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Peter Drucker

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Management science (or managerial science ) is a wide and interdisciplinary study of solving complex problems and making strategic decisions as it pertains to institutions, corporations, governments and other types of organizational entities. It is closely related to management , economics , business , engineering , management consulting , and other fields. It uses various scientific research -based principles , strategies , and analytical methods including mathematical modeling , statistics and numerical algorithms and aims to improve an organization's ability to enact rational and accurate management decisions by arriving at optimal or near optimal solutions to complex decision problems.

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115-510: Peter Ferdinand Drucker ( / ˈ d r ʌ k ər / ; German: [ˈdʀʊkɐ] ; November 19, 1909 – November 11, 2005) was an Austrian American management consultant, educator, and author, whose writings contributed to the philosophical and practical foundations of modern management theory . He was also a leader in the development of management education , and invented the concepts known as management by objectives and self-control , and he has been described as "the champion of management as

230-659: A Neutrality Pact in April 1941, and Japan adopted the doctrine of Nanshin-ron , promoted by the Navy, which took its focus southward and eventually led to war with the United States and the Western Allies. In Europe, Germany and Italy were becoming more aggressive. In March 1938, Germany annexed Austria , again provoking little response from other European powers. Encouraged, Hitler began pressing German claims on

345-578: A cautious French probe into the Saarland . The Western Allies also began a naval blockade of Germany , which aimed to damage the country's economy and war effort. Germany responded by ordering U-boat warfare against Allied merchant and warships, which would later escalate into the Battle of the Atlantic . On 8 September, German troops reached the suburbs of Warsaw . The Polish counter-offensive to

460-610: A Bystander (1978) – is an autobiography . He is the co-author of a book on Japanese painting , and made eight series of educational films on management topics. He also penned a regular column in the Wall Street Journal for 10 years and contributed frequently to the Harvard Business Review , The Atlantic Monthly , and The Economist . His work is especially popular in Japan , even more so after

575-511: A business consultant, Drucker disliked the term "guru", though it was often applied to him; "I have been saying for many years", Drucker once remarked, "that we are using the word 'guru' only because ' charlatan ' is too long to fit into a headline." As a young writer, Drucker wrote two pieces – one on the conservative German philosopher Friedrich Julius Stahl and another called " The Jewish Question in Germany " – that were burned and banned by

690-798: A consultant on international economic policy to the Board of Economic Warfare . In 1943, Drucker became a naturalized citizen of the United States. Then from 1950 to 1971, Drucker was a professor of management at New York University . In 1954, Drucker to wrote The Practice of Management , a book he set out to write after finding a lack of books specifically about business management at the General Electric library in Crotonville, New York . The Saturday Review and Business Week praised The Practice of Management as groundbreaking. Drucker went to California in 1971, where he developed one of

805-469: A crucial role in optimizing resource allocation, patient scheduling, and facility management . Mathematical models aid healthcare professionals in streamlining operations, reducing waiting times, and improving overall efficiency in the delivery of care. Logistics and supply chain management benefit significantly from management science applications. Optimization algorithms assist in route planning, inventory management , and demand forecasting , enhancing

920-455: A friend of his father's, who impressed upon Drucker the idea of the importance of innovation and entrepreneurship. Drucker was also influenced, in a much different way, by John Maynard Keynes , whom he heard lecture in 1934 in Cambridge . "I suddenly realized that Keynes and all the brilliant economic students in the room were interested in the behavior of commodities", Drucker wrote, "while I

1035-426: A host of long-standing policies on customer relations, dealer relations, employee relations and more. Inside the corporation, Drucker's counsel was viewed as hypercritical. GM's revered chairman, Alfred Sloan , was so upset about the book that he "simply treated it as if it did not exist," Drucker later recalled, "never mentioning it and never allowing it to be mentioned in his presence." Drucker taught that management

1150-672: A journalist, writing for Der Österreichische Volkswirt ( The Austrian Economist ). Drucker then moved to Frankfurt , where he took a job at the Daily Frankfurter General-Anzeiger . While in Frankfurt, he also earned a doctorate in international law and public law from the Goethe University Frankfurt in 1931. In 1933, Drucker left Germany for England. In London , he worked as a security analyst for an insurance company, then as

1265-524: A pretext to initiate the invasion. The first German attack of the war came against the Polish defences at Westerplatte . The United Kingdom responded with an ultimatum for Germany to cease military operations, and on 3 September, after the ultimatum was ignored, Britain and France declared war on Germany. During the Phoney War period, the alliance provided no direct military support to Poland, outside of

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1380-781: A pretext to worsen relations. On 29 August, Hitler demanded that a Polish plenipotentiary immediately travel to Berlin to negotiate the handover of Danzig , and to allow a plebiscite in the Polish Corridor in which the German minority would vote on secession. The Poles refused to comply with the German demands, and on the night of 30–31 August in a confrontational meeting with the British ambassador Nevile Henderson , Ribbentrop declared that Germany considered its claims rejected. On 1 September 1939, Germany invaded Poland after having staged several false flag border incidents as

1495-475: A secret protocol that defined German and Soviet "spheres of influence" (western Poland and Lithuania for Germany; eastern Poland , Finland, Estonia , Latvia and Bessarabia for the Soviet Union), and raised the question of continuing Polish independence. The pact neutralised the possibility of Soviet opposition to a campaign against Poland and assured that Germany would not have to face the prospect of

