Management Theory
Management theory is a long-established branch of business and management studies. Although management theory has its roots in ancient practices, it has experienced a significant amount of development since its modern emergence in the late 19th century. Initially managerial practices were based on a combination of scientific principles and empirical knowledge rather than an overall framework of theoretical facts. However, during the 20th century, a great deal of effort went into developing an effective and holistic system of management theory.
Early development
The modern era of management theory began with the establishment of a number of foundations, including the publication of two seminal works by Henry Fayol and Frederick Taylor. In 1916, Fayols Principles of Management provided the first comprehensive attempt to structure and organize the nebulous discipline of management. Fayols work established the basis for the administrative theory of management, which established the primacy of centralized administration as a means of organizing work in large organizations.
At the same time, Taylors Scientific Management set out to improve the efficiency and ability of employees by organizing them into specialized and time-bound tasks. This idea, known as scientific management, was a major influence on the organizational systems of many companies throughout the 20th century.
Behavioral Management Theory
The 1950s saw the emergence of the first systematic efforts to understand and combine the human aspects of management. Behavioral management theory, championed by Abraham Maslow, Douglas McGregor and Elton Mayo, began to recognized the importance of understanding human motivation and the dynamics of interpersonal relationships in management. This approach focused on understanding how humans react to elements and conditions of the workplace and was based on the idea that employees must be managed as individuals and resources for organizational success.
Systems Theory
The development of systems theory in the 1950s and 1960s marked a significant shift in management theory away from the centralized structures of administrative management. Systems theory emphasized the interrelatedness of all organizational elements and offered a model for understanding organizations as open systems that must interact with their environment and incorporate an element of change and adaptation.
Contingency Theory
Building on the systems approach, contingency theory further developed the idea of organizations as interactive elements and argued that successful management requires the knowledge of environmental influences. This approach focused on the idea that managers must be flexible and adaptive, tailoring their approach to the circumstances at hand. Contingency theory was also seen as a corrective to the popular theories of scientific management and behavioral management.
Postmodern Theory
The advent of postmodern theory marks the most significant recent shift in the field of management theory. Postmodern management theories are characterized by their focus on the importance of social values and ideals in organizations. This theory emphasizes the importance of communication and collaboration in the workplace and the need for organizations to be flexible and responsive to changing social values and demands.
Conclusion
The development of management theories has provided the foundation for an effective and comprehensive approach to managing businesses and organizations. Through an understanding of the various approaches to management, organizations can create an effective system of management that accommodates the needs of the organization, its employees, and the environment in which it operates.
