Businwss scaffold Q1
CLASSICAL APPROACH TO MANAGEMENT
it derives from the work of three men of different countries: American Taylor, the Frenchman Fayol, and the German Weber - working in the 19th and 20th centuries - with various theories occurring early in the 20th century.
there are three distinct streams of work which taken together are the classical approach.
Those three streams, which are actually thoughts directed to the role of different levels of management within the business are:
• classical scientific (Taylor)
• classical administrative (Fayol)
• classical bureaucratic (Weber).
Classical scientific (Taylor)
Classical Scientific Management Approach (Frederick Taylor)
Overview:
Developed by Frederick Winslow Taylor in the early 1900s during the Industrial Revolution.
Focuses on efficiency, productivity, and standardisation in the workplace.
Based on the belief that there is one best way to perform every job.
Aims to increase business output by scientifically studying each task and managing workers accordingly.
Workers are seen as parts of a machine, and their motivation is assumed to be monetary.
Key Principles of Taylor’s Scientific Management:Scientific Study of Tasks
Each job is analysed using time and motion studies to determine the most efficient way to complete it.
Replaces traditional “rule-of-thumb” or intuitive work methods with data-driven decisions.
Tasks are simplified and standardised for uniformity.
Example: Taylor studied shovel use in steelworks and reduced the number of types of shovels to just a few optimal sizes for efficiency.
Division of Labour and Specialisation
Jobs are broken down into small, precise components.
Workers are assigned to specific tasks, increasing speed and reducing errors.
This leads to high productivity but can cause monotony and lack of skill development.
Scientific Selection and Training of Workers
Workers are carefully selected based on their suitability for specific tasks.
Provided with intensive training to ensure they can carry out tasks the “scientific” way.
Emphasis on matching the right person to the right job.
Standardisation of Tools, Procedures, and Conditions
All work processes are standardised to ensure consistency across all employees.
Includes standard equipment, materials, and working conditions.
This reduces waste, lowers costs, and ensures quality.
Strict Supervision and Control
Managers closely monitor employee performance to ensure procedures are followed exactly.
Workers have little autonomy or involvement in decision-making.
Management uses incentives, often financial, to maintain performance.
Role of Management (Under Taylor’s Theory):
Plan, organise, and control – management handles all decision-making.
Separate the role of management from the role of workers.
Focus is on maximum efficiency, not worker satisfaction.
Managers are responsible for setting procedures and monitoring output.
Role of Workers:
Expected to follow instructions exactly with no deviation from prescribed methods.
Workers do not contribute to decision-making or problem-solving.
Their role is to be productive and efficient using the techniques assigned by management.
Motivated mainly by monetary rewards (e.g. piece-rate pay system – paid per unit produced).
Advantages:
Improved productivity due to efficient systems and reduced time wastage.
Predictable output – tasks are standardised and streamlined.
Easier to train new workers because jobs require minimal skill and are repetitive.
Clear roles and responsibilities reduce confusion in the workplace.
Suits large-scale, production-based industries like manufacturing.
Disadvantages:
Can lead to low worker morale and job dissatisfaction due to repetitive, monotonous work.
Workers may feel alienated and unvalued, decreasing motivation in the long run.
Lack of innovation and creativity as workers are not encouraged to think independently.
High turnover rates may result from a lack of personal or professional growth.
May not be suitable for modern, team-based or service-oriented industries which rely on customer interaction and adaptability.
Focuses on output over human well-being – not ideal for companies that value a people-oriented culture.
Henri Fayol – Administrative Management Theory
Background
Henri Fayol (1841–1925) was a French mining engineer, executive, and management theorist.
Unlike Frederick Taylor who focused on task-level efficiency, Fayol focused on the overall structure and functioning of management.
Fayol is considered one of the founding fathers of modern management theory.
He introduced a top-down approach to management—how senior managers should organise and lead an organisation.
Fayol’s Five Functions of Management
These are universal functions that Fayol believed every manager should carry out:
Planning
Defining the goals and direction of the organisation.
Creating action plans and forecasting future trends or challenges.
Establishes a roadmap for how the business will operate and succeed.
Involves considering resources, timelines, and market conditions.
Organising
Arranging people and resources (e.g., equipment, capital) in the right place at the right time.
Allocating work and authority based on specialisation and competence.
Ensures a clear structure and division of responsibilities across departments.
Commanding (Leading)
Instructing and motivating employees to carry out their tasks effectively.
Providing clear communication, leadership, supervision, and direction.
Encourages discipline, respect, and coordination among employees.
Promotes motivation through rewards and a sense of purpose.
Coordinating
Ensuring all activities and efforts across the business are aligned and harmonised.
Encouraging collaboration between departments (e.g., marketing and operations).
Aims to prevent duplication, confusion, or conflict between teams.
Promotes synergy: the whole is greater than the sum of its parts.
Controlling
Monitoring performance and outcomes to ensure goals are met.
Involves setting standards, measuring actual results, and correcting any deviations.
Allows managers to identify underperformance and make data-informed adjustments.
Ensures continuous improvement and accountability.
Fayol’s 14 Principles of Management
Division of Work
Specialisation allows individuals to become more efficient and skilled.
Encourages higher productivity and quality through repetition and focus.
Authority and Responsibility
Managers must have the right to give orders and expect obedience.
With authority comes responsibility—managers must be held accountable for results.
Discipline
Employees must respect rules and agreements.
Requires good leadership, clear communication, and fair penalties.
Unity of Command
Each employee should report to one and only one manager.
Prevents confusion, conflict, and dual authority.
Unity of Direction
Teams with the same objectives should be directed by one plan under one leader.
Encourages coordinated efforts toward common goals.
Subordination of Individual Interest to General Interest
The goals of the business must take priority over personal or individual agendas.
