Fundamentals of Management, 8th ed


universal perspectives



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management english

universal

perspectives

An attempt to

identify the one best

way to do something



contingency

perspective

Suggests that

appropriate

managerial behavior

in a given situation

depends on, or is

contingent on,

unique elements in a

given situation

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Part 1: An Introduction to Management

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Editorial review has deemed that any suppressed content does not materially affect the overall learning experience. Cengage Learning reserves the right to remove additional content at any time if subsequent rights restrictions require it.



Stated differently, effective managerial behavior in one situation cannot always be

generalized to other situations. Recall, for example, that Frederick Taylor assumed that

all workers would generate the highest possible level of output to maximize their own

personal economic gain. We can imagine some people being motivated primarily by

money—but we can just as easily imagine other people being motivated by the desire

for leisure time, status, social acceptance, or any combination of these (as Mayo found

at the Hawthorne plant). In 2000, Cisco Systems had the largest market cap in the

world and was growing at a rate of 50 percent per year. A recession and the terrorist

attacks in September 2001, however, caused the technology sector to crash, and Cisco’s

stock dropped in value by 86 percent. Cisco’s CEO, John Chambers, had to downsize the

company through layoffs and divestitures and transform it into a smaller company. As

he went through this process, he also changed his management style. He had previously

been an autocratic manager and led Cisco using a command-and-control hierarchy. As a

result of the transformation at Cisco, however, Chambers decided he needed to change

his own management style as well. So, he began to adopt a much more democratic

approach and run Cisco using a more democratic organizational structure.

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