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ClassicalClassical
OrganizationalOrganizational
TheoryTheory
Vincent MyersVincent Myers
AndAnd
Nina PresutoNina Presuto
Main ideaMain idea
of classical organizational theoryof classical organizational theory
 There is one best way to perform a task
Classical organizational theoryClassical organizational theory
espouses two perspectives:espouses two perspectives:
 Scientific management  focusing on the
management of work and workers
 Administrative management - addressing
issues concerning how overall organization
should be structured
Major contributors to the ClassicalMajor contributors to the Classical
Organizational Theory:Organizational Theory:
Scientific Management:
 Frederick Taylor
Administrative Management:
 Henri Fayol
 Luther Halsey Gulick
 Max Weber
Frederick TaylorFrederick Taylor
Taylor is born in Pennsylvania on March 20,Taylor is born in Pennsylvania on March 20,
18561856
After studying in Europe, he plans to go toAfter studying in Europe, he plans to go to
Harvard, but does not pass the entrance examsHarvard, but does not pass the entrance exams
Instead Taylor works as a pattern maker at aInstead Taylor works as a pattern maker at a
pump manufacturing company in Philadelphiapump manufacturing company in Philadelphia
Later, he studies mechanical engineering atLater, he studies mechanical engineering at
Stevens, finishing in just three years.Stevens, finishing in just three years.
Taylor identifies two people as havingTaylor identifies two people as having
influenced him:influenced him:
 John Griffith teaches Taylor how to be an
appreciative, respectful, and admirable
working mechanic
 Lucian Sharpe impresses Taylor with his focus,
concentration, and task commitment
Midvale Steel CompanyMidvale Steel Company
 Taylor begins working for the Midvale steel
Company in 1878.
 While there he succeeds in doubling the work
of his men, is soon promoted to foreman
 As foreman, he begins studying productivity as
a means of measuring of manufacturing.
 Later he becomes the chief engineer at
Midvale.
Ingenuity and AccomplishmentsIngenuity and Accomplishments
 Creates systems to gain maximum efficiency
from workers and machines in the factory.
 Focuses on time and motion studies to learn
how to complete a task in the least amount of
time.
 Becomes consulting engineer for many other
companies
 PublishesThe Principles of Scientific
Management
Key Points ofKey Points of
Scientific ManagementScientific Management
1. Scientific Job Analysis  observation, data
gathering, and careful measurement determine
the one best way to perform each job
2. Selection of Personnel  scientifically select
and then train, teach, and develop workers
3. Management Cooperation  managers should
cooperate with workers to ensure that all work
is done in accordance with the principles of the
science that developed the plan
4. Functional Supervising  managers assume
planning, organizing, and decision-making
activities, and workers perform jobs
Henri FayolHenri Fayol
 Engineer and French industrialist
 In France works as a managing director in coal-
mining organization
 Recognizes to the management principles rather
than personal traits
 While others shared this belief, Fayol was the
first to identify management as a continuous
process of evaluation.
Fayols 5 Management FunctionsFayols 5 Management Functions
Fundamental roles performed by all managers:
Planning
Organizing
Commanding
Coordinating
Controlling
Additionally Fayol recognizes fourteen principles that
should guide the management of organizations.
Fayols 14 Principles:Fayols 14 Principles:
1. Division of Work improves efficiency through a
reduction of waste, increased output, and
simplification of job training
2. Authority and Responsibilityauthority: the right to
give orders and the power to extract obedience 
responsibility: the obligation to carry out assigned
duties
3. Disciplinerespect for the rules that govern the
organization
4. Unity of Commandan employee should receive
orders from one superior only
5. Unity of Directiongrouping of similar activities that
are directed to a single goal under one manager
6. Subordination of Individual Interests to the General
Interestinterests of individuals and groups should
not take precedence over the interests of the
organization as a whole.
