The document summarizes the key contributors to classical organizational theory, including Frederick Taylor's scientific management theories, Henri Fayol's administrative management principles, Luther Gulick's expansion of Fayol's management functions, and Max Weber's ideal bureaucracy. It discusses some of their major ideas, such as Taylor's time and motion studies, Fayol's 14 management principles, Gulick's addition of budgeting as the 7th management function, and Weber's classification of authority and characteristics of rational-legal authority. The human relations movement emerged from the Hawthorne experiments in the 1920s-1930s, shifting focus to social and psychological factors.

1. Prof. Josefina B. Bitonio, DPA
FDM 201 Principles and Processes of
Development Management
Classical
Organization
Theories

2. Major Contributors to the
Classical Organizational
Theory:
Scientific Management:
 Frederick Taylor
Administrative Management:
 Henri Fayol
 Luther Halsey Gulick
 Max Weber

3. • dubbed as the “Father of Scientific
Management,” is best known for his
“one best way approach” in
accomplishing task. Classical
organization theory evolved from
this notion.
Frederick Taylor
Scientific management – focusing on the
management of work and workers

4. Taylor, Generally considered the father of
scientific management pioneered the
development OF TIME AND MOTION STUDIES.
He wrote and published the result of his studies
in 1911 on the PRINCIPLES OF SCIENTIFIC
MANAGEMENT.

5. Ingenuity and Accomplishments
• Creates systems to gain maximum
efficiency from workers and machines in
the factory.
• Focuses on time and motion studies to
learn how to complete a task in the least
amount of time.
• Becomes consulting engineer for many
other companies

6. Revisiting Time and Motion Studies
The time studies performed by Taylor, which were later
classified as time and motion studies, were characterized by
timing a worker’s series of motions and determining the
optimal way in which to perform their particular job. The
goals of the study are as relevant today as they were back
then - to increase the efficiency of a business process.
Time and motion studies have been
successful in various implementations
enabling companies to move forward in
providing logical frameworks for
improving and leaning their operations.

7. “One best Way”
Taylor's scientific management consisted of four
principles:
1. Replace rule-of-thumb work methods with methods
based on a scientific study of the tasks.
2. Scientifically select, train, and develop each employee
rather than passively leaving them to train themselves.
3. Provide "Detailed instruction and supervision of each
worker in the performance of that worker's discrete task"
(Montgomery 1997: 250).
4. Divide work nearly equally between managers and
workers, so that the managers apply scientific
management principles to planning the work and the
workers actually perform the tasks.

8. Henri Fayol
• Engineer and French industrialist
• In France works as a managing director in coal-
mining organization
• Recognizes to the management principles rather
than personal traits
• While others shared this belief, Fayol was the first to
identify management as a continuous process of
evaluation.

9. Fayol’s 5 Management Functions
Fundamental roles performed by all managers:
 Planning
 Organizing
 Commanding
 Coordinating
 Controlling
Additionally Fayol recognizes fourteen principles
that should guide the management of
organizations.

10. Fayol’s 14 Principles:
1. Division of Work —improves efficiency through a
reduction of waste, increased output, and
simplification of job training
2. Authority and Responsibility—authority: the right
to give orders and the power to extract obedience
– responsibility: the obligation to carry out
assigned duties
3. Discipline—respect for the rules that govern the
organization

11. 4. Unity of Command—an employee should receive
orders from one superior only
5. Unity of Direction—grouping of similar activities that
are directed to a single goal under one manager
6. Subordination of Individual Interests to the General
Interest—interests of individuals and groups should
not take precedence over the interests of the
organization as a whole.
7. Remuneration of Personnel—payment should be fair
and satisfactory for employees and the organization
8. Centralization—managers retain final responsibility –
subordinates maintain enough responsibility to
accomplish their tasks

