Modern management approaches include:
1. Fayol developed 14 principles of management and divided industrial activities into six groups.
2. Scientific management focused on improving economic efficiency through applying science to processes and engineering.
3. Behavioral sciences introduced bureaucracy theory and studied the influence of social attitudes through the Hawthorne experiments.
1. DifferentApproaches of Management
Modern management by Henry Fayol
Fayol developed the concept of how the managers should organise and interact with the staff. He came
with the 14 Principles of management and 6 Theories. He divided industrial activities into six groups
namely technical, financial, commercial, security, accounting and managerial. The principles which Fayol
came up are not widely used in companies nowadays. Still these are used in organisations based as
common sense in current management practices.
Scientific Management
Frederick w Taylor is known as the father of scientific management. The main objective is improving
economic efficiency, especially labor productivity. It was one of the earliest attempts to apply science to the
engineering of processes and to management. It is one of the best way to do things. His principles includes
using science, creating group harmony and cooperation, achieving maximum output and developing
workers. Hendry L. Gantt called for scientific selection of workers. He developed Gantt Chart. Stressed the
need of training. Frank is known for his time and motion study. Whereas Lillian focused on human aspect of
work and understanding of human personalities and needs.
Behavioral sciences
Max weber introduced the theory of bureaucracy. Bureaucracy literally means the complete organization of
hierarchy. Elton Mayo and F. J. Roethlisberger have done the famous study at Hawthorne plant of the
Western Electric Company on the influence of social attitude and relationship.
System theory
System approaches enables to see the critical variables and constraints and their interactions with one
another. The concept has a broad applicability. Systems theory or systems science is the interdisciplinary
study of systems in general, with the goal of discovering patterns and elucidating principles that can be
discerned from and applied to all types of systems at all nesting levels in all fields of research. It can
reasonably be considered a specialization of systems thinking or as the goal output of systems science and
systems engineering, with an emphasis on generality useful across a broad range of systems.
Contingency approach
Also known as a situational theory is recognized as key to effective management. Contingency approach,
also known as situational approach, is a concept in management stating that there is no one universally
applicable set of management principles (rules) by which to manage organizations. Organizations are
2. individually different, face different situations contingency variables, and require different ways of
managing. Contingency approaches remain less common than change management approaches.
Mathematical or management science
As the name suggests that the pure logical process of organization using the mathematical symbols.
Management science (MS), is the broad interdisciplinary study of problem solving and decision making in
human organizations, with strong links to economics, business, engineering, and other sciences. It uses
various scientific research-based principles, strategies, and analytical methods including mathematical
modeling, statistics and numerical algorithms to improve an organization's ability to enact rational and
meaningful management decisions by arriving at optimal or near optimal solutions to complex decision
problems. In short, management sciences help businesses to achieve goals using various scientific methods.
Empirical or case theory
Studies experienced through cases. Identifies success or failure. All situations are completely different.
There are no attempts to identify principles. There is limited value for developing management theory.
Total quality management approach
Total quality management is a management approach centered on quality, based on the participation of an
organization’s people and aiming at long term success. This is achieved through customer satisfaction and
benefits all members of the organization and society. In other words, TQM is a philosophy for managing an
organization in a way which enables it to meet stakeholder needs and expectations efficiently and
effectively, without compromising ethical values.
Jobin Jacob
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