This css will modify the height:
.k-scheduler-monthview .k-scheduler-table td{
height: whatever;
}
Doing it dynamically..... that would be tough, considering you don't want cells of all various heights in the month view... you want a consistent square.
In the dataBound event, you can look through each day (by getting the start of the scheduler view) and do occurrencesInRange and check how many events are in that day, get the maximum, and then set the height based on the maximum...
Or, you can control where those little '...' buttons go in the dataBound:
dataBound: function(e){
$('div.k-more-events.k-button').each(function(){
//console.log(this);
$(this).click(function(){
e.sender.view('agenda');
});
});
}
which will take you to the agenda view like in This dojo
Otherwise, you will probably be looking at constructing a custom Month view, in which Kendo has documentation on creating custom views (it won't be as simple as the above options, specifically the second option I mentioned is the quickest).