The theory considers organisation as social system that looks after socio-psychological needs of the workers. This approach served as a starting point for pioneers on management science to verify the validity and improve the applicability of the principles and practices of management. He is responsible for inculcating in the minds of managers the questioning frame of mind and the search for a better way of doing things. Classical management theory is comprised of three separate branches - bureaucratic management, classical scientific management and classical administrative management - each unique in its approach towards finding the best possible way. Autocratic Leadership The autocratic leadership approach is the central part of classical management theory. Thus human relations at work determine the rise or fall in productivity.
The findings confirmed the importance of social factors at work in the total work environment. The modern organisations are complex and changing in form and, therefore, do not fully comprehend the principles of classical theories. Newer Theories of Management Both situational and contingency theories of management assume that a leader should be flexible. All parts or components are interrelated. Their values and beliefs have to be respected. By definition it could meet the various approaches, such as the process, quantitative and behavioural ones, as subsystems in an overall theory of management. Surprisingly enough, they discovered that worker productivity increased as the lighting levels decreased — that is, until the employees were unable to see what they were doing, after which performance naturally declined.
Businesses which failed to use modern techniques of management were not in a position to cope up with this problem. Experience — Knowledge gained over a period of time while working in the specific functional area. This may not always hold true. But their concepts were carried beyond an appropriate limit. The clasasical approach also recognised the importance of economic efficiency and formal organizational structure as guiding pillars of management effectigveness.
Studying the theory helps understanding the fundamental processes and to choose an effective action. Three main theories that developed in the classical school of thought are: a. On-site scientific observation was, thus, called during actual operation. Top level managers perform managerial activities more than technical activities and lower level managers perform more of technical work. According to behavioural scientists, human behaviour is need-based and, therefore, people react differently to different situations. Organising: To coordinate human and non-human resources of the organisation to put the plans into action.
Hierarchical Structure One of the advantages of the classical management structure is a clear organizational hierarchy with three distinct management levels. Any steps that can generate the motion to reduce fatigue, this could increase employee morale. Equal division of work and responsibility between worker and manager Limitations of The Theory of Scientific Management: Although it maximized efficiency and productivity but its main limitation was ignoring human aspects of employment. Mental — Ability to analyse, interpret and arrive at conclusions, 3. One best way of doing may be useful for repetitive things but not for managerial problems.
Continuous process elements of organisation span of control, delegation, centralisation, decision-making etc. This is not always true. In this process, they may not follow the principles of management at all times. Pros and Cons of Human Relations Theory While many companies operate based on the human relations theory, this type of management has dangers. In this experiment, a small homogeneous work-group of six girls was constituted. Management practices and concepts were discussed by Socrates in 400 B. Furthermore, of all the human factors influencing employee behaviour, the most powerful were those emanating from the worker's participation in social groups.
This is learning by observation or in other words by experience. High morale results in higher output. Though major decisions are taken by the managers at the top level, but at the same time enough authority should be given to the subordinates to do the jobs properly. Each management group has its own objectives and responsibilities. Theories help us by organizing information and providing a systematic framework for action.
Classical Management Theory Early Management Theories Early Theories of Organizations emerged mainly for military and Catholic Church. Benefits of Scientific Management: Taylor's ideas, research and recommendations brought into focus technological, human and organizational issues in industrial management. He found that the management was usually ignorant of the amount of work that could be done by a worker in a day as also the best method of doing the job. In the words of L. In the field of management, his most significant contribution is his work on bureaucratic management.
Extreme centralization and decentralization must be avoided. Robert Owen, managed a group of textile mills in Lanark, Scotland, where he used his ideas of human relations. Max Weber, a German sociologist that purposed. In this case, Mayo and Roethlisberger concluded that the increase in productivity resulted from the supervisory arrangement rather than the changes in lighting or other associated worker benefits. It accepts that informal organisation co-exists with formal organisation characterised by formal leadership and well-defined authority- responsibility relationships. How they interacted with each other and what they expected of each other influenced their performance much more than management. Classical management theory treated businesses like machines.
It was found that workers managed to meet this standard and loaded almost 48 tons of goods each day. In this regard, Taylor was confronted with many questions: 1. Douglas McGregor was heavily influenced by both the Hawthorne studies and Maslow. They have evolved considerably over time from traditional top-down authoritarian paradigms to more human-centered contemporary adaptations. This was the first motion study designed to isolate the best possible method of performing a given job.