An Emphasis on Planning:

The "Calculating" Era

(1950 - 1970)
OUTLINE
1. Introduction
2. Three Different Subfields that Aids in
managerial Planning and Decision making.
Management Science
System Theory
Contingency Theory
How It Evolved?
2 needs during World War 2
- to improve industrial productivity to aid
war effort.
- to develop new techniques to manage
the war effort.
SYSTEMS ANALYSIS
Assembled mathematicians and physicists to
analyze:
compositions
routes
probable location
speed of Nazi submarine
SYSTEMS ANALYSIS
Then later, SYSTEMS ANALYSIS was used to
solve much complex problems.

Simple: Intuition, straightforward mathematics
or simple experience.
Lessons learned from this military activities
were later adapted and applied to managing
civilian organizations.

Ex.
1. deploying troops and submarines
2. locate plans
3. design warehouse

MANAGEMENT SCIENCE
It is science of studying techniques in
management.
OPERATIONS RESEARCH

It is a part of management
science by performing a research
through mathematical model
building.
OPERATIONS MANAGEMENT

It is where quantitative
techniques are use in aiding the
managers performance in result
to better production.
TECHNIQUES
Break-even analysis
Forecasting
Inventory modeling
Linear programming
Simulations
SYSTEM THEORY
Draws attention to the complexity of
managing organizations and in particular
of the need for managers to look beyond
their organizational boundaries.
CLOSED SYSTEM
View looks at managing activities as though the
organization were a:
self-contained
self-sufficient unit

The focus is on activities within an organization's
boundaries.

Emphasizes the organization's
place within the larger
environment
OPEN SYSTEM

Occurs when two or more
systems are successful working
together than they are working
independently
SYNERGY

The natural tendency for a
system to fail because it is
unable to acquire the inputs and
energy it requires to survive
ENTROPY
CONTINGENCY THEORY
The ability of the leader is contingent
upon different factors and situations
they are in.
History:
The contingency theory was based on two
reaserches about what makes an effective leader.
The ohio university sent out quistionars about
leadership in various kinds of situations. There
were many types of leaders identified through the
results, but there were two behaviours found in
the results that show effectiveness as a leader:
1) consideration a leader must have a good
relationship and concern about his employees
2) initiating structure a leader must create roles,
goals and systems to ensure that employees do
their tasks

history:
The same research was conducted at Michigan
and the results were similar. The most effective
leadership behaviours were relation-oriented
and task oriented. These researches suggested
that webers bureaucracy and taylors scientific
management have failed due to not considering
that organizational style and management
structure was greatly affected by the working
environment and different situations.
Company
contingiencies
Technology
Suppliers and distributors
Consumer interest groups
Customers and competitors
Government
Unions
Based On:
Preferred leading style
Behavior of the people they are handling
Even the working condition they are placed in.
This theory states that there is no real
favorable style of leading because the
leading style for a certain situation
may not be as effective once used in
other situations.

Bounded Rationality
Mechanistic Structure
Tegic Choice Theory
Dominant Coalition
Industry
MEMBERS
Isabel Laohoo 11347597
Justin Micoh Tiu 11207957
Arriane Marie Amoroso 11353678
Albert Philippe Calvelo 11208074
Justin Brendan Lim Yu 11303344
Leonardo campos po - 11200618