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1.1 CLASSICAL MANAGEMENT

The classical management era is characterized as a time period in which traditional

ways of managing were challenged, the management process was made
systematic and scientific, and the principles of management were propagated.

Classical management approaches share one common assumption: that people

at work act in a rational manner that is primarily driven by economic concerns.
Management studies under this period recognize that workers will only work to
achieve the greatest personal and monetary gain for themselves.

Classical management involves four sub-approaches: (1) SCIENTIFIC MANAGEMENT

(2) ADMINISTRATIVE MANAGEMENT (3) BUREAUCRATIC ORGANIZATION, and the
(4)INFORMAL ORGANIZATION.

SCIENTIFIC MANAGEMENT

FREDERICK WINSLOW TAYLOR is regarded as the founder and “Father of scientific

management”. He was the first to recognize and emphasize the need for adopting a
scientific approach to the task of managing an enterprise by diagnosing the
causes of low efficiency in industry and came to the conclusion that much of the
waste and inefficiency is due to lack of order and system in the methods of
management.

The focus of scientific management was the application of scientific methods to

increase individual workers’ productivity. It emphasizes careful selection and training
of workers as well as supervisory support. Scientific management proposed that”
there is one best to do the job” and emphasized the principle of specialization
which recognized that people will work more efficiently as tasks become better
defined.

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TIME AND MOTION STUDIES

FRANK AND LILLIAN GILBRETH. They were interested in wasted motions in work and
made pioneering effort in the field of motion study and laid the entire foundation of
modern applications of job simplification, meaningful work standards, and incentive
wage plans. GILBRETH is regarded as the “father of motion study” and is
responsible for inculcating in the minds of managers the questioning frame of
mind and the search for a better way of doing things.

Motion study refers to the science of reducing a job or task to its basic physical
motions. It crafted the idea that “eliminating wasted motions improves performance
at work.”

ADMINISTRATIVE MANAGEMENT THEORY

HENRY FAYOL was the contributor of this theory. He is considered as the “father of
the modern theory of general and industrial management”. Fayol believed that
“people work in a clear unity of direction” and that efficiency will increase when a
person’s work is planned and directed by a supervisor. He also believed that
“management can be taught” and formulated principles to guide general
management practice. According to him, effective management is based on the
fourteen principles as follows:
✓ Division of Work
✓ Authority and responsibility
✓ Discipline
✓ Unity of command
✓ Unity of direction
✓ Subordination of individual interests to the general interest
✓ Remuneration
✓ Centralization
✓ Scalar Chain
✓ Order
✓ Equity
✓ Stability of Tenure
✓ Initiative
✓ Esprit de corps

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BUREAUCRATIC MODEL

MAX WEBER, viewed bureaucracy as an ideal, intentionally rational and very efficient
form of organization founded on principles of logic, order, and legitimate authority. It
recognizes that “people work in a clear hierarchy of authority with higher levels
directing and controlling lower levels”. He emphasized a structured, formal network
of relationships among specialized positions in an organizations. Rules and
regulations standardized behaviour, and authority resides in positions rather than in
individuals.

Bureaucratic organization is “the exercise of control on the basis of knowledge”, it

aims not to protect the authority, but to achieve the organizational goals in the most
efficient manner
The characteristics of bureaucracy are as follows:
1. Division of labor
2. Hierarchy and authority
3. Formal rules and procedures
4. Impersonality
5. Meritocracy

THE INFORMAL ORGANIZATION

CHESTER BARNARD introduced the idea of the informal organization—called as

cliques- which are exclusive groups of people that naturally form within an
organization. He is also credited with developing the acceptance theory of
management, which emphasizes the willingness of employees to accept that
managers have legitimate authority to act.

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1.2 BEHAVIORAL MANAGEMENT

The behavioural management era emphasized improving management through the

psychological makeup of people. It is referred to as the human relations approach
because it focuses on making optimum use of workers in a positive way. It gave greater
emphasis to individual and group relationships in the workplace and share one common
assumption: people are social and self-actualizing. People at work are assumed to seek
satisfying social relationships, respond to group pressures, and search for personal
fulfilment.

ORGANIZATIONS AS COMMUNITIES BEHAVIORAL MANGEMENT

THEORY X AND
THEORY Y

THEORY OF HUMAN
HAWTHORNE NEEDS
STUDIES THEORY OF ADULT PERSONALITY

Figure 2.1 Major Theories of Behavioral management

Behavioral theories share three common elements:

1. The individual. BM emphasizes that every person is unique and that individual
differences must be organized.
2. Work groups. Workers are not isolated. They are social beings and should be
treated as such by management.
3. Participative management. Management should welcome worker
participation in the organization.

