PAMANTASAN NG LUNGSOD NG MAYNILA
Graduate School of Management
ORGANIZATION AND MANAGEMENT
Wrriten Report on
CLASSICAL ORGANIZATION THEORY
NEOCLASSICAL THEORY
Organizational theory is the study of formal social organizations, such as businesses and bureaucracies, and their interrelationship with the environment in which they operate. It complements the studies of leadership, organizational behavior, management, industrial and organizational psychology, organization development and human resource studies among many other fields and professions.
CLASSICAL MANAGEMENT THEORIES
(1900 - 1920) Classical Management Theory was introduced in the late 19th century during the Industrial Revolution. The Industrial
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To counter soldiering and to improve efficiency, Taylor began to conduct experiments to determine the best level of performance for certain jobs, and what was necessary to achieve this performance.
Time Studies Taylor argued that even the most basic, mindless tasks could be planned in a way that dramatically would increase productivity, and that scientific management of the work was more effective than the "initiative and incentive" method of motivating workers. The initiative and incentive method offered an incentive to increase productivity but placed the responsibility on the worker to figure out how to do it. To scientifically determine the optimal way to perform a job, Taylor performed experiments that he called time studies, (also known as time and motion studies). These studies were characterized by the use of a stopwatch to time a worker 's sequence of motions, with the goal of determining the one best way to perform a job. The following are examples of some of the time-and-motion studies that were performed by Taylor and others in the era of scientific management.
Pig Iron If workers were moving 12 1/2 tons of pig iron per day and they could be incentivized to try to move 47 1/2 tons per day, left to their own wits they probably would become exhausted after a few hours and fail to reach their goal. However, by first conducting
High Noon v.s. The Most Dangerous Game High Noon is a movie, which takes place in 1952. The main character, Will Kane, is the sherif of an old west town. The movie is based on what happens leading up to the moment someone comes to town to get revenge. The Most Dangerous Game is a short story that takes place in 1924.
Frederick Taylor was considered a genius for his invention and introduction of scientific management. He was an industrial innovator who looked at the way the system was working at the time and decided to formulate a plan that would increase the overall production and efficiency of the factories. The domain that Taylor operated in was the factor production technique, this was an accumulation of decades of evolving business practices. Management and factories never tried anything different up until Taylor introduced his theories. Relating to the quote, he knew his methods were untested based off the current trends in the industry. These untested and innovated methods included motion and time studies, specific selection and training of individual workers, and standardization of tools.
Amazingly, productivity rapidly raised in the first 24 hours. The study concluded that for maximum productivity, the best worker had to be chosen to perform that task and had to be provided with training for efficient work. Every worker and his output had to be closely monitored and he had to be rewarded for greater productivity. Taylor also wanted to reduce conflicts between managers and workers by convincing them that they would benefit mutually from a rise in productivity, as this would favour society and the organisation as a whole.
Its main objective is improving economic efficiency, especially labor productivity. It was one of the earliest attempts to apply science to the engineering of processes and to management'' (3). He believed this could greatly increase the effectiveness with which a company runs. ''To apply his solution, Taylor created planning departments, staffed them with engineers, and gave them the responsibility to:
Scientific Management is also known as Taylorism. Fredrick Winslow Taylor wanted to divide the work process into small, simple and separate steps (Division of Labor). Division of Labor meant every worker only had one or two steps, this was created to boost productivity. Taylor also believed in Hierarchy, he wanted a clear chain of command that separated the managers from workers. He did this so managers would design work process and enforced how the work was performed and employees would simply follow directions. Taylor wanted to select and train high performing workers or first-class employees and match them to a job that best suited them. Taylor believed the most productive workers should be paid more. Employees who could not meet the new higher standard were fired.
Scientific management was introduced by Fredrick Winslow Taylor in 1898. The basic attributes of this perspective were giving incentives to employees, training them in a standard method and developing a standard procedure of performing a task. These procedures were established by numerous studies and observations (Samson et al., 2012).