1610-448: A serious discipline". Drucker's books and articles, both scholarly and popular, explored how humans are organized across the business, government, and nonprofit sectors of society. He is one of the best-known and most widely influential thinkers and writers on the subject of management theory and practice. His writings have predicted many of the major developments of the late twentieth century, including privatization and decentralization;

1725-774: A similar pact and rejected ceding part of its territory to the Soviet Union. The Soviet Union invaded Finland in November 1939, and was subsequently expelled from the League of Nations for this crime of aggression. Despite overwhelming numerical superiority, Soviet military success during the Winter War was modest, and the Finno-Soviet war ended in March 1940 with some Finnish concessions of territory . In June 1940,

1840-497: A sympathetic way. He assumed that his readers were intelligent, rational, hardworking people of goodwill. If their organizations struggled, he believed it was usually because of outdated ideas, a narrow conception of problems, or internal misunderstandings. Drucker developed an extensive consulting business built around his personal relationship with top management. He became legendary among many of post-war Japan's new business leaders trying to rebuild their war-torn homeland. He advised

1955-531: A two-front war, as it had in World War   I. Immediately afterwards, Hitler ordered the attack to proceed on 26 August, but upon hearing that the United Kingdom had concluded a formal mutual assistance pact with Poland and that Italy would maintain neutrality, he decided to delay it. In response to British requests for direct negotiations to avoid war, Germany made demands on Poland, which served as

2070-416: Is "a liberal art", and he infused his management advice with interdisciplinary lessons from history, sociology, psychology, philosophy, culture and religion. He also believed strongly that all institutions, including those in the private sector, have a responsibility to the whole of society. "The fact is," Drucker wrote in his 1973 Management: Tasks, Responsibilities, Practices , "that in modern society there

2185-500: Is concerned with a number of areas of study: Management science research can be done on three levels: The management scientist's mandate is to use rational, systematic and science-based techniques to inform and improve decisions of all kinds. The techniques of management science are not restricted to business applications but may be applied to military , medical, public administration , charitable groups, political groups or community groups. The norm for scholars in management science

2300-403: Is no other leadership group but managers. If the managers of our major institutions, and especially of business, do not take responsibility for the common good , no one else can or will." Drucker was intrigued by employees who knew more about certain subjects than their bosses or colleagues, and yet had to cooperate with others in a large organization. Rather than simply glorify the phenomenon as

2415-427: Is to be economically efficient." This thought process is foundational to management science. Even before the influence of these men, there was Louis Brandeis who became known as "the people's lawyer". In 1910, Brandeis was the creator of a new business approach which he coined as "scientific management", a term that is often falsely attributed to the aforementioned Frederick Winslow Taylor. These men represent some of

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2530-456: Is to focus their work in a certain area or subfield of management like public administration, finance , calculus , information and so forth. Although management science as it exists now covers a myriad of topics having to do with coming up with solutions that increase the efficiency of a business, it was not even a field of study in the not too distant past. There are a number of businessmen and management specialists who can receive credit for

2645-761: The Leader to Leader Institute , from 1990 through 2002. In 1969 he was awarded New York University 's highest honor, its Presidential Citation. For his article, "What Makes an Effective Executive", Harvard Business Review honored Drucker in the June 2004 with his seventh McKinsey Award – the most awarded to an individual. Drucker was inducted into the Junior Achievement US Business Hall of Fame in 1996. He received 25 honorary doctorates from American, Belgian, Czech, English, Spanish and Swiss universities. His 1954 book The Practice of Management

2760-604: The Anglo-German Naval Agreement and the German–Polish declaration of non-aggression . The situation became a crisis in late August as German troops continued to mobilise against the Polish border. On 23 August the Soviet Union signed a non-aggression pact with Germany, after tripartite negotiations for a military alliance between France, the United Kingdom, and Soviet Union had stalled. This pact had

2875-689: The British Empire , with fighting in the Balkans , Mediterranean, and Middle East , the aerial Battle of Britain and the Blitz , and naval Battle of the Atlantic . Through a series of campaigns and treaties, Germany took control of much of continental Europe and formed the Axis alliance with Italy , Japan , and other countries. In June 1941, Germany led the European Axis in an invasion of

2990-581: The German Revolution of 1918–1919 , and a democratic government, later known as the Weimar Republic , was created. The interwar period saw strife between supporters of the new republic and hardline opponents on both the political right and left. Italy, as an Entente ally, had made some post-war territorial gains; however, Italian nationalists were angered that the promises made by the United Kingdom and France to secure Italian entrance into

3105-853: The German invasion of Poland and the United Kingdom and France 's declaration of war on Germany two days later on 3 September 1939. Dates for the beginning of the Pacific War include the start of the Second Sino-Japanese War on 7 July 1937, or the earlier Japanese invasion of Manchuria , on 19 September 1931. Others follow the British historian A. J. P. Taylor , who stated that the Sino-Japanese War and war in Europe and its colonies occurred simultaneously, and

3220-576: The Italian mainland , and Allied offensives in the Pacific—cost the Axis powers their initiative and forced them into strategic retreat on all fronts. In 1944, the Western Allies invaded German-occupied France at Normandy , while the Soviet Union regained its territorial losses and pushed Germany and its allies westward. At the same time, Japan suffered reversals in mainland Asia, while the Allies crippled

3335-553: The Japanese Navy and captured key islands . The war in Europe concluded with the liberation of German-occupied territories ; the invasion of Germany by the Western Allies and the Soviet Union, culminating in the fall of Berlin to Soviet troops; Hitler's suicide ; and the German unconditional surrender on 8 May 1945 . Following the refusal of Japan to surrender on the terms of the Potsdam Declaration ,

