CH-1 SCHOOLS OF MANAGEMENT

Q-1 What is classical approach or classical schools of management? Discuss

features of it.
The thoughts of management presented till the end of 19th century is known as thoughts of
classical theory. Main promoters of thoughts of classical theory are Frederick Taylor, Max
Weber, Gilbreath, Henry Gantt and Henry Fayol. Taylor's contribution in thoughts of
classical theory is very important. Scientific Management principles presented by Frederick
Taylor also exist into the thoughts of classical theory of management even today. Approach
of Scientific Management favors scientific principles by time and motion study instead of
traditional methods. Main contribution of scientific principle lies into specialization in
Management, progressive wages system, responsibility and scientific distribution of task.
Contribution of Henry Fayol in thoughts of classical theory is also significant. He
significantly contributed to thoughts of management by presenting general principles of
management. He decided levels of different tasks in business unit and tried to decide limits of
tasks. To perform managerial duty at different levels, he also provided universal principles of
management as guidelines. Apart from this, there is a contribution of Max Weber into
thoughts of Classical theory.
Specialized tasks: Employees are assigned one or two specialized tasks with clear
guidelines
Financial incentives: Employees are motivated to perform well through financial
incentives.in that time f.w. taylor had given contribution in the form of piece wage system.
Hierarchy: The organization has a hierarchical structure. It means that the structure of
authority was linear.
Autocracy: A single person or a few authority figures make decisions. In past time
democracy was not there.in autocracy decisions are taken by single person.
 Division of labor: Work is divided to improve individual worker performance. If
single person handle more work than chances of mistake will be there.
Departmentalization: Jobs and activities are grouped into departments to minimize costs
and facilitate administrative control.
Coordination: co ordination was essential to increase productivity and achieve objectives of
organization.
Scalar and functional processes: A scalar chain of superior-subordinate relationships
facilitates communication, feedback, and decision making. Under this system the chain of
communication was linear in sequence.
Structure: Functions are arranged logically to accomplish objectives effectively. Due to
proper structure work can be completed on time.
Span of control: The number of subordinates a manager can effectively supervise.

Q-2 What is neo classical school of management? Discuss features of it

To remove some limitations of Thoughts of Classical Theory, some management experts

made changes and established new approaches, which is called Thoughts of Neo Classical
Theory. At the end of 19th century after industrial revolution, format of units/ industries was
changed and a need was arise for new-kind of management. In the start of 20th century,
Australian Industrial psychologist Elton Mayo's theory of Hawthorne gave a new birth to
behavior oriented thought. So, Elton Mayo is called promoter of "Thoughts of Neo Classical
Theory'. Thoughts
of Neo Classical Theory emphasizes upon behavior approach and group behavior for
management Additions were made to Thoughts of Neo Classical Theory like informal
Organisation, human behavior, human relations, inspiration etc. are elements based on
thoughts of classical theory. Elton Mayo, Herzberg, Rensis Likert, Chris Argyris, Mcgregor
and Maslow are main contributors in this thoughts. In branches of Thoughts of Neo Classical
Theory human relations or human behavior thoughts, social mechanism thought and social
arrangement thought are main. Human behavior thought is as below:

 People-Centered: This approach values employees as people, not just workers. It looks at
what motivates them, how they interact with each other, and how they feel about their work
environment.

 Focus on Social Needs: Neo-classical management emphasizes the importance of social

relationships at work, including friendships, teamwork, and a sense of belonging. It
recognizes that happy employees tend to be more productive.

 Employee Motivation: It focuses on employees need more than just money to stay
motivated. Factors like recognition, opportunities to grow, and a supportive work
environment are also important.

 Open Communication: This approach encourages open communication between

managers and employees. By understanding employees' concerns, managers can address
problems and improve job satisfaction.