12. 9. Scalar Chain (Line of Authority)—the chain of
command from the ultimate authority to the lowest
10. Order—people and supplies should be in the right
place at the right time
11. Equity—managers should treat employees fairly
and equally
12. Stability of Tenure of Personnel—managerial
practices that encourage long-term commitment
from employees create a stable workforce and
therefore a successful organization
13. Initiative—employees should be encouraged to
develop and carry out improvement plans
14. Esprit de Corps—managers should foster and
maintain teamwork, team spirit, and a sense of unity
among employees

13. Luther Halsey Gulick
(1892-1992)
• A specialist in municipal finance and
administration
• Gulick works with the Institute of Public
Administration, professor of municipal
science and administration at Columbia,
and serves on Franklin D. Roosevelt’s
Committee of Government Administration
• Expands Fayol’s five management
functions into seven functions:

14. 1. Planning - developing an outline of the
things that must be accomplished and the
methods for accomplishing them
2. Organizing - establishes the formal
structure of authority through which work
subdivisions are arranged, defined, and
coordinated to implement the plan
3. Staffing - selecting, training, and developing
the staff and maintaining favorable working
conditions
4. Directing - the continuous task of making
decisions, communicating and
implementing decisions, and evaluating
subordinates properly

15. 5. Coordinating - all activities and
efforts needed to bind together the
organization in order to achieve a
common goal
6. Reporting - verifies progress through
records, research, and inspection;
ensures that things happen
according to plan; takes any
corrective action when necessary;
and keeps those to whom the chief
executive is responsible informed
7. Budgeting - all activities that
accompany budgeting, including
fiscal planning, accounting, and
control

16. Max Weber
(1864-1920)
• German sociologist
• Weber first describes the concept of
bureaucracy – an ideal form of
organizational structure
• He defines bureaucratic administration
as the exercise of control on the basis of
knowledge
• Weber states, “Power is principally
exemplified within organizations by the
process of control”

17. Weber uses and defines the terms
authority and power as:
• Power: any relationship within which
one person could impose his will,
regardless of any resistance from the
other.
• Authority: existed when there was a
belief in the legitimacy of that power.

18. Weber classifies organizations
according to the legitimacy of their
power and uses three basic
classifications:
Charismatic Authority: based on the sacred
or outstanding characteristic of the
individual.
Traditional Authority: essentially a respect
for customs.
Rational Legal Authority: based on a code or
set of rules.

19. Weber recognizes that rational legal
authority is used in the most efficient
form of organization because:
• A legal code can be established which can claim
obedience from members of the organization
• The law is a system of abstract rules which are
applied to particular cases; and administration looks
after the interests of the organization within the
limits of that law.

20. • The manager or the authority additionally
follows the impersonal order
• Membership is key to law obedience
• Obedience is derived not from the person
administering the law, but rather to the
impersonal order that installed the person’s
authority

21. Weber outlined his ideal bureaucracy
as defined by the following parameters:
• A continuous system of authorized jobs maintained
by regulations
• Specialization: encompasses a defined “sphere of
competence,” based on its divisions of labor
• A stated chain of command of offices: a consistent
organization of supervision based on distinctive
levels of authority

22. • Rules: an all encompassing system of
directives which govern behavior: rules may
require training to comprehend and manage
• Impersonality: no partiality, either for or
against, clients, workers, or administrators
• Free selection of appointed officials: equal
opportunity based on education and
professional qualification

23. • Full-time paid officials: only or major
employment; paid on the basis of position
• Career officials: promotion based on
seniority and merit; designated by
supervisors
• Private/Public split: separates business and
private life
• The finances and interests of the two
should be kept firmly apart: the resources
of the organization are quite distinct from
those of the members as private
individuals.