ORGANIZATIONS AS COMMUNITIES

MARY PARKER FOLLET viewed organizations as “communities” in which managers and workers
should work in harmony without one party dominating the other, and with the freedom to talk
over and truly reconcile conflicts and differences.
She believed in the concept of groups and human cooperation in the organization and
stated that:
 Groups are mechanisms through which individuals can combine their
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`````` ``````` ``` ```` ``` ``````` `` ````` ``` ` talents for a greater good.
 Organizations are cooperating communities of managers and workers.
 A manager’s job is to help people in the organization cooperate and achieve an
integration of interests.
 Making every employee an owner in a business would create feelings of collective
responsibility.
 Businesses are service organizations and private profits should always be considered vis-à-
vis the public good.

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HAWTHORNE STUDIES

In 1972, a group of researchers led by ELTON MAYO of the Harvard Business School
were invited to join in the studies at the Hawthorne Works of Western Electric
Company, Chicago. The “Hawthorne Experiments” consist of four parts:
1) Illumination experiment
2) Relay assembly test room experiment
3) Interviewing program and;
4) Bank wiring test room experiment
These experiments brought out that the productivity of the employees is noit
dependent only on the physical conditions of work and money wages paid to
them. Rather, the productivity of employees depends heavily upon the
satisfaction of the employees in their work situation as well as emotional factors
influencing employees’ behaviour such as workers’ participation in social groups.
The Hawthorne studies recognized that certain “psychological factors” influence
the results of the productivity of workers.

MASLOW’S THEORY OF HUMAN NEEDS

ABRAHAM MASLOW was an American clinical psychologist and psychology professor

who proposed a theory of psychological health predicated on fulfilling human
needs in priority and also developed a comprehensive view of human motivation.

Maslow’s hierarchy of human needs arranges human needs according to five levels,
with basic physiological needs at the bottom and self-actualization needs at the top.
This theory is based on two underlying principles.
1. Deficit principle. This indicates that a satisfied need is no longer a motivator of
behaviour.
2. Progression principle. Human needs exist in hierarchy. Lower-order needs
must be satisfied first before higher-order needs are activated.

Fig. 2.2 Maslow’s hierarchy of human need

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THEORY X AND THEORY Y

DOUGLAS MCGREGOR contributed much to the development of management and

motivational theory and is best known for his Theory X and Theory Y. He advanced
the idea that managers should give more attention to the social and self-
actualizing needs of people at work and proposed that managers’ individual
assumptions about human nature and behaviour determine how they manage their
employees.

Theory X assumes that workers:

 Dislike work
 Are irresponsible
 Lack ambition
 Resist change
 Prefer to be led

Theory Y assumes that workers are:

 Willing to work
 Capable of self-control
 Willing to accept responsibility
 Imaginative and creative
 Capable of self-direction

Some implications of theory X and Y are as follows:

Theory X managers create situations where workers become dependent and
reluctant.

Theory Y managers create situations where workers respond with initiative

and high performance.

The challenge is for managers to shift from having a theory X mindset to a

theory Y mindset.

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THEORY OF ADULT PERSONALITY

CHRIS ARGYRIS proposed the theory and asserted that some classical management
principles such as task specialization, hierarchy of authority, and unity of
direction inhibit worker maturation by discouraging independence, initiative, and
self- actualization. Thus, these classical management principles are inconsistent with
the mature adult personality.

Argyris advised to expand job responsibilities, allow more task variety, and adjust
supervisory styles to allow more participation and promote better human relations.
He also believed that the common problem of employees absenteeism, turnover,
apathy, alienation, and low morale mat be signs of mismatch between
management practices and mature adult personalities.

1.3 MODERN MANAGEMENT

Modern Management considers the organizations as an adaptive that has to

adjust to changes in the environment. It views the organization as a system and
defines it as a structured process in which individuals interact for attaining
objectives.

A SYSTEM is a set of interconnected and interrelated elements or component

parts to achieve certain goals.

Fig. 2.3 System approach to management

The following are the characteristics of modern management:

1. Management is viewed as a system composed of five basic parts:
 Input
 Process
 Output
 Feedback
 Environment
2. It is a dynamic process of interaction occurring within the structure of
an organization.
3. It is multilevel and multidimensional.
4. It is multi-motivated.
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5. It is multidisciplinary.
6. It is multivariable.
7. It is adaptive and continuously adjusts to changing conditions.
8. It is probabilistic

Some of the contemporary approaches to management in this modern age are:

 Contingency Thinking- no one best way to do the job
 Total Quality Management (TQM) – commitment to quality and performance
 Management Science or Operations Management- includes mathematical
forecasting, inventory modelling, linear programming, and network models
 International Organization for Standardization or ISO Certification

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LESSON 3
MANAGERIAL ROLES

WHAT’S IN

To fully understand the job of a manager, it is important to

examine the various roles managers play in an organization.

WHAT IS IT?

ROLE- is defined as an expected set of activities of behaviors

stemming from a job. HENRY MINTZBERG pioneered studies on the
identification of managerial roles. There were 10 initially identified
managerial roles divided into three categories:

1. Interpersonal roles- involve interactions with persons inside and

outside of the work unit.
2. Informational roles- involve giving, receiving, and analyzing
of information.
3. Decisional roles- involve using information to make decisions to
solve problems or address opportunities.

