Successfully reported this slideshow.
Activate your 14 day free trial to unlock unlimited reading.
Proposed by Elton Mayo.
He mainly focused was on
the people working in an
participative style of
leadership is more
It can also be called as mature version of human
This theory is how the managers should behave to
motivate the employees and encourage them to
perform at high levels and be committed to the
achievement of organizational goals.
Points of distinction Classical approach Neoclassical approach
Focus functions and economic
demand of workers
Emotion and human
qualities of workers
Structure Impersonal and mechanistic Social system
Application Autocratic management and
Emphasize Discipline and rationality Personal security and social
Work goal of worker Maximum remuneration and
Attainment of organizational
Concept about men Economic being Social being
Content Scientific management,
Hawthorne experiment ,
human relation movement
and organizational behavior
Relation Formal Informal
Nature Mechanistic Organistic
Hereby I conclude that neo classical theory is
adopted by all economists of management.
As neo classical is based on employees its
In this theory all are benefitted not the
manager the firm, and specially the