C. Theories of Management Sheryl Vicente

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Stud: Sheryl A.

Vicente

Prof.: Dr. Teresita Diaz

Subj. : Educ. 304 - Educational Management

Time: Sat. 12:00 -3:00 pm

Topic: Management Theories

SUMMARY:

Management theories are the set of general rules that guide the managers to manage an
organization. Theories are an explanation to assist employees to effectively relate to the
business goals and implement effective means to achieve the same.

General Management Theories:

There are four general management theories.

1. Frederick Taylor – Theory of Scientific Management.

2. Henri Fayol – Administrative Management Theory.

1. Frederick Taylor’s Theory of Scientific Management:

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.

Taylor's Differential Piece Rate Plan:

If Efficiency is greater than the defined Standard then workers should be paid 120 % of Normal
Piece Rate.

If Efficiency is less than standard then workers should be paid 80% of Normal Piece Rate.

Principles of Scientific Management.

Four Principles of Scientific Management are:

1.Time and motion study: - Study the way jobs are performed and find new ways to do them.

2.Teach, train and develop the workman with improved methods of doing work. Codify the new
methods into rules.

3.Interest of employer & employees should be fully harmonized so as to secure mutually


understanding relations between them.
4.Establish fair levels of performance and pay a premium for higher performance.

2. Henri Fayol’s Administrative Management Theory:

Henri Fayol known as the Father of Management laid down the 14 principles of Management.-

1.Division of Work 8.Stability of Tenure


2.Equity 9.Remuneration
3.Discipline 10.Unity of Direction
4.Initiative 11.Centralization
5.Authority and Responsibility 12.Scalar Chain
6.Esprit De Corps 14.Unity of Command
7.Subordination of Individual
Interest to General Interest

Six responsibilities when it came to managing employees

Miner and engineer Henri Fayol (1841-1925) developed his principles of


administrative management as a top-down approach to examining a business. He put himself in
his manager’s shoes and imagined what situations they might encounter when dealing with their
team.
From this, he concluded that his managers — and indeed management in general — had six
responsibilities when it came to managing employees:

1. Organize
2. Command
3. Control
4. Coordinate
5. Plan
6. Forecast

References:

https://www.technofunc.com/index.php/domain-knowledge/item/management-theories

https://courses.lumenlearning.com/wmopen-humanresourcesmgmt/chapter/administrative-
management-theories/

http://www.technofunc.com/index.php/leadership-skills-2/leadership-a-
management/item/management-theories

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