24. (a) A tendency to a leveling of social classes
by allowing a wide range of recruits
with technical competence to be taken
by any organization
(b) Elite status because of the time required
to achieve the necessary technical
training
(c) Greater degree of social equality due to
the dominance of the spirit of
impersonality or objectivity

25. Simon(1946) in his book, “Administrative
Behavior,” created a distinction between
theoretical and practical science. He
introduced more common principles in the
literature of administration administrative
efficiency and specialization when he wrote
the article, "The Proverbs of
Administration.” (Simon 1946 as cited in
Shafffritz and Hyde 1997; Stillman 1991)

26. Proverbs are useful but are not without defects. Simon works to
expose these defects as well as offer some suggestions as to how
the existing dilemma can be solved.
Some Accepted Administrative Principles:
1. Administrative efficiency is increased by a specialization of the
task among the group.
2. Administrative efficiency is increased by arranging the members of
the group in a determinate hierarchy of authority.
3. Administrative efficiency is increased by limiting the span of control
at any point in the hierarchy to a small number.
4.Administrative efficiency is increased by grouping the workers, for
purposes of control, according to (a) purpose, (b) process, (c)
clientele, or (d) place.
Proverbs of Administration
Hebert A. Simon

27. None of the four principles survive criticism
very well. Administrative description suffers
currently from superficiality, oversimplification,
lack of realism. It is too concerned with
allocation of authority and not with modes of
influence or behavior. Until administrative
description reaches a level of sophistication,
there is little reason to hope that a rapid
progress will be made toward the identification
and verification of valid administrative
principles.

28. • in 1945, Appleby, led a postwar attack
on the concept of politics-
administration dichotomy by drafting a
convincing case that “public
administration was not something
apart from politics” but rather at the
“center of political life.” (Stillman 1991:
123)

29. • In 1948, Dwight Waldo tried to establish the
direction and thrust of Public
Administration as a field of study in his
book, “The Administrative State,” which hit
the “gospel of efficiency” that dominated
the administrative thinking prior to Word
War II. That same year, Sayre attacked
public personnel administration as “the
triumph over purpose.” (Shafritz and Hyde
1997: 74)

30. Revisiting Waldo's Administrative State brings together a group
of distinguished authors who critically explore public
administration's big ideas and issues and question whether
contemporary efforts to "reinvent government," promote
privatization, and develop new public management
approaches constitute a coherent political theory capable of
meeting the complex challenges of governing in a
democracy.
Probing the material and ideological background of modern
public administration, problems of political philosophy, and
finally particular challenges inherent in contemporary
administrative reform. It concludes with a look ahead to
"wicked" policy problems -- such as terrorism, global warming,
and ecological threats -- whose scope is so global and
complex that they will defy any existing administrative
structures and values
“gospel of efficiency”

31. Waldo warned that public administrative
efficiency must be backed by a framework of
consciously held democratic values. Calling
for a return to conscious consideration of
democratic accountability, fairness, justice,
and transparency in government
“gospel of efficiency”

32. In 1949, Selznick introduced the so-called
“cooptative mechanism” where he
defined “cooptation” as “the process of
absorbing new elements into the
leadership or policy determining
structure of an organization as a means of
averting threats to its stability or
existence.” (Shafritz and Hyde 1997: 147)

33. Since administration is concerned will all
patterns of cooperative behavior, it is
obvious that any persons engaged in an
activity is in COOPERATION with the other
persons who is engaged in administration
Everyone has cooperated with others
throughout his life and he has some basic
familiarity with administration and some of
its problems.
(Simon, 1991)

34. A contemporary of Goodnow was William
Willoughby (1918). Willoughby stressed the role of
the trilogy covering all three branches of
government but he was more known for his
budgetary reforms. He discussed the movements
for budgetary reforms in the US in view of the
budget as an instrument for democracy, as an
instrument for correlating legislative and executive
action, and as an instrument for securing
administrative efficiency and economy.

35. Mary Parker Follet (1926) also made some
significant contribution to the discourse of Public
Administration as one of the proponents of
participatory management and the “law of
situation” which can be attributed to the
concept of contingency management. She
illustrated the advantages of participatory
management in her article, “The Giving of
Orders. “

36. In the 1920s and early 1930s, Elton Mayo
conducted the Hawthorne experiments
on the theory of individuals within an
organization which propelled the human
relations school of management
thought.

