Classical Approach to Management Notes PDF

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Nile University of Nigeria

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management classical approach organizational structure business administration

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These notes provide an overview of the classical approach to management, its principles, and characteristics. The notes explore the historical context of organized management and highlight key figures and concepts associated with this theory of management. Examples of early management are also presented.

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WEEK THREE & FOUR CLASSICAL APPROACH TO MANAGEMENT Learning Objectives: Characteristics of Classical Organization Contributors of the Classical School of Thought The origins of organized management date back to the earliest human societies, where activities like hu...

WEEK THREE & FOUR CLASSICAL APPROACH TO MANAGEMENT Learning Objectives: Characteristics of Classical Organization Contributors of the Classical School of Thought The origins of organized management date back to the earliest human societies, where activities like hunting and land possession were managed within groups. Conflicts between these groups led to the development of primitive weapon systems and power-based resolutions. Ancient Indian epics, such as the Ramayana and Mahabharata, depict early forms of management, where kings managed state affairs, resources, and people effectively. Notably, Chanakya developed economics, warfare, and administration principles that influenced management practices. Examples of early management include the Roman Empire's organised expansion, Shivaji's governance in the 17th century, and large-scale projects like the Egyptian pyramids and the Great Wall of China, which demonstrated sophisticated planning, organizing, and directing. To understand various management practices the use of overlapping functions varies depending on the time and available technology and tenets in the business environment from classical to contemporary management practices The classical school of thought, renowned for its efficiency, is deeply concerned with the structure and functioning of formal organizations. It views an organisation as a collection of individuals whose contributions are determined by a division of labour and whose efforts are coordinated by a hierarchy. According to this school of thought, an organisation will function effectively if the manager makes use of a system of division of labour, specifies the roles and job relationships of 1 the organisation members, and gives direction to, supplies initiative for, and monitors the individual and collective behaviour of the workers. The characteristics of Classical Organization are as follows: i. There is a formal hierarchical authority structure marked by vertical lines of communication control and coordination between firm or organization members. In other words, work and communication relationships are defined. ii. The organisation is characterized by a system of division of labour i.e. there are specialized functions clearly defined and differentiated from one another and performed by functional specialists. iii. There are internal specifications and standard procedures including a precise definition of rights, obligations and technical methods attached to each role. In other words, roles and procedures are clearly defined. iv. There are many rules and the organisation employs “rational” techniques i.e. there are objective rationality or impartial application of laid down rules and regulations. This means that the organisation is viewed as a collection of individuals to be governed or controlled by formal rules and regulations thus establishing an impersonal structure of relationships between them. v. Authority is centralised with knowledge of actualities located at the top of the hierarchy and the superior insisting on loyalty and prescribing the standards and rules of operations and work behaviour for sub-ordinates. vi. Jobs and areas of jurisdiction are clearly defined by contract, and it is not necessary to do any work other than the specified job. Job contents remain the same over a long period of time. 2 From the foregoing explanation, it should be clear that the classical- mechanistic school is: (a) A structural view of organization and management, central to classical theory, emphasizes that an appropriate formal organizational structure—represented by a hierarchy with clear job positions and relationships—is essential for effective functioning. Classical theorists believed that an organization operates best when informality is minimized, and a defined "pyramid of power" is established, represented by an organizational chart. They focused on the overall organization, especially its formal structure (departments, relationships, and hierarchies), viewing it as key to achieving efficiency. (b) A functional-process view of management i.e. the view that if certain activities are carried out by the manager (such as organisational structuring, staffing, co-ordinating, controlling and supervising) using certain principles, then the Organisation will function effectively. Thus, classical theorists were also concerned with the development of management principles which were thought to be universally applicable. These principles included span of control, the principles of authority, functionalism, etc. (c) A machine or mechanistic model because it sees an organisation as performing routine functions all the time (like a machine) within the same structural framework and following the same unchanging organisational procedures. The contributors of the classical-mechanistic school of thought: Fredrick w. Taylor – Propounded Scientific Management Henri Fayol – 14 Principles of Management Max weber – Proprietor of Bureaucracy Lyndal Urwick Frank and Lilian Gilbreth Herrington Emerson 3 BUREAUCRACY PROPOUNDED BY MAX WEBER Learning Objectives: What is Bureaucracy Reason for Bureaucracy Characteristics of Bureaucracy Advantages of Bureaucracy Disadvantages or Shortcomings of Bureaucracy WHAT IS BUREAUCRACY The classical writings on bureaucracy came from Karl Marx, Max Weber, Robert Michels and Gaetano Mosca. However, the systematic study of bureaucracy began with Max Weber, the German sociologist. As stated by Mohit Bhattacharya, "The concept of bureaucracy does not occupy a central position in Mark‘s thought. According to Marx, bureaucracy is like the state and an instrument by which the dominant class dominates other social classes. According to this logic, bureaucracy's interests are closely linked to those of the dominant class and the state." Max Weber defined bureaucracy as the administrative system organised rationally, logically, impersonally, and according to official rules to