7. Remuneration of Personnelpayment should be fair
and satisfactory for employees and the organization
8. Centralizationmanagers retain final responsibility 
subordinates maintain enough responsibility to
accomplish their tasks
9. Scalar Chain (Line of Authority)the chain of
command from the ultimate authority to the lowest
10. Orderpeople and supplies should be in the right
place at the right time
11. Equitymanagers should treat employees fairly and
equally
12. Stability of Tenure of Personnelmanagerial
practices that encourage long-term commitment from
employees create a stable workforce and therefore a
successful organization
13. Initiativeemployees should be encouraged to
develop and carry out improvement plans
14. Esprit de Corpsmanagers should foster and
maintain teamwork, team spirit, and a sense of unity
among employees
Luther Halsey GulickLuther Halsey Gulick
(1892-1992)(1892-1992)
 A specialist in municipal finance and
administration
 Gulick works with the Institute of Public
Administration, professor of municipal science
and administration at Columbia, and serves on
Franklin D. Roosevelts Committee of
Government Administration
 Expands Fayols five management functions into
seven functions:
1. Planning - developing an outline of the things that
must be accomplished and the methods for
accomplishing them
2. Organizing - establishes the formal structure of
authority through which work subdivisions are
arranged, defined, and coordinated to implement
the plan
3. Staffing - selecting, training, and developing the
staff and maintaining favorable working
conditions
4. Directing - the continuous task of making
decisions, communicating and implementing
decisions, and evaluating subordinates properly
5. Coordinating - all activities and efforts needed
to bind together the organization in order to
achieve a common goal
6. Reporting - verifies progress through records,
research, and inspection; ensures that things
happen according to plan; takes any corrective
action when necessary; and keeps those to
whom the chief executive is responsible
informed
7. Budgeting - all activities that accompany
budgeting, including fiscal planning, accounting,
and control
Max WeberMax Weber
(1864-1920)(1864-1920)
 German sociologist
 Weber first describes the concept of
bureaucracy  an ideal form of organizational
structure
 He defines bureaucratic administration as the
exercise of control on the basis of knowledge
 Weber states, Power is principally exemplified
within organizations by the process of control
Weber uses and defines the terms authority
and power as:
 Power: any relationship within which one
person could impose his will, regardless of
any resistance from the other.
 Authority: existed when there was a
belief in the legitimacy of that power.
Weber classifies organizations according to
the legitimacy of their power and uses
three basic classifications:
Charismatic Authority: based on the sacred or
outstanding characteristic of the individual.
Traditional Authority: essentially a respect for
customs.
Rational Legal Authority: based on a code or set of
rules.
Weber recognizes that rational legal
authority is used in the most efficient
form of organization because:
 A legal code can be established which can claim
obedience from members of the organization
 The law is a system of abstract rules which are
applied to particular cases; and administration
looks after the interests of the organization
within the limits of that law.
 The manager or the authority additionally
follows the impersonal order
 Membership is key to law obedience
 Obedience is derived not from the person
administering the law, but rather to the
impersonal order that installed the
persons authority
Weber outlined his ideal bureaucracy
as defined by the following parameters:
 A continuous system of authorized jobs
maintained by regulations
 Specialization: encompasses a defined sphere
of competence, based on its divisions of labor
 A stated chain of command of offices: a
consistent organization of supervision based on
distinctive levels of authority
 Rules: an all encompassing system of
directives which govern behavior: rules
may require training to comprehend and
manage
 Impersonality: no partiality, either for or
against, clients, workers, or administrators
 Free selection of appointed officials: equal
opportunity based on education and
professional qualification
 Full-time paid officials: only or major
employment; paid on the basis of position
 Career officials: promotion based on seniority
and merit; designated by supervisors
 Private/Public split: separates business and
private life
 The finances and interests of the two should be
kept firmly apart: the resources of the
organization are quite distinct from those of the
members as private individuals.
