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Presented By-
SOHAN
MSW 4th SEM.
Institute of Social Sciences
Dr. Bhimrao Ambedkar
University, Agra
Classical Theory
of
Organizational Behavior
Content
 Introduction
 Types of Organizational theory
 Classical Organizational Theory
 6 Pillars of Classical Theory
 Criticisum of the classical theory
 Approaches of classical theory
 Conclusion
 References
Introduction
 There are different theories of organization to predict
and explain the process and also behavior patterns in
an organizational setting.
 There are three different types of organizational
theory: Classical Organization Theory, Neo-Classical
Organizational Theory, and Modern Organizational
Theory.
Types of Organizational Theory
 Classical Organization Theory,
 Neo-Classical Organizational Theory, and
 Modern Organizational Theory.
Classical Organizational Theory
 As the first step towards a systematic study of
organizations, the Classical Organizational Theory is
very important.
 It primarily deals with the anatomy of formal
organizations and also views one as a machine and the
employees as parts of the machine.
 Therefore, in order to increase the efficiency of the
organization, each employee working in it must
become efficient.
6 Pillars of Classical Theory
The main pillars or elements of the Classical theory are as
follows:
 Division of Labor – In order to obtain a clear
specialization in order to improve the performance of
individual workers, the organization must divide work.
 Departmentalization – The organization must group var
ious activities and jobs into departments. This allows it to
minimize costs and also facilitate administrative control.
 Coordination – The organization must ensure harmony
among diverse functions. This allows it to arrange the
group effort in an orderly manner which provides unity of
action while pursuing a common purpose.
 Scalar and Functional Processes – A scalar chain is th
e series of superior-subordinate relationships from the to
p to the bottom in an organization. It facilitates the delega
tion of authority or command, communication or feedbac
k, and also remedial action or decision.
 Structure – Structure is the logical relationship of functio
ns in an organization. Further, these functions are arrang
ed for effective objective accomplishment.
 Span of Control – This is the number of subordinates th
at a manager can effectively supervise.
Criticisms of the Classical Theory
 It takes a rigid as well as a static view of organizations.
 Most classical theorists view an organization as a closed
system with no interaction with its environment.
 The theory focuses more on the structural and also the
technical aspects of organizations.
 It is based on oversimplified and mechanistic assumption
s.
 In simple terms, the focus of the Classical Theory is on
an organization without people. Therefore, many experts
consider it inadequate in dealing with the complexities of
an organization’s structure and functioning.
Approaches of Classical theory
 Classical organization theories (Taylor, 1947; Weber, 194
7; Fayol, 1949) deal with the formal organization and con
cepts to increase management efficiency.
 Taylor presented scientific management concepts, Weber
gave the bureaucratic approach, and Fayol developed th
e administrative theory of the organization.
 They all contributed significantly to the development of cl
assical organization theory.
Taylor's scientific management
approach
The scientific management approach developed by Taylor is
based on the concept of planning of work to achieve
efficiency, standardization, specialization and simplification.
Acknowledging that the approach to increased productivity w
as through mutual trust between management and workers,
Taylor suggested that, to increase this level of trust.
 the advantages of productivity improvement should go to
workers,
 physical stress and anxiety should be eliminated as much
as possible,
 capabilities of workers should be developed through
training,
Taylor developed the following four principles of scientific m
anagement for improving productivity:
 Science, not rule-of-thumb Old rules-of-thumb should be
supplanted by a scientific approach to each element of a
person's work.
 Scientific selection of the worker Organizational member
s should be selected based on some analysis, and then
trained, taught and developed.
 Management and labour cooperation rather than
conflict Management should collaborate with all
organizational members so that all work can be done in
conformity with the scientific principles developed.
 Scientific training of the worker Workers should be
trained by experts, using scientific methods.
Weber's bureaucratic approach
Considering the organization as a segment of broader
society, Weber (1947) based the concept of the formal
organization on the following principles:
 Structure In the organization, positions should be
arranged in a hierarchy, each with a particular,
established amount of responsibility and authority.
 Specialization Tasks should be distinguished on a
functional basis, and then separated according to
specialization, each having a separate chain of
command.