Fig. 2.4 Minzberg’s 10 managerial roles

3.1 MANAGERIAL SKILLS

To be effective, managers must possess certain essential skills to carry out their
functions well.

A SKILL is an ability coming from someone’s knowledge, practice and aptitude to do

something well, as well as to translate that something into action that results in
desired performance.

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A TALENT is a specific natural ability or aptitude. It is a power of mind and body

considered as given to a person.

How then is a skill different from talent? We can say that a skill can be learned,
whereas a talent is honed.

Managers need to master three essential skills to perform their functions effectively:
1) Technical skills, 2) human and interpersonal skill, 3) concept and analytical skills.

TECHNICAL SKILLS refer to the ability to apply a special proficiency or expertise

to perform particular tasks. It involves an understanding of and proficiency in a
specific activity that involves methods, processes, procedures, or techniques.

INTERPERSONAL SKILLS also called “human skills”, refer to the ability to work well in
cooperation with others. Studies in organizational behaviour state that interpersonal
skills are more important than the technical skills in getting to the top and providing
leadership to people.

CONCEPTUAL AND ANALYTICAL SKILLS refer to the ability to think critically and
analytically to solve complex problems. It also refers to the ability to “simplify”
technical information and make it more understandable to others. It also
includes being able to see the organization as a total entity and visualize the
relationship of the individual business to the industry.

Fig. 2.5 Wavelength of managerial skills

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Fig. 2.5 Wavelength of managerial skills

WHAT’S MORE?

ACTIVITY 3.2
ESSAY REFLECTION
MY IDEAL MANAGER

INSTRUCTIONS: Write a short 100 word essay describing your idea of

an ideal manager.

In writing your essay, make sure you address the following questions:
 What personal attributes should an ideal manager have?
 What skills should an ideal manager possess?
 How should an ideal manager deal with his subordinates?

Rubric
Points Remarks Description
5 Excellent Extremely developed the content and learners demonstrate complete
understanding of what should be done.
4 Very Good The work is of high quality and is presented very well
3 Good The work is developed satisfactorily and the learners complied with
basic requirements of what should be done and the idea is acceptable.
2 Fair The work is below acceptable average and the concept of work done
is confused or vague
1 Poor Almost none of the basic requirements done properly. The writing is
disorganized and very difficult to understand.

ASSESSMENT
Multiple-choice
Directions: Choose the letter corresponding to the correct answer for
each of the questions provided below.

1. Management studies under this period recognize that workers

will only work to achieve the greatest personal and monetary gain for themselves.
a. Behavioral management
b. Modern management
c. Classical management
d. Human relations management
2. Regarded as the “father of motion study” and is responsible for inculcating
in the minds of managers the questioning frame of mind and the search for a better
way of doing things
a. Frederick Taylor
b. Frank and Lillian Gilbreth
c. Max Weber
d. Douglas McGregor
3. He is considered as the “father of the modern theory of general and

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industrial management”.
a. Chester Barnard

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b. Abraham Maslow
c. Mary Follet
d. Henry Fayol
4. It is “the exercise of control on the basis of knowledge”, it aims not to protect
the authority, but to achieve the organizational goals in the most efficient manner,
a. Bureaucratic management
b. Administrative management
c. Scientific management
d. Informal organization
5. He introduced the idea of the informal organization—called as cliques-
which are exclusive groups of people that naturally form within an organization.
a. Chester Barnard
b. Abraham Maslow
c. Mary Follet
d. Henry Fayol
6. He advised to expand job responsibilities, allow more task variety,
and adjust supervisory styles to allow more participation and promote better
human relations.
a. Abraham Maslow
b. Chris Argyris
c. Max Weber
d. Frederick Taylor
7. It involve interactions with persons inside and outside of the work unit.
a. Role
b. Interpersonal role
c. Informational role
d. Decisional role
8. T involve giving, receiving, and analyzing of information.
a. Role
b. Interpersonal role
c. Informational role
d. Decisional role
9. He advanced the idea that managers should give more attention to the
social and self-actualizing needs of people at work and proposed that
managers’ individual assumptions about human nature and behaviour determine
how they manage their employees.
a. Frederick Taylor
b. Frank and Lillian Gilbreth
c. Max Weber
d. Douglas McGregor
10. The ability to work well in cooperation with others.
a. Technical skills
b. Interpersonal skills
c. Conceptual and analytical skills
d. skills

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TRACE BACK:
Enumerate the school of thoughts under the following era and write down the
contribution of each management theories.

CLASSICAL MANAGEMENET
1.

2.

3.

4.

BEHAVIORAL MANAGEMENT
1.

2.

3.

4.

5.

MODERN MANAGEMENT
APPROACH 1.

2.

3.

4.

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