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Theoretical Approaches To Management

The main theoretical approaches to management include scientific management theory, classical theory, bureaucratic theory, and human relations theory. Each theory proposes a different way of organizing based on factors such as the measurement of individual performance, the distribution of functions and roles, formal rules, or employee well-being.
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0% found this document useful (0 votes)
11 views7 pages

Theoretical Approaches To Management

The main theoretical approaches to management include scientific management theory, classical theory, bureaucratic theory, and human relations theory. Each theory proposes a different way of organizing based on factors such as the measurement of individual performance, the distribution of functions and roles, formal rules, or employee well-being.
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MAIN THEORETICAL APPROACHES TO MANAGEMENT

The main theoretical approaches to management have emerged as a result of the social context.
in which one lives, which is why both economic factors were taken into account for its formulation,
social, technological, and cultural in search of an application suitable for the moment.

The theoretical approaches to management are conceived according to how human beings have
I give answers to the events that occurred at certain moments in history.

In that sense, it can be said that they arise as a consequence of social needs.
and economic changes, produced by the rapid technological development that occurred in the early 20th century.
as a consequence of the industrial revolution, since it raised productivity and
competitiveness, which had an impact not only on the economy but also on society.

Currently, there are various theoretical approaches to management, among which are
they find: the scientific theory of management, the classical theory of management, the theory of
human relationships, the scientific theory of behavior, the systems theory, the theory
bureaucratic, among others.

For the case, the main seven (07) schools of thought will be taken into account.
administration, as these are the most representative and those that contribute significantly to the
objectives of the subject.

MAIN THEORETICAL APPROACHES TO MANAGEMENT

1. The scientific theory of management (Town, Taylor, 1900)

The theory of scientific management emerged in the late 19th century with the aim of making...
management is a discipline based both on experience and on principles.

A rational method was developed to solve the problems present within a


company, focusing on job design, employee performance, and the scientific method.

This approach emphasized only the economic aspect by focusing on productivity and the
competitiveness, motivated the development of the worker but only in economic matters, since
he thinks that he only works for money, leaving aside other needs of the worker already
that did not take job satisfaction into account.

The scientific theory of management had Frederick Taylor as its main proponent, who
it specified that the increase in productivity was achieved with greater efficiency in production
and the application of the scientific method.

According to its postulates, productivity depends on the effectiveness and efficiency of performance.
individual and organizational.

Effectiveness is about achieving objectives and efficiency is about obtaining them with the least amount of resources.
resources.

1
Taylor wrote two fundamental works: Shop Management, and his work
more commonly known: Principles of Scientific Management. In them
he suggested a work system based on four principles:

a. Development of a science of measurement of people's work, which replaced the old ones.
empirical practices.
b. A process of scientific selection, training, and development of workers that would replace
to the old schemes with which workers trained themselves as best as
could

c. A cooperative effort by the workers to ensure that all the work was carried out in accordance
to the principles of scientific management.

d. The idea that work and responsibility are shared by both management and
the worker.

Based on the application of these principles and on their time and motion studies, oriented
to create 'the best work method,' Taylor proposed that once fair standards were established
Performance incentives will be given to workers who made additional efforts.

The ideas of this author later had enormous success and were extensively applied. The summary
the postulate of this theory is: the best form of organization is the one that allows measuring effort
individual.

The summary of the postulate of this theory is: the best form of organization is the one that allows
measure the individual effort.

2. The classical theory of management – Functional Theory (Fayol, 1916)

During the 1930s, coinciding with the global crisis that erupted in 1929, it appeared in Europe,
more specifically in France, a thinker named Henry Fayol, who would transform thinking
administrative with the idea that every organization was based on five basic functions:
security, production, accounting, marketing, and administration, in addition to fourteen principles
that should be observed to operate efficiently.

Although during this time the creation of large companies in the United States began, society
it was still basically agrarian, and therefore the dominant economy was one of self-consumption, and the
family-type small organizations were the most common.

The dominant organizational structures emphasized centralism, division of labor and the
importance of distinguishing between administrative tasks and operational tasks.

