychologist, suggested a hierarchy of needs because he observed that

problems usually stemmed from an inability to satisfy needs. This hierarchy started with
physiological needs and progressed to safety, belongingness, esteem, and self-actualization
needs.

Teaching Tip: Use Exhibit 2.5 to compare Theory X and Theory Y.

Douglas McGregor formulated his Theory X and Theory Y about workers, believing that the
classical perspective was based on Theory X, a set of assumptions about workers:

 They dislike work and prefer to be directed.

 They must be coerced to work.

 They want to avoid responsibility and have little ambition.

 They want security above everything.

McGregor proposed Theory Y as a more realistic view of workers, consisting of several

assumptions:

 They do not inherently dislike work.

 They will achieve objectives to which they are committed.

 They will accept and seek responsibility.

 They have intellect that could be applied to organizational goals.

© 2018 Cengage. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
29  Chapter 2

 The intellectual potential of the average worker is only partially used.

SELF-ASSESSMENT: ARE YOU A NEW-STYLE OR AN OLD-STYLE MANAGER?

Management philosophies and styles change over time to meet new needs. This graded
assignment in MindTap helps students determine their primary management styles as
either Theory X (old style) or Theory Y (new style).

2-3D. Behavioral Sciences Approach

The behavioral sciences approach uses scientific methods and applies social science in
organizational context, drawing from economics, psychology, sociology, and other
disciplines. One set of management techniques based in the behavioral sciences approach is
organization development (OD). The techniques and concepts of organization development
have been broadened and expanded to cope with the increasing complexity of organizations.

Other concepts that grew of out the behavioral sciences approach include matrix
organizations, self-managed teams, ideas about corporate culture, and management by
wandering around. In recent years, behavioral sciences and OD techniques have been applied
to help managers build learning organizations.

EOC Discussion Question #5: As organizations become more technology-driven, which do you
think will become more important—the management of the human element of the organization or
the management of technology? Discuss.

2-4. RECENT HISTORICAL TRENDS

Elements of each of the previously discussed management perspectives are still in use today. The
most prevalent of these is the humanistic perspective. Two new concepts that appeared are
systems thinking and the contingency view.

2-4A. Systems Thinking Exhibit 2.6

Systems thinking is the ability to see the distinct elements of a system or situation and the
complex and changing interaction among those elements. A system is a set of interrelated
parts that function as a whole to achieve a common purpose.

Subsystems are parts of a system that depend on one another to function. Changes in one
part of the system (the organization) affect other parts. Synergy means that the whole is
greater than the sum of its parts. Individuals, groups, and organizations can accomplish more
working together than working alone.

It is the relationship among the parts that form a whole system that matters. Systems thinking
enables managers to look for patterns of movement over time and focus on the qualities or
rhythm, flow, direction, shape, and networks of relationships that accomplish the
performance of the whole.

© 2018 Cengage. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
 The Evolution of Management Thinking  30

An important element of systems thinking is to discern circles of causality. Understanding

the circles of casualty enables leaders to allocate resources.

Teaching Tip: Use Exhibit 2.6 to discuss circles of causality. Ask students for examples of other circles of
causality.

2-4B. Contingency View Exhibit 2.7

The classical management perspective assumed a universalist view; concepts that would
work in one organization would work in another. In business education, an alternative view
exists, known as the case view, in which each situation is believed to be unique and there are
no universal principles. One learns about management by experiencing a large number of
case problem situations.

The contingency view states that the successful resolution of organizational problems
depends on a manager’s identification of key variations in the situation. Management’s job is
to search for important contingencies in their industries, technologies, environments, and
international cultures. When managers learn to identify important patterns and characteristics
of their organizations, they can fit solutions to those characteristics.

Teaching Tip: Use Exhibit 2.7 to discuss the emergence of the contingency view. Ask students for examples of
contingencies in business situations.

EOC Discussion Question #7: Explain the basic idea underlying the contingency view. How
would you go about identifying key contingencies facing an organization?

EOC Discussion Question #9: How would you apply systems thinking to a problem such as poor
performance in your current academic studies? What about a problem with a romantic partner
or family member? For each situation, try to identify all the elements and their
interdependencies.

