REVIEW AND

OVERVIEW OF BASIC
PRINCIPLES/THEORIES
• CLASSICAL ORGANIZATION THEORY

•NEOCLASSICAL THEORY

•MODERN THEORY
• Scientific Management Approach

•Bureaucratic Approach

•Administrative Theory
Taylor developed the following four principles of
scientific management for improving productivity:
• Science, not rule-of-thumb
• Scientific selection of the worker
• Management and labor cooperation rather than
conflict
• Scientific training of the worker
Considering the organization as a segment of
broader society, Weber (1947) based the concept
of the formal organization on the following
principles:
• Structure
• Specialization
• Predictability and stability
• Rationality
• Democracy
The elements of administrative theory:
1. Division of work or specialization
2. Authority and responsibility
3. Discipline
4. Unity of command
5. Unity of direction
6. Subordination of individual interest to general interest
7. Remuneration of personnel
8. Centralization
9. Scalar chain
10. Order
11. Equity
12. Stability of tenure of personnel
13. Initiative
14. Esprit de corps Pride, allegiance and a sense of belonging are
essential for good performance
15. The concept of line and staff
16. Committees
Principles of the neoclassical theory:

•The individual

•The work group

•Participative management
Modern understandings of the organization can be
broadly classified into:

•The systems approach

•socio-technical theory

•contingency or situational approach