 Predictability and stability The organization should opera
te according to a system of procedures consisting of
formal rules and regulations.
 Rationality Recruitment and selection of personnel
should be impartial.
 Democracy Responsibility and authority should be
recognized by designations and not by persons.
 Weber's theory is infirm on account of dysfunctions (Hick
s and Gullett, 1975) such as rigidity, impersonality, displa
cement of objectives, limitation of categorization, self-per
petuation and empire building, cost of controls, and anxi
ety to improve status.
Administrative theory
The elements of administrative theory (Fayol, 1949) relate t
o accomplishment of tasks, and include principles of manag
ement, the concept of line and staff, committees and functio
ns of management.
 Division of work or specialization This increases producti
vity in both technical and managerial work.
 Authority and responsibility These are imperative for an
organizational member to accomplish the organizational
objectives.
 Discipline Members of the organization should honour th
e objectives of the organization. They should also compl
y with the rules and regulations of the organization.
 Unity of command This means taking orders from and b
eing responsible to only one superior.
 Unity of direction Members of the organization should joi
ntly work toward the same goals.
 Subordination of individual interest to general interest Th
e interest of the organization should not become subserv
ient to individual interests or the interest of a group of e
mployees.
 Remuneration of personnel This can be based on divers
e factors such as time, job, piece rates, bonuses, profit-s
haring or non-financial rewards.
 Centralization Management should use an appropriate bl
end of both centralization and de-centralization of author
ity and decision making.
 Scalar chain If two members who are on the same level
of hierarchy have to work together to accomplish a proje
ct, they need not follow the hierarchy level, but can inter
act with each other on a 'gang plank' if acceptable to the
higher officials.
 Order The organization has a place for everything and e
veryone who ought to be so engaged.
 Equity Fairness, justice and equity should prevail in the
organization.
 Stability of tenure of personnel Job security improves pe
rformance. An employee requires some time to get used
to new work and do it well.
 Initiative This should be encouraged and stimulated.
 Esprit de corps Pride, allegiance and a sense of belongi
ng are essential for good performance. Union is strength
References
 http://andrewmckay.yolasite.com/resources/14%20Princ
iples%20of%20Management.pdf
 http://www.sliodeshare.net/mobile/sintokada/henri-fayol-
14-principles
Classical theory ppt

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Classical theory ppt

  • 1. Presented By- SOHAN MSW 4th SEM. Institute of Social Sciences Dr. Bhimrao Ambedkar University, Agra Classical Theory of Organizational Behavior
  • 2. Content  Introduction  Types of Organizational theory  Classical Organizational Theory  6 Pillars of Classical Theory  Criticisum of the classical theory  Approaches of classical theory  Conclusion  References
  • 3. Introduction  There are different theories of organization to predict and explain the process and also behavior patterns in an organizational setting.  There are three different types of organizational theory: Classical Organization Theory, Neo-Classical Organizational Theory, and Modern Organizational Theory.
  • 4. Types of Organizational Theory  Classical Organization Theory,  Neo-Classical Organizational Theory, and  Modern Organizational Theory.
  • 5. Classical Organizational Theory  As the first step towards a systematic study of organizations, the Classical Organizational Theory is very important.  It primarily deals with the anatomy of formal organizations and also views one as a machine and the employees as parts of the machine.  Therefore, in order to increase the efficiency of the organization, each employee working in it must become efficient.
  • 6. 6 Pillars of Classical Theory The main pillars or elements of the Classical theory are as follows:  Division of Labor – In order to obtain a clear specialization in order to improve the performance of individual workers, the organization must divide work.  Departmentalization – The organization must group var ious activities and jobs into departments. This allows it to minimize costs and also facilitate administrative control.  Coordination – The organization must ensure harmony among diverse functions. This allows it to arrange the group effort in an orderly manner which provides unity of action while pursuing a common purpose.
  • 7.  Scalar and Functional Processes – A scalar chain is th e series of superior-subordinate relationships from the to p to the bottom in an organization. It facilitates the delega tion of authority or command, communication or feedbac k, and also remedial action or decision.  Structure – Structure is the logical relationship of functio ns in an organization. Further, these functions are arrang ed for effective objective accomplishment.  Span of Control – This is the number of subordinates th at a manager can effectively supervise.
