Concept and meaning of management
Resources are
very limited in supply. All resources are to be managed by human. However,
human have unlimited wants. Therefore, there are limited resources and
unlimited wants and desire. Complete satisfaction is very necessary for better
functioning of every aspect of the society. Therefore, for complete
satisfaction in life resources are to be managed properly in such a way that
human achieve complete utility and benefit simultaneously. Thus, to manage all
resources available in such a way that it gives complete satisfaction to human
beings is the theoretical meaning of management.
To go on a deeper
level, management can be defined as art and skill of getting things done
through others is called management. More elaboration is given by George R
Terry. According to Terry-“management is the distinct process consisting of
planning, organizing, activating, and controlling activities performed to
determine and accomplishes the objectives by the use of people and resources.”
If we give our attention towards the definition we find that terry perceives
the management as a process a systematic way of doing things. The four
management activities are included under the process and they are planning,
organizing, activating and controlling.
MANAGEMENT = MANAGE+MEN+T (TACTFULLY)
Basically, there
are 5 concepts of management. They are:
1. Functional concept
Management
basically is the task of planning, coordinating, motivating and controlling the
efforts of other towards the goals and objectives of the organization.
According to this concept, management is what a manager does (planning,
executing, and controlling)
2. Human relation
concept
According to this
concept, Management is the art o getting things done through and with people in
organized groups. It is the art of creating an environment in which people can
perform and individuals could cooperate towards attaining of group goals. It is
an art of removing blanks to such performance a way of optimizing efficiency in
reaching goals.
3. Leadership and
decision making concept
According to this
concept, management is the art and science of preparing, organizing, directing
human efforts applied to control the forces and utilize the materials of nature
for the benefits to man.
4. Productive concept
According to this
concept, management may be defined as the art of