Classical Management Theory Assignment

Classical Management Theory Assignment

Classical Management Theory Assignment is a solution of Classical Management Theory Assignment that describes about Developing business of management of classical theory.

One of the earliest theories of marketing management that is the classical theory of organization has remained relevant over a period of time though the business Classical Management Theory Assignmentworld and the theories which run it are of nature which changes very rapidly. This particular stream of management theory named as classical school of organization was built up and practised for the improvement of principles which are widespread and which can be used in all of the companies in various states of affairs. The theorists of this management approach envisaged the organizations as mechanical piece of equipments for achieving the goals of the  organization (Griggs, 2009).

BODY OF THE REPORT

The classical theory of management came to existence in the early years of the 20th century and further works and researches were carried out keeping this theory as the focal point till 1930. This is the period when this theory was most relevant for the business organizations and many famous business researchers break new grounds for this theory. Henry Fayol is one of the most important theorists amongst them

There are three assumptions which work like the cornerstone for the classical theory (Duncan, 1979). These are:

  1. The association between management and workers of an organization is characterized with the help of official communication process which is structured as well, predefined duties, classified responsibility, and formal processes and practices for avoiding any disagreement within them.
  2. Employees are looked upon as only an economic man for whom only money is the means of motivation.
  3. The next conjecture was that the staffs are only tools for production and they are treated as a mechanism for the achieving objective for the company.

Henry Fayol, who was an engineer as well as a manager in Europe, is usually looked upon as the initiator of the classical theory of management. He is also the person who set off the administrative theory of management. He analyzed the process project of management in terms of technical ability that is more dominating on the lower level and middle level of management whereas managerial ability is more important for higher level of management.

The fourteen principles of organization can be enumerated thus (Fayol, 1929):

  1. Division of Work: It is one of the most significant principles of classical theory of management. This principle advocated by Fayol was supposed to achieve work of better quality and larger volume with least possible amount of effort. A very important factor of classical management theory which is named as factory system of production is based on this division of work and so is the technology for distribution of work. With the intention of improving the efficiency, division of the work has to be done in such a way so that it achieves successful specialization. The group of workers will be more efficient if the division of labour become more realistic.
  2. Authority and Responsibility: These two factors are important for supervising all the activities inside the organization as well as maintaining a harmony in different functionaries of the company. In other words this means a manager in an organization which follows the classical theory of management should possess enough power to give out instructions and in return to expect compliance.
  3. Discipline: Discipline plays a very important part in the classical management theory. This theory preaches that discipline with respect to the rules, laws and regulations within the company. Organizational guidelines are relevant for all the internal stakeholders of business which will ensure that the company is on a smooth track to its success. Safeguarding the disciplinary rules is heavily dependent on the leadership the company is undergoing as well as function of policy and practice. The ways through which disciplines can be maintained are: (a) Strict regulation throughout all the levels, (b) Unambiguous and just contracts, and (c) Well judged use of punishments.
  4. Unity of command: This particular part of the theory signifies that a worker gets instruction from only a single supervisor within the periphery of the organization.  It will help in staying away from confusions, misunderstandings and differences amongst the employees as well as the management of the organization. Several supervisors will inevitably give rise to separated job. Fayol opines, if unity of command principle is violated, it would put the disciplinary factor of the organization at risk as well as it will lead to undermining of authority which will ultimately cause instability for the company.
  5. Unity of Direction: This principle says that all the internal stakeholders of the association has to work with each other which will help the company to achieve its goals
  6. Subordination of Individual Interest of General Interest: This part of the theory stresses on the importance of aligning the goal of individuals with the organizational mission and vision.
  7. Remuneration of Personnel: The compensation which will be given to the workers of the company has to be fair and should be able to offer highest contentment to the workers as well as the management of the company.
  8. Centralization of Authority: Fayol opines that a harmony of centralization and decentralization of authority and power has to be achieved for the well being of the company.
  9. Scalar Chain:  Scalar chain helps in determining the boss subordinate association in the setup of the organization. It is necessary for an organization to make sure that it achieves unity of command and effectual communication.
  10. Order: This marketing principle deals with the arrangement of people and things within the company. Fayol has said that everything and everyone has to occupy their designated place. This if violated leads to confusion in the company. This principle can help the company being an efficient and sound organization.
  11. Equity: This deals with fairness of behaviour to all the employees within the organization. This means that supervisors need to exercise the authority they enjoy without any partiality and in a sensible manner for dealing with their subordinates.
  12. Stability of Tenure: This principle talks about the longevity of the employees in the company for its benefit.
  13. Initiative: This takes care of the inventive thinking and ability to make proposals which may lead to good managerial planning and implementation of objectives which are pre determined.
  14. Esprit de Corps: It says about the foundation of team spirit within the organization which is very important to achieve (Fayol, 1929).

Conclusion

The relevance of the classical theory in the modern business world is very limited. The premise of this theory was that an orrganization is a closed system. It also assumed that management of an organization can control almost all of the organizational factors. But in modern business world things are not quite the same. It deals in an environment which is highly dynamic. In this ever evolving  environment, the companies consciously herald in change to so that they can fit in the environment. This has seriously handicapped this particular theory of organization in today’s business world environment.

Classical Management Theory Assignment

No organization these days work in vacuum. Hence it is impossible for a manager to devote his full bandwidth for single problem. Due to the dynamic nature of business a single manager these days takes care of more than one responsibilities and due to this the managers these days tend to get maximum autonomy from the business organizations which enables them to make decisions which may solve more than one problem at a time through innovation, exploration of new possibilities and bringing about effective and positive changes (Weiss, 2000).

Rather than dictating the subordinates, these days the managers work in tandem with the other employees which enables the organization to realize its vision and mission. Apart from achieving the organizational goals, it also a managers responsibility to make sure that an employee who works under him are getting enough scope to achieve his personal goals. All of these factors taken together have made the classical theory of organization near obsolete these days.

References 

  • Henri Fayol, General and Industrial Management, Translated by J. N. Conbrough (Geneva: International Management Institute), 1929.
  • Joseph W. Weiss, Organizational Behavior and Change, (Singapore: Thomas Asia Pte Ltd.,) 2000, P.9.
  • Stephen Robbins, Organizational Behavior, (New Delhi: Prentice Hall of India Private Limited), 2002, P. 423.
  • Ramesh K. Arora, Comparative Public Administration: An Ecological Perspective, (New Delhi:
  • Associated Publishing House), 1972, P.52.
  • Fred Luthans, Organizational Behavior, (New Delhi: McGraw-Hill Irwin), 2002, P.16.
  • Robert Duncan, “What’s the Right Organization Structure?” Organizational Dynamics, winter 1979, P.59.
  • Wladimir Kraus(2009), A Treatise For A New Age In Economic Theory:Review Of George Reisman’s Capitalism, Libertarian Papers Vol. 1, Art. No. 14
  • Jessica Griggs,(2009), What string theory is really good for Magazine issue 2710.

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