 Teamwork and Group Dynamics: It recognizes the power of groups and teamwork,
where employees work together and support each other, which leads to better overall
productivity.
 Flexible Management: Instead of rigid rules, the neo-classical approach suggests that
managers should adapt to different situations and meet the needs of their employees in a
flexible way.

Q-3 Discuss the scientific school of management.

It is an approach that focuses on improving the efficiency of the worker through scientific
way of working. Frederic Winslow Taylor is considered as a real father of this approach.
Other contributors were Frank Gilbreth, Lillian Gilbreth and Henry Gantt. Taylor joined
Midvale Steel Company U.S.A. as a worker and become a supervisor. His qualification was
M.E. He has also worked at Bethelehan Steel Company. He performed a number of
experiments on improving the working efficiency of the people. He has also written a book,
"Scientific Management" which includes his experiments and principles.

(1) Features of Scientific Management:

1. Separations of Planning from actual doing work:
Taylor advocates that a worker should be free from planning aspects. Planning task should be
performed by supervisors and managers. A worker has to concentrate on his performance at
work. Earlier, the worker used to perform both the tasks planning and actual work. This
created many problems and difficulties for workers.

2. Functional Foremanship:
Taylor wants to strengthen his first principle of separation of planning. That is why he has
formulated the functional foremanship. The foremanship was based on specialization of
different functions performed by workers and foreman.

3. Job Analysis:
Taylor suggests the concepts of job analysis for finding out the best possible way to perform
the job. He suggested the concept of time, motion and fatigue study for the purpose job
analysis.
Time study includes calculation of the exact time required to Perform a job. It will carry the
calculation of determining the fair work for a period.
Motion study is involved in the study of movements for performing a job. It involves the
study of eliminating the unnecessary movements and performing only necessary movements.
Fatigue study is involved in deciding the rest time and the frequency of rest period for
workers. The purpose is to get maximum efficiency from worker's standardization.
Standardization should be maintained with respect to work, time period, resources and
equipment's working conditions, etc.

4. Scientific selection and training of workers :

Taylor believers that selection of workers should be made on a scientific basis by considering
their work experience, qualification, skill and knowledge, physical ability, etc. In addition to
that, the superior should focus more on worker's training for improving their efficiency and
effectiveness.

5. Monetary benefits:
Taylor suggested that monetary benefits can be used as a source of motivation for workers.
He also provides a system of differential piece rate system. In this system, wages are
provided on the basis of worker's performance and not on his status and position in the
organization.

6. Economy and Profit :

Taylor also gave due attention on the control technique for reducing cost and wages for better
economy and profits. Proper and efficient use of available resources is also necessary.

7. Co-operation through mental revolution:

This is the most important feature of scientific management to establish co-operation between
management and workers. It is to be achieved by mental revolution towards their
duties/responsibilities, sub-ordinates, superiors and management as a whole.

Q-4 Discuss the administrative management

Introduction

According to the Administrative Management Theory / School, management is the process of

getting things done through people. Here importance is given to groups and not to
individuals.

The first expert of Administrative Management Theory was Henri Fayol (1841-1925). Fayol
is called the "Father of Modern Management". Henri Fayol was a French industrialist and a
management consultant. He started the functional approach to management.

Henri Fayol in his book titled "Industrial and General Administration" published in 1916,
gave following 14 principles of management and managerial skills to become a effective
manager

Managerial Skills and Qualities

Fayol has focused on the role of a manager. He believes that anyone cannot be a manager. A
manager needs some skills and qualities to manage people and resources in an organization.
The six managerial skills are:
  Physical qualities: This quality is concerned with the good health, well-maintained
dress and outlook and high energy level of the manager.
 Mental qualities: To become a good manager they must possess the quality to learn
and understand, judge and adapt to the problems and should have the mental energy to
focus.
 Educational qualities: To become a sound manager, one needs to have sufficient
education to become knowledgeable.
 Moral qualities: Moral qualities are too much important because it can increase
enthusiasm level of person
 Technical qualities: One needs to have technical knowledge regarding what are the
procedures to carry out the action in an organization.
 Experience: Experience comes with years of practice of an action. So a good manager
needs years of experience to work smoothly and efficiently.

