| A | B |
| Behavioral school | Management theorists who sought to develop better ways to motivate workers than the rules, systems, and wages proposed by the classical managements theorists. |
| Classical school | A school of management thought in which workers are seen as rational people interested primarily in making money. |
| Competitive bench marking | A phrase coined by the Xerox Corporation that refers to the continuous process of measuring products, services, and practices against those of a business's toughest competitors or other companies recognized as leaders. |
| Contingency school | According to this school of thought, every management situation is different and every manager is different; therefore, there are few universal management principles. |
| Empowerment | A management technique whereby front-line employees are authorized to solve customers' problems and make other decisions that were once made only at higher levels within the organization. |
| Hawthorne effects | The phenomenon that employees work harder and more efficiently when they know their managers are interested in them and their work. |
| Quality focus school | A school of management thought that emphasizes the importance of quality over all other aspects of management. Its founders were Deming, Juran, and Crosby. |
| Quantitative school | A school of management that tries to integrate the management theories of the classical and behavioral management schools; it takes a mathematical approach to management problems. |
| Reengineering | The fundamental rethinking and radical redesign of business processes to achieve dramatic improvements in critical, contemporary measures of performance such as cost, quality, service, and speed. |
| Systems school | A school of management thought that proposes that a company is a system of many interrelated parts. The company, in turn, is part of a larger external environment (system). Therefore, managers cannot act independently; what they can accomplish depends on factors inside and outside the company. |
| Theory X | According to this, the average employee (1) dislikes work and must be directed and threatened with punishment in order to put forth adequate effort, and (2) avoids responsibility and values security above anything else. |
| Theory Y | According to this, (1) the average employee does not inherently dislike work (2) external control is not necessary if employees are committed to the organization's objective, and (3) commitment to objectives is achieved by associating rewards with the attainment of those objectives. |
| Three position plan of promotion | A plan developed by Frank and Lillian Gilbreth in which workers not only perform their jobs but also (1) learn the next higher job and (2) train a worker below them to take over their present job when they are promoted. |