3450-695: The League of Nations as a force to preserve peace. Both Italy and Ethiopia were member nations, but the League did little when the former clearly violated Article X of the League's Covenant . The United Kingdom and France supported imposing sanctions on Italy for the invasion, but the sanctions were not fully enforced and failed to end the Italian invasion. Italy subsequently dropped its objections to Germany's goal of absorbing Austria . When civil war broke out in Spain, Hitler and Mussolini lent military support to

3565-731: The Nationalist rebels , led by General Francisco Franco . Italy supported the Nationalists to a greater extent than the Nazis: Mussolini sent more than 70,000 ground troops, 6,000 aviation personnel, and 720 aircraft to Spain. The Soviet Union supported the existing government of the Spanish Republic . More than 30,000 foreign volunteers, known as the International Brigades , also fought against

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3680-651: The Nazis . In 1939 he published a contemporary analysis of the rise of fascism called "The End of Economic Man". This was his first book, published in New York, in English. In the introduction he refers to " The Jewish Question in Germany " saying "An early excerpt [of this book] was published as a pamphlet by an Austrian Catholic and Anti-Nazi in ... 1936". Drucker's career as a business thinker took off in 1942, when his initial writings on politics and society won him access to

3795-733: The Peter F. Drucker and Masatoshi Ito Graduate School of Management ). He established the Drucker Archives at Claremont Graduate University in 1999; the Archives became the Drucker Institute in 2006. Drucker taught his last class in 2002 at age 92. He continued to act as a consultant to businesses and nonprofit organizations well into his nineties. Among Drucker's early influences was the Austrian economist Joseph Schumpeter ,

3910-690: The Rome–Berlin Axis . A month later, Germany and Japan signed the Anti-Comintern Pact , which Italy joined the following year. The Kuomintang (KMT) party in China launched a unification campaign against regional warlords and nominally unified China in the mid-1920s, but was soon embroiled in a civil war against its former Chinese Communist Party (CCP) allies and new regional warlords . In 1931, an increasingly militaristic Empire of Japan , which had long sought influence in China as

4025-590: The Soviet–Japanese Neutrality Pact in April 1941. By contrast, the Germans were steadily making preparations for an attack on the Soviet Union, massing forces on the Soviet border. Hitler believed that the United Kingdom's refusal to end the war was based on the hope that the United States and the Soviet Union would enter the war against Germany sooner or later. On 31 July 1940, Hitler decided that

4140-543: The Stresa Front in April 1935 in order to contain Germany, a key step towards military globalisation ; however, that June, the United Kingdom made an independent naval agreement with Germany, easing prior restrictions. The Soviet Union, concerned by Germany's goals of capturing vast areas of Eastern Europe , drafted a treaty of mutual assistance with France. Before taking effect, though, the Franco-Soviet pact

4255-709: The Sudetenland , an area of Czechoslovakia with a predominantly ethnic German population. Soon the United Kingdom and France followed the appeasement policy of British Prime Minister Neville Chamberlain and conceded this territory to Germany in the Munich Agreement , which was made against the wishes of the Czechoslovak government, in exchange for a promise of no further territorial demands. Soon afterwards, Germany and Italy forced Czechoslovakia to cede additional territory to Hungary, and Poland annexed

4370-707: The Tanggu Truce was signed in 1933. Thereafter, Chinese volunteer forces continued the resistance to Japanese aggression in Manchuria , and Chahar and Suiyuan . After the 1936 Xi'an Incident , the Kuomintang and CCP forces agreed on a ceasefire to present a united front to oppose Japan. The Second Italo-Ethiopian War was a brief colonial war that began in October 1935 and ended in May 1936. The war began with

4485-579: The Trans-Olza region of Czechoslovakia. Although all of Germany's stated demands had been satisfied by the agreement, privately Hitler was furious that British interference had prevented him from seizing all of Czechoslovakia in one operation. In subsequent speeches Hitler attacked British and Jewish "war-mongers" and in January 1939 secretly ordered a major build-up of the German navy to challenge British naval supremacy. In March 1939, Germany invaded

4600-558: The Treaty of Craiova . The loss of one-third of Romania's 1939 territory caused a coup against King Carol II, turning Romania into a fascist dictatorship under Marshal Ion Antonescu , with a course set towards the Axis in the hopes of a German guarantee. Meanwhile, German-Soviet political relations and economic co-operation gradually stalled, and both states began preparations for war. In April 1940, Germany invaded Denmark and Norway to protect shipments of iron ore from Sweden , which

4715-698: The United Kingdom and France to declare war on Germany. Poland was divided between Germany and the Soviet Union under the Molotov–Ribbentrop Pact , in which they had agreed on " spheres of influence " in Eastern Europe. In 1940, the Soviets annexed the Baltic states and parts of Finland and Romania . After the fall of France in June 1940, the war continued mainly between Germany and

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4830-709: The Wehrmacht rapidly advanced to the Channel and cut off the Allied forces in Belgium, trapping the bulk of the Allied armies in a cauldron on the Franco-Belgian border near Lille. The United Kingdom was able to evacuate a significant number of Allied troops from the continent by early June, although they had to abandon almost all their equipment. On 10 June, Italy invaded France , declaring war on both France and

