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Classical Management School

Henri Fayol is considered the founder of the classical management school because he was the first to systematically analyze and identify principles of management. He outlined 14 principles including: division of work, authority and responsibility, discipline, unity of command, unity of direction, subordination of individual interests, remuneration, centralization, scalar chain, order, equity, stability of tenure, initiative, and esprit de corps. The Hawthorne studies from 1924-1932 examined the effects of changes in lighting and working conditions on productivity and found that social factors and informal group influence impact individual behavior and job satisfaction more than physical conditions alone.

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16 views42 pages

Classical Management School

Henri Fayol is considered the founder of the classical management school because he was the first to systematically analyze and identify principles of management. He outlined 14 principles including: division of work, authority and responsibility, discipline, unity of command, unity of direction, subordination of individual interests, remuneration, centralization, scalar chain, order, equity, stability of tenure, initiative, and esprit de corps. The Hawthorne studies from 1924-1932 examined the effects of changes in lighting and working conditions on productivity and found that social factors and informal group influence impact individual behavior and job satisfaction more than physical conditions alone.

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rawal rajiv
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HENRI

FAYOL’S
INTRODUCTION
Henri fayol ( 1841-1925 ) is generally hailled
as the founder of the classical management
school, not because he was the first to
investigate management behavior but because
he was the first to systematize that can be
identified and analyzed.
14 Principles of Management
1. DIVISION OF WORK:
Work should be divided among individuals
and groups to ensure that effort and attention
are focused on special portions of the task.
Fayol presented work specialization as the best
way to use the human resources of the
organization.
2. AUTHORITY:
The concepts of Authority and responsibility
are closely related. Authority was defined by
Fayol as the right to give orders and the power
to exact obedience. Responsibility involves
being accountable, and is therefore naturally
associated with authority. Whoever assumes
authority also assumes responsibility.
3. DISCIPLINE:
A successful organization requires the
common effort of workers. Penalties should be
applied judiciously to encourage this common
effort.
4. UNITY OF COMMAND
Workers should receive orders from only one
manager.
5. UNITY OF DIRECTION:
The entire organization should be moving
towards a common objective in a common
direction.
6. SUBORDINATION OF
INDIVIDUAL INTERESTS TO THE
GENERAL INTERESTS:

The interests of one person should not take


priority over the interests of the organization
as a whole.
7. REMUNERATION:
Many variables, such as cost of living, supply
of qualified personnel, general business
conditions, and success of the business, should
be considered in determining a worker’s rate
of pay.
8. CENTRALIZATION:
Fayol defined centralization as lowering the
importance of the subordinate role.
Decentralization is increasing the importance.
The degree to which centralization or
decentralization should be adopted depends on
the specific organization in which the manager
is working.
9. SCALAR CHAIN:
Managers in hierarchies are part of a chain like
authority scale. Each manager, from the first line
supervisor to the president, possess certain amounts
of authority. The President possesses the most
authority; the first line supervisor the least. Lower
level managers should always keep upper level
managers informed of their work activities. The
existence of a scalar chain and adherence to it are
necessary if the organization is to be successful.
10. ORDER:
For the sake of efficiency and coordination, all
materials and people related to a specific kind
of work should be treated as equally as
possible.
11. EQUITY:
All employees should be treated as equally as
possible.
12. STABILITY OF TENURE OF
PERSONNEL:
Retaining productive employees should
always be a high priority of management.
Recruitment and Selection Costs, as well as
increased product-reject rates are usually
associated with hiring new workers.
13. INITIATIVE:
Management should take steps to encourage
worker initiative, which is defined as new or
additional work activity undertaken through
self direction.
14. ESPIRIT DE CORPS:
Management should encourage harmony and
general good feelings among employees.
Behavioral School
Human Relations

The Hawthorne Experiments


began in 1924 and continued
through the early 1930s. A
variety of researchers
participated in the studies,
including Clair Turner, Fritz
J. Roethlisberger, and Elton
Mayo, whose respective
books on the studies are
perhaps the best known.
1-) Illumination experiments.(1924-
27)
Experiments to determine the effects
of changes in illumination on
productivity
2-) Relay assembly test room
experiments.(1927-28)
Experiments to determine the effect
of change in hours and other working
condition on productivity
3-) Mass interview programme
( 1928-30)
Conducting plant-wide interviews to
determine workers attitude and
sentiments.
4-) bank wiring observation room
experiments(1931-32)
Determine and analyze of social
organization at work.
Conclusion of Hawthorne
Studies
workers' attitudes are associated with productivity
Another was that the workplace is a social system and
informal group influence could exert a powerful effect on
individual behaviour
the style of supervision is an important factor in
increasing workers' job satisfaction
organizations should take steps to assist employees in
adjusting to organizational life by fostering collaborative
systems between labor and management
Sy st em
A p p r oa c h

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