This document discusses three early 20th century management theories and their relevance today. It examines Henri Fayol's theory of planning, organizing, commanding, coordinating and controlling work. It also looks at Frederick Taylor's scientific management approach of analyzing workflows and incentivizing workers. Finally, it analyzes Max Weber's bureaucratic management strategy based on authority, qualifications, defined roles and rules-based management. The document concludes that while business contexts have changed, these classic theories still provide guidelines around productivity, efficiency and strong administrative structures that remain applicable in modern organizations.

1. EARLY MANAGEMENT THEORIES
RELEVANT TO THE MODERN WORLD
By Alina Martiniuc

2. MANAGEMENT SUMMARY
 This research report aims to identify how early
management theories have an impact on modern
strategies implemented in businesses. The three
main theories that are to be analyzed were
established and proposed by Max Weber, Henri
Fayol and Frederick Taylor in the 20th Century.

3. CLASSIC MANAGEMENT THEORIES
 Henri Fayol
 Frederick Taylor
 Max Weber
 Ludwig Von Bertalanffy
 Elton Mayo
 Douglas McGregor
 + others

4. MANAGEMENT FRAMEWORK
Decision
making
Resources Capital
Human
Resources
Objectives

5. HENRI FAYOL
 According to Fayol’s theory, there are five ways in which
production can be planned and controlled:
Planning
Organizing
Commanding
Coordinating
Controlling

6. HENRI FAYOL – 14 PRINCIPLES
 Division of Work
 Authority and
Responsibility
 Discipline
 Unity of Command
 Unity of Direction
 Subordination of Individual
Interest
 Remuneration
 The Degree of
Centralization
 Scalar Chain
 Order
 Equity
 Stability of Tenure of
Personnel
 Initiative
 Esprit de Corps

7. FREDERICK TAYLOR
 Frederick Taylor’s theory consists in applied
experiments that are meant to identify the best way
the employees can improve their efficiency, so that
the company can reach a higher level of
productivity.
 In order to reach higher efficiency, Taylor applied
scientific techniques in the work process, in order to
understand how employees respond and react.

8. FREDERICK TAYLOR
 First, the work process was divided into smaller
units, assigning tasks and responsibilities.
 Second, the techniques that Taylor approached
were believed to help create a friendly working
environment, where management and employees
work together in peace and harmony.
 Third, Taylor understood the fact that money can
motivate people, which is why he proposed an
incentive program.

9. MAX WEBER
 Applying the same principles from Taylor but
focusing on the organogram, Max Weber focused
on a bureaucratic management strategy.
 He developed three types of bureaucratic,
depending on the type of authority:
traditional,
charismatic
rational.

10. MAX WEBER - PRINCIPLES
 authority hierarchy
 technical qualifications employment
 full-time jobs
 job roles well defined
 management based on rules
 remuneration system

11. CONCLUSIONS
 As Taylor and Fayol have stated, the workers need
to be motivated either financially, through a friendly
work environment or other rewards, while Weber
considers that a powerful administrative hierarchy
can categorize each department within strong
entities.
 Taking all of the individual assessments and the
management framework into consideration, classic
theories have a strong impact on modern world,
due to the fact that they represent a set of
guidelines that any company can follow to ensure
high productivity and efficiency levels.

12. RECOMMENDATIONS
 Weber’s theory is a strong point of view for powerful
administrators and managers, regardless of the
type of project they work on.
 Fayol’s principles ensure that the workers are
motivated each day and come to a job they are
comfortable with.
 Taylor’s rewards and incentives strategy can keep
an employee motivated towards personal
development and company success.

13. REFERENCES
 Dininni, Jeanne. "Management Theory Of Frederick Taylor". Business.com.
N.p., 2011. Web. 28 Jan. 2017.
 Fayol, Henri. Administration Industrielle Et Générale. 1st ed. Paris: H. Dunod
et E. Pinat, 1917. Print.
 Krenn, Janet. "Management Theory Of Henri Fayol". Business.com. N.p.,
2011. Web. 28 Jan. 2017.
 Nhema, Alfred G. "Relevance Of Classical Management Theories To Modern
Public Administration: A Review". Journal of Public Administration and
Governance 5.3 (2015): n. pag. Web.
 Taylor, Frederick Winslow. The Principles Of Scientific Management. 1st ed.
New York: Harper & Brothers, 1911. Print.
 Terry, Lea. "The Management Theory Of Max Weber". Business.com. N.p.,
2011. Web. 28 Jan. 2017.
 Vliet, Vincent. "14 Principles Of Management By Henri Fayol |
Toolshero". Toolshero.com. N.p., 2014. Web. 28 Jan. 2017.
 Weber, Max, A. M Henderson, and Talcott Parsons. The Theory Of Social And
Economic Organization. 1st ed. London: W. Hodge, 1947. Print.