Classical theory ppt

Classical theory ppt

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  Presented By- SOHAN MSW 4thSEM. Institute of Social Sciences Dr. Bhimrao Ambedkar University, Agra Classical Theory of Organizational Behavior
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  Content  Introduction  Typesof Organizational theory  Classical Organizational Theory  6 Pillars of Classical Theory  Criticisum of the classical theory  Approaches of classical theory  Conclusion  References
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  Introduction  There aredifferent theories of organization to predict and explain the process and also behavior patterns in an organizational setting.  There are three different types of organizational theory: Classical Organization Theory, Neo-Classical Organizational Theory, and Modern Organizational Theory.
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  Types of OrganizationalTheory  Classical Organization Theory,  Neo-Classical Organizational Theory, and  Modern Organizational Theory.
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  Classical Organizational Theory As the first step towards a systematic study of organizations, the Classical Organizational Theory is very important.  It primarily deals with the anatomy of formal organizations and also views one as a machine and the employees as parts of the machine.  Therefore, in order to increase the efficiency of the organization, each employee working in it must become efficient.
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  6 Pillars ofClassical Theory The main pillars or elements of the Classical theory are as follows:  Division of Labor – In order to obtain a clear specialization in order to improve the performance of individual workers, the organization must divide work.  Departmentalization – The organization must group var ious activities and jobs into departments. This allows it to minimize costs and also facilitate administrative control.  Coordination – The organization must ensure harmony among diverse functions. This allows it to arrange the group effort in an orderly manner which provides unity of action while pursuing a common purpose.
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   Scalar andFunctional Processes – A scalar chain is th e series of superior-subordinate relationships from the to p to the bottom in an organization. It facilitates the delega tion of authority or command, communication or feedbac k, and also remedial action or decision.  Structure – Structure is the logical relationship of functio ns in an organization. Further, these functions are arrang ed for effective objective accomplishment.  Span of Control – This is the number of subordinates th at a manager can effectively supervise.
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  Criticisms of theClassical Theory  It takes a rigid as well as a static view of organizations.  Most classical theorists view an organization as a closed system with no interaction with its environment.  The theory focuses more on the structural and also the technical aspects of organizations.  It is based on oversimplified and mechanistic assumption s.  In simple terms, the focus of the Classical Theory is on an organization without people. Therefore, many experts consider it inadequate in dealing with the complexities of an organization’s structure and functioning.
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  Approaches of Classicaltheory  Classical organization theories (Taylor, 1947; Weber, 194 7; Fayol, 1949) deal with the formal organization and con cepts to increase management efficiency.  Taylor presented scientific management concepts, Weber gave the bureaucratic approach, and Fayol developed th e administrative theory of the organization.  They all contributed significantly to the development of cl assical organization theory.
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  Taylor's scientific management approach Thescientific management approach developed by Taylor is based on the concept of planning of work to achieve efficiency, standardization, specialization and simplification. Acknowledging that the approach to increased productivity w as through mutual trust between management and workers, Taylor suggested that, to increase this level of trust.  the advantages of productivity improvement should go to workers,  physical stress and anxiety should be eliminated as much as possible,  capabilities of workers should be developed through training,
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  Taylor developed thefollowing four principles of scientific m anagement for improving productivity:  Science, not rule-of-thumb Old rules-of-thumb should be supplanted by a scientific approach to each element of a person's work.  Scientific selection of the worker Organizational member s should be selected based on some analysis, and then trained, taught and developed.  Management and labour cooperation rather than conflict Management should collaborate with all organizational members so that all work can be done in conformity with the scientific principles developed.  Scientific training of the worker Workers should be trained by experts, using scientific methods.
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  Weber's bureaucratic approach Consideringthe organization as a segment of broader society, Weber (1947) based the concept of the formal organization on the following principles:  Structure In the organization, positions should be arranged in a hierarchy, each with a particular, established amount of responsibility and authority.  Specialization Tasks should be distinguished on a functional basis, and then separated according to specialization, each having a separate chain of command.  Predictability and stability The organization should opera te according to a system of procedures consisting of formal rules and regulations.
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   Rationality Recruitmentand selection of personnel should be impartial.  Democracy Responsibility and authority should be recognized by designations and not by persons.  Weber's theory is infirm on account of dysfunctions (Hick s and Gullett, 1975) such as rigidity, impersonality, displa cement of objectives, limitation of categorization, self-per petuation and empire building, cost of controls, and anxi ety to improve status.
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  Administrative theory The elementsof administrative theory (Fayol, 1949) relate t o accomplishment of tasks, and include principles of manag ement, the concept of line and staff, committees and functio ns of management.  Division of work or specialization This increases producti vity in both technical and managerial work.  Authority and responsibility These are imperative for an organizational member to accomplish the organizational objectives.  Discipline Members of the organization should honour th e objectives of the organization. They should also compl y with the rules and regulations of the organization.
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   Unity ofcommand This means taking orders from and b eing responsible to only one superior.  Unity of direction Members of the organization should joi ntly work toward the same goals.  Subordination of individual interest to general interest Th e interest of the organization should not become subserv ient to individual interests or the interest of a group of e mployees.  Remuneration of personnel This can be based on divers e factors such as time, job, piece rates, bonuses, profit-s haring or non-financial rewards.  Centralization Management should use an appropriate bl end of both centralization and de-centralization of author ity and decision making.
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   Scalar chainIf two members who are on the same level of hierarchy have to work together to accomplish a proje ct, they need not follow the hierarchy level, but can inter act with each other on a 'gang plank' if acceptable to the higher officials.  Order The organization has a place for everything and e veryone who ought to be so engaged.  Equity Fairness, justice and equity should prevail in the organization.  Stability of tenure of personnel Job security improves pe rformance. An employee requires some time to get used to new work and do it well.  Initiative This should be encouraged and stimulated.  Esprit de corps Pride, allegiance and a sense of belongi ng are essential for good performance. Union is strength
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  References  http://andrewmckay.yolasite.com/resources/14%20Princ iples%20of%20Management.pdf  http://www.sliodeshare.net/mobile/sintokada/henri-fayol- 14-principles