Let’s begin by analyzing F. W. Taylor. Taylor’s scientific method can be summed up as a systematic study of relationships between people and tasks to increase efficiency (Jones and George 2015). There are four principles involved in this method: (1) Study the way workers perform their tasks, gather all the informal job knowledge that workers possess, and experiment with ways of improving the ways that tasks are performed. This step has the similar attributes of the organizing and controlling tasks discussed earlier in that the controlling task also involves evaluating the division of labor. (2) Codify the new methods of performing tasks into written rules and standard operating procedures. This step is very much about the organizing task. Although there are written rules, this aspect diverges from the leading
Taylor furthermore emphasized on this method as it reduced the time taken between each activity since each worker was limited to doing a precise task. Thus, the worker was able to complete the job in the least possible time and reduce wastage. Along with improved efficiency, Taylor used scientific management techniques to make sure proper utilization of resources is taking place and wastage is being kept to a minimum (Salimath and Jones, 2011, pp. 85-86).
Frederic Winslow Taylor (1865-1915) was an engineer and most importantly an innovator who affects the way many organizations function even today. In his time he introduced the term of scientific management which refers to a system where leaders are capable of managing and workers are able to execute the tasks given by the managers in the most efficient and productive way in a mass production environment with the basic element of job specialization (McKenna, 2012, p.7). According to Taylor, scientific management should include the selection of the best qualified people to work in a company, the incentives to work harder and as a result more efficient by awarding them with higher salaries as well as the authority given to the managers to control and evaluate the working process. Also, dealing with fatigue of labour force by implementing rest pauses. Taylor believed that in this way, managers and employees would be more interested in work and would try to maintain their high wages and as a consequence would be more productive (Bagad, 2008, p.20). In order to make this theory feasible he developed four main
The history of management includes multiple theories and understanding them can help individuals identify the ideas their organization is built upon. Classical organizational theory encompasses several major approaches to management that continue to be influential even today. The early to mid-twentieth century included the introduction of many concepts of management theory such as scientific management, bureaucratic and administrative theory. Most of these early approaches revolved around control of employees and processes in order to achieve more
Taylor's own name for his approach was scientific management. This sort of task-oriented optimization of work tasks is nearly ubiquitous today in industry, and has made most industrial work menial, repetitive, tedious and depressing; this can be noted, for instance, in assembly lines and fast-food restaurants. Ford's arguments began from his observation that, in general, workers forced to perform repetitive tasks work at the slowest rate that goes unpunished. This slow rate of work (which he called "soldiering", but might nowadays be termed by those in charge as "loafing" or "malingering" or by those on the assembly line as "getting through the day"), he opined, was based on the observation that, when paid the same amount, workers will tend to do the amount of work the slowest among them does: this reflects the idea that workers have a vested interest in their own well-being, and do not benefit from working above the defined rate of work when it will not increase their compensation. He therefore proposed that the work practice that had been developed in most work environments was crafted, intentionally or unintentionally, to be very inefficient in its execution. From this he posited that there was one best method for performing a particular task, and that if it were taught to workers, their productivity would go up.
Although retiring at 45, Frederick Taylor continued to promote his principles through lectures at universities as professional societies, leading to his election as president of The American Society of Mechanical Engineers in 1906. That year he was also given an honorary science degree from the University of Pennsylvania. During his presidency he wrote many books documenting his methods for maximum production, including “Notes on Belting”, “Piece-rate System”, and his bestselling book “The Principles of Scientific Management.” He would argue that the most basic of jobs could be planned in a way to increase productivity, and that initiative and incentive did little in comparison to his scientific method. Taylor would argue that incentivizing and putting performance based pay on the worker didn’t guarantee that worker operating to the best of their abilities.
Taylor set forth his theory in two books (1903 and 1911) and a large number of articles. Many of his applications, according to John B. Miner (2001) have not met the test of time. One that has survived involves breaking down of movements into their component parts and prescribing methods for their execution. It has prospered today in the form of what is known as ‘Industrial Engineering’. “Although time and motion study can be traced to well before Taylor, he and those who worked with him perfected the approach and sold it to the world (Reeves, Duncan and Ginter 2001)” (Miner 127). Taylor’s thoughts were rooted in an industrial era characterized by mass production that relied on an assembly-line approach to manufacturing. In such a system of mass production, efficiency was gained through specialization where each worker focused on a single task (Chance and Chance, p.5)
According to Taylor, the way to create the most efficient division of labor could best be determined by scientific management techniques, rather than intuitive or informal rule-of-thumb knowledge. He developed four principles to increase efficiency in the workplace.
Toward the end nineteenth century, a science for every component of a man 's work was created. The innovator of this procedure was Frederick Winslow Taylor. Specialists must be experimentally chosen, prepared and taught. Along these lines the part of administrators expanded