Administrative Management Theory Quiz

Administrative Management Theory

• This theory focuses on creating an organizational structure that leads to high efficiency and effectiveness.
• One of the most influential views on creating efficient systems is Max Weber's theory.
• Henri Fayol's theory is another influential view.
• Authority refers to the power to hold people accountable for their actions and make decisions concerning the use of organizational resources.

Principles of Administrative Management

• Positions should be arranged hierarchically to provide clarity on reporting lines.
• Managers should create a well-defined system of rules, standard operating procedures (SOPs), and norms to control behavior.
• Rules, SOPs, and norms act as behavioral guidelines that improve the performance of a bureaucratic system.
• Managers should allow employees to be innovative.
• Managers should encourage a workforce that strives to achieve organizational goals.
• The system for rewarding employees should be equitable for both employees and the organization.
• Long-term employees develop skills that can improve organizational efficiency.
• Employees should understand how their performance affects the overall performance of the organization.
• Managers should encourage a sense of camaraderie, enthusiasm, and devotion to a common cause.

Behavioral Management Theory

• Behavioral management theorists focus on how managers should behave to motivate employees and encourage them to be high performers and committed.
• Follett proposed that knowledge and expertise, not formal authority, should determine leadership.
• She believed power is fluid and should flow to those who can best help the organization achieve its goals.
• Follett took a horizontal view of power and authority, in contrast to Fayol's vertical chain of command.
• This approach was considered radical for its time.

The Hawthorne Studies and Human Relations

• These studies were conducted at the Hawthorne Works of Western Electric Company to investigate the impact of the work setting on employee fatigue and performance.
• The studies initially focused on the relationship between illumination levels and employee productivity.
• They found that employee productivity improved regardless of the lighting conditions, suggesting other factors were at play.
• This led to the realization that social factors, such as group dynamics and employee morale, played a significant role in productivity.

Theory Y

• This theory posits that a manager's task is to create a work setting that encourages commitment to organizational goals and provides opportunities for employees to be imaginative and exercise initiative.
• The manager does not need to tightly control employees' behavior because employees will exercise self-control when committed to goals.
• The work setting determines whether employees perceive work as a source of satisfaction or punishment.

Management Science Theory

• A contemporary approach that focuses on using rigorous quantitative techniques to help managers make the most of organizational resources.
• This theory is an extension of scientific management.
• Quantitative Management uses mathematical techniques, such as linear programming, modeling, and simulation, to guide decision-making.
• It helps managers make decisions regarding inventory levels, factory locations, and financial capital investment.

Test your knowledge on Administrative Management Theory and its key principles, including the works of Max Weber and Henri Fayol. Explore how organizational structures and guidelines can enhance efficiency and effectiveness within a company. This quiz will challenge your understanding of the hierarchical arrangements and the essential roles of managers.