The application of scientific management principles, although it contributed to the generation of


wealth and promoted efficiency in organizations, was taken to the extreme and motivated the alliance of the
workers and the emergence of the first unions.

The classical theory of management, also called 'traditional/functional theory', focuses on


in identifying administrative functions and in establishing administrative principles.

2
It specifies that the functions and principles are universal, while establishing that the
The principles of management are intangible and affect administrative behavior.

This theory aims to increase the efficiency of the organization through its structure, through the way
and the arrangement of the organs that make it up and their structural interrelations.

The main representative of the classical management theory was Henry Fayol, who established
the functions that should be carried out within any organization, which are:

1-Technical functions.

2-Financial functions.

3- Security functions.

4-Administrative functions.

5-Commercial Function.

6-Management Function.

Similarly, Henry Fayol established the following principles of management:

1-Division of labor.

2-Authority.

3-Discipline.

4-Unity of command.

5-Unit of address.

6-Subordination of individual interest to the general interest.

7-Payment of personnel.

8-Centralization.

9-Hierarchy.

10-Staff Stability

11- Initiative

12-Union of Personnel

Order 13.

14-Equity.

3
The summary of the postulate of this theory is: the best form of organization is based on a
distribution of functions, which are subdivided into subfunctions and procedures, which to their
they are often developed by one or more positions.

3. Bureaucratic theory (Weber, 1924)

In his work The Theory of Social and Economic Organization, Weber argues that the most effective way
The organization is similar to a machine. It is characterized by rules, controls, and hierarchies, and it is
driven by bureaucracy. This model is also known as rational-legal.

Weber's work characterized authority as charismatic, traditional, and rational-legal. The form
The organization that results from applying legal authority is nothing less than the organizational model.
bureaucratic, whose distinctive features are:

a. The relationships among group members are impersonal and governed by formal criteria.
Each person acts according to what their position demands and not based on friendship, the relationship.
familiar, the belonging to an ethnicity, religion, race - what is known in Latin America as
co-parenthood

b. The division of labor and specialization are requirements for effective functioning. Each position
It has defined its tasks, and the responsibilities of employees and managers are in accordance with them.
(Weber, 1924/1947).

The summary of the postulate of this theory is: the best form of organization is the one that has rules.
clear and rational, impersonal decisions and technical excellence in their employees and managers.

4. The theory of human relations (Mayo, 1920; Follett, Maslow, 1954; Herzberg, 1966;
McGregor, 1957

The human relations theory followed fundamental aspects of classical theory of the
administration and I added new elements.

This theory was developed over a long period of time, between 1920 and 1966. It started with the
Elton Mayo's experiments at the Western Electric company; he discovered unintentionally the
importance of informal groups while trying to apply Taylor's principles. The conclusion
of May about this apparent contradiction of the Taylorian principles was that the aspects
emotional aspects of work are more important than the physical ones, and that social participation of the
workers are a fundamental component of productivity. In historical terms
administrative, the experiments showed that there are social groups in organizations that
they have their own culture.

For her part, Mary Parker Follett focused on the need for participatory leadership and teamwork.
set in decision-making and problem-solving among managers and workers.
The task of a manager, according to Follett, is to discover the motivations of individuals and groups.

4
The works of Lewin and Maslow influenced the work of other great theorists in this field, such as
Rensis Likert, Douglas McGregor, Chris Argyris, and Frederik Herzberg, who were the first to apply
humanistic psychology to organizations.

Maslow specifies that organizations must adapt to the needs of individuals, since
The human factor is crucial for achieving the company's objectives. The needs
humans are structured in a hierarchy, where the top part includes ego needs
Self-actualization and the lower needs are related to survival.

Therefore, lower needs must be met in order to satisfy the


higher needs. In this way, Maslow proposes that organizations must ensure
to satisfy some needs first (salary needs) before satisfying another
follow me in hierarchy.

The summary of the postulate of this theory is: the best form of organization is the one that considers
and integrates the people who make it work

5. Theory of cooperative systems (Barnard, 1938)

Chester Barnard, in his famous The Functions of Executive, presented a new organizational theory.
who conceived organizations as cooperative systems, not as mechanical products of
engineers' designs of efficiency.