  • 8. Criticisms of the Classical Theory  It takes a rigid as well as a static view of organizations.  Most classical theorists view an organization as a closed system with no interaction with its environment.  The theory focuses more on the structural and also the technical aspects of organizations.  It is based on oversimplified and mechanistic assumption s.  In simple terms, the focus of the Classical Theory is on an organization without people. Therefore, many experts consider it inadequate in dealing with the complexities of an organization’s structure and functioning.
  • 9. Approaches of Classical theory  Classical organization theories (Taylor, 1947; Weber, 194 7; Fayol, 1949) deal with the formal organization and con cepts to increase management efficiency.  Taylor presented scientific management concepts, Weber gave the bureaucratic approach, and Fayol developed th e administrative theory of the organization.  They all contributed significantly to the development of cl assical organization theory.
  • 10. Taylor's scientific management approach The scientific management approach developed by Taylor is based on the concept of planning of work to achieve efficiency, standardization, specialization and simplification. Acknowledging that the approach to increased productivity w as through mutual trust between management and workers, Taylor suggested that, to increase this level of trust.  the advantages of productivity improvement should go to workers,  physical stress and anxiety should be eliminated as much as possible,  capabilities of workers should be developed through training,
  • 11. Taylor developed the following four principles of scientific m anagement for improving productivity:  Science, not rule-of-thumb Old rules-of-thumb should be supplanted by a scientific approach to each element of a person's work.  Scientific selection of the worker Organizational member s should be selected based on some analysis, and then trained, taught and developed.  Management and labour cooperation rather than conflict Management should collaborate with all organizational members so that all work can be done in conformity with the scientific principles developed.  Scientific training of the worker Workers should be trained by experts, using scientific methods.
  • 12. Weber's bureaucratic approach Considering the organization as a segment of broader society, Weber (1947) based the concept of the formal organization on the following principles:  Structure In the organization, positions should be arranged in a hierarchy, each with a particular, established amount of responsibility and authority.  Specialization Tasks should be distinguished on a functional basis, and then separated according to specialization, each having a separate chain of command.  Predictability and stability The organization should opera te according to a system of procedures consisting of formal rules and regulations.
  • 13.  Rationality Recruitment and selection of personnel should be impartial.  Democracy Responsibility and authority should be recognized by designations and not by persons.  Weber's theory is infirm on account of dysfunctions (Hick s and Gullett, 1975) such as rigidity, impersonality, displa cement of objectives, limitation of categorization, self-per petuation and empire building, cost of controls, and anxi ety to improve status.
  • 14. Administrative theory The elements of administrative theory (Fayol, 1949) relate t o accomplishment of tasks, and include principles of manag ement, the concept of line and staff, committees and functio ns of management.  Division of work or specialization This increases producti vity in both technical and managerial work.  Authority and responsibility These are imperative for an organizational member to accomplish the organizational objectives.  Discipline Members of the organization should honour th e objectives of the organization. They should also compl y with the rules and regulations of the organization.
  • 15.  Unity of command This means taking orders from and b eing responsible to only one superior.  Unity of direction Members of the organization should joi ntly work toward the same goals.  Subordination of individual interest to general interest Th e interest of the organization should not become subserv ient to individual interests or the interest of a group of e mployees.  Remuneration of personnel This can be based on divers e factors such as time, job, piece rates, bonuses, profit-s haring or non-financial rewards.  Centralization Management should use an appropriate bl end of both centralization and de-centralization of author ity and decision making.
  • 16.  Scalar chain If two members who are on the same level of hierarchy have to work together to accomplish a proje ct, they need not follow the hierarchy level, but can inter act with each other on a 'gang plank' if acceptable to the higher officials.  Order The organization has a place for everything and e veryone who ought to be so engaged.  Equity Fairness, justice and equity should prevail in the organization.  Stability of tenure of personnel Job security improves pe rformance. An employee requires some time to get used to new work and do it well.  Initiative This should be encouraged and stimulated.  Esprit de corps Pride, allegiance and a sense of belongi ng are essential for good performance. Union is strength