Transcription
Hello everyone, welcome to Administration 101. On this occasion, we are going to talk about the timeline of administrative theories. That's right, the timeline of management thought. We will see from its beginnings to the trends that are setting the pace today. Not only do I want to remind you, please, to like, subscribe to the channel, and share the video, which is how you can help me. I am Leonardo Pacheco Trujillo, and a warm welcome to Administration 101. Let's begin.
The first thing we are going to see is how we are going to classify this timeline into four stages. The first is the Classical Age, which goes from 1900 to 1950. The Modern Age, which goes from 1951 to 1979. The Contemporary Age, which goes from 1980 to 2010. And the Administrative Trends, which go from 2010 onwards. Based on this classification, let's begin.
We have the Classical Age, starting in the year 1903 with Mr. Frederick Taylor, with scientific theory, whose emphasis was on tasks, efficiency, and productivity. It spoke about the rationalization of work at the operational level, the elevation of productivity through greater efficiency in production, and higher wages for workers. The use of science and the generation of group harmony and cooperation, and above all, the study of time and motion, which was one of the great contributions to making tasks efficient within the factory, which was what a company was at that time.
In the year 1916, we have Mr. Henri Fayol with classical theory. His emphasis was on structure and efficiency. He spoke about the formal organization. Also, for the first time, we are told about the general principles of administration, which are 14. The functions of the administrator, which we know today as the administrative process: planning, organizing. However, he spoke of a fifth that came to be integrated: direction, with coordination and control. He also speaks to us about the basic functions or industrial activities, which are technical, commercial, financial, security, administrative, and accounting activities.
Mr. Elton Mayo, in the year 1932, with the human relations theory. His emphasis was on people. He spoke about the influence of attitudes and social relationships of work groups on day-to-day performance. He proposed the fact that there was an informal organization, which was created from the interpersonal relationships of the workers. For the first time, he speaks to us about motivation and leadership, communication, and group dynamics.
In the year 1947, bureaucracy theory appeared with Max Weber. His emphasis was on structure and rationality. We were told about the bureaucratic formal organization, the different types of societies and authorities. He spoke about rationality in efficiency, meaning that to achieve objectives, rationality had to be applied in the pursuit of these objectives. We were told for the first time about meritocracy, technical competence, professionalization, and it has a closed-system approach regarding the internal aspects of the system.
By the year 1950, structuralist theory. Note that bureaucracy is part of structuralism. It is the first outline. In this case, structuralist theory. Its emphasis is on structure and environment. It speaks about the relationship of the organization with its external environment. The organization is already beginning to be seen as an open system, whereas bureaucracy saw it as a closed system. Structuralism, as such, begins to see it as an open system, which takes the first steps for later.
Systems theory sees man as something organizational, the organizational man, which refers to the performance of simultaneous roles in different organizations. It speaks of a multiple and globalizing approach to the organization, both the formal and informal organization. It speaks about inter-organizational and intra-organizational analysis.
And we move on to the Modern Age with our first theory of this age, which is systems theory with Mr. Ludwig von Bertalanffy. His emphasis is on the environment. The organization is an open system that is influenced by external variables. That is, the organization not only has influences that come from outside but also from within. This means that the organization is a system within another system. The organization, as such, is a social system with independent but related parts, meaning interrelated.
By the year 1954, we have neoclassical theory with Mr. Peter Drucker, who speaks to us about objectives and results and criticism. What is this? This theory has the particularity that it gathers, let's say, the most important aspects of previous theories. This is eclecticism. It takes everything from scientific, especially classical, onwards. Here, management by objectives appears, which is why it emphasizes objectives and results. Here, emphasis is also placed on functions or what is known as the administrative process. Here, the four functions of the process are spoken of: planning, organization, direction, and control. And it sets the pace from here onwards, which is what has to do with management as we know it from death onwards.
By the year 1957, we have Douglas McGregor with behavioral theory. Here, we begin to talk about the organizational behavior of the individual, how they behave within the organization. We talk about motivation. It is in this era that Abraham Maslow's famous hierarchy of needs appears. It is here that we are shown that motivation, this takes part of human relations theory, but it emphasizes that this motivation, which is an external impulse that produces an internal change, must be leveraged by the company to align organizational objectives with individual objectives.
By the year 1962, we have organizational development theory with Mr. Warren Bennis, who speaks to us about organizational change and organizational culture. In these theories, organizational psychology is heavily emphasized, both in McGregor's behavioral theory and in Bennis's organizational development. Here, culture begins to be seen as something particular to an organization, and this is also influenced by the environment in which the company operates.
And finally, we have situational theory in the year 1972 with its two representatives, Lawrence and Lorsch, whose emphasis is on the changing environment and adaptation to the environment. Here, experience, such as the experience of managers, begins to be adapted to external circumstances. Here, one of the exponents was Ander, who spoke about strategy and the environment. Since the environment is changing, one must adapt to the environment, one must adapt to changes. Remember that the only constant is change.
We continue with the Contemporary Age. We have in the year 1980, Mr. Michael Porter in the United States with strategic planning. Here, the environment is studied, and the internal aspects are examined, and based on this obtained information, objectives and finally strategy can be determined.
In the year 1983, with Mr. Michael Porter, we have competitiveness, which seeks to increase the organization's market share through productivity, innovation, and the human factor. This is where Porter's famous diamond or Porter's forces appears.
In the year 1985, with R. Edward Freeman, environmental management appears. Here, we are told about stakeholder management, how to manage, how to administer interest groups. The organization seeks both the achievement of business objectives and the adoption of a responsible position by companies, especially regarding the environment and everything that surrounds the organization.
By the year 1997, Bill Gates speaks to us about dynamic capabilities, which is the relationship of the resources and capabilities that the company has to achieve adaptive capacity with the changing environment. How do I respond to demands by seeking or reaching a point where I use the resources I have with the capabilities the company possesses to be able to take these resources and impact the market?
By the year 2010, Nestor Braidot appears in the book "Management 3.0," where it is said that strategy applies a series of techniques specific to neurosciences. The nervous system and all aspects in the field of organizational management are studied. Here, as we say in "Management 3.0," neuromarketing appears, the way senses are refined in the process of buying and selling goods and services.
And then we have complementary trends or administrative trends from 2010 onwards, which are Industry 4.0, the topic of innovation, sustainable development goals, benchmarking, empowerment, coaching, business intelligence, and marketplaces, among others.
Very well, that's it for this topic of the timeline of administrative theories. If you liked it, please give it a like, subscribe, share the video, which is how you can help. And we'll see you on another occasion. Bye.