exercise imperative control over human beings. Scientifically, Bureaucracy denotes an integrated hierarchy of specialized offices defined before systematic rules. It is an impersonal, routine structure where legitimized authority rests in the office and not in the person of the incumbent. This administrative pattern believes in the legality of normative rule patterns and the rights that those elevated to authority under such rules represent. REASON FOR BUREAUCRACY 4 The following factors gave rise to bureaucratic processes in modern organizations. i. Size: Bureaucratic characteristics exist largely in large institutions and complex organizations, whose size has grown so big that the whole activity has become complex and cumbersome. It is a well-known fact that there is a direct relationship between the size of an organization and its bureaucratic tendencies. The bigger and larger the establishment, the more its tendency towards departmentation, division of work, rigidity, and impartiality are necessary features of bureaucracy. ii. Complexity: The complexity of the modern state and the numerous services needed to meet people's needs called for an expert administration that could handle these diverse services simultaneously. Therefore, the public administration should use the bureaucratic principle to run effectively and maximize resource utilization. iii. Environmental Changes: The world is dynamic, and the ever-growing changes in needs call for the use of bureaucratic processes to achieve efficiency in a modern organization. iv. Technology: - Modern science and technology can influence an organization to employ and establish bureaucratic procedures. The need for effective means of realization of goals propagated by modern science and the introduction of machines and computers, calls for the establishment of calculative precision i.e. rationality which is an essential element of the bureaucracy. So modern public administration should employ the bureaucratic principle to meet the challenges of modern science and technological advancement. v. Strategy: Better skills in managing the organizational objectives characterised the establishment of a bureaucratic procedure for the organization. So bureaucracy can evolve from the organizational plans and the need to accomplish the organizational objectives. CHARACTERISTICS OF BUREAUCRACY 5 (i) Officials are organized in a clearly defined hierarchy of positions from top to down meaning that each lower office is under the control of a higher office. (ii) Each official has a clearly defined sphere of authority and clearly define responsibilities, duties and roles. (iii) Officials are personally free (i.e) they are accountable only for things done in their official capacities. (iv) Officials are remunerated with money either wages or salary and other entitlements which are graded according to rank in the hierarchy. (v) There’s a clear career structure with promotions carried out according to seniority, experience, achievements, or both (vi) Officials enjoy the security of office because there’s no arbitrary removal of office (vii) The job of an official is his/her primary and if possible, his/her sole occupation. (viii) Officials have no right of ownership to any part of the organisation by the means of administration. (ix) All officials are subject to a strict and unified or and unified system of discipline and control based on the established rule. (x) Everyone obeys orders of superior officers not because of the influence of the individual priority but because of the hierarchal and superior nature of the office (xi) All official activities and transactions are recorded in writing and filed in a central office for future reference. (xii) Official business or activities is carried out in an impersonal and emotionally detached manner without hatred or passion and affection or enthusiastic 6 (xiii) There’s a system of division of labour and specialization with every official working as a specialist within an organization. (xiv) The home is separated from the office or place of work. ADVANTAGES OF BUREAUCRACY It eliminates discrimination and favouritism since the duties are performed according to the laid down rules. Formal specialisation is encouraged, therefore increasing productivity and efficiency It enhances precision, clarity and order in the official transactions, thereby minimising conflicts and friction since the rules procedures and roles are clearly defined and applied. It promotes organisational stability, uniformity, and continuity of operation and interrupts the performance of various organisational activities regardless of personnel changes. Only the most qualified personnel are employed and promoted, therefore enhancing fairness, professionalism, and organisational efficiency It facilitates effective activity coordination through the hierarchy of authority and the unified system of discipline, control, and standardised procedures. It minimises the effect of human unpredictability DISADVANTAGES/SHORTCOMINGS OF BUREAUCRACY The defects or dysfunctional consequences of bureaucracy are as follows:- (i)It may discourage personal initiative because it emphasises strict conformity to standard rules and procedures. (ii)It e n c o u r a g e s organisational inflexibility. Bureaucracy is not adaptive to changes and new tasks because of its rigid structure, standardised rules, procedures and role differentiation. 7 It sees innovation and change as pathological and disturbing to an otherwise ordered system. (iii)It slows down the pace of work because officials tend to develop an exaggerated concern with routines and regulations at the expense of the goals they are meant to help achieve. iv) Because of a rigid differentiation of work into specialised roles, each department tends to plough its furrow. Departmental goals may become ends in themselves rather than a means to the organisation's Overall goal. The corporate objectives of the organisation may be displaced eventually. (v) Administration cost is increased because of excessive paperwork form filling and documentation of affairs. (vi) It breeds anxiety, insecurity and tension in employees. It removes their liberty because they are eager to be seen as conforming to existing procedures and policies rather than as doing things that are good in their own eyes. (vii) It c a u s e s trained incapacity. The d e m a n d for predictability, reliability, conformity, e t c. , produces a general rigidity of behaviour in employees. (viii)It causes self-perpetuation and empire-building. Officials tend to adopt a sit-tight attitude in positions, thus turning themselves into immovable tin gods. The attribute of bureaucracy that produces this is the security of office tenure. (ix) Relationships, both internally and externally, are depersonalized. 8

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