In todays world , management is the base of any organization or administration to accomplish the desired goals . It is not a new term or a new skill because it has always been a part and parcel of all the ancient civilizations in the world.
Ancient texts and scriptures of many countries like India, china, America throws the important light on management. We can find the fundamentals of management in the ancient scripture of Bhagwat Gita. Bhagwat Gita contains rich of managerial techniques which was written a thousands of years ago.
During the first pre world war phase (1870-1974) there is a rapid change in economies in terms of trade, transportation and communication which indeed led to globalization. Globalization made management as one of the important aspect of development where the classical management theories were developed.
Classical Theories Of Management :
SCIENTIFIC MANAGEMENT THEORY :
Scientific management theory was developed by “FREDRICK WINSLOW TAYLOR”. This theory got popularity in the period of 1880s and 1890s in U.S manufacturing industries with its analyzing techniques of work flow .
The Principles Of Scientific Management Theory are:
Taylor theory was mostly concentrated on shop floor level and suggested functional foremanship to the industries.
1:Science not a rule of thumb, this principle specifies that organizations should constantly develop new methodologies which makes work easier, faster and quicker rather than sticking to the old methods.
2:Harmony,not discord, this principle specifies that maintaining a positive atmosphere in the organization improves the productivity.
3:Cooperation, not individualism, all the activities of the organization must carried with mutual coordination in order to get improved results.
4:Development of each and every person to his (or) her greatest efficiency, this principle specify that organization should ensure the growth of every individual according to their performance.
Administrative theory was developed by “HENRY FAYOL (1841-1925)” .Fayol mainly focused on the administrative management of the organization and structure of work tasks.
Fayol concentrated on top level management and he suggested unit of command. Administrative theory is quite opposite to the scientific theory.
Fayol’s generalized principles of management:
Fayol developed 14 principles for the organizational development. Fayol consider that effective management of an organization would lead to efficient results.
Fayol’s five functions of management:
Fayol considered that categorizing the functions of management helps the organization in day to day progress of work. The five management functions are:
Planning: This function is used to classify the needs of an organization and arranging them into tasks to develop strategies in order reach the desired goals.
Organizing: This function is used to determine the appropriate process to complete a task.
Commanding: This function is used to supervise the subordinates in completion of day to day tasks.
Coordinating: This function helps in integrating with different kind of groups and making things get done efficiently.
Controlling: This function ensures in evaluating the overall tasks according to the plan set and making changes if needed.
Bureaucracy theory was developed by “MAX WEBER(1864-1920)” .This theory was generated during the industrial revolution of Germany to manage it’s growing industrial enterprises.
Weber mainly concentrated on the top level management of an organization. According to weber the bureaucratic organization is more rational and can get control over every individual employ. He developed six ideal principles of bureaucracy.
Six principles of bureaucratic theory:
Authority Hierarchy: It is a chain of command to promote individual’s effort to accomplish the organizational goal.
Formal rules and Regulations: These are rules and procedures that are to be followed by the employ’s of entire organization .
Division of Labour: The whole work flow is divided into tasks and distributed among the employees according to their ability.
Career Orientation: Promotion of loyalty among the employs and making the long term relations with the organization.
Impersonality: Making decisions according to the facts rather than personal interests.
Formal selection process: Hiring employ’s according to their skills, qualification , experience etc…
As management & leadership are closely related to each other which has been provided since ages. With globalization management studies has undergone changes in formal study of management which needs a constant experimenting. These classical theories enhance the management abilities and predicts the control behavior of an organization.