2-5. INNOVATIVE MANAGEMENT THINKING INTO THE FUTURE

Managers tend to look for fresh ideas to help them cope during difficult times. In the 2015 Bain
survey, most executives said that they are optimistic about the economic recovery. A majority
also said excessive complexity is increasing costs and slowing growth. They are looking for new
and creative approaches that can help them reduce complexity, cut costs, and invest in innovation
for the future.

Other top concerns of managers as revealed in the survey include the threat of cyber attacks,
decreasing customer loyalty, and the pace of change brought about by digital technologies.

2-5A. Managing the New Technology-Driven Workplace Exhibit 2.8

Two popular contemporary tools are big data analytics and supply chain management:

© 2018 Cengage. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
31  Chapter 2

Big data analytics refers to technologies, skills, and processes for searching and examining
massive, complex sets of data that traditional data processing applications cannot handle to
uncover hidden patterns and correlations

Supply chain management refers to managing the sequence of suppliers and purchasers and
covers all stages of processing from obtaining raw materials to distributing finished goods to
consumers. A supply chain is a network of multiple businesses and individuals that are
connected through the flow of products or services.

Teaching Tip: Use Exhibit 2.8 to discuss the supply chain for a retail organization. Ask students for examples of
products that they have purchased that they can trace at least part of its supply chain. Students will likely notice
that a supply chain can be very complicated.

2-5B. Managing the New People-Driven Workplace

Organizations are undergoing tremendous changes. Some are related to new technology,
whereas others are brought about because of shifting needs of people. Two responses to these
issues are the bossless workplace and a renewed emphasis on employee engagement.

 A bossless work environment has become a real trend in recent years. How and
where work gets done has shifted because many people work from home or other
locations outside a regular office.

 Employee engagement means that people are emotionally involved in their jobs and
are satisfied with their work conditions, contribute enthusiastically to meeting team
and organizational goals, and feel a sense of belonging and commitment to the
organization and its mission.

EOC Discussion Question #1: How would you feel about working in a bossless organization?
What might be your role as a “manager” in such an environment? Do you think this is a trend
that will continue to grow or fade away? Why?

2-6. THE HISTORICAL STRUGGLE: IS SOCIAL BUSINESS THE ANSWER?

Social business, which refers to using social media technologies for interacting with and
facilitating communication and collaboration among employees, customers, and other
stakeholders, is one current answer to the historical struggle.

Social media programs include company online community pages, wikis for virtual
collaboration, social media sites, video channels, microblogging platforms, and company online
forums.

Social media technology can improve efficiency, increase productivity, and facilitate faster and
smoother operations by improving communication and collaboration within and across firms. It
can also improve the human aspect of organizations by enabling a sense of community and
facilitating communication, collaboration, and knowledge sharing.

© 2018 Cengage. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
 The Evolution of Management Thinking  32

EOC Discussion Question #10: Can a manager be effective and successful today without using
social media? What do you see as the most important ways for managers to use this technology?

On the Job Video Cases Answers

On the Job: Barcelona Restaurant Group: The Evolution of Management Thinking

1. In what ways is Barcelona’s management approach consistent with modern developments in

management thinking?

Barcelona’s management approach is consistent with the humanistic perspective’s concept of

employee empowerment and rejection of authoritarian-style micromanagement. The restaurant’s
approach also draws from Total Quality Management, especially in the areas of employee
involvement, focus on customers, and continuous improvement.

According to COO Scott Lawton, many restaurant chains attempt to make daily operations “idiot
proof” by creating systematized formulaic work processes—an approach similar to scientific
management. In contrast, Barcelona Restaurant Group wants individual employees to create a
personalized dining experience by applying their individual skills and personalities. Even so, the
customer is always the primary concern within Barcelona’s business model. Pforzheimer and
Lawton care about employees, but if wait staff are not focused on providing the best possible
service and food to customers, they’re not doing their job.

2. In what ways does Barcelona’s management approach run counter to contemporary

developments in management thinking?

