MA. ANGELOU H. BELLIDO DR. ISABELITA S.

BACUD
TEACHER I – LAGUNDI ES PROFESSIONAL LECTURER
MAED STUDENT – TOMAS CLAUDIO COLLEGES
EDUC 203 “PRINCIPLES OF EDUCATIONAL ADMINISTRATION”

ADMINISTRATION/
MANAGEMENT
THEORIES
ADMINISTRATION/MANAGEMENT THEORY

Understanding and applying the best practices from workplace

management theories can help you more effectively guide your
team to success. Many of these theories gave rise to the leadership
approaches commonly used to lead and grow organizations today.
WHAT ARE MANAGEMENT THEORIES?
 Management theories are a collection of ideas that recommend general
rules for how to manage an organization or business. They address how
supervisors implement strategies to accomplish organizational goals and
how they motivate employees to perform at their highest ability.
 Typically, leaders apply concepts from different management theories that
best suit their employees and company culture. Although many
management theories were created centuries ago, they still provide
beneficial frameworks for leading teams in the workplace and running
businesses today
BENEFITS OF MANAGEMENT THEORIES
Increased productivity: Using these theories, leaders learn
how to make the most of their team members, improving
performances and increasing productivity.
Simplified decision making: Management theories give leaders
strategies that speed up the decision-making process, helping
those leaders be more effective in their roles.
BENEFITS OF MANAGEMENT THEORIES

Increased collaboration: Leaders learn how to

encourage team member participation and increase
collaboration among an entire group.
Increased objectivity: Management theories encourage
leaders to make scientifically proven changes rather than
relying on their judgment.
TYPES OF MANAGEMENT
THEORIES
 1. Classical Management Theory
2. Behavioral Management Theory
3. Modern Management Theory
1. CLASSICAL MANAGEMENT THEORY

Classical management theory is based on

the belief that workers only have physical
and economic needs and prescribes
specialization of labor.
 Classical theories recommend centralized
leadership and decision-making and focus on
profit maximization. Three streams of classical
management theory are - Bureaucracy (Weber), 
Administrative Theory (Fayol), and 
Scientific Management (Taylor).
A. SCIENTIFIC MANAGEMENT THEORY

Frederick Taylor, who was one of the first to study work performance
scientifically, took a scientific approach to management in the last 1800s.
Taylor’s principles recommended that the scientific method should be used
to perform tasks in the workplace, as opposed to the leader relying on their
judgment or the personal discretion of team members.
Taylor recommended simplifying tasks to increase productivity. He
suggested leaders assign team members to jobs that best match their
abilities, train them thoroughly and supervise them to ensure they remain
efficient in the role. 
Taylor’s theory of scientific management aimed at,
improving economic efficiency, especially labor
productivity. Taylor had a simple view about, what
motivated people at work, - money. He felt that
workers should get a fair day's pay for a fair day's
work, and that pay should be linked to the amount
produced. Therefore he introduced the differential
piece rate system, of paying wages to the workers.
 FOUR PRINCIPLES OF SCIENTIFIC MANAGEMENT

 Time and motion study: - Study the way jobs are performed and find new
ways to do them.
 Teach, train, and develop the workman with improved methods of doing
work. Codify the new methods into rules.
 The interest of the employer & employees should be fully harmonized so
as to secure mutually understanding relations between them.
 Establish fair levels of performance and pay a premium for higher
performance.
B. ADMINISTRATIVE MANAGEMENT THEORY

Henri Fayol, a senior executive and mining

engineer, developed this theory in the 19th
century when he examined an organization
through the perspective of the managers and
situations they might encounter.
 Fayol believed leaders had five main functions—to forecast,
plan, coordinate, command and control—and he developed
principles that outlined how leaders should organize and
interact with their teams. He suggested that the principles
should not be rigid but that it should be left up to the manager
to determine how they use them to manage efficiently and
effectively.
Henri Fayol known as the Father of Management laid
down the 14 principles of Management. These 14
principles of management are used to manage an
organization and are beneficial for prediction, planning,
decision-making, organization and process management,
control, and coordination
 THE PRINCIPLES HE OUTLINED WERE:
 Initiative

