Advantages And Disadvantages Of Classical Management Theory

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The concept of management was radicalized from the golden age of the Industrial Revolution; the economic influences of Adam Smith coupled with the philosophies of David Hume colluded to define modern day economics. The classical management theory advanced from its infancy stage throughout the Industrial Revolution of Great Britain. Its conception is accredited to the works of Frederick Taylor, pioneer of productivity theory, Max Weber, architect of the hierarchical structure of power, and Henri Fayol, father of the 14 principles of management (Walonick). The classical management theory encompasses productivity and the division of labor by amalgamating employee efficiency and output in a hierarchical structure to maximize marginal revenues (Business …show more content…

This means employees are not involved in any of the decision- making processes discussed previously. The classical management theory is thought to have numerous disadvantages. The theory tends to decrease the employee’s motivation in participation or in any communication efforts. The theory tends to decrease the employee’s progress and creativity. These negative effects curtail the teamwork’s growth and development. The theory is inadequate for a modern organization because it overlooks the ideas, desires, and needs of employees. Today’s organizations are highly diverse rendering it incompatible The next management theory emphasizes the employee’s rank or position as the sole determinant of decisions. This theory is based on the works of Daniel Griffith’s Theory of Leadership. According to Daniel Griffith’s Theory of Leadership, “the specific function of administration is to develop and regulate the decision-making process in the most effective manner. An individual 's rank equals his or her degree of control of the decision-making process” (Gamage and Pang …show more content…

Participative management encourages employees to highly participate in decision making, which helps the organizations in solving and analyzing problems. The employees are highly motivated to grow as individuals in an organization. Due the employees’ increase of responsibility, self-managed teams are formed. Not only does participative management involve employee decision-making, it also encourages upper management to consider the ideas of employees with courtesy and respect (McMillan and

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