(a) A tendency to a leveling of social classes by
allowing a wide range of recruits with technical
competence to be taken by any organization
(b) Elite status because of the time required to
achieve the necessary technical training
(c) Greater degree of social equality due to the
dominance of the spirit of impersonality or
objectivity
Common Criticisms of ClassicalCommon Criticisms of Classical
Organizational TheoryOrganizational Theory
Classical principles of formal organization may
lead to a work environment in which:
 Employees have minimal power over their jobs and
working conditions
 Subordination, passivity and dependence are expected
 work to a short term perspective
 Employees are lead to mediocrity
 Working conditions produce to psychological failure as a
result of the belief that they are lower class employees
performing menial tasks
Activity:Activity:
Break into four groups: Taylor, Fayol, Gulick and WeberBreak into four groups: Taylor, Fayol, Gulick and Weber
Refer to the power point notes you have been given to examine aRefer to the power point notes you have been given to examine a
classical organizational theorists principlesclassical organizational theorists principles
Consider what you discussed about each principleConsider what you discussed about each principle
Analyze how the theorists beliefs exist, dont exist, or areAnalyze how the theorists beliefs exist, dont exist, or are
modified within todays educational worldmodified within todays educational world
Please have someone take notes on your workPlease have someone take notes on your work
Lead a discussion of how your theorists ideas relate to theLead a discussion of how your theorists ideas relate to the
current system of educational administrationcurrent system of educational administration

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Classicalb

  • 2. Main ideaMain idea of classical organizational theoryof classical organizational theory There is one best way to perform a task
  • 3. Classical organizational theoryClassical organizational theory espouses two perspectives:espouses two perspectives: Scientific management focusing on the management of work and workers Administrative management - addressing issues concerning how overall organization should be structured
  • 4. Major contributors to the ClassicalMajor contributors to the Classical Organizational Theory:Organizational Theory: Scientific Management: Frederick Taylor Administrative Management: Henri Fayol Luther Halsey Gulick Max Weber
  • 5. Frederick TaylorFrederick Taylor Taylor is born in Pennsylvania on March 20,Taylor is born in Pennsylvania on March 20, 18561856 After studying in Europe, he plans to go toAfter studying in Europe, he plans to go to Harvard, but does not pass the entrance examsHarvard, but does not pass the entrance exams Instead Taylor works as a pattern maker at aInstead Taylor works as a pattern maker at a pump manufacturing company in Philadelphiapump manufacturing company in Philadelphia Later, he studies mechanical engineering atLater, he studies mechanical engineering at Stevens, finishing in just three years.Stevens, finishing in just three years.
  • 6. Taylor identifies two people as havingTaylor identifies two people as having influenced him:influenced him: John Griffith teaches Taylor how to be an appreciative, respectful, and admirable working mechanic Lucian Sharpe impresses Taylor with his focus, concentration, and task commitment
  • 7. Midvale Steel CompanyMidvale Steel Company Taylor begins working for the Midvale steel Company in 1878. While there he succeeds in doubling the work of his men, is soon promoted to foreman As foreman, he begins studying productivity as a means of measuring of manufacturing. Later he becomes the chief engineer at Midvale.
  • 8. Ingenuity and AccomplishmentsIngenuity and Accomplishments Creates systems to gain maximum efficiency from workers and machines in the factory. Focuses on time and motion studies to learn how to complete a task in the least amount of time. Becomes consulting engineer for many other companies PublishesThe Principles of Scientific Management
  • 9. Key Points ofKey Points of Scientific ManagementScientific Management 1. Scientific Job Analysis observation, data gathering, and careful measurement determine the one best way to perform each job 2. Selection of Personnel scientifically select and then train, teach, and develop workers 3. Management Cooperation managers should cooperate with workers to ensure that all work is done in accordance with the principles of the science that developed the plan 4. Functional Supervising managers assume planning, organizing, and decision-making activities, and workers perform jobs
  • 10. Henri FayolHenri Fayol Engineer and French industrialist In France works as a managing director in coal- mining organization Recognizes to the management principles rather than personal traits While others shared this belief, Fayol was the first to identify management as a continuous process of evaluation.
  • 11. Fayols 5 Management FunctionsFayols 5 Management Functions Fundamental roles performed by all managers: Planning Organizing Commanding Coordinating Controlling Additionally Fayol recognizes fourteen principles that should guide the management of organizations.
