POSDCORB INTRODUCTION By Alberto D Pena PH D

POSDCORB INTRODUCTION By: Alberto D. Pena, PH. D Associate Professor, Ret. , University of Connecticut (USA) Member of the Faculty, MDI, Illinois State University (USA)

POSDCORB-INTRODUCTION • It is an Acronym summarizing or emphasizing the major roles of Executives such as Planning, Organizing, Staffing, Directing, Co-Coordinating, Reporting, and Budgeting. • The idea was introduced by Henry Fayol, a French industrialist. 1916. • It is an offshoot of Industrial Revolution. The concept and acronym of POSDCORB was developed by Dr. Henry Fayol (1916), a French industrialist.

POSDCORB-INTRODUCTION • During his time the industrial revolution is sweeping in Europe transforming the economies in of different countries from agricultural based economy into industrial development. • The industries are managed by industrialists like Dr. Fayol many of whom are engineers and production specialist. • This is the first time that management started to be recognized as a separate expertise. POSDCORB was influenced by French Administration Theories because of Henry Fayol.

POSDCORB-INTRODUCTION • Later on Dr. Frederick Taylor, a contemporary of Dr. Fayol, tried to transform management into a scientific body of knowledge based on proven principles. • Dr. Taylor launched the so-called scientific management which dominated the academic studies and research. The Scientific Management is to be followed or guide the executives and managers. • POSDCORD first appeared in a staff paper written by Luther Gullick and Lyndall Urwick for the Brownlow Committee in 1937. • It is considered “Classic” in the field of Management.

POSDCORB-INTRODUCTION • The Brownlow Committee was commissioned by Pres. Roosevelt to improve the management in the Executive Branch of the US Government. At this time there was an attempt to separate Management from Politics but Dr. Gullick said it is impossible • In his “Notes on the Theory or Organization” Dr. Luther Gullick (1938) said that the job of executives can be summed up as POSDCORB.

POSDCORB-INTRODUCTION • Dr. Lyndall Urwick (1938), also a member of Brownlow Committee was the first to introduce the principle of Span of Control in scientific management which become a part of the Organizing portion of the POSDCORB. • Peter Drucker is traditionally known as “Father of Management” but he was criticized in his introduction of “human nature” to scientific management. He became consultants to large corporations but he was also criticized for emphasizing the “publicness” of management in contrast to purely private sector management.

POSDCORB-INTRODUCTION • This is the time when the so-called private sector and public sector are supposed to have different objectives. • This is also the time when some management experts are trying to separate public management from private sector management.

POSDCORB-INTRODUCTION • Schumpeter introduced the concept of entrepreneurship as a factor of economic production and part of management and should be included in the POSDCORB. Until now the difference between entrepreneurship and management is being debated. • In summary, many Principles of Management derived their origin from the POSDCORB. • You cannot draw the organizational chart of an organization without clear understanding of the POSDCORB.