Encourages loyalty, discipline, and alignment with the company’s mission.
Remuneration
Workers should be fairly compensated for their work.
Pay should reflect both financial and non-financial rewards (e.g., bonuses, recognition).
Centralisation
Decision-making should be concentrated at the top of the hierarchy, but must be balanced.
The right level of centralisation or decentralisation depends on the organisation’s needs.
Scalar Chain (Chain of Command)
Clear line of authority from the top (CEO) to the lowest level of the hierarchy.
Communication should flow through this chain, though “gangplanks” may be used to improve speed in urgent matters.
Order
Everything and everyone should be in the right place.
Encourages efficiency through proper organisation of resources and people.
Equity
Managers should treat employees with kindness and fairness.
Promotes trust and loyalty within the organisation.
Stability of Tenure of Personnel
High employee turnover reduces efficiency.
Staff should be given time to settle into roles and develop loyalty.
Initiative
Employees should be encouraged to take initiative and contribute ideas.
Builds motivation and a sense of ownership in their work.
Esprit de Corps (Team Spirit)
Promote team unity and harmony.
Encourages collaboration, boosts morale, and reduces conflict.
Advantages of Fayol’s Theory
Provides a comprehensive framework for effective management.
Encourages discipline, accountability, and consistency across the organisation.
Highlights the importance of structure and clear communication.
Still widely used in modern management practice.
Useful in large organisations with a hierarchical structure.
Promotes long-term planning and stability.
Limitations of Fayol’s Theory
Assumes a top-down, rigid hierarchy that may not suit today’s flexible workplaces.
Does not fully address informal structures, team dynamics, or creativity.
Less effective in innovative or fast-changing industries.
Can be overly bureaucratic and resistant to change.
Focuses more on the role of managers than on empowering employees.
Max Weber – Bureaucratic Management Theory
Background
Max Weber (1864–1920) was a German sociologist and political economist.
Developed the Bureaucratic Management Theory as a response to the inefficiencies and favouritism in 19th-century organisations.
Believed that organisations should be run like a bureaucracy – a system based on rational-legal authority, formal rules, and clearly defined roles.
Aimed to create fairness, consistency, and efficiency in large organisations.
Key Features of Weber’s Bureaucratic Management Approach
1. Clear Hierarchy of Authority
A well-defined chain of command where authority flows from the top down.
Each level controls the level below and is accountable to the one above.
Employees know who to report to and who gives instructions.
2. Division of Labour
Jobs are divided into clearly defined, specialised tasks.
Each employee focuses on a specific role based on expertise.
Leads to efficiency, consistency, and predictable performance.
3. Formal Rules and Procedures
All organisational activities are governed by a set of written rules, policies, and procedures.
Ensures that tasks are performed uniformly and fairly.
Reduces bias, subjectivity, and personal discretion in decision-making.
4. Impersonality
Decisions are made objectively without personal feelings, favouritism, or nepotism.
Promotes fairness and equal treatment of all employees.
Employees are treated as part of the system, not based on personal relationships.
5. Employment Based on Technical Qualifications
Recruitment and promotion are based on merit, qualifications, and performance, not personal connections.
Ensures the most competent individuals fill roles.
Encourages professionalism and accountability.
6. Career Orientation
Employees view their work as a long-term career.
Opportunities for promotion and advancement are based on experience, skills, and performance.
Encourages loyalty, stability, and internal development of staff.
Advantages of Weber’s Bureaucratic Management
Consistency and fairness – everyone is subject to the same rules.
Ensures clear responsibilities and structured roles.
Promotes efficiency and predictable outcomes.
Reduces the risk of favouritism or corruption.
Effective in large organisations with complex operations (e.g., government agencies, large corporations).
Creates a stable, professional environment with clear processes.
Disadvantages of Bureaucratic Management
Can lead to rigidity and inflexibility – slow to adapt to change.
Excessive paperwork and red tape can reduce innovation and efficiency.
Employees may feel like just a number – no room for personal expression or creativity.
Limited employee involvement or input – top-down decision-making only.
May reduce morale and job satisfaction in dynamic or creative industries.
Often slow decision-making due to layers of approval and formal procedures.
The Classical Approach to Management – Key Elements and Relationships
Frederick W. Taylor – Scientific Management
Focused on improving worker productivity through scientific methods.
Aimed to find the “one best way” to perform tasks for maximum efficiency.
Believed managers should closely supervise workers and plan all aspects of their tasks.
Emphasised time-and-motion studies and standardised work procedures.
Saw workers as units of production – motivated primarily by financial rewards.
Management was responsible for selecting, training, and closely monitoring workers.
Goal: increase output and reduce waste by improving how tasks are done.
Henri Fayol – Administrative Management
Focused on the broader role of managers across all levels of the organisation.
Introduced the functions of management: planning, organising, commanding, coordinating, controlling.
Developed 14 principles of management, e.g. unity of command, division of work, equity, scalar chain.
Believed management was a universal process and could be systematically taught.
Emphasised structure, coordination, and hierarchy.
Saw effective management as key to business success, not just worker productivity.
Max Weber – Bureaucratic Management
Focused on rational authority and a structured, rule-based organisation.
Advocated for a formal hierarchy, division of labour, and clear rules and procedures.
Believed businesses should be governed by impersonal, merit-based systems, not favoritism or tradition.
Emphasised technical qualifications and formal selection for roles.
Viewed bureaucracy as the most efficient and fair form of organisation.
Ensured decisions were made with consistency, predictability, and objectivity.
Common Element: Leadership Style
All three theorists supported an autocratic leadership style:
Managers make all decisions.
Employees have little or no input in decision-making.
Authority is centralised in the manager’s role.
Reflects the belief that order, discipline, and control are essential for productivity and efficiency.