The classical theories of organization were devoted mainly to the superior’s authority, objectives, rules, and economic activities.
Explanation:
Classical theories of organization are based on traditional thinking. These theories were first propounded at the beginning of the 19th century and incorporated original and initial ideas of management. The classical theories of organization were devoted mainly to the superior’s authority, objectives, rules, and economic activities.
The scientific management theory was created by F.W. Taylor and counted with the inputs by Frank and Lillian Gilbreth, Henry L. Gantt and Emerson. Taylor postulated that management was chaotic and inefficient at the time. Therefore tried to find out the basic principles of management by using time and work-study, detailed analysis, investigation and planning of work allocation. It is known as scientific management because systematized knowledge is used for work allocation and assignment of specific jobs. The salary, wages, etc. are to be decided as per the work performance of individuals.
The main features of scientific management are:
Scientific Selection of Personnel: Selecting suitable persons for the job. People have different capacities and attitudes and therefore are selected for the job best suited to them.
Incentives: Workers are inspired to perform the job if they are paid according to their contributions.
Functional Foremanship: The supervisor has functional authority. He guides and directs the way of performing the job.
Specialization: It points out the managerial and non-managerial functions.
Coordination: The management should organize the activities in such a way that it can perform its activities effectively. Coordination between workers and managers as well as amongst themselves is essential.
Economic Performance: Workers are considered economic beings. They utilize physical resources in the best manner possible in order to get maximum production out of human and physical resources.
Work Order: Workers perform their jobs in a systematic order. This helps workers achieve maximum utilization of the capacities and resources available to them.
The administrative management was created by Henry Fayol, wherein technical, commercial, financial security, accounting, and managerial activities are well-defined.
Fayol has given the following principles of management:
Authority and responsibility: Subordinates will have to follow the orders of the supervisors who take on the responsibility of getting things done through the subordinates.
Division of work: The whole process is divided into small fragments which are performed by specialized persons.
Discipline: Obedience and the following of rules and regulations are considered discipline.
Unity of order: The employees are directed towards a single objective.
Scalar chain: The superior subordinates are in a single vertical order. The top management controls middle management who commands the lower management.
Centralization: Centralization of power is preferred, but it does not have much scope for complete centralized power.
Order: People and materials are available at the right place at the right time. They are put on the jobs most suited to them.
Proper remuneration system: The employees are issued proper remuneration according to their contribution to the work.
Equity and fairness: There is enough scope for equity and fairness. Employees are given justice and kind treatment. The employees are assured of continuity of jobs and promotions.
Team work: The spirit de corps is exercised for getting the objectives fulfilled efficiently and effectively.
In both theories, human resources are seeing as a means to an end. They are only motivated by pay, they are economic beings. In scientific management, human resources are machines that have to perform in a certain way and need to achieve specific performances based on time and standard work. Administrative management rests on division of work, fairness, and equity, as long as you produce to standard and respect authority.
In today's world, there are still some ideas being used in management. The principle of the scalar chain and unity of order still prevails. Motivation circles around economic payment.
