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Theoretical Scope

The document provides an overview of the theoretical scope and nature of managerial work. It discusses how management has been defined over time, from Mary Parker Follett's definition of management as "the art of getting things done through people" to more modern definitions referring to what managers do. The document also outlines the historical development of management, from early examples in ancient civilizations to developments in the 19th century with theorists like Adam Smith laying foundations for modern management theories. It notes how management has evolved from owners handling all functions to a split between owners and specialized day-to-day managers.

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2K views

Theoretical Scope

The document provides an overview of the theoretical scope and nature of managerial work. It discusses how management has been defined over time, from Mary Parker Follett's definition of management as "the art of getting things done through people" to more modern definitions referring to what managers do. The document also outlines the historical development of management, from early examples in ancient civilizations to developments in the 19th century with theorists like Adam Smith laying foundations for modern management theories. It notes how management has evolved from owners handling all functions to a split between owners and specialized day-to-day managers.

Uploaded by

emmafave
Copyright
© Attribution Non-Commercial (BY-NC)
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as DOCX, PDF, TXT or read online on Scribd
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Theoretical scope

Mary Parker Follett (1868–1933), who wrote on the topic in the early twentieth century, defined
management as "the art of getting things done through people". She also described management
as philosophy.[2] One can also think of management functionally, as the action of measuring a
quantity on a regular basis and of adjusting some initial plan; or as the actions taken to reach
one's intended goal. This applies even in situations where planning does not take place. From this
perspective, Frenchman Henri Fayol[3] considers management to consist of seven functions:

Some people, however, find this definition, while useful, far too narrow. The phrase
"management is what managers do" occurs widely, suggesting the difficulty of defining
management, the shifting nature of definitions, and the connection of managerial practices with
the existence of a managerial cadre or class.

One habit of thought regards management as equivalent to "business administration" and thus
excludes management in places outside commerce, as for example in charities and in the public
sector. More realistically, however, every organization must manage its work, people, processes,
technology, etc. in order to maximize its effectiveness. Nonetheless, many people refer to
university departments which teach management as "business schools." Some institutions (such
as the Harvard Business School) use that name while others (such as the Yale School of
Management) employ the more inclusive term "management."

English speakers may also use the term "management" or "the management" as a collective word
describing the managers of an organization, for example of a corporation. Historically this use of
the term was often contrasted with the term "Labor" referring to those being managed.

[edit] Nature of managerial work

In for-profit work, management has as its primary function the satisfaction of a range of
stakeholders. This typically involves making a profit (for the shareholders), creating valued
products at a reasonable cost (for customers), and providing rewarding employment
opportunities (for employees). In nonprofit management, add the importance of keeping the faith
of donors. In most models of management/governance, shareholders vote for the board of
directors, and the board then hires senior management. Some organizations have experimented
with other methods (such as employee-voting models) of selecting or reviewing managers; but
this occurs only very rarely.

In the public sector of countries constituted as representative democracies, voters elect


politicians to public office. Such politicians hire many managers and administrators, and in some
countries like the United States political appointees lose their jobs on the election of a new
president/governor/mayor.

[edit] Historical development


Difficulties arise in tracing the history of management. Some see it (by definition) as a late
modern (in the sense of late modernity) conceptualization. On those terms it cannot have a pre-
modern history, only harbingers (such as stewards). Others, however, detect management-like-
thought back to Sumerian traders and to the builders of the pyramids of ancient Egypt. Slave-
owners through the centuries faced the problems of exploiting/motivating a dependent but
sometimes unenthusiastic or recalcitrant workforce, but many pre-industrial enterprises, given
their small scale, did not feel compelled to face the issues of management systematically.
However, innovations such as the spread of Arabic numerals (5th to 15th centuries) and the
codification of double-entry book-keeping (1494) provided tools for management assessment,
planning and control.

Given the scale of most commercial operations and the lack of mechanized record-keeping and
recording before the industrial revolution, it made sense for most owners of enterprises in those
times to carry out management functions by and for themselves. But with growing size and
complexity of organizations, the split between owners (individuals, industrial dynasties or groups
of shareholders) and day-to-day managers (independent specialists in planning and control)
gradually became more common.

[edit] Early writing

While management has been present for millennia, several writers have created a background of
works that assisted in modern management theories.[4]

[edit] Sun Tzu's The Art of War

Written by Chinese general Sun Tzu in the 6th century BC, The Art of War is a military strategy
book that, for managerial purposes, recommends being aware of and acting on strengths and
weaknesses of both a manager's organization and a foe's.[4]

[edit] Niccolò Machiavelli's The Prince

Believing that people were motivated by self-interest, Niccolò Machiavelli wrote The Prince in
1513 as advice for the leadership of Florence, Italy.[5] Machiavelli recommended that leaders use
fear—but not hatred—to maintain control.

[edit] Adam Smith's The Wealth of Nations

Written in 1776 by Adam Smith, a Scottish moral philosopher, The Wealth of Nations aims for
efficient organization of work through Specialization of labor.[5] Smith described how changes in
processes could boost productivity in the manufacture of pins. While individuals could produce
200 pins per day, Smith analyzed the steps involved in manufacture and, with 10 specialists,
enabled production of 48,000 pins per day.[5]

[edit] 19th century

Classical economists such as Adam Smith (1723–1790) and John Stuart Mill (1806–1873)
provided a theoretical background to resource-allocation, production, and pricing issues. About
the same time, innovators like Eli Whitney (1765–1825), James Watt (1736–1819), and Matthew
Boulton (1728–1809) developed elements of technical production such as standardization,
quality-control procedures, cost-accounting, interchangeability of parts, and work-planning.
Many of these aspects of management existed in the pre-1861 slave-based sector of the US
economy. That environment saw 4 million people, as the contemporary usages had it, "managed"
in profitable quasi-mass production.

By the late 19th century, marginal economists Alfred Marshall (1842–1924), Léon Walras
(1834–1910), and others introduced a new layer of complexity to the theoretical underpinnings
of management. Joseph Wharton offered the first tertiary-level course in management in 1881.

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