13. Formulate the theme of each paragraph and make up a plan of the text.

14. Say what you have learnt about

• scientific management in general;

• Frederick Taylor and his study;

• Frank Gilbreth and his study;

• Henry L. Gantt and his study.

1. Read and translate the text “Administrative Management”. Text c. Administrative Management.

The early scientific managers had great success at the lower levels of the organizations. As out­put increased and operations grew, organizations began to be confronted with new management problems. Planning and coordina­ting operations became much more important than ever before, and the organization of people in the workplace became a focal point for consideration. The individuals who were interested in dealing with these problems began to formulate theories of admi­nistration. Four of the most famous were Henry Fayol, Mary Parker Follett, James D. Mooney and Lyndall F. Urwick.

Henry Fayol, a Frenchman, spent his entire career working for a mining combine. By the age of 46 he was the president of the orga­nization and remained so for 30 years.

Fayol's interest was in the administrative side of operations. In particular he was concerned about the fact that different abilities were needed as one moved up the management ranks. Fayol's experience led him to conclude that there were five basic functions of administration: planning, organizing, commanding, coordinating, and controlling.

Planning called for the formulation of objectives and an operating program. Organizing entailed coordination of resour­ces for accomplishing the predetermined objectives. Commanding was the art of effective leadership. Coordinating, the orderly arrangement of group efforts to provide unity of action, ensu­red the harmony necessary for a smoothly functioning organization. Controlling involved seeing that everything was done ac­cording to the adopted plan.

Fayol also set forth a series of administrative principles. These principles were intended as flexible guidelines for ma­naging both people and work. The 14 principles Fayol felt he used more frequently were:

1. Division of labour. Efficiency can be increased through work specialization.

2. Authority and responsibility. Authority, which is the right to command, should always be equal to responsibility, which is the obligation or duty to carry out assigned tasks.

3. Discipline. In its essence, discipline requires obedience, diligence, and a proper attitude on the part of employees and effective leadership on the part of managers.

4. Unity of command. Everyone should have one and only one boss.

5. Unity of management. For every plan there should be an objective and a manager who is responsible for overall direction.

6. Subordination of individual interests to the common goal. The goals of the organization and the department must take precedence over the personal goals of individual employees.

7. Remuneration of the staff. All staff members should receive compensation that is fair and motivates them to do good work.

8. Centralization. Organizations tend to confine too much decision making to the upper levels. Instead, they should seek that balance of centralization-decentralization that provides the greatest overall efficiency.

9. The hierarchy. There should be a clear-cut chain of command running from the top of the organization to the bottom.

10. Order. A place should exist for everything, and everything should be in its place.

11. Equity. Everyone in the organization should be treated fairly and justly.

12. Stability of staff. Since it takes time for people to learn their job and function at the highest level of efficiency, the long-term commitment of the staff should be a primary concern of management.

13. Initiative. Managers need the power, both to conceive and to execute a plan of action.

14. Esprit de corps. Morale depends heavily on harmony and unity of the organization's staff.

Fayol's contributions to the field were so significant that today he is known as the "Father of Modern Management Theory".

Notes on the text.

esprit de corps – кастовость; сословный, корпоративный дух