According to Barnard, to achieve objectives, people do not act alone, but relate to each other. The
organizations arise through the cooperation and participation of people. When the
organizations are small, as is the case with family businesses, the objectives align with
those of the people and therefore cooperation is assured. As organizations
they grow, the conflict appears.

To avoid conflict, incentives must be given, and the executive's task, therefore, is to promote the
participation. Barnard believes that a person must be effective in achieving the goals of the
company, and efficient to meet its own objectives.

The summary of the postulate of this theory is: the best form of organization is the one that ensures the
cooperation among its members, through fair treatment and benefits
reciprocal.

6. Theory of systems (Bertalanffy, Katz, Rosenzweig)

After the emergence of the human relations school, the works of were known in 1956.
German biologist Bertalanffy, creator of general systems theory.

This new approach is capable of producing valid principles for any scientific domain, tackling
the reductionist idea that the whole is nothing more than the sum of its parts.

5
From these ideas, two schools emerged in the field of management: the mathematical theory or
quantitative, which uses decision theory and operations research; and the theory itself
systems, applied to organizations.

This approach views the organization as a system made up of other subsystems that are
interrelated, taking into account both the internal aspect and the environment of the
organization.

The systems theory is characterized and defined as a system composed of its parts, which to
they in turn interact with each other, so the variations of one of its parts affect all the others,
not always in the same way and magnitude.

The Theory of systems has three fundamental premises:

Systems exist within systems.


2-Systems are open.

The functions of a system depend on its structure.

The theory of systems finds in the emerging computer science, cybernetics, robotics, and theory of
the information, tools that allow you to grow in these vast fields of knowledge.
The quantitative theory emerged after World War II, and several of its techniques are grouped together.
under operations research. Quantitative techniques are applied to management,
mainly in structured and programmable decisions. Operations research offers
a wide range of techniques for the most varied contexts: environments of certainty, of risk,
uncertain and hostile. The idea of applying these techniques is to optimize decisions, minimize
costs and/or maximize benefits.

The summary of the postulate of this theory is: the best form of organization is the one that coordinates.
harmonically the different subsystems that define the organizational system.

7. Decision Theory (March and Simon, 1961; March, 1965; Simon 1979 and 1984)

The initiator of this line of work was Herbert Simon, and the central idea of his proposal is that decision making
decision-making is the fundamental point of management. Therefore, the study of the process of
Decision is basic to explain the most important task of executives.

For this thinker, the most important task of a manager is to define the problem in order to make
the appropriate decisions. Simon emphasizes that in an organization, employees at all levels
make decisions.

The other way of classifying decisions, according to Simon, relates to programming.


Here, two types are distinguished: programmable and non-programmable decisions. The former can follow
established procedures and the second ones due to their complexity have no useful precedents.

There is a set of techniques that aim to optimize programmed solutions. The


unprogrammed decisions recognize intuition and experience as elements of decision-making,
although interactive models based on computer programs have recently appeared that
they even conduct simulations.

6
The summary of the postulate of this theory is: the best form of organization is the one that allows
that employees at all levels make decisions and collaborate in the fulfillment of the
objectives, according to their level of influence and authority.

REFERENCES

Administrative Management Theory School, retrieved on July 31, 2018, from kalyan-
city.blogspot.com

Administrative theory, retrieved on July 31, 2018, from encyclopedia.com

Administrative Management: Fayol's Principles, retrieved on July 31, 2018, from boundless.com

Henri Fayol's Principles of Management, retrieved on July 31, 2018, from com

Administrative Management Theory Definition, retrieved on July 31, 2018, from com

Administrative theory, retrieved on July 31, 2017, from slideshare.net.

Bueno E. (1996), Organization of companies: structure, processes, and models, Madrid: Pyramid.

González A. (1997), Notes on Areas of Organization and Management. Madrid: Engineering Group of the
Organization of the Polytechnic University of Madrid.

Organizations, Structure and Process

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