5.What are the criticisms of classical organizational theories? (See pages 118–119 inthe text.) The classical view of management tends to focus on the efficiency and productivity of workers rather than on workers' human needs. Generally the classical view is associated with Taylorism and scientific management, which are largely criticized for viewing the worker as more of a gear in the machine than an individual. Under Taylorism the work effort of workers increased in intensity, but eventually workers became dissatisfied with the work environment and became angry, which affected their overall work ethic. This dissatisfaction undoes the value captured via increased efficiency. Show
Taylorism's negative effects on worker morale only added fuel to the fire of existing labor-management conflict, which frequently raged out of control between the mid-19th and mid-20th centuries (when Taylorism was most influential), and thus it inevitably contributed to the strengthening of labor unions. That outcome neutralized most or all of the benefit of any productivity gains that Taylorism had achieved. The net benefit to owners and management ended up being small or negative. It would take new efforts, borrowing some ideas from Taylorism but mixing them with others, to produce more successful formulas.
Taylorism and classical management styles negatively affected the morale of workers, which created a negative relationship between workers and managers. Scientific management also led to other pressures tending toward worker unhappiness. Offshoring and automation are two such pressures that have led to the erosion of employment. Both were made possible by the deskilling of jobs, which arose because of the knowledge transfer that scientific management achieved, whereby knowledge was transferred to cheaper workers, as well as from workers into tools. The Human FactorTo summarize, the underlying weakness of the classical view of management is the omission of the fact that employees are people first and resources second. This criticism opened doors for theorists such as George Elton Mayo and Abraham Maslow, who emphasized the human and behavioral aspects of management. After all, what value is wealth if the individual loses the sense of self-worth and happiness required to enjoy it? The behavioral approach to management took an entirely different approach and focused on managing morale, leadership, and other behavioral factors to encourage productivity rather than solely managing the time and efficiency of workers. Corporate GrowthAnother disadvantage of the classical perspective arises from the growing size and complexity of the modern organization. Using metrics to examine specific employee behavior may be feasible in a smaller organization pursuing homoegeneous tasks, but it becomes more difficult when trying to accomplish this at an organization that has hundreds of employees pursuing various complex functions. In this situation, it may be more beneficial to use tactics that are less focused on the individual employee and more on improving overall productivity. This will involve less micromanaging and more trusting employees to do the right thing while at the workplace. The onus of enabling efficiency, therefore, shifts from workers to managers.
Organizational theory is the study of corporate designs and structures. It also deals with the behaviour of individuals or groups in the organisation and how they interact with each other to accomplish set goals. The Organizational theory studies the organisation so that it can identify the way to solve any issues. It offers an essential suggestion about ways that might help the organisation to cope successfully with rapid or sudden changes, meet the expectations of all its stakeholders and maximise productivity and efficiency. Meaning of Organizational theoryThe organizational theory provides a general reference to explain behavioural patterns in an organisation. It helps to look at the relationship between an organisation and its environment and the effects of that relationship on its modus operandi. Organizational theory studies the impact of the external and internal business environment, for instance, cultural, legal, political etc. on the organisation. Applying the Organizational theory helps to improve the economic potential in society. Organizational theories are studied because they address critical questions about the way an organisation works. It assumes that the organisation has goals, structure and members, but it puts its onus on the efficiency of the said organisation. Business entities use the Organizational theories that match their goals and business environment to improve its functionality and efficiency. Types of Organizational theorySome of the essential Organizational theories are 1. Classical Organizational theoryThe classical Organizational theory emerged out of its shell in the late 19th century in the private sector. It is one of the traditional Organizational approaches wherein the onus is on the organisation and not on the employees who are working over there. As per the classical Organizational theory, the organisation is a machine and the employees its different parts. The characteristics of the classical Organizational theory are
The advantages of the traditional Organizational theory are
The disadvantages of the classical Organizational theory are
2. Administrative Organizational theoryThis theory has put its onus on corporate management and the human and behavioural factors in the management process. The concept is of departmentalisation, where the activities should be identified and classified to accomplish tasks more effectively. In administrative, Organizational theory, the focus is on how the management is structured and how well the employees are organised to complete the given tasks effectively. The theory first tries to improve the efficiency levels of management to standardise the processes and then shifts to the operational level where the individual employees are made aware of the changes so that they can implement them in their daily schedules. The principles of the administrative, Organizational theory are
The advantages of the administrative Organizational theory are
The disadvantages of the administrative Organizational approach are
3. Scientific management Organizational theoryIn scientific management Organizational theory, human beings are add-ons to the machinery so that they can perform routine tasks. This theory has put its onus on boosting the efficiency levels of every employee in the organisation and minimising task time. It applies engineering science at the operating level to increase production levels. In this case, it is believed that improving the efficiency of workers at the working level will, in turn, enhance the ability of the management. The principles of scientific management Organizational theory are
The advantages of the scientific Organizational theory are
The disadvantages of the scientific Organizational theory are
4. Bureaucratic Organizational theoryThe word bureaucracy means the processes, patterns, rules and regulations that are created to minimise the complexity during the functioning in an organisation. It puts its focus on standardised principles, specialised workforce, trained administrative employees and hierarchy of authority. The bureaucratic theory is about the administrative processes and structure of the organisation. It is impersonal by nature and is designed to bring the power structure in focus and ensure efficiency. The characteristics of the bureaucratic Organizational theory are
The advantages of the bureaucratic Organizational theory are
The disadvantages of the bureaucratic Organizational theory are
5. Neo-Classical Organizational theoryAs per the Neo-Classical Organizational theory, the organisation is a social system, and it is human actions that have a direct effect or impact on its performances. This is why this theory has put its primary focus on human beings in the organisation. The characteristics of the neo-classical Organizational theory are
The limitations of neo-classical Organizational theory are
6. Modern Organizational theoryAccording to the modern Organizational theory, the organisation is related to a system that will change if there is a change in the external or internal environment. This is a concept that integrates the classical model and behavioural and social science. The essentials of the modern Organizational theory are
The criticism of the modern Organizational theory is
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