1

Organisational Analysis
And Management
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Development of Management
Theories
Org. Env. Theory

Mgmt Science

Behavioural Theory

Administrative Theory

Scientific Mgmt

1800 1900 1920 1940 1960 1980 2000 2008

Taylor’s (1856-1915) Theory 3
of Scientific Management

Maximize worker capacity and profits

By focusing on roles/work tasks get
employees to work at their maximum capacity

Scientific approach to all work tasks

Use of Time and Motion Studies
Directed training methods
Higher pay for higher production
Key Principles
Intelligent Managers, ignorant workers
Pay is the main motivator
Managers are responsible for
planning, training, and evaluating
Problem
Reduced workforce
Employees worked more slowly
 Fayol’s (1841-1925) 4
Administrative Theory
General and Industrial Management
how managers should accomplish their managerial duties
FOCUS: Management/Administration)
Elements of Management
Planning
Organizing
Command
Coordination
Control
Division of work - limited set of tasks
Authority and Responsibility - right to give orders
Unity of Command - only one supervisor
Equity - kindliness and justice
Initiative - managers should rely on workers’ initiative
Esprit de corps - “union is strength” “loyal members”

Respect for Workers

Pay is not the sole motivator
Equity in worker treatment
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Weber’s (1864-1920) Theory
of Bureaucracy

Describe an ideal form of organizational structure

Focus: Organizational Structure described through written rules
Worker should respect the “right” of managers

Different types of Authority

Traditional – based oh history, culture, personal loyalty
Charismatic - personal trust in character and skills
Rational -rational application of rules or laws

Tenets of Bureaucracy
Rules
Specified level of competence
Hierarchy
Specialized Training
No entitlement to “official position” by incumbent
Everything written down
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Behavioral Management Theory

Role of management behaviour to motivate employees and encourage them to

perform at high levels and be committed to the achievement of
organizational goals.

Horizontal view of power and authority

Workers analyse and improve their jobs
Workers should control the task.

- Mary Follett
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Contingency Theory
No one best way to manage

Organisational structures and

management is dependent on external
environment the organization operates.

Mechanistic Structure Organic structure

Centralized authority Decentralized authority

Close monitoring of
Loose roles/tasks
employees.
Useful structure for Useful for dynamic
stable environment environment
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SUMMARY

 Classical Theories of Organizations (p. 36)

 Taylor’s Theory of Scientific Management
 Fayol’s Administrative Theory
 Weber’s Theory of Bureaucracy
 All 3 theories attempt to enhance management’s ability
to predict and control the behavior of their workers
 Considered only the task function of communication
(ignored relational and maintenance functions of
communication)
 Designed to predict and control behavior in
organizations