Principles of Administrative Management

The 14 principles of management given by H. Fayol are particularly focused on the five
management function of an organization. These are the basic guidelines to a management of
the organization as a whole.

 Division of work:

This principle implies that the overall work should be divided into different job and
employees should be allocated certain jobs viewing their interest and skills. This principle
helps in specialization and helps to make the workers more effective and efficient. Division
of work is important in technical level as well as managerial level in an organization for
smooth operation.

 Authority and Responsibility:

Authority is the right to give the command and make decisions. Responsibility is the
obligation of an employee to perform a certain designated task and be accountable to the
supervisor. There should be a balance between authority and responsibility. An employee
must be given the amount of authority required to perform the given responsibility. Authority
without responsibility will lead to waste of position and lack of utilization of power and
responsibility without power will lead to poor utilization of human and another resource.

 Discipline:

An employee should be respectful to the authority and the established rules and regulation of
the organization. Clarity of Rules, Reward-Punishment system, good supervision etc. are
some ways to maintain discipline. But it depends on the need and policies of the organization
on how to maintain discipline.

 Unity of Command:

An employee must get orders from only one immediate supervisor. And the employee should
be accountable to the immediate supervisor only. There should not be other supervisors to
guide the employee. This will help to clear the confusion and will make the employee loyal to
the activity.

 Unity of Direction:

According to this principle, proper direction to employees is important to getting desired

work.if employees get proper direction he will perform proper work.

 Subordination of individual interest to general interest:

There are two types of interests. One is interest of the individuals and the other is
organizational interest. So this principle suggests that there must be harmony between these
two interests. Organizational interest must be given more priority as doing good for the
organization will bring rewards for the individuals.

 Remuneration of Personnel:

There must be monetary as well as non-monetary remuneration to the employees based on

their performance level. Fayol focuses more on non-monetary remuneration in which he
believes will create bonding between the employee and the organization. So the remuneration
must be fair, reasonable and satisfactory.
  Centralization:

This principle implies that the top most level of authority should be centralized to the top
level management. There should be delegation of power to the subordinate but the power to
make the important decisions in the organization should remain with the top level
management.

 Scalar Chain:

There should be a chain of superiors ranging from the top level of management to the lower
level management based on the hierarchy level. The head of an organization is in the top of
the chain. The communication flows from the top to the bottom through this chain of
authority of superiors. However, there is no hard and fast rule regarding the process of
communication through scalar chain.

 Order:

This principle states that every material and manpower should be given a proper place in the
organization. The right man for the right job is essential in the smooth running of an
organization. So Management must identify tasks and put them in proper order with the
limited human and other resources.

 Equity:

This principle implies that all the members of the organization should be treated equally.
There should be no biases and there should be an environment of kindness and justice.

 Stability of tenure:

Any employee can work to the fullest if they have secured job, So an employee must be
provided with job security which will help them to be efficient. This will also benefit the
organization as it lowers the labor turnover and reduces cost of recruiting and training new
employees.

 Initiative:

Initiative is the level of freedom that an organization should provide to the employee to carry
out the plans without forcing them or ordering them. This is related to creation of interest and
willingness in the employees by motivating and satisfying the employees.

 Esprit de Corps:

This principle implies that “union is strength” and team spirit. So the organization must
integrate all its actions towards a single goal and objective. If the action is not unified then
they cannot achieve their desired objectives. So there must be unified team contribution in
harmony and cooperation which is always greater than the aggregate of individual
performances.

Q-4 Explain the human behaviour approach.

*Introduction:-

The human behaviour approach is outcome of various thoughts which is given by

different authors. As per this approach human behaviour should be keep in the mind when
take any decision in the company. Management also accept the importance of human. This
approach is beneficial for the most of organization and employees also. This approach
consider individual behaviour and group behaviour also. Some contribution for the human
behaviour approach is given by some authors.