4945-451: The aftermath of World War I and the rise of fascism in Europe and militarism in Japan . Key events leading up to the war included Japan's invasion of Manchuria , the Spanish Civil War , the outbreak of the Second Sino-Japanese War , and Germany's annexations of Austria and the Sudetenland . World War II is generally considered to have begun on 1 September 1939, when Nazi Germany , under Adolf Hitler , invaded Poland , prompting

5060-539: The optimization of systems which could be modeled linearly, i.e., determining the optima ( maximum value of profit , assembly line performance, crop yield , bandwidth, etc. or minimum of loss, risk, costs, etc.) of some objective function. Today, the discipline of management science may encompass a diverse range of managerial and organizational activity as it regards to a problem which is structured in mathematical or other quantitative form in order to derive managerially relevant insights and solutions. Management science

5175-404: The reunification of East and West Germany to take place and resolved most post–World War   II issues. No formal peace treaty between Japan and the Soviet Union was ever signed, although the state of war between the two countries was terminated by the Soviet–Japanese Joint Declaration of 1956 , which also restored full diplomatic relations between them. World War I had radically altered

5290-605: The strategic bombing of population centres and delivery of the only two nuclear weapons ever used in war. World War II was the deadliest conflict in history, resulting in 70 to 85 million deaths , more than half being civilians. Millions died in genocides , including the Holocaust of European Jews, as well as from massacres, starvation, and disease. Following the Allied powers' victory, Germany , Austria , Japan , and Korea were occupied, and war crimes tribunals were conducted against German and Japanese leaders . The causes of World War II included unresolved tensions in

5405-456: The Allied forces recruited scientists of various disciplines to assist with military operations. In these early applications, the scientists used simple mathematical models to make efficient use of limited technologies and resources. The application of these models to the corporate sector became known as management science. In 1967 Stafford Beer characterized the field of management science as "the business use of operations research". Some of

5520-409: The Allies were attempting to cut off . Denmark capitulated after six hours , and despite Allied support , Norway was conquered within two months. British discontent over the Norwegian campaign led to the resignation of Prime Minister Neville Chamberlain , who was replaced by Winston Churchill on 10   May 1940. On the same day, Germany launched an offensive against France . To circumvent

5635-400: The Axis war against the Soviet Union, in Romania's case partially to recapture territory ceded to the Soviet Union . In early June 1940, the Italian Regia Aeronautica attacked and besieged Malta , a British possession. From late summer to early autumn, Italy conquered British Somaliland and made an incursion into British-held Egypt . In October, Italy attacked Greece , but the attack

5750-421: The Blitz , but largely ended in May 1941 after failing to significantly disrupt the British war effort. Using newly captured French ports, the German Navy enjoyed success against an over-extended Royal Navy , using U-boats against British shipping in the Atlantic . The British Home Fleet scored a significant victory on 27   May 1941 by sinking the German battleship Bismarck . In November 1939,

5865-493: The Corporation , criticized General Motors while it was considered the most successful corporation in the world. Many of GM's executives considered Drucker persona non grata for a long time afterward. Although Alfred P. Sloan refrained from personal hostility toward Drucker, he considered Drucker's critiques of GM's management to be "dead wrong". Drucker was awarded the Presidential Medal of Freedom by US President George W. Bush on July 9, 2002. He also received honors from

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5980-405: The European Axis declaring war on the US. Japan conquered much of coastal China and Southeast Asia , but its advances in the Pacific were halted in mid-1942 after its defeat in the naval Battle of Midway ; Germany and Italy were defeated in North Africa and at Stalingrad in the Soviet Union. Key setbacks in 1943—including German defeats on the Eastern Front, the Allied invasions of Sicily and

6095-410: The French possessions of Syria and Lebanon , assisted by the Free French . With the situation in Europe and Asia relatively stable, Germany, Japan, and the Soviet Union made preparations for war. With the Soviets wary of mounting tensions with Germany, and the Japanese planning to take advantage of the European War by seizing resource-rich European possessions in Southeast Asia , the two powers signed

6210-426: The Germans, and the last large operational unit of the Polish Army surrendered on 6   October . Despite the military defeat, Poland never surrendered; instead, it formed the Polish government-in-exile and a clandestine state apparatus remained in occupied Poland. A significant part of Polish military personnel evacuated to Romania and Latvia; many of them later fought against the Axis in other theatres of

6325-450: The Nationalists. Both Germany and the Soviet Union used this proxy war as an opportunity to test in combat their most advanced weapons and tactics. The Nationalists won the civil war in April 1939; Franco, now dictator, remained officially neutral during World War   II but generally favoured the Axis . His greatest collaboration with Germany was the sending of volunteers to fight on the Eastern Front . In July 1937, Japan captured

6440-452: The Royal Navy putting three Italian battleships out of commission after a carrier attack at Taranto , and neutralising several more warships at the Battle of Cape Matapan . Italian defeats prompted Germany to deploy an expeditionary force to North Africa; at the end of March 1941, Rommel 's Afrika Korps launched an offensive which drove back Commonwealth forces. In less than a month, Axis forces advanced to western Egypt and besieged

6555-423: The Soviet Union occupied the entire territories of Estonia, Latvia and Lithuania, as well as the Romanian regions of Bessarabia, Northern Bukovina, and the Hertsa region . In August 1940, Hitler imposed the Second Vienna Award on Romania which led to the transfer of Northern Transylvania to Hungary. In September 1940, Bulgaria demanded Southern Dobruja from Romania with German and Italian support, leading to

