Management thought has evolved in bits and pieces over the years. Although the practice of management dates back to the earliest recorded history, the systematic study of management is largely a product of the twentieth century. An information explosion in management theory has created a management theory jungle. Five conventional approaches to management are: (1) the universal process approach, (2) the operational approach, (3) the behavioral approach, (4) the systems approach, and (5) the contingency approach. A modern unconventional approach centers on Peters' and Waterman's attributes of corporate excellence.

Henri Fayol's universal process approach assumes that all organiza tions, regardless of purpose or size, require the same management process. Furthermore, it assumes that this rational process can be reduced to separate functions and principles of management. The universal process approach, the oldest of the various approaches, is still popular today.

Dedicated to promoting production efficiency and reducing waste, the operational approach has evolved from scientific management to opera tions management. Frederick W. Taylor, the father of scientific manage ment, and his followers revolutionized industrial management through the use of standardization, time and motion study, selection and training, and pay incentives. Largely a product of the post-World War II era, operations management has broadened the scientific pursuit of efficiency to include all productive organizations. Operations management specialists often rely on sophisticated models and quantitative techniques.

Management has turned to the human factor in the human relations movement and organizational behavior. Emerging from such factors as unionization, the Hawthorne studies, and the philosophy of industrial humanism, the human relations movement began as a concerted effort to make employees' needs a high management priority. Today, organizational behavior tries to identify the multiple determinants of job performance.

Advocates of the systems approach recommend that modern organiza tion, he viewed as open systems. Open systems depend on the outside environment for survival, whereas closed systems do not. General systems theory, an interdisciplinary field based on the assumption that everything is systematically related, has identified a hierarchy of systems and has differentiated closed and open system.

The contingency approach is an effort to determine through research which managerial practices and techniques are appropriate in specific situations. It is characterized by an open-system perspective, a practical research orientation, and a multivariate approach to research.

I. Reading Exercises:

Exercise 1. Read and memorize using a dictionary:

Exercise 2. Answer the questions:

1) What are conventional approaches to management?

2) What does the universal process approach assume?

3) What has the operational approach evolved from?

4) What do operations management specialists often rely on?

Exercise 3. Match the left part with the right:

Exercise 4. Open brackets choosing the right words:

Dedicated to promoting production efficiency and (increasing/reducing) waste, the operational approach has (evolved/resumed) from scientific management to opera tions management.

THE SPEAKING MODULE

II. Speaking Exercises:

Exercise 1. Describe universal process approach, operational approach, behavioral approach, systems approach, contingency approach using the suggested words and expressions as in example:

Exercise 2. Ask questions to the given answers:

1) Question: ___________________________________________ ?

Answer: Although the practice of management dates back to the earliest recorded history, the systematic study of management is largely a product of the twentieth century.

2) Question: ___________________________________________ ?

Answer: Management has turned to the human factor in the human relations movement and organizational behavior.

3) Question: ___________________________________________ ?

Answer: The contingency approach is an effort to determine through research which managerial practices and techniques are appropriate in specific situations.

THE WRITING MODULE

III. Writing exercises:

Exercise 1. Complete the sentences with the suggested words:

assumption; differentiated; outside; systems; is.

Open systems depend on the ______ environment for survival, whereas closed systems do not. General systems theory, an interdisciplinary field based on the _______ that everything ____ systematically related, has identified a hierarchy of _____ and has ______ closed and open system.

Exercise 2. Compose a story on one of the topics (up to 100 words):

“Five conventional approaches to management”

“ The evolution of management thought”

Lesson 3 THE READING MODULE

Read the text: Planning and decision making

Planning has been labeled the primary management function because it sets the stage for all other aspects of management. Recent research has uncovered the following trends in corporate planning: more planners with actual management experience; greater teamwork, customizing, and flexibility; and more translation of broad strategies into how-to-do-it plans. Along with many other practical reasons for planning, two conceptual reasons for planning are limited resources and an uncertain environment. To cope with environmental uncertainty, organizations can respond as defenders, prospectors, analyzers, or reactors.

A properly written plan tells what, when, and how something is to be accomplished. Clearly written organizational mission statements tend to serve as a useful focal point for the planning process. Strategic, intermediate, and operational plans are formulated by top, middle, and lower-level management, respectively. Objectives have been called the single most important feature of the planning process. Well-written objectives spell out in measurable terms what should be accomplished and when it is to be accomplished. Good objectives help managers by serving as targets, act ing as measuring sticks, encouraging commitment, and strengthening motivation. Objective setting begins at the top of the organization and filters down, thus forming a means-ends chain. Priorities affect resource allocation by assigning relative importance to objectives. Plans are formu lated and executed as part of a more encompassing planning/control cycle.

Management by objectives (MBO) is an approach to planning and controlling that is based on measurable and participatively set objectives. MBO basically consists of four steps: (1) set objectives participatively, (2) develop action plans, (3) periodically reevaluate objectives and plans and monitor performance, and (4) conduct annual performance appraisals. Objective setting in MBO flows from top to bottom. MBO has both strengths and limitations and requires a supportive climate favorable to change, participation, and the sharing of authority.

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