Modern Technique of Management

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Transcript of Modern Technique of Management

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Modern techniques ofmanagement

Computer technology in management

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• Computer is a complex and sophisticatedsystem.

• Compute = to calculate

The system consists of• Input• Processor• Output• storage

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Application of computer technology inmanagement

• Uses•

Capacity for storage• Processing• Retrieval of data from memory• Large & complicated calculations &• Detection of errors

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Computer technology is thus extensivelyused in:

• Management information system• Providing executive information• Providing transactional process

information•

Providing information support systems

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1.Thus information helps the top leveladministrators

• Modifying organizational objectives• Planning & formulating strategies•

Developing policies• Organizing and controlling of organizational

activities• Maintenance of records& reports• Office management

2. Database help in research activities

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Benefits

Increased efficiency

Individual workers active participationLess consumption of the time in performance of tasksthe resultant effect is better utilization on human

resourcesGreater cost effectivenessCommunication within the organization more effective

Monitoring becomes effectiveEvaluation of personnel becomes more objective withfactual data

Quality of performance is maintained

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Use of computer technology inhealth service management

1. HMIS2. Medical & nursing record maintenance in

hospitals3. Administrative office management in

hospitals4. Medical laboratory investigations5. Epidemiological studies

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6.For storing & using data generated interms of variables obtained from

.Care of critically ill patients

.Care of terminally ill patients

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.Care of patients admitted withcommunicable diseases- medical & nursing

point of view- Data generated through public response

- Existing pattern of health care deliveryservices

- Nursing services, medical services- Statistical data- Monitoring evaluation of personnel

performance

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Management thoughts

Evolution of management thought :1. Pre- Scientific Management Era (before

1880)2. Classical Management Era (1880- 1930)3. Neo- Classical Management Era (1930 -

!950)4. Modern Management Era (1950 onwards )

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Pre-scientific management era•

Practiced ever since the dawn of civilization• Evidence found in the organizations of public life in

ancient Greece, Roman Catholic Church, and MilitaryForces.

• valuable contributions from Robert Owen & CharlesBabbage

• The above management thinkers were limited to thefield of developing the concept to make resourcesmore effective.

• But failed to stimulate management as a distinct

discipline

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Classical Management era

Scientific Management SchoolFredrick Winslow Taylor suggested forthe first time, the need for a scientificapproach to the task of managing anenterprise.

-Father of scientific management

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meaning• Scientific = systematic, analytical and

objective approach, but Management =

getting things done through others.• SM = the management based on careful

observation, objective analysis andinnovative outlook.

• The art of knowing exactly what is to be

done and the best way of doing it

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• SM. = application of science to themanagement of a business concern.

• In the words of F.W. Taylor “ SM

means knowing exactly what you wantmen to do seeing that they do it in thebest and cheapest way”

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Principles of SM• Replacement of old rule of thumb

method.•

Scientific selection and training.• Labour-management cooperation.•

Maximum output.• Equal division of responsibility

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1. Replacement of old rule of

thumb method. Consists of research and

experimentation, collection of data,analysis of data and formulation ofcertain principles on the basis of

such analysis

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2.Scientific selection and training.Selection of right type of worker to

the right job is very significant.- Task is entrusted to central personnel department.

- Selected workers are trained toteach right methods of work.

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3.Labour-management cooperation• Cooperation between labour and

management• Achieved through a change in the

mental attitudes of the workers and

the management towards eachother.

- Mental revolution

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Mental revolution• Taylor• wanted to bring a revolutionary

change in the mental attitude of workers and employees, to

accomplish the enterprise objectivesof maximum productivity &

prosperity .

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Aspects of MR• To create the spirit of mutual trust and

confidence.• To put in all efforts for increased production.

• To inculcate and develop the scientificattitudes towards problems

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• Suggestions given by Taylor:•

To the management• Maintaining congenial atmosphere• Best method of doing various jobs.• To the workers• Should be loyal, sincere and disciplined in

discharging their assigned tasks’ • Should not indulge in wastage of resources• Importance to mutual trust and confidence

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• Taylor laid emphasis on the following :• Science, not rule of thumb• Harmony in group action, rather than

discord.• Maximum output, not restricted output.• Scientific selection and placement of the

workers.• Development of all workers to the fullest

extent and the organizations prosperity

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4.Maximum output :• The management and workers

should try to achieve maximumoutput.

• This will prove highly beneficial and

useful to workers, management andsociety at large.

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5.Equal division of responsibility:• Management is responsible for planning & organizing,

• the workers- for the execution of work as per the instructions ofthe management.

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Techniques or elements of scientificmanagement

• Scientific task setting• Work study-method study, motion study, time

study or work measurement, fatigue study.• Rate setting• Planning the task• Standardization• Scientific selection and training• Differential piece-wage plan•

specialization

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Evaluation of scientific management/benefits1. Replacement of the traditional rule of thumb method.2. Better workforce through proper selection and training3. Harmonious labour management relationship4. Standardization of tools, equipment and work methods.5. Better utilization of scarce resources6. Continuous improvement of workers7. Incentive wages to the workers for higher production

8. Satisfaction of the needs of the customers by providingthem with hegher quality products at lower prices

9. High productivity for the nation

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Criticism of SM• Functional foremanship is not feasible in

practice as it violates the ppl of unity ofcommand.

• Confined to production management andignores the areas of finance, marketing,accounting and personnel.

• Wages of the workers are not increased indirect proportion to the increase in

d ti it