Which of the classical management theories is focused on management structure?
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Management theories are the recommended management strategies that enable us to better understand and approach management. Many management frameworks and guidelines were developed during the last four decades. Show
What do we mean by Management Theories?Management theories are the set of general rules that guide the managers to manage an organization. Management theories (also known as "Transactional theories") focus on the role of supervision, organization, and group performance. Theories are an explanation to assist employees to effectively relate to the business goals and implement effective means to achieve the same. In this article, we will discuss the historical context of management, diverse views on management, and finally the theories of management. Early management theories base leadership on a system of reward and punishment. Managerial theories are often used in business; when employees are successful, they are rewarded; when they fail, they are reprimanded or punished. Types of Management TheoriesManagement theories can be classified into three types. These management theories are explained below: 1. Classical Management TheoryClassical management theory is based on the belief that workers only have physical and economic needs and prescribes specialization of labor. Classical theories recommend centralized leadership and decision-making and focus on profit maximization. Three streams of classical management theory are - Bureaucracy (Weber), Administrative Theory (Fayol), and Scientific Management (Taylor). 2. Behavioral Management TheoryThe behavioral management theory is focused on the human aspects of work. They are also often referred to as the human relations movement. These theories aspire to gain a better understanding of human behavior at work to improve productivity. It focuses on behavioral aspects like motivation, conflict, expectations, and group dynamics. 3. Modern Management TheoryModern management theory emphasizes the use of systematic mathematical techniques to analyze and understand the inter-relationship of management and workers in all aspects. Three streams of modern management theories are - Quantitative Approach, System Approach, and Contingency Approach. General Management TheoriesThere are four general management theories. 1. Frederick Taylor’s Theory of Scientific Management:Taylor’s theory of scientific management aimed at, improving economic efficiency, especially labor productivity. Taylor had a simple view about, what motivated people at work, - money. He felt that workers should get a fair day's pay for a fair day's work, and that pay should be linked to the amount produced. Therefore he introduced the differential piece rate system, of paying wages to the workers. Taylor's Differential Piece Rate Plan:
Principles of Scientific ManagementFour Principles of Scientific Management are:
2. Henri Fayol’s Administrative Management Theory:Henri Fayol known as the Father of Management laid down the 14 principles of Management. These 14 principles of management are used to manage an organization and are beneficial for prediction, planning, decision-making, organization and process management, control, and coordination.
3. Max Weber’s Bureaucratic Theory of Management:Weber made a distinction between authority and power. Weber believed that power educes obedience through force or the threat of force which induces individuals to adhere to regulations. According to Max Weber, there are three types of power in an organization:-
Features of Bureaucracy:
4. Elton Mayo’s Behavioral Theory of Management:Elton Mayo's experiments showed an increase in worker productivity was produced by the psychological stimulus of being singled out, involved, and made to feel important. Hawthorne Effect can be summarized as “Employees will respond positively to any novel change in a work environment like better illumination, clean work stations, relocating workstations, etc. Employees are more productive because they know they are being studied. 5 Relationship Theories or Transformational Theories of ManagementRelationship theories (also known as "Transformational theories") focus upon the connections formed between leaders and followers. These leaders motivate and inspire people by helping group members see the importance and utility of the task. Transformational leaders are focused on the performance of group members, but also want each person to fulfill his/her potential. These leaders often have high ethical and moral standards. There are different thoughts on management. According to one school of thought, history is of no relevance to the real problems faced by modern world managers in today's dynamic environment. However, both management theory and its history are indispensable tools for managing complex digitally-enabled organizations in a modern context. Forces Influencing Management TheoriesThe following three forces had a major influence on the concept and evolution of management theories. Social Forces:Social forces are the norms and values that characterize a culture. Early social forces allowed workers to be treated poorly. However, more recent social forces have provided for more acceptable working conditions for the workforce. Social forces have greatly influenced the management thought in the areas of motivation and leadership. Economic ForcesEconomic factors have influenced the way businesses developed and designed their organizational structures, workforce, etc. Examples of these economic forces are Ideas like a market economy, public enterprise, and private ownership of property, economic freedom, competitive markets, and globalization. Political ForcesPolitical forces such as governmental regulations play a significant role in how organizations choose to manage themselves. Government actions and political realities often influence the success and failure of a business and most of the time political factors that affect a business are often completely out of the company's control. Political forces have influenced management theory in the areas of environmental analysis, planning, control, and organizational design and employee rights. What are the classical theories of management?' Understanding organizations comes from understanding management theory, and Kimani outlines four major management theories for the basis of organizations: bureaucratic theory, scientific management theory, behavioural management theory, and human relations theory.
What is the main focus of classical theory?Answer: The classical theory views organizations as machines and human beings as parts of the machine. Therefore, classical theorists believed that the efficiency of the organization improves with the efficiency of human beings.
What is the most important theory of management?Take scientific management — best known as Taylorism — arguably the most enduring management theory of them all. It suggests that a manager's job is to increase efficiency in a production system.
What are the 3 main theories of management?The three main classifications of management theory are Classical Management Theory (1900s), Behavioral Management Theory (1910s), and Modern Management Theory (1940s).
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