The quantitative management approach is used to enhance decision making power by using quantitative tools and techniques including computer simulations, information models, optimization models and statistics. Decision making is directly contributed by quantitative management approach in the planning and control, such as, quality control, scheduling, budgeting and similar processes are planned by the managers through quantitative approach. Managers are using classified computer software and programs that are helping in the development of formulas, equations and models through quantitative techniques for interpretation of results.
The quantitative management approach has a vital role, but it has not affected the management to apply it necessarily due to a variety of reasons. The majority of the managers are unaware and scared of quantitative tools. It is far less difficult for the students and managers to sort out the day to day problems of people for building quantitative models.
Branches in the Quantitative Management
Quantitative Management Viewpoint contains three main branches that are Management Science, Operations Management and Management Information Systems.
- Management Sciences:
It is also called as Operations Research is the approach that increases decision effectiveness by using specified statistical methods and mathematical models.
- Operations Management:
It is the area of know-how, which is responsible chain and supply of products and services of an organization.
- Management Information System (MIS)
MIS is the computerized information, to be used by the managers, for the storing operating and designing the information.
Contemporary Views of Management
Contemporary viewpoint is a school of thought about the management, which includes the major ideas of management or organization emerged since 1950s. A few ideas and systematic theories were acquired during World War II.
- The System Theory
It is an approach based on the idea that organizations are subsystems which are operated in segment to obtain a common target or goal.
- The Contingency Theory
It is a point of view that appropriate managerial action relies upon at the particular parameters of every scenario. This method hinders the schools of management, which states that there is only one best decision to be taken by the managers, apply in all the cases for all the organizations. The contingency approach applies Principles of Management, especially in the areas of strategy, organizational design, environmental factors, technology and leadership.
Emerging Views of Management
Emerging Views comprise of a few points that are:
Managers in all sorts and sizes of corporations are confronted with the possibilities and demanding situations of globalization by crossing the geographic limits of operation in organizations.
It is a process that undergoes processing of creating new opportunities of profit through launching of new products, services, or processes to ensure new means of profitability for organizations or launching of new or sub organization through a corporation as per the need of the society.
- Management in e-Business World
E-Business (Electronic Business):
It is a comprehensive term used to describe electronic technology applied to the information and Communication based on internet linkages to achieve the targets.
E-Commerce (Electronic Commerce):
Participation of two or more parties in sales, purchase and promotion of products, services or processes through electronic media and source, is called as the eCommerce.
- Innovation and Flexibility Needs
01- To avoid the failure, it is very necessary for an organization to create a constant flow of new ideas and innovation.
02- Where ideas flow, needs of costumers vary time to time, skills and techniques take changes, flexibility is very much important to meet the new goals and targets.
- Quality Management Systems
01- Total Quality Management is a method to drive the managers for simultaneous improvement in work procedure to fulfill the needs, expectations and focuses of costumers.
02- W. Edward Deming was one of the small groups of quality experts, who developed the quality philosophy and theory of profound knowledge to inspire Total Quality Management.
03- It represents a contrast to the earlier management theorists, who believed in low cost as a go through to productivity and profit.
04- Its aim is to obtain continuous improvement of the organization.
- Learning Organizations and Knowledge Management
Currently, Managers must go through the environment that is in continuous change. The most successful organizations of this century do possess flexibility, ability to learn and respond on immediate basis, along with the wise and skilled managers that evolve with the change of environment and face the challenges based on needs and knowledge. Two points are highlighted below:
01- A learning organization should build the capacity to adapt the continuous changes.
02- Knowledge Management should be taking place that is the cultivation of learning atmosphere where organizational individuals should gain and distribute the knowledge for advancement.
- Theory Z
Theory Z contains the positive characteristics of American and Japanese management through a modified technique targeted for increasing managerial effectiveness compatible with norms and trends of society and culture, is proposed by William Ouchi.