While some contemporary management approaches place heavy emphasis on the happiness and
psychological needs of workers, Barcelona Restaurant Group adopts an unapologetic focus on
customers. Barcelona makes customer satisfaction an esteemed prize that wait staff should seek
to achieve above all else—a common philosophy in high-end service industries. In the video,
Barcelona CEO Andy Pforzheimer argues that some management trends “fetishize the
relationship with the employee,” and he offers a straight-talking counter-perspective: “We’re
here for the customer experience and everything else is secondary to that. If it makes the
manager’s life miserable, I don’t care, if it makes the waiter’s life miserable, I don’t care, makes
the chef miserable, I don’t care, makes me miserable, I don’t care—our job is to have a bad time
so that other people can have a good time. It’s nice when it’s not mutually exclusive, but
sometimes it is.”

3. What aspects of restaurant work are especially challenging to wait staff, and how does
Barcelona’s approach to management help employees overcome the downsides of the job?

In the video, Andy Pforzheimer identifies the challenging aspects of restaurant life: “It is work
sometimes to smile. It is work to have somebody yelling at you because they weren’t seated fast
enough or their steak was cooked wrong, and you must pat them on the back and say, ‘You
know, it was our fault, I’ll do everything I can’—yeah, that’s work, and it’s not always fun.”
© 2018 Cengage. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
33  Chapter 2

Barcelona’s leadership team believes such challenging aspects of restaurant work can be
managed best when employees are given significant responsibility over the restaurant and its
success. New hires learn at the outset that the restaurant is their responsibility, and if the place
does well, the members of the wait staff get all the credit.

Suggested Answers to End-Of-Chapter Discussion Questions

1. How would you feel about working in a bossless organization? What might be your role as a
“manager” in such an environment? Do you think this is a trend that will continue to grow
or fade away? Why?

Students can share their thoughts on and experiences in working in a bossless organization.
When everyone has access to the information they need and the training to make good decisions,
having layers of managers just eats up costs and slows down response time. Many bossless
companies operate in technology-related industries, but diverse companies from aviation
manufacturing to supermarkets have succeeded for years with bossless structures.

2. Big data analytics programs (which analyze massive data sets to make decisions) use
gigantic computing power to quantify trends that would be beyond the grasp of human
observers. As the use of this quantitative analysis increases, do you think it may decrease the
“humanity of production” in organizations? Why?

This question can provide for a lively debate among students. Big data analytics uncovers hidden
patterns and correlations. For example, the professional networking site LinkedIn will plumb the
depths of its huge data mines and provide a list of perfect candidates for a company’s job
openings. Predictions get better every time an individual responds to or ignores a
recommendation. Big data analytics can be thought of as a direct descendant of Frederick
Winslow Taylor’s scientific management and the most recent iteration of the quantitative
approach to management. Since big data is used in organizations for activities involving
individuals, students may argue that it will not decrease the “humanity of production” in
organizations.

3. Can you think of potential drawbacks to retailers using labor waste elimination systems
based on scientific management principles, as described in the text? Do you believe that
scientific management characteristics will ever cease to be a part of organizational life, since
they are now about 100 years old? Discuss.

Labor waste elimination systems ignore social context and workers’ needs, and can lead to
increased conflict between managers and employees. Workers often feel exploited by such
systems, in direct contrast to the harmony and cooperation envisioned by Taylor and his
followers.

The ideas of scientific management increased productivity across all industries and are still
important today. The idea of engineering work for greater productivity has enjoyed a renaissance
in the retail industry. The ideas of creating systems for maximum efficiency and organizing work
for maximum productivity are deeply embedded in our organizations. The characteristics of
© 2018 Cengage. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
 The Evolution of Management Thinking  34

scientific management and bureaucracy will continue to be a part of organizational life, as they
have enabled organizations to become extremely efficient.

4. A management professor once said that for successful management, studying the present was
most important, studying the past was next, and studying the future should come last. Do you
agree? Why?

The management professor was arguing the opposite of what most managers and management
professors believe is the greatest concern, namely the future. The professor’s line of reasoning
might go something like this: it is easier to predict the future and prepare for it when the
environment is fairly stable, when changes occur in measurable, incremental amounts, and when
you understand how changes have affected organizations in the past.