 Equity

 Scalar chain

 Remuneration of personnel

 Unity of direction

 Discipline

 Division of work

 Authority and responsibility

THE PRINCIPLES HE OUTLINED WERE:

Unity of command
Subordination of individual interest to general
interests: Centralization
Order
Stability of tenure
Espirit de corps
C. BUREAUCRATIC MANAGEMENT THEORY

Developed by Max Weber, bureaucratic management theory focuses on

structuring organizations in a hierarchy so there are clear rules of
governance. His principles for creating this system include a chain of
command, clear division of labor, separation of personal and organizational
assets of the owner, strict and consistent rules and regulations, meticulous
record-keeping and documentation and the selection and promotion of
employees based on their performance and qualifications. 
This theory has played a key role in establishing standards and
procedures that are at the core of most organizations today.
Weber made a distinction between authority and power. Weber believed that
power educes obedience through force or the threat of force which induces
individuals to adhere to regulations. According to Max Weber, there are
three types of power in an organization:-
 Reward Power:
 Charismatic Power
 Bureaucratic Power or Legal Power.
1. LEGITIMATE POWER:

This power comes to the leader when the

organization’s authority is accepted. It comes from
the rules of the organization. For e.g. parents,
teachers, managers, police, etc. have legitimate
power only when their authority is accepted in the
positions they hold.
II. CHARISMATIC POWER:

This is the power of attraction or devotion, the desire of one person to

admire another. A leader high in this source of power is liked or admired by
others based on personal traits. A subordinate feels a positive attraction
towards a leader by identifying oneself, with the leader, or gets influenced
by the leader’s attractive power. This power is based on a belief in,
admiration for, or identification with the leader. This power helps the
subordinate to understand and value the leader so much that one understands
and acts according to the expectations of the boss or the leader. It helps one
to act as one’s own boss, and behave in ways one thinks the boss will want.
III. REWARD POWER:

This power is the present or potential ability to reward for worthy behavior. This
power is based on the leader’s ability to provide rewards, real or intrinsic. The
superior or the leader has the power to give tangible rewards such as promotion,
office space, time off from work, attractive work assignments, and help to the
subordinate. Also, psychological rewards like praise, appreciation, approval, and
recognition can be given by the leader or the superior to the subordinate. The
subordinate has to believe that the leader has access to higher authorities;
therefore, the leader can give rewards. This reward power of the leader can also
increase the leader’s charismatic and legitimate power. In organizations, rewards
are often positive incentives such as pay, promotion, or recognition.
2. BEHAVIORAL MANAGEMENT
The behavioral management theory is focused on the
human aspects of work. They are also often referred to as
the human relations movement. These theories aspire to
gain a better understanding of human behavior at work to
improve productivity. It focuses on behavioral aspects like
motivation, conflict, expectations, and group dynamics.
A. ELTON MAYO’S BEHAVIORAL THEORY OF MANAGEMENT:

This theory was developed by Elton Mayo, who conducted

experiments designed to improve productivity that laid the
foundation for the human relations movement. His focus was on
changing working conditions like lighting, break times and the
length of the workday.
Every change he tested was met with an improvement in
performance.
 These experiments gave rise to the theory that
employees are more motivated by personal
attention and being part of a group than they are
by money or even working conditions.
B. MASLOW’S HIERARCHY OF NEEDS

Maslow's hierarchy of needs is a theory of motivation

which states that five categories of human needs dictate an
individual's behavior. Those needs are physiological needs,
safety needs, love and belonging needs, esteem needs, and
self-actualization needs.
3. MODERN MANAGEMENT THEORY

Modern management theory emphasizes the use of

systematic mathematical techniques to analyze and
understand the inter-relationship of management and
workers in all aspects. Two popular streams of
modern management theories are -  
System Approach, and Contingency Approach.
A. SYSTEMS MANAGEMENT THEORY

