Classical Organizational Theory

Management Perspectives Scientific Management. Historically-focused on management of workers and work. Administrative Management. Focused on how the overall organization should be structured.

Scientific Management Frederick W. Taylor - study the “one best way”. Four principles of scientific management. Scientific job analysis. Selection of personnel. Management cooperation. Functional supervising. Soldiering – working below your capacity.

Administrative Management Primary contributors: Henri Fayol Luther Gulick Max Weber Henri Fayol’s five basic management functions: a) planning, b) organizing, c) commanding, d) coordinating e) controlling

Fayol’s Fourteen Principles of Management Remuneration. Centralization. Scalar chain. Order. Stability of personnel. Initiative. Esprit de corps. Division of work. Authority. Discipline. Unity of command. Unity of direction. Subordination of individual interest.

Luther Gulik Augmented Fayol’s five basic management functions. POSDCoRB. Seven functions: planning, organizing, staffing, directing, coordinating, reporting, and budgeting.

Max Weber A concept of bureaucracy based upon a comprehensive set of rational guidelines. Weber’s “ideal” bureaucracy and Fayol’s fourteen principles of management laid the foundation for contemporary organizational theory. Psychological and social factors in the workplace were ignored.

Human Relations Approach Started with a series of studies conducted at the Hawthorne Plant of Western Electric. Located near Chicago. Conducted by Elton Mayo and his associates. 1927-1933.

Hawthorne Studies Both control and experimental groups improved when studied and interviewed Human-social element operated in the workplace. Group norms developed In any different or experimental undertaking – improvement may take place Called “The Hawthorne Effect”

Hawthorne Studies These studies indicated that the understanding of human behavior, especially group behavior, from the perspective of management was firmly established.

Contributors-human Relations Approach Kurt Lewin: Field theory and group dynamics. Democratic and authoritarian groups. Carl Rogers: Internal frame reference of the individual. Jacob Moreno: Interpersonal relationships between groups. Groups with individuals that have similar affinities to each other will perform better.

Contributors-human Relations Approach William Whyte: Group conflict, status, workflow Found selective preferences worked best. George Homans: Theory of Small Groups

Assumptions of Human Relations Approach Employees motivated by social and psychological needs and by economic incentives. These needs are more important than physical conditions of the work environment.

Behavioral Science Approach Formed because of the inadequacy of human relations and classical mang. approaches. Chester Barnard: Effectiveness Efficiency

Behavioral Science Approach Abraham Maslow: Five categories Physical - Air, water, food, rest, and reproductive ability Safety - protection from threats of well-being Social - Self-esteem the desire to believe that we are worthwhile, valuable people Self-actualization - the desire to develop our potential to the maximum

Douglas McGregor Theories of management developed by Douglas McGregor depicting two extreme positions representing the options available for the management of people. Theory X describes workers who are disinterested in work and need manager control through incentives and punishments to be motivated.

Douglas McGregor Theory Y is the management view that workers are self directed, intrinsically motivated, and want to take the responsibility for work and productivity. Self-actualization: A term used by Maslow for the effort of the individual to fulfill his or her potential. Theory Z: Is there one and what is it?

Frederick Herzberg Hygiene Factors: factors that cause or prevent job dissatisfaction. Motivation Factors: factors that cause job satisfaction.