In a world of great uncertainty and turbulence, the future is hard to predict and impossible to
control. Estimates that go beyond one year are often wrong. A better idea in this case is to
concentrate first on the present. If a company can do really well at this moment in meeting
customers’ needs, for example, and can continue doing so, the future will take care of itself.
Being able to adapt to changing environmental needs as they occur reduces the need to predict
and control the future. Moreover, studying the past provides the best information for how to
manage the present. The mistakes and successes of the past indicate lessons about how to
organize and manage present relationships with customers or employees.

Given the above, focusing attention on doing the right thing in the present, followed by
understanding the past, are the two most important sources of knowledge for success, especially
in a turbulent environment. The emphasis on studying the future to the exclusion of the past and
present often is misplaced

5. As organizations become more technology-driven, which do you think will become more
important—the management of the human element of the organization or the management of
technology? Discuss.

Organizations will always need people to manage the technology. Managing the human element
of the organization to make the best use of technology will be critical to increased productivity
and performance.

6. Why do you think Mary Parker Follett’s ideas tended to be popular with businesspeople of
her day but were ignored by management scholars? Why are her ideas appreciated more
today?

Mary Parker Follett’s ideas were probably popular with business people of her day because they
recognized that they could reduce conflict and improve productivity by involving employees to a
greater extent and showing concern for their needs. Management scholars at that time were still
focused on work efficiency studies and had not yet begun to understand the importance of social
factors and human relations in the workplace. That would not come until later, as a result of the
Hawthorne studies.

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35  Chapter 2

Follett’s ideas are appreciated today because her work provides insights that can help managers
deal with the rapid changes in today’s global environment. In addition, she emphasized issues
such as ethics and power, issues that have become very important in recent years with the
collapse of Enron and other corporate scandals.

7. Explain the basic idea underlying the contingency view. How would you go about identifying
key contingencies facing an organization?

The contingency view is an extension of the humanistic perspective in which the successful
resolution of organizational problems is thought to depend on managers’ identification of key
variations in the situation at hand. Managers are encouraged to look for contingencies such as the
nature of the environment, the size of the organization, the nature of the production technology,
or corporate cultures, and to interpret problems based on these contingencies. Thus, the
organization structure, motivation system, reward system, control system, and management style
will be correct if they fit these contingencies. If other organizations have similar contingencies,
then the structure and systems may be the same, but for organizations that have dramatically
different contingencies, the organization structure, systems, and management style will be
different. The point is to tailor organizational characteristics and problem solving to important
contingencies.

8. Why can an event such as the Hawthorne studies be a major turning point in the history of
management even if the results of the studies are later shown to be in error? Discuss.

One point that could be made is that social science is not perfect. Another is that the findings
from the Hawthorne studies had legitimacy because Harvard professors conducted them.
Moreover, if findings meet a need for society—that is, if they seem like a good idea—they can
be rapidly adopted and believed. In this case, the idea that treating people well will make more
productive employees was important because employees had been treated as if they were
machinery for many years. Interestingly, although the scientific studies did not necessarily prove
the accuracy of the idea, it may still be valid. The idea was widely adopted, and many
organizations came to believe that productivity was associated with employee treatment. Even
the most recent thinking, as reflected in the Japanese management and achieving excellence
perspectives, supports good treatment of employees as a way to assure a productive organization.
Thus, the idea may have been correct and fit the needs of the time, and those things were more
important than the scientific basis for the findings.

9. How would you apply systems thinking to a problem such as poor performance in your
current academic studies? What about a problem with a romantic partner or family member?
For each situation, try to identify all the elements and their interdependencies.

Applying systems thinking to the problem of poor performance in academic studies might
involve an analysis of one’s learning styles, study habits, time management practices, and
activities that detract from studies, as well as the ways in which each of those things affects the
others. For example, if one is a visual learner but studies by reading and spends too much time in
recreational activities, that person is unlikely to perform well in academic studies.

© 2018 Cengage. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
 The Evolution of Management Thinking  36

Applying systems thinking about problems with romantic partners or family members would
involve considering the individual aspects of those relationships as well as how those factors
interact with each other to impact the relationship itself.