6670-421: The Soviet Union , opening the Eastern Front and initially making large territorial gains. Japan aimed to dominate East Asia and the Asia-Pacific , and by 1937 was at war with the Republic of China . In December 1941, Japan attacked American and British territories in Southeast Asia and the Central Pacific , including Pearl Harbor in Hawaii , which resulted in the US and the UK declaring war against Japan, and

6785-418: The Soviet Union and Mongolia . The Japanese doctrine of Hokushin-ron , which emphasised Japan's expansion northward, was favoured by the Imperial Army during this time. This policy would prove difficult to maintain in light of the Japanese defeat at Khalkin Gol in 1939, the ongoing Second Sino-Japanese War and ally Nazi Germany pursuing neutrality with the Soviets. Japan and the Soviet Union eventually signed

6900-575: The Soviet Union should be eliminated and aimed for the conquest of Ukraine , the Baltic states and Byelorussia . However, other senior German officials like Ribbentrop saw an opportunity to create a Euro-Asian bloc against the British Empire by inviting the Soviet Union into the Tripartite Pact. In November 1940, negotiations took place to determine if the Soviet Union would join the pact. The Soviets showed some interest but asked for concessions from Finland, Bulgaria, Turkey, and Japan that Germany considered unacceptable. On 18 December 1940, Hitler issued

7015-421: The U.S., where Peter Drucker became a freelance journalist writing for Harper's and The Washington Post . In 1939, Drucker joined Sarah Lawrence College in Bronxville, New York as a part-time economics instructor. Drucker was fired in 1941 after refusing to sign a faculty manifesto that he said "viciously and falsely attacked the liberal president of Brooklyn College , Harry Gideonse ," who had supported

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7130-438: The UK against Nazi Germany in the Battle of Britain . His 1939 book, The End of Economic Man , attracted attention of Bennington College president Lewis Webster Jones , who invited Drucker to lecture on the book. Despite some faculty objections, Jones hired Drucker as a professor of politics and philosophy at Bennington, a position Drucker would hold from 1942 to 1949. With the U.S. engaged in World War II , Drucker also became

7245-402: The US dropped the first atomic bombs on Hiroshima and Nagasaki on 6 and 9 August. Faced with an imminent invasion of the Japanese archipelago , the possibility of further atomic bombings, and the Soviet declaration of war against Japan and its invasion of Manchuria , Japan announced its unconditional surrender on 15 August and signed a surrender document on 2 September 1945 , marking

7360-424: The United Kingdom and France guaranteed their support for Polish independence ; when Italy conquered Albania in April 1939, the same guarantee was extended to the Kingdoms of Romania and Greece . Shortly after the Franco - British pledge to Poland, Germany and Italy formalised their own alliance with the Pact of Steel . Hitler accused the United Kingdom and Poland of trying to "encircle" Germany and renounced

7475-489: The United Kingdom attacked on 3   July in an attempt to prevent its seizure by Germany. The air Battle of Britain began in early July with Luftwaffe attacks on shipping and harbours . The German campaign for air superiority started in August but its failure to defeat RAF Fighter Command forced the indefinite postponement of the proposed German invasion of Britain . The German strategic bombing offensive intensified with night attacks on London and other cities in

7590-401: The United Kingdom. The Germans turned south against the weakened French army, and Paris fell to them on 14   June. Eight days later France signed an armistice with Germany ; it was divided into German and Italian occupation zones , and an unoccupied rump state under the Vichy Regime , which, though officially neutral, was generally aligned with Germany. France kept its fleet, which

7705-473: The United States was assisting China and the Western Allies, and had amended the Neutrality Act to allow "cash and carry" purchases by the Allies. In 1940, following the German capture of Paris, the size of the United States Navy was significantly increased . In September the United States further agreed to a trade of American destroyers for British bases . Still, a large majority of the American public continued to oppose any direct military intervention in

7820-446: The United States' financial center would shift from New York to Washington. Others maintain that one of Drucker's core concepts, " management by objectives ," is flawed and has never really been proven to work effectively. Critic Dale Krueger said that the system is difficult to implement and that companies often wind up overemphasizing control, as opposed to fostering creativity, to meet their goals. Drucker's classic work, Concept of

7935-434: The Yellow River ; this manoeuvre bought time for the Chinese to prepare their defences at Wuhan , but the city was taken by October. Japanese military victories did not bring about the collapse of Chinese resistance that Japan had hoped to achieve; instead, the Chinese government relocated inland to Chongqing and continued the war. In the mid-to-late 1930s, Japanese forces in Manchukuo had sporadic border clashes with

8050-405: The applications of management science are far-reaching, providing valuable insights and solutions across a spectrum of industries, ultimately fostering more efficient and effective decision-making processes. World War II Asia-Pacific Mediterranean and Middle East Other campaigns Coups World War II or the Second World War (1 September 1939 – 2 September 1945)

8165-405: The capital Nanking in December 1937. After the fall of Nanking, tens or hundreds of thousands of Chinese civilians and disarmed combatants were murdered by the Japanese . In March 1938, Nationalist Chinese forces won their first major victory at Taierzhuang , but then the city of Xuzhou was taken by the Japanese in May. In June 1938, Chinese forces stalled the Japanese advance by flooding

8280-541: The centenary of Drucker's birth. Peter Drucker married Doris Schmitz in 1937; they had four children. On November 11, 2005, Peter Drucker died of natural causes in Claremont, California , aged 95. Doris died in October 2014 at the age of 103. Management science Management science looks to help businesses achieve goals using a number of scientific methods. The field was initially an outgrowth of applied mathematics , where early challenges were problems relating to

