Compare and contrast the role of management in the 20th cent

Compare and contrast the role of management in the 20th century organization and the role of management in the 21st century. How has the change in the purpose of businesses (i.e. manufacturing vs. service) and business environment, worker attitudes, and behaviors affected the role of the manager in an organization? Discuss in detail.

Solution

Role of management in the 20th century organization was significantly different than that of in the 21^st century. In the 20^th century, the managers used to set short term objectives for the organizations. These short term objectives were related with the execution of tasks governing the processes, procedure as well as production of the organization.

Contrary to this, in the 21^st century, managers are involved in planning, organizing, as well as execution of different procedures and production process of an organization. In 21^st century, the role of managers has expanded as the managers need to perform the role of facilitator as well. Earlier the management was required to deal with relatively smaller organizational issues. But, with the increase in globalization, technology development, and workforce diversity, the management in 21^st century needs to deal with several issues including global challenges, huge competition, enterprise mobility, human capital management, management of cultural diversity, and establishment of sustainable socioeconomic environment.

Change in the purpose of businesses (i.e. manufacturing vs. service) and business environment, worker attitudes, and behaviors affected the role of the manager in an organization as explained below:

Earlier organizations used to deal with mainly manufacturing business. But currently the purpose of businesses has shifted to the service sector. At present companies can differentiate themselves in the market by improving its customer service. Currently the companies work in highly competitive market where customers are more educated and service-centric in nature. To cater the changing needs of customers in highly competitive and dynamic market, employees need to work in parallel projects with high workload and tight schedules. It creates a very stressful environment for the employees. Mangers need to effectively handle the workforce in such stressful environment.

Furthermore, companies need to continuously restructure their business model with the change in market environment. Simultaneously, they need to downsize the employees and change their job responsibilities. It also creates a challenging task for the managers as they need to maintain job satisfaction of the employees in such dynamic environment. The managers need to ensure that the employees maintain a balance between their personal and professional life. Besides, they need to create an environment that will help to attract and retain competent employees. Hence, it can be said that change of purpose in business along with change in work attitudes and behavior of workers has expanded the role of management.