  • 12. Fayols 14 Principles:Fayols 14 Principles: 1. Division of Work improves efficiency through a reduction of waste, increased output, and simplification of job training 2. Authority and Responsibilityauthority: the right to give orders and the power to extract obedience responsibility: the obligation to carry out assigned duties 3. Disciplinerespect for the rules that govern the organization
  • 13. 4. Unity of Commandan employee should receive orders from one superior only 5. Unity of Directiongrouping of similar activities that are directed to a single goal under one manager 6. Subordination of Individual Interests to the General Interestinterests of individuals and groups should not take precedence over the interests of the organization as a whole. 7. Remuneration of Personnelpayment should be fair and satisfactory for employees and the organization 8. Centralizationmanagers retain final responsibility subordinates maintain enough responsibility to accomplish their tasks
  • 14. 9. Scalar Chain (Line of Authority)the chain of command from the ultimate authority to the lowest 10. Orderpeople and supplies should be in the right place at the right time 11. Equitymanagers should treat employees fairly and equally 12. Stability of Tenure of Personnelmanagerial practices that encourage long-term commitment from employees create a stable workforce and therefore a successful organization 13. Initiativeemployees should be encouraged to develop and carry out improvement plans 14. Esprit de Corpsmanagers should foster and maintain teamwork, team spirit, and a sense of unity among employees
  • 15. Luther Halsey GulickLuther Halsey Gulick (1892-1992)(1892-1992) A specialist in municipal finance and administration Gulick works with the Institute of Public Administration, professor of municipal science and administration at Columbia, and serves on Franklin D. Roosevelts Committee of Government Administration Expands Fayols five management functions into seven functions:
  • 16. 1. Planning - developing an outline of the things that must be accomplished and the methods for accomplishing them 2. Organizing - establishes the formal structure of authority through which work subdivisions are arranged, defined, and coordinated to implement the plan 3. Staffing - selecting, training, and developing the staff and maintaining favorable working conditions 4. Directing - the continuous task of making decisions, communicating and implementing decisions, and evaluating subordinates properly
  • 17. 5. Coordinating - all activities and efforts needed to bind together the organization in order to achieve a common goal 6. Reporting - verifies progress through records, research, and inspection; ensures that things happen according to plan; takes any corrective action when necessary; and keeps those to whom the chief executive is responsible informed 7. Budgeting - all activities that accompany budgeting, including fiscal planning, accounting, and control
  • 18. Max WeberMax Weber (1864-1920)(1864-1920) German sociologist Weber first describes the concept of bureaucracy an ideal form of organizational structure He defines bureaucratic administration as the exercise of control on the basis of knowledge Weber states, Power is principally exemplified within organizations by the process of control
  • 19. Weber uses and defines the terms authority and power as: Power: any relationship within which one person could impose his will, regardless of any resistance from the other. Authority: existed when there was a belief in the legitimacy of that power.
  • 20. Weber classifies organizations according to the legitimacy of their power and uses three basic classifications: Charismatic Authority: based on the sacred or outstanding characteristic of the individual. Traditional Authority: essentially a respect for customs. Rational Legal Authority: based on a code or set of rules.
  • 21. Weber recognizes that rational legal authority is used in the most efficient form of organization because: A legal code can be established which can claim obedience from members of the organization The law is a system of abstract rules which are applied to particular cases; and administration looks after the interests of the organization within the limits of that law.
  • 22. The manager or the authority additionally follows the impersonal order Membership is key to law obedience Obedience is derived not from the person administering the law, but rather to the impersonal order that installed the persons authority
  • 23. Weber outlined his ideal bureaucracy as defined by the following parameters: A continuous system of authorized jobs maintained by regulations Specialization: encompasses a defined sphere of competence, based on its divisions of labor A stated chain of command of offices: a consistent organization of supervision based on distinctive levels of authority
  • 24. Rules: an all encompassing system of directives which govern behavior: rules may require training to comprehend and manage Impersonality: no partiality, either for or against, clients, workers, or administrators Free selection of appointed officials: equal opportunity based on education and professional qualification
  • 25. Full-time paid officials: only or major employment; paid on the basis of position Career officials: promotion based on seniority and merit; designated by supervisors Private/Public split: separates business and private life The finances and interests of the two should be kept firmly apart: the resources of the organization are quite distinct from those of the members as private individuals.
  • 26. (a) A tendency to a leveling of social classes by allowing a wide range of recruits with technical competence to be taken by any organization (b) Elite status because of the time required to achieve the necessary technical training (c) Greater degree of social equality due to the dominance of the spirit of impersonality or objectivity
  • 27. Common Criticisms of ClassicalCommon Criticisms of Classical Organizational TheoryOrganizational Theory Classical principles of formal organization may lead to a work environment in which: Employees have minimal power over their jobs and working conditions Subordination, passivity and dependence are expected work to a short term perspective Employees are lead to mediocrity Working conditions produce to psychological failure as a result of the belief that they are lower class employees performing menial tasks
  • 28. Activity:Activity: Break into four groups: Taylor, Fayol, Gulick and WeberBreak into four groups: Taylor, Fayol, Gulick and Weber Refer to the power point notes you have been given to examine aRefer to the power point notes you have been given to examine a classical organizational theorists principlesclassical organizational theorists principles Consider what you discussed about each principleConsider what you discussed about each principle Analyze how the theorists beliefs exist, dont exist, or areAnalyze how the theorists beliefs exist, dont exist, or are modified within todays educational worldmodified within todays educational world Please have someone take notes on your workPlease have someone take notes on your work Lead a discussion of how your theorists ideas relate to theLead a discussion of how your theorists ideas relate to the current system of educational administrationcurrent system of educational administration