8395-511: The chief economist at a private bank. While in London, Drucker regularly attended John Maynard Keynes seminars at Cambridge University , discovering that he was interested in "the behavior of people" while Keynes and other students focused on "the behavior of commodities." In 1937, Peter Drucker married Doris Schmitz, a classmate from the University of Frankfurt. The Druckers then moved to

8510-403: The conflict well into 1941. In December 1940, Roosevelt accused Hitler of planning world conquest and ruled out any negotiations as useless, calling for the United States to become an " arsenal of democracy " and promoting Lend-Lease programmes of military and humanitarian aid to support the British war effort; Lend-Lease was later extended to the other Allies, including the Soviet Union after it

8625-491: The corporation. Drucker attended every board meeting, interviewed employees, and analyzed production and decision-making processes. The resulting book, Concept of the Corporation , popularized GM's multidivisional structure and led to numerous articles, consulting engagements, and additional books. GM, however, was hardly thrilled with the final product. Drucker had suggested that the auto giant might want to re-examine

8740-518: The country's first executive MBA programs for working professionals at Claremont Graduate University (then known as Claremont Graduate School). From 1971 until his death, he was the Clarke Professor of Social Science and Management at Claremont. Claremont Graduate University's management school was named the Peter F. Drucker Graduate School of Management in his honor in 1987 (later renamed

8855-526: The creation of a " New Roman Empire ". Adolf Hitler , after an unsuccessful attempt to overthrow the German government in 1923, eventually became the Chancellor of Germany in 1933 when Paul von Hindenburg and the Reichstag appointed him. Following Hindenburg's death in 1934, Hitler proclaimed himself Führer of Germany and abolished democracy, espousing a radical, racially motivated revision of

8970-411: The creation of the idea of management science. Most commonly, however, the founder of the field is considered to be Frederick Winslow Taylor in the early 20th century. Likewise, administration expert Luther Gulick and management expert Peter Drucker both had an impact on the development of management science in the 1930s and 1940s. Drucker is quoted as having said that, "the purpose of the corporation

9085-757: The dissolution of the Austro-Hungarian, Ottoman, and Russian Empires. To prevent a future world war, the League of Nations was established in 1920 by the Paris Peace Conference . The organisation's primary goals were to prevent armed conflict through collective security, military, and naval disarmament , as well as settling international disputes through peaceful negotiations and arbitration. Despite strong pacifist sentiment after World War   I , irredentist and revanchist nationalism had emerged in several European states. These sentiments were especially marked in Germany because of

9200-463: The earliest ideas of management science at its conception. After the idea was born, it was further explored around the time of World War II. It was at this time that management science became more than an idea and was put into practice. This sort of experimentation was essential to the development of the field as it is known today. The origins of management science can be traced to operations research , which became influential during World War II when

9315-598: The efficiency of the entire supply chain . In manufacturing, management science supports process optimization, production planning , and quality control . Mathematical models help identify bottlenecks, reduce production costs, and enhance overall productivity. Furthermore, management science contributes to strategic decision-making in project management , marketing , and human resources . By leveraging quantitative techniques, organizations can make data-driven decisions, allocate resources effectively, and enhance overall performance across diverse functional areas. In summary,

9430-712: The end of May completed the German conquest of the Balkans. Partisan warfare subsequently broke out against the Axis occupation of Yugoslavia , which continued until the end of the war. In the Middle East in May, Commonwealth forces quashed an uprising in Iraq which had been supported by German aircraft from bases within Vichy-controlled Syria . Between June and July, British-led forces invaded and occupied

9545-511: The end of the war. World War II changed the political alignment and social structure of the world, and it set the foundation of international relations for the rest of the 20th century and into the 21st century. The United Nations was established to foster international cooperation and prevent conflicts, with the victorious great powers—China, France, the Soviet Union, the UK, and the US—becoming

9660-554: The epitome of human progress, Drucker analyzed it, and explained how it challenged the common thinking about how organizations should be run. His approach worked well in the increasingly mature business world of the second half of the twentieth century. By that time large corporations had developed the basic manufacturing efficiencies and managerial hierarchies of mass production . Executives thought they knew how to run companies, and Drucker took it upon himself to poke holes in their beliefs, lest organizations become stale. But he did so in

9775-477: The field. In 2018, Drucker was named the world's most influential business thinker on the Thinkers50.com list. At Claremont Graduate University , the Peter F. Drucker Graduate Management Center – now the Peter F. Drucker and Masatoshi Ito Graduate School of Management – was established in 1987 and continues to be guided by Drucker's principles. The annual Global Peter Drucker Forum was first held in 2009,

9890-560: The fields that management science involves include: Management science's applications are diverse allowing the use of it in many fields. Below are examples of the applications of management science. In finance , management science is instrumental in portfolio optimization, risk management , and investment strategies. By employing mathematical models, analysts can assess market trends, optimize asset allocation, and mitigate financial risks , contributing to more informed and strategic decision-making. In healthcare, management science plays

10005-631: The first step of what its government saw as the country's right to rule Asia , staged the Mukden incident as a pretext to invade Manchuria and establish the puppet state of Manchukuo . China appealed to the League of Nations to stop the Japanese invasion of Manchuria. Japan withdrew from the League of Nations after being condemned for its incursion into Manchuria. The two nations then fought several battles, in Shanghai , Rehe and Hebei , until

