Evolution of Management Thoughts

EARLY PERSPECTIVES

The first known management ideas were recorded in 3000-4000 B.C. One Pyramid built by Egyptian ruler Cheops required work to be done by 100,000 men for over twenty years in 2900 B.C. It covered 13 acres of land and measured 481 meters in height. The stone slabs had to be moved thousands of kilometres of distance. As folklore goes, even the sound of a hammer was not heard in the villages in the vicinity of the site of these pyramids. Such monumental work could not be completed without adherence to principles of sound management.

CLASSICAL MANAGEMENT THEORY
Rational economic view, scientific management, administrative principles, and bureaucratic organisation characterise this phase. While the rational economic view assumed that people are motivated by economic gains primarily; scientific management of F.W. TAYLOR and others emphasised one best way of production etc; administrative theorists personified by HENRY FAYOL etc looked at the best way to combine jobs and people into an efficient organisation; bureaucratic organisation theorists led by Max Weber looked at ways to eliminate managerial inconsistencies due to abuse of power which contributed to ineffectiveness. This was the era of the industrial revolution and factory system of production. Large scale production would not have been possible without adherence to the principles governing organising production based on division of labour and specialisation, relationship between man and the machine, managing people and so on.

NEO CLASSICAL THEORY — HUMAN RELATIONS APPROACH
This school of thought developed between 1920s to 1950s felt that employees simply do not respond rationally to rules, chains of authority and economic incentives alone but are also guided by social needs, drives and attitudes. Hawthorne Studies at GEC etc., were conducted then. It was quite natural that in the early phases of the industrial revolution, the emphasis was on development of techniques and technology. The attention to the human factor was the salient aspect of this school of thought. This attention was to serve as a precursor to the development of behavioural sciences.

MANAGEMENT SCIENCE/OPERATIONAL RESEARCH
It emphasises research on operations and use of quantitative techniques to aid managers to take decisions.

MODERN MANAGEMENT
It sees modern organisations as complex systems and underlies contingency approach and use of modern techniques to solve organisational and human problems.

 

In the modern organization change process an important aspect for the survival of its business. Change is the process which is applied for the organization development, these changes are not similar in nature, some are planned and some changes keep on happening in nature. The particular change is accepted as an exception, there is no change in ongoing aspects. Change management is a structured approach to transitioning individuals, teams, and organizations from a current state to a desired future state. Change management (or change control) is the process during which the changes of a system are implemented in a controlled manner by following a predefined framework/model with, to some extent, reasonable modifications.

 

Besides understanding the change process, educators also need to become more skilled in its use. As Miles (1986) and Fullan (1991) have demonstrated, the change process consists of a series of three overlapping phases: initiation, implementation, and institutionalisation.
          The initiation phase is about deciding to embark on innovation, and of developing commitment towards the process. The key activities in the initiation phase are the decision to start, and a review of the organisation current state as regards the particular change. The lists of factors at this stage are:


• The innovation should be tied to a local agenda and high profile local need
• A clear, well-structured approach to change
• An active advocate or champion who understands the innovation and supports it
• Active initiation to start the innovation (top-down is OK under certain conditions)
• Good quality innovation. 

 

Indian Economic Growth may slowdown in 2011

High Inflation – Enough to keep Growth on check! 

There is good news – finally! Onion prices have partially recouped to sombre Rs.25 per kg in retail mandis. And, yeah, they are now available much freely without any supply crunch domestically. But, does the buck stops over here? Not really! 

A week ago, I visited a local juice vendor where I periodically go to sip-in real fruit juices of the season. The mosambi (sweet-lime) juice which used to cost me Rs.17 a year ago is now worth Rs.25 per glass. Reason – expensive fruit prices.

Similarly, though onion prices have come down to Rs.25 per kg; they’re still way above Rs.8 per kg that they used to quote just a couple of months back. So, what is the government’s take on this? Price has moved up based on a mix of internal and external circumstances – better change your lifestyle and eating habits. Onion is not the only food article at your disposal.
Though, fruit juices and onions do not affect India growth story by much; it’s the same sorry tale in the price trend of all major commodities including most of the food articles.

Slow Reform Movement – Stalling Growth Prospects!

The reformist movement started off well during the phase 1 of UPA ruling. Though, the pace of reforms was mired by obstructive policies of Left-coalition partners, the seeds were sown for a fast-paced reformist movement in the ensuing phase which bypassed the Leftists altogether.

Further, the 2^nd phase started off with the big-bang reform initiatives such as the Women’s Reservation Bill, the GST structure which intends to swallow all sundry taxes and biggest ever indirect tax reform in the form of DTC.

While DTC just managed to get the appointment of the Finance Minister by 2012, the GST reform got stuck in the mess of outstanding issues between the States and the Centre. To add to the woes, the emergence of the top scandals and frauds further mired the prospects of timely roll-out of GST, as opposition parties are in no mood to entertain any discussion in the Parliament until the Manmohan Singh government ratifies a JPC probe in the matter.

Earnings Slowdown – Impacted by higher Operating costs!

High inflation and rising interest rates scenario does not impact individuals and tax-payers alone. It also affects corporate profitability. Higher input costs leads to squeeze in corporate margins at operating level or a spill-over to generalized inflation if the same is passed on to final consumers.

While the pure commodity players are likely to benefit from the demand and supply mismatch, others involved in processing of raw-materials and turning them into finished goods might see an impact on the cost of goods sold and operating margins of the company.
In such a scenario, companies that rely on high volume growth and master cost efficiency techniques, can weather the crisis through strategic planning or sometimes even by passing on the rising input burden to the final consumers.

Industrial Growth – A bit too volatile to Digest!

The volatility in the industrial output numbers announced over the last few months has left economists high-and-dry with regard to arriving at any type of conclusion on growth figures for the economy.

In latest, the core growth (country’s infrastructure sector output) registered a smart comeback in December with 6.6% growth. These core sectors – crude oil, petroleum refinery products, coal, cement and steel – accounts for almost a quarter of the country’s IIP. Thus, it raises hopes of robust December overall IIP data.
However, in November the slowdown in industrial production had hit an 18-month low of 2.7%, raising questions on the veracity of an index data. Further, lower growth in manufacturing and electricity has pulled down IIP growth in August 2010.

 

 

FUSION POWER

 

Nuclear energy can also be released by fusion of two light elements (elements with low atomic numbers). The power that fuels the sun and the stars is nuclear fusion. In a hydrogen bomb, two isotopes of hydrogen, deuterium and tritium are fused to form a nucleus of helium and a neutron. This fusion releases 17.6 MeV of energy. Unlike nuclear fission, there is no limit on the amount of the fusion that can occur.

A fission bomb, called the primary, produces a flood of radiation including a large number of neutrons. This radiation impinges on the thermonuclear portion of the bomb, known as the secondary. The secondary consists largely of lithium deuteride. The neutrons react with the lithium in this chemical compound, producing tritium and helium.

This reaction produces the tritium on the spot, so there is no need to include tritium in the bomb itself. In the extreme heat which exists in the bomb, the tritium fuses with the deuterium in the lithium deuteride. 

The Nuclear Age- a letter to President of US from Albert Einstein