This theory asserts businesses consist of multiple components

that must work in harmony for the larger system to function
optimally. The organization’s success, therefore, depends on
synergy, interdependence and interrelations between subsystems.
According to this theory, employees are the most important
components of a company, and departments, workgroups and
business units are all additional crucial elements for success. 
 Per the systems management theory, managers
should evaluate patterns and events within the
organization to determine the best management
approach. They need to collaborate and work
together on programs to ensure success.
B. CONTINGENCY MANAGEMENT THEORY

Developed by Fred Fiedler, this theory’s primary focus

is that not one management approach works for every
organization. Fiedler suggested a leader’s traits were
directly related to how effectively they lead their team. He
asserts there are leadership traits that apply to every kind
of situation and that a leader must be flexible to adapt to a
changing environment.
 Companies and their
management theory used
 MCDONALD’S COMPANY
1. Scientific management in McDonald’s operation, The largest
fast food is McDonald’s. It is the most successful model on
scientific management. McDonald’s regulate each product in
certain cooking time, for example, 3 minutes for fries, chicken
patty for 100 seconds, 9 pieces 10:1 patties each grill, and 6 for
4:1 patty. So every crew in McDonald’s learning all these
procedures by doing their job. Each of them follows the procedure
and supervisor’s instruction to make sure keeping the same
standard of McDonald’s all around the world.
 There is the use of the manuals and operative check lists for the working
methods that determined by the management. On the other hand, the manager
has the specific and significant role in this kind do management as taking the
major decisions centrally. He is the one responsible for the major role on the
monitoring of the site and the taking in charge in its performances.
It offered flexibility in working hours for the workers and 'one-size fits all'
benefit for the employees, this benefit was adopted by different service
provider companies. Company introduced 'Bean stock' program for the
employees. Starbucks applies different strategies to hire and attain their
employees.
 STARBUCKS

 Starbucks supports its implementation of Scientific Management by claiming that the

objective is to free up time for the baristas to “interact with customers and improve the
Starbucks experience.” But that is clearly management double-speak; the purpose is to
sell more coffee and other Starbucks products
3. GENERAL MOTORS (GM) – ADMINISTRATIVE

General Motors began to embrace Fayol’s

principles in its management systems in the 1930s.
GM was a large company, even then, sand needed a
structure to manage and control employees.
4. KFC – ADMINISTRATIVE MANAGEMENT

KFC's management team would use Fayol's

principle of management to plan, organize,
command, coordinate and control the activities of
the company in order to achieve its goals and
objectives.
 5. DEPED, LGUS, PNP, UNIVERSITIES –
BUREAUCRATIC MANAGEMENT

A bureaucracy is any organization composed of multiple

departments, each with policy- and decision-making
authority. Bureaucracy is all around us, from government
agencies to offices to schools, so it's important to know
how bureaucracies work, what real-world bureaucracies
look like, and the pros and cons of bureaucracy.
AVON: FROM BOOKS TO COSMETICS

 McConnell dove right into this new business opportunity. In 1886 he

launched the successful California Perfume Company (later renamed
Avon). It was this same drive to give his customers what they wanted
which led him to hire female salespeople at a time when opportunities
for women to make a living were few and far between—because he
believed they would be best at marketing to his customers
7. INSTAGRAM - BEHAVIORAL

 Co-founder Keven Systrom's original product was Burbn, an app for

checking into locations, making plans, and sharing photos. Looking at
their user data, Systrom and Krieger found that no one was really
using most of their features—
but people were sharing a ton of photos. They decided to strip out
everything else and produce a prototype solely for photo-sharing. They
sent this prototype to 100 Burbn users and got more output in one
weekend than Burbn had ever received in total.
8. COCA COLA – CONTIGENCY

Coca-Cola corporation uses the

Contingency Management theory to
handle the demand and needs of the
products based on the situation.
9. MICROSOFT – SYSTEMS MANAGEMENT

Microsoft remains one of the brightest examples of systems

approach to organizational development and growth. It is open
to the environment and uses the feedback provided by
stakeholders. A computer is a perfect example of how systems
theory works. Essentially, a computer is a system made up of
many smaller systems that have to work in coordination with
one another.
THANK YOU AND GOD BLESS!