10120-864: The former Chinese imperial capital of Peking after instigating the Marco Polo Bridge incident , which culminated in the Japanese campaign to invade all of China. The Soviets quickly signed a non-aggression pact with China to lend materiel support, effectively ending China's prior cooperation with Germany . From September to November, the Japanese attacked Taiyuan , engaged the Kuomintang Army around Xinkou , and fought Communist forces in Pingxingguan . Generalissimo Chiang Kai-shek deployed his best army to defend Shanghai , but after three months of fighting, Shanghai fell. The Japanese continued to push Chinese forces back, capturing

10235-902: The government of Austria, including the Grand Silver Medal for Services to the Republic of Austria in 1974, the Grand Gold Decoration for Services to the Republic of Austria in 1991 and the Austrian Cross of Honour for Science and Art, 1st class in 1999 and the Order of the Sacred Treasure , 3rd class; June 24, 1966, from the government of Japan. Drucker was the Honorary Chairman of the Peter F. Drucker Foundation for Nonprofit Management , now

10350-820: The heads of General Motors , Sears , General Electric , W.R. Grace and IBM , among many others. Over time he offered his management advice to nonprofits like the American Red Cross and the Salvation Army . His advice was eagerly sought by the senior executives of the Adela Investment Company , a private initiative of the world's multinational corporations to promote investment in the developing countries of Latin America . Drucker's 39 books have been translated into more than thirty-six languages. Two are novels, and one – Adventures of

10465-414: The internal workings of General Motors (GM) , one of the largest companies in the world at that time. His experiences in Europe had left him fascinated with the problem of authority. He shared his fascination with Donaldson Brown , the mastermind behind the administrative controls at GM. In 1943 Brown invited him in to conduct what might be called a "political audit": a two-year social-scientific analysis of

10580-525: The invasion of the Ethiopian Empire (also known as Abyssinia ) by the armed forces of the Kingdom of Italy ( Regno d'Italia ), which was launched from Italian Somaliland and Eritrea . The war resulted in the military occupation of Ethiopia and its annexation into the newly created colony of Italian East Africa ( Africa Orientale Italiana , or AOI); in addition it exposed the weakness of

10695-502: The permanent members of its security council . The Soviet Union and the United States emerged as rival superpowers , setting the stage for the Cold War . In the wake of European devastation, the influence of its great powers waned, triggering the decolonisation of Africa and Asia . Most countries whose industries had been damaged moved towards economic recovery and expansion . World War II began in Europe on 1 September 1939 with

10810-589: The political European map with the defeat of the Central Powers —including Austria-Hungary , Germany , Bulgaria , and the Ottoman Empire —and the 1917 Bolshevik seizure of power in Russia , which led to the founding of the Soviet Union. Meanwhile, the victorious Allies of World War I , such as France, Belgium, Italy, Romania, and Greece, gained territory, and new nation-states were created out of

10925-599: The port of Tobruk . By late March 1941, Bulgaria and Yugoslavia signed the Tripartite Pact ; however, the Yugoslav government was overthrown two days later by pro-British nationalists. Germany and Italy responded with simultaneous invasions of both Yugoslavia and Greece , commencing on 6 April 1941; both nations were forced to surrender within the month. The airborne invasion of the Greek island of Crete at

11040-500: The publication of " What If the Female Manager of a High-School Baseball Team Read Drucker's Management" , a novel that features the main character using one of his books to great effect, which was also adapted into an anime and a live action film . His popularity in Japan may be compared with that of his contemporary W. Edwards Deming . The Wall Street Journal researched several of his lectures in 1987 and reported that he

11155-722: The remainder of Czechoslovakia and subsequently split it into the German Protectorate of Bohemia and Moravia and a pro-German client state , the Slovak Republic . Hitler also delivered an ultimatum to Lithuania on 20 March 1939, forcing the concession of the Klaipėda Region , formerly the German Memelland . Greatly alarmed and with Hitler making further demands on the Free City of Danzig ,

11270-573: The rise of Japan to economic world power; the decisive importance of marketing; and the emergence of the information society with its necessity of lifelong learning. In 1959, Drucker coined the term " knowledge worker ", and later in his life considered knowledge-worker productivity to be the next frontier of management. Drucker grew up in what he referred to as a "liberal" Lutheran Protestant household in Austria-Hungary . His mother Caroline Bondi had studied medicine and his father Adolf Drucker

11385-410: The significant territorial, colonial, and financial losses imposed by the Treaty of Versailles . Under the treaty, Germany lost around 13 percent of its home territory and all its overseas possessions , while German annexation of other states was prohibited, reparations were imposed, and limits were placed on the size and capability of the country's armed forces . The German Empire was dissolved in

11500-498: The start or prelude to World War II. The exact date of the war's end also is not universally agreed upon. It was generally accepted at the time that the war ended with the armistice of 15 August 1945 ( V-J Day ), rather than with the formal surrender of Japan on 2 September 1945, which officially ended the war in Asia . A peace treaty between Japan and the Allies was signed in 1951. A 1990 treaty regarding Germany's future allowed

11615-593: The strong Maginot Line fortifications on the Franco-German border, Germany directed its attack at the neutral nations of Belgium , the Netherlands , and Luxembourg . The Germans carried out a flanking manoeuvre through the Ardennes region, which was mistakenly perceived by the Allies as an impenetrable natural barrier against armoured vehicles. By successfully implementing new Blitzkrieg tactics,