37. Hawthorne Experiments
The Human Relations Movement began with
the Hawthorne Experiments. They were conducted
at Western Electrical Works in USA, b/w 1924-1932
Part I - Illumination Experiments (1924-27)
These experiments were performed to find out the effect of
different levels of illumination (lighting) on productivity of
labor. The brightness of the light was increased and
decreased to find out the effect on the productivity of the
test group. Surprisingly, the productivity increased even
when the level of illumination was decreased. It was
concluded that factors other than light were also important

38. Part II - Relay Assembly Test Room Study
(1927-1929)
Under these test two small groups of six female
telephone relay assemblers were selected. Each group was
kept in separate rooms. From time to time, changes were
made in working hours, rest periods, lunch breaks, etc. They
were allowed to choose their own rest periods and to give
suggestions. Output increased in both the control rooms. It
was concluded that social relationship among workers,
participation in decision –making etc. had a greater effect on
productivity than working conditions.

39. Part III - Mass Interviewing Programme (1928-1930)
21,000 employees were interviewed over a period of three
years to find out reasons for increased productivity. It was
concluded that productivity can be increased if workers are
allowed to talk freely about matters that are important to
them.
Part IV - Bank Wiring Observation Room Experiment
(1932)
A group of 14 male workers in the bank wiring room were
placed under observation for six months. A worker's pay
depended on the performance of the group as a whole. The
researchers thought that the efficient workers would put
pressure on the less efficient workers to complete the work.
However, it was found that the group established its own
standards of output, and social pressure

40. • The social and psychological factors are
responsible for workers' productivity and job
satisfaction. Only good physical working
conditions are not enough to increase
productivity.
•The informal relations among workers influence
the workers' behavior and performance more
than the formal relations in the organization.
•Employees will perform better if they are allowed
to participate in decision-making affecting their
interests.
The conclusions derived from
the Hawthorne Studies were as follows :-

41. •Employees will also work more efficiently,
when they believe that the management is
interested in their welfare.
•When employees are treated with respect
and dignity, their performance will improve.
•Financial incentives alone cannot increase
the performance. Social and Psychological
needs must also be satisfied in order to
increase productivity.

42. Chester Barnard (1938) presented a more
comprehensive theory of organizational
behavior when he wrote the functions of
the executive. He argued that for the
executive to become more effective, he
should maintain an equilibrium between
the needs of the employees and the
organization.

43. His concepts were later explored and
developed into more comprehensive
theories and principles as advocated by
other researches in organizational
behavior and management, such as,
Herzberg’s “motivation hygiene theory,”
Mc Gregor’s “Theory X and Y,” 11 Argyris’
“personality versus organization and
Likert’s Systems 1 to 4, among others.
(Shafritz and Hyde 1997)

44. Maslow (1943), on the other hand,
focused on the hierarchical needs of
the individual. His “theory of human
motivation,” states that the human
being has five sets of needs:
physiological, safety, love or affiliation,
esteem and ultimately, and self-
actualization.

45. Public Administration is often characterized
as a fragmented field – one that is pulled
in competing directions by different
intellectual and disciplinary perspective as
well as by the concerns of practice and
theory, Nevertheless, it does have a
common core of knowledge and coherent
intellectual history
www.ginandjar.com

46. Common Criticisms of Classical
Organizational Theory
Classical principles of formal organization may lead
to a work environment in which:
• Employees have minimal power over their jobs
and working conditions
• Subordination, passivity and dependence are
expected
• work to a short term perspective
• Employees are lead to mediocrity
• Working conditions produce to psychological
failure as a result of the belief that they are lower
class employees performing menial tasks

47. Alex Brillantes, Jr. and Maricel Fernandez Is there a
Philippine Public Administration or Better Still, for whom is
Public Administration? UP NCPAG. June, 2008
Reference:
Vincent Myers and Nina Presuto. Classical
Organizational Theory
www.tcnj.edu/~wright/classicalb.pp