Classical Approaches - WEEK 3

During the Industrial Revolution period, the following 3 theories gained popularity were modelled after machines, as the popular belief then was such. As a people moving into an industrialized society, the machine metaphor contained 3 elements which are specialization (Every one in the organization has a specific function), standardization (which includes replaceability) and predictability (a new set of rules and standards can be applied to the situation to fix it from the use of regular specific standards).

Henry Fayol’s Theory of Classical Management

Fayol proposes five fundamentals of managerial work. They are planning, organizing, command, coordination and control. Fayol practices six principles of organizational structure. They are the scalar chain, the unity of command, the unity of direction, the division of labour, the order and the span of control. Fayol prescribed power structure for optimal organizational functioning. The three principles of Fayol’s organizational power structure are centralization, authority and responsibility and discipline. His principles of organizational attitude consider subordination of individuals’ interest to general interest. Communication can be seen as the implicit part of Fayol’s elements of management. An example of an organization that practices Fayol’s management theory is the U.S. military.

Max Weber’s Theory of Bureaucracy

Weber’s Theory of Bureaucracy is mainly centered on a clearly defined hierarchy. Secondly, Weber characterized hierarchy by division of labour. Thirdly, Weber believes that bureaucracies are characterized by centralization of decision making and power. These three notions are similar to Fayol’s theory. Three other aspects of Weber’s theory are closed system bureaucracy, importance of rules and the functioning of authority. Weber postulates the functioning of authority by traditional authority, charismatic authority and rational-level authority.

Frederick Taylor’s Theory of Scientific Management

The third classical theory in this chapter is by Frederick Taylor who focuses on the relationship between manager and employee instead of the organizational structure. His emphasis is on the time and studies which he believes is the one best way to perform. Next, he emphasizes on the importance of proper selection of workers and the importance of training the workers as well as giving them incentives. He believes there should be an inherent difference between management and workers. The application of Taylorism can be seen applied on fast food chains like McDonald’s.