11730-585: The two wars became World War II in 1941. Other proposed starting dates for World War II include the Italian invasion of Abyssinia on 3 October 1935. The British historian Antony Beevor views the beginning of World War   II as the Battles of Khalkhin Gol fought between Japan and the forces of Mongolia and the Soviet Union from May to September 1939. Others view the Spanish Civil War as

11845-513: The war were not fulfilled in the peace settlement. From 1922 to 1925, the Fascist movement led by Benito Mussolini seized power in Italy with a nationalist, totalitarian , and class collaborationist agenda that abolished representative democracy, repressed socialist, left-wing, and liberal forces, and pursued an aggressive expansionist foreign policy aimed at making Italy a world power, promising

11960-475: The war. Germany annexed western Poland and occupied central Poland ; the Soviet Union annexed eastern Poland ; small shares of Polish territory were transferred to Lithuania and Slovakia . On 6 October, Hitler made a public peace overture to the United Kingdom and France but said that the future of Poland was to be determined exclusively by Germany and the Soviet Union. The proposal was rejected and Hitler ordered an immediate offensive against France, which

12075-512: The west halted the German advance for several days, but it was outflanked and encircled by the Wehrmacht . Remnants of the Polish army broke through to besieged Warsaw . On 17 September 1939, two days after signing a cease-fire with Japan , the Soviet Union invaded Poland under the supposed pretext that the Polish state had ceased to exist. On 27 September, the Warsaw garrison surrendered to

12190-707: The world order , and soon began a massive rearmament campaign . France, seeking to secure its alliance with Italy, allowed Italy a free hand in Ethiopia , which Italy desired as a colonial possession. The situation was aggravated in early 1935 when the Territory of the Saar Basin was legally reunited with Germany, and Hitler repudiated the Treaty of Versailles, accelerated his rearmament programme, and introduced conscription. The United Kingdom, France and Italy formed

12305-614: Was invaded by Germany. The United States started strategic planning to prepare for a full-scale offensive against Germany. At the end of September 1940, the Tripartite Pact formally united Japan, Italy, and Germany as the Axis powers . The Tripartite Pact stipulated that any country—with the exception of the Soviet Union—that attacked any Axis Power would be forced to go to war against all three. The Axis expanded in November 1940 when Hungary , Slovakia , and Romania joined. Romania and Hungary later made major contributions to

12420-462: Was a global conflict between two coalitions: the Allies and the Axis powers . Nearly all the world's countries —including all the great powers —participated, with many investing all available economic, industrial, and scientific capabilities in pursuit of total war , blurring the distinction between military and civilian resources. Tanks and aircraft played major roles , with the latter enabling

12535-644: Was a lawyer and high-level civil servant. Drucker was born in Vienna, Austria, in the 19th district of Vienna-Döbling . He grew up in a home where intellectuals, high government officials, and scientists would meet to discuss new ideas. These included Joseph Schumpeter , Friedrich Hayek and Ludwig von Mises . Hans Kelsen was his uncle. After graduating from Döbling Gymnasium in 1927, Drucker found few opportunities for employment in post- World War I Vienna, so he moved to Hamburg , Germany, first working as an apprentice at an established cotton trading company, then as

12650-399: Was interested in the behavior of people". Over the next 70 years, Drucker's writings would be marked by a focus on relationships among human beings, as opposed to the crunching of numbers. His books were filled with lessons on how organizations can bring out the best in people, and how workers can find a sense of community and dignity in a modern society organized around large institutions. As

12765-456: Was postponed until the spring of 1940 due to bad weather. After the outbreak of war in Poland, Stalin threatened Estonia , Latvia , and Lithuania with military invasion, forcing the three Baltic countries to sign pacts allowing the creation of Soviet military bases in these countries; in October 1939, significant Soviet military contingents were moved there. Finland refused to sign

12880-772: Was repulsed with heavy Italian casualties; the campaign ended within months with minor territorial changes. To assist Italy and prevent Britain from gaining a foothold, Germany prepared to invade the Balkans, which would threaten Romanian oil fields and strike against British dominance of the Mediterranean. In December 1940, British Empire forces began counter-offensives against Italian forces in Egypt and Italian East Africa . The offensives were successful; by early February 1941, Italy had lost control of eastern Libya, and large numbers of Italian troops had been taken prisoner. The Italian Navy also suffered significant defeats, with

12995-673: Was required to go through the bureaucracy of the League of Nations, which rendered it essentially toothless. The United States, concerned with events in Europe and Asia, passed the Neutrality Act in August of the same year. Hitler defied the Versailles and Locarno Treaties by remilitarising the Rhineland in March 1936, encountering little opposition due to the policy of appeasement . In October 1936, Germany and Italy formed

13110-418: Was sometimes loose with the facts. Drucker was off the mark, for example, when he told an audience that the English language was the official language for all employees at Japan's Mitsui trading company. Drucker defended himself: "I use anecdotes to make a point, not to write history." Also, while Drucker was known for his prescience, he was not always correct in his forecasts. He predicted, for instance, that

13225-629: Was voted the third most influential management book of the 20th century in a poll of the Fellows of the Academy of Management . In Claremont, California, Eleventh Street between College Avenue and Dartmouth Avenue was renamed "Drucker Way" in October 2009 to commemorate the 100th anniversary of Drucker's birth. Drucker was posthumously honored when he was inducted into the Outsourcing Hall of Fame in recognition of his outstanding contributions in

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