Classical

Organizational
Theory
Vincent Myers
And
Nina Presuto

Main idea
of classical organizational theory
There is one best way to perform a task

Classical organizational theory

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 Classical

Organizational Theory:
Scientific Management:
Frederick Taylor

Administrative Management:
Henri Fayol
Luther Halsey Gulick
Max Weber

Frederick Taylor
Taylor is born in Pennsylvania on March 20,
1856
After studying in Europe, he plans to go to
Harvard, but does not pass the entrance exams
Instead Taylor works as a pattern maker at a
pump manufacturing company in Philadelphia
Later, he studies mechanical engineering at
Stevens, finishing in just three years.

Taylor identifies two people as having

influenced him:
Lucian Sharpe impresses Taylor with his focus,
concentration, and task commitment
John Griffith teaches Taylor how to be an
appreciative, respectful, and admirable
working mechanic

Midvale 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 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 of
Scientific 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 Fayol
Engineer and French industrialist
In France works as a managing director in coalmining 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 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:
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 Gulick

(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 Weber
(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 Classical

Organizational 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:
Break into four groups: Taylor, Fayol, Gulick and Weber
Refer to the power point notes you have been given to examine a
classical organizational theorists principles
Consider what you discussed about each principle
Analyze how the theorists beliefs exist, dont exist, or are
modified within todays educational world
Please have someone take notes on your work
Lead a discussion of how your theorists ideas relate to the
current system of educational administration