 are sets of ideas and rules that are designed to help in
management.
 facilitate proper management in planning, organis...
A.CLASSICAL MANAGEMENT THEORY
 Emphasis on structure
 Prescriptive about “ what is good for the firm”
Henri Fayol – ( 18...
Division of labor – reduces the span of attention or effort for any person
or group.
- develops practice and familiarity
U...
Disadvantages
 Fayol was describing the structure of formal organizations
 Absence of attention to issues such as indivi...
FW TAYLOR –( 1856 – 1915 )- USA
Key Points about Taylor, who is credited with what we call now
“TAYLORISM”
Taylorism – inv...
Team Building theory
 emphasizes best practices, and continuous improvement.
 It is a theory that mainly hinges on relia...
 Eliminate quotas and numerical targets
 Remove barriers to pride of workmanship
 Encourage education and self- improve...
Theory Y
- The opposite of “ Theory X “, argues that people want to fulfil themselves by
seeking self- respect, self – dev...
4. The average human being learns, under proper conditions , not only to
accept but to seek responsibility.
5.High degrees...
Management Theories
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Management Theories

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Management Theories

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Management Theories

  1. 1.  are sets of ideas and rules that are designed to help in management.  facilitate proper management in planning, organising, leading and controlling.
  2. 2. A.CLASSICAL MANAGEMENT THEORY  Emphasis on structure  Prescriptive about “ what is good for the firm” Henri Fayol – ( 1841 – 1925 ) – France Advantages  first person give a definition of management which is generally familiar today  Give much of the basic terminology and concepts which would be elaborated by future researchers such as division of labor, unity of command and centralization.
  3. 3. Division of labor – reduces the span of attention or effort for any person or group. - develops practice and familiarity Unity of command – one man superior Centralisation – is always present to a greater or less extent , depending on the size of the company and quality of its managers.
  4. 4. Disadvantages  Fayol was describing the structure of formal organizations  Absence of attention to issues such as individual versus general interest, and remuneration  Mention the issues relating to the sensitivity of a patients needs ,such as initiative and “ esprit de corps “ he saw them as issues in the context of rational organisational structure.  Principles absorbed into modern day organisations , but they were not designed to cope with conditions of rapid change and issues of employee participation in the decision making process of organisations, such as are current today in the early 21st century.
  5. 5. FW TAYLOR –( 1856 – 1915 )- USA Key Points about Taylor, who is credited with what we call now “TAYLORISM” Taylorism – involved breaking down the components of manual tasks in manufacturing environments, timing each movement ( time and motion studies ) so that there could be a proven best way to perform each task. Thus employees could be trained to be “first class” within their job. Advantages  He was in the scientific management school  His emphasis were on efficiency and productivity  It provided the formation for modern work studies Disadvantages  He ignored many of the human aspects of employment  It ruled out any realistic bargaining about wage rates since every job was measured and rated “ scientifically “
  6. 6. Team Building theory  emphasizes best practices, and continuous improvement.  It is a theory that mainly hinges on reliance of teamwork.  Consensus management Edward Deming ( 1841 – 1925 ) France - founder of modern quality management and is regarded by the Japanese as the key influence in their post-war economic miracle.  Focus on production and service  Institute modern methods of training on- the- job for including management  Adopt and institute leadership aimed at helping people to do a better job  Drive out fear  Encourage effective two-way communication  Breakdown barriers between departments and staff areas
  7. 7.  Eliminate quotas and numerical targets  Remove barriers to pride of workmanship  Encourage education and self- improvement for everyone  Define top management’s permanent commitment to ever improving quality and productivity and their obligation to implement all these principles. Douglas McGregor ( 1906 – 1964 )  Theory X and Theory Y – using human behaviour research, he noted : that the way an organization runs depends on the beliefs of its managers. Theory X - gives a negative view of human behaviour and management that he considered to have dominated management theory from Henri Fayol onwards – especially Taylorism.( FW Taylor ) - it also assumes that most people are basically immature, need direction and control, and are incapable of taking responsibility. - they are viewed as lazy, dislike work and need a mixture of financial inducements and threat of loss of their job to make them work ( “ carrot and stick mentality )
  8. 8. Theory Y - The opposite of “ Theory X “, argues that people want to fulfil themselves by seeking self- respect, self – development ,and self – fulfilment at work as in life in general. Six Basic Assumptions for “Theory Y” 1. Work is as natural as play or rest the average human being does not inherently dislike work, whether work is a source of pleasure or a punishment ( to be avoided ) depends on nature of the work and its management. 2. Effort at work need not depend on threat of punishment - if committed to objectives then self – direction and self -control rather than external controls. 3. Commitment to objectives is a function of the rewards associated with their achievement - satisfaction of ego and self-actualization needs can be directed towards the objectives of the organization
  9. 9. 4. The average human being learns, under proper conditions , not only to accept but to seek responsibility. 5.High degrees of imagination, ingenuity and creativity are not restricted to a narrow group but are widely distributed in the population. 6. Under modern industrial life, the intellectual potentials of the average human being are partly utilized. If you are looking for ready – made theories that will turn a failing business into a successful one, then you will find the answer will remain elusive and your quest will end in disappointment. However, a flexible approach and combining old and new management theories can be far more effective than relying on one theory..
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