A well done presentation on classical approach; a topic of principle of management.

1. Classical Approach
PRESENTATION ON
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2. Classical approach
 It is the oldest formal school of thought which began
around 1900 and continued into the 1920s.
 It’s mainly concerned with the increasing the efficiency of
worker and organizations based on management practices,
which were an outcome of careful observation.
 Classical approach mainly looks for the universal
principles of operation in the striving for economic
efficiency.
 Classical approach includes scientific, administrative and
bureaucratic management.
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3. About F. w. Taylor [1856 – 1915]
Father of scientific management
Joined Cramp shipyard company as mechanic
Joined Midvale steel company as worker, promoted supervisor
and up to the chief engineer
Later he joined Bethlehem steel company as consultant
Scientific Management concentrates on solving two major
problems
1. How to increase the output of the average worker, and
2. How to improve the efficiency of management
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4. Principles of Scientific Management Theory
Replacement of old rule of thumb with science
Harmony and group activity
Functional foremanship
Financial incentive
Co-operation
Development of employees
Maximum output
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5. About Fayol
Born in 1841 in France.
Worked as a mining engineer.
Wrote the book entitled General and “Industrial
Management” in French language.
Developed 14 principles of management which are
universally applicable.
Has focused on top-level management.
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6. Classification of organizational work
according to Fayol
 Technical (manufacturing)
 Commercial (buying and selling)
 Financial (investment/ fund related)
 Accounting (cost, volume, profit planning)
 Security (protection of organizational property)
 Managerial (planning, organizing, staffing, controlling)
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7. Principles of Management by Henry Fayol
 Division of work
 Discipline
 Authority and responsibility
 Subordination of individual interest to General Interest
 Remuneration
 Centralization
 Order
 Equity
 Initiative
 Esprit De Corps
 Stability of Tenure
 Unity of direction
 Scalar chain
 Unity of command
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8. MAX WEBER’s Bureaucratic theory
[ 1864-1920 ]
Weber was a German sociologist
Made a significant contribution to management thought and
development
His book “the theory of social and economic organization”
explain the principle of bureaucracy
Formal system of organization design to ensure efficiency and
effectiveness
He define bureaucracy as, “an ideal form of organization
whose objectives and activities are rationally thought out and
whose division of labor is explicitly spelled out
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9. Characteristics of Bureaucratic Theory
 Job specialization
 Authority hierarchy
 Formal selection
 Formal rules and regulation
 Impersonality
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10. Principles of bureaucracy theory
Administrative class
Hierarchy
Division of work
Office rules
Impersonal relationship
Official record
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11. Criticism of bureaucratic organizations
Bureaucratic organization is criticized because of the following
reasons :
 Emphasis on rules and regulation ,
 Rules and regulation are rigid and inflexible ,
 Involve a lot of paper work ,
 There will be unnecessary delay in decision making due to
formalities and rules .
 Limited scope for human resources
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12. Thank
You
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