10. Can a manager be effective and successful today without using social media? What do you
see as the most important ways for managers to use this technology?

A manager cannot be effective and successful today with using social media. Social media
technology can improve efficiency, increase productivity, and facilitate faster and smoother
operations by improving communication and collaboration within and across firms. Social media
can also improve the human aspect of organizations by facilitating communication,
collaboration, and knowledge sharing to tap into employee capabilities and create a competitive
advantage. In addition, social media technology is being used by managers to build trusting
relationships with employees and customers.

Apply Your Skills: Experiential Exercise

Security or Autonomy

A large, bureaucratic organization provides security, benefits, and certainty compared to smaller
or entrepreneurial firms where freedom and autonomy are greater. This exercise helps students
determine whether their styles and wishes would be compatible with a large, formal company.

Apply Your Skills: Small Group Breakout

Turning Points on the Road to Management

Students conduct interviews with managers, asking about turning points in their lives that led
them to become managers. The goal is for students to learn the specifics about how each turning
point led to the person’s current position in life. Then, students consider turning points in their
own lives. Finally, they look for patterns and themes in turning points, as well as lessons to be
learned from their analyses.

Apply Your Skills: Ethical Dilemma

The New Test

1. Ignore the test. Sheryl has proved herself via work experience and deserves the job.

Option 1 is likely to cause hard feelings in the department. In addition, Option 1 places Maxine
in direct opposition to the Civil Service Board. Maxine is however wise to consider that test
scores may not be the best indicator of who can do the job.

© 2018 Cengage. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
37  Chapter 2

2. Give the job to the candidate with the highest score. You don’t need to make enemies on the
Civil Service Board, and, although it is a bureaucratic procedure, the test is an objective way
to select a permanent placement.

Options 1 and 2 both are likely to cause hard feelings in the department. Considering that
Maxine has the final say with regard to the opening, she should be sure if the test really assesses
fairly the right person for the position.

3. Press the board to devise a more comprehensive set of selection criteria—including test
results, but also taking into account supervisory experience, ability to motivate employees,
and knowledge of agency procedures—that can be explained and justified to the board and to
employees.

Option 3 is probably the best choice, although Maxine must be careful that she does not develop
a set of criteria that is designed simply to justify giving the job to Sheryl, and she may want to
involve others in helping devise selection criteria. The job still may go to someone besides
Sheryl Hines, but this option takes into consideration her skills, knowledge, and experience. The
selection criteria, in addition to the employment test, should include an application, structured
interview, reference check.

Apply Your Skills: Case for Critical Analysis

More Hassle from HR?

1. Are Connie and her staff on the right track to avoid manager mishaps by defining a new set
of leader rules and core values and imposing it by fiat, from the top down?

Managers should treat their employees well because their acceptance of authority may be critical
to organization success in important situations. When managers think systematically and
understand sub-system interdependence and synergy, they can get a better handle on managing in
a complex environment.

It appears from the conversation between Gary and Vitorio that Connie and her staff are not on
the right track to avoid manager mishaps. The new set of leader rules and core values appears to
be from business school text books according to Gary and Vitorio. It would be better to involve
people from middle management rather than the top-down approach in this case. Also a more
participative and interactive session with the middle management is required.

2. Do you think a more participative and open culture can be imposed on managers with value
statements and training sessions? Why or why not?

A more participative and open culture can be imposed on managers with value statements and
training sessions so that employees utilize their full potential. There is also a sense of
involvement in participative and open culture for mangers.

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 The Evolution of Management Thinking  38

3. Why do you think Vitorio and Gary are on the defensive? Might the emphasis on core
leadership behaviors be handled in a different way? What do you suggest?

Vitorio and Gary are on the defensive because the company fired a few of their employees and
they have been called for a meeting on new policies about leader competencies. The defensive on
core leadership should be handled in a different way. It should be more interactive and
participative. Connie should allow Gary and Vitorio to express their views and suggestions they
have for the company’s new set of leader rules and core values.

© 2018 Cengage. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.