NAME – MRIDUL GUPTA
ROLL NO. – 24/51074
SECTION – B – BCOM HONOURS
SUMBITTED TO – MANISHA RANI
MA’AM
TOPIC – CLASSICAL
THEORY OF
MANAGEMENT
Classical Theory
of Management
Classical management theory, a branch of management theory that
emerged in the 19th century, was developed during the industrial revolution
to address issues related to factory systems. It aimed to recognize the
crucial role of management in an organization, with a particular focus on
enhancing the efficiency of work processes.
The old-school way of managing people is based on the idea that workers
only care about money and their physical needs. They don’t think social
needs or job satisfaction are important, or they don’t even think they exist
What is the Classical
Theory of
Management?
1 Emphasis on 2 Formal Hierarchy
Efficiency
Clear reporting structures
The classical approach and defined roles and
focuses on identifying the responsibilities are central
"one best way" to perform to the classical theory.
each task to maximize
output and minimize
waste.
3 Standardization
The theory promotes standardizing processes, workflows,
and job specifications to ensure consistency and
predictability.
Key Proponents of the Classical Theory
Frederick Taylor Henri Fayol Max Weber
Developed the principles Identified the 14 key Proposed the bureaucratic
of scientific principles of administrative model, emphasizing a
management, including management, such as formal hierarchy, clear
time and motion studies unity of command and rules and procedures, and
to improve efficiency. division of work. impersonal relationships.
Scientific Management
This theory was respectfully proposed by
Frederick Winslow Taylor. Taylor believed that
by analyzing work in a scientific manner, it was
possible to identify the most efficient and
effective way to perform a task. He felt that by
organizing work in the most efficient way, the
organization’s productivity would increase,
allowing it to reward employees with
additional compensation, which Taylor
believed was the primary motivation for
employees.
Principles of scientific management
•Specialization
•Science, not rule of thumb
•Harmony, not discord
•Cooperation not competition
•Development of each and every employee
to his/her
Administrative
Management
Henri Fayol (1841-1925) is
widely regarded as the
pioneer of Administrative
Management Theory. He is
respectfully referred to as the
“Father of Modern
Management”. According to
the Administrative
Management Theory/ School,
management is the process of
accomplishing tasks through
the collaboration of
individuals. This approach
emphasizes the significance
of groups rather than focusing
solely on individuals.
Principles of Administrative Management
• Division of Work
• Authority and Responsibility
• Unity of Command
• Unity of Direction
• Centralization and Decentralization
• Discipline
• Order
• Scalar Chain
• Remuneration of Employees
• Equity
• Stability
• Initiative
• Subordination of Individual interests to General Interests
• Esprit De Corps
Bureaucratic
Management
Bureaucratic Theory was respectfully
proposed by the esteemed German
sociologist and political economist, Max
Weber (1864-1920). According to his
perspective, bureaucracy represents the
most efficient form of organization. Within
such a structure, a well-defined line of
authority exists, accompanied by clear rules
and regulations that are diligently adhered
to. His bureaucratic model has many
characteristics :
1. Division of work
2. Rules and Regulations
3. Hierarchy of authority
4. Technical competence
FEATURES OF THE CLASSICAL THEORY
Management is perceived as a systematic process comprising interconnected functions.
Principles of management serve as guidelines for executives.-
Management functions, principles, and skills are universally applicable.
Formal education and training are essential for developing the necessary skills.
Emphasis is placed on achieving economic efficiency.-
Individuals are motivated by financial gains and other incentives.
Classical theory is primarily founded on three pillars: Bureaucracy, Scientific
Management, and Administration.-
While this approach offers specialization, structure, rationality, predictability, and
democracy, it also entails excessive paperwork, compartmentalization of work, rigidity,
and goal displacement.
Advantages of the
Classical Theory
1 Increased 2 Scalability
Efficiency
The hierarchical structure
The focus on and documented
standardization and processes allow
specialization can lead to organizations to grow and
improved productivity expand.
and output.
3 Stability
The clear rules and procedures provide a sense of order and
predictability in the workplace.
Criticisms of the Classical Theory
Lack of Flexibility Dehumanization Ignores Human Factors
The rigid focus on standardization The emphasis on impersonal The classical theory overlooks the
can make it difficult for relationships and strict hierarchy importance of social,
organizations to adapt to changing can lead to a sense of alienation psychological, and emotional
market conditions. and disengagement among factors that influence employee
employees. motivation and productivity.
BIBLOGRAPHY
MANAGEMENT PRINCIPLES AND APPLICATION BOOK
SEMESTER 1