*Contribution for human behaviour approach:-

1.Management should understand the behaviour of human because it is important ans this fact
is also accepted in management.

2.To increase the production manager should give emphasize on motivation and good human
relation.

3.This approach is also concentrate on leadership,communication,etc.

4.People can do better work if manager give proper direction for the job.
5.people have potential to do a work. Manager can convent this potential for the success.

6.The manager should create proper environment for safe and convinient work for
employees.

7.Manager should encourages their employees and also invite for the important company
matters.

*Advantages of human behaviour approach:-

1.To achieve the organizational goal this approach is very helpful.

2.By adopting this approach people can be made effective for the work.

3.This approach is helpful for employees because as per this approach employees are
valueable assets of a company.

4.By applying this approach job satisfaction of employees can be increased.

5.This approach is beneficial to increase the production.

*Limitations of human behaviour approach:-

1.Human relation is not enough to run the company.

2.This approach says that satisfied workers are more productive but we know that many times
this is not happen.

3.Forecasting of human behaviour is much difficult task.

4.This approach helps to understand the human behaviour but does not help to solve the
problems.

5.This approach provides wrong pictures of human behaviour because satisfied employees
are also absent in a company without proper reason.

Q-5 Discuss the system approach OR concept.

*Introduction:-

An organization cannot exist in air.It depends upon its invisible system which is
different from organization to organizatio.System is an important part of any company.By the
proper system company can achieve the objectives.System approach provides frame work for
a company.System is set off inter-dependent part which together and perform some
function.The various features of system approach are given below.

*Features:-

1.System is consist of various parts.This part are also call sub-system.This sub-systems are
necessary to establish one system.

2.In a system parts are important but their arrangement is also important.

3.There is two types of system:-

a) Open system.

b) Close system.

a) Open system:-

A system is considered open if it interact with external environment. External

environment is important for any company but this environment is not in the hand of
company.

b) Close system:-

A system is considered closed if it does not interact with external environment. It means
that close system is concern with internal environment.

~ Every system has its own boundaries of which separate its from other system. This
boundaries may be fixed OR flexible.

~ System transforms input into output.This transform process is essential for the
company.By the help of raw-material equipments and human efforts output can be gain in the
form of goods and services.

~ In system approach co-ordination is also essential.

*Advantages of system approach:-

1.It suggest that manager should develop the ability of integrated thinking. This type of
thinking is benificial for a company.

2.By adopting system approach company can achieve the objectives of a company.
3.By adopting system approach organization can read the problem and also can solve
effectively.

4.System approach is dynamic because it accept external environment changes company can
grow.

5.System gives an important contribution for management.

* Limitations of system approach:-

1.This approach has lack of universality.

2.This approach is sometimes too wide and become more expensive. So it can not be afford
by small scale industry.

3.As per some people view this approach is more complex compare to other approaches.

Q-6 Discuss the contigency OR situational approach.

*Introduction:-

Contigency or situational approach is an important approach in modern time. According to

this approach there can not be any particular management action which can solve all the
problems. As per this approach situations are different so manager should apply various
concepts as per the requirement. Contigency views are helpful to decide the degree of
decentralization and responsibility. Manager should take all the decisions in the business by
keeping the external environment in mind. If manager want to be a effective then he should
understand all the situation and environment properly. This type of approach is beneficial in
today's dynamic world for the company.

*Advantages of situational approach:-

1.This approach provides proper alternatives for managerial actions.

2.This approach gives one fact that there is no universal approach for the managers which can
be applied in all situations.

3.Contigency approach give emphasize on external environment which is more important for
any company.
 *Disadvantages of situational approach:-

1.Contigency approach does not provide sufficient information.

2.The suggestion of this approach are very simple like manager should take the action as per
the situation but they not specify any particular situation and solution.

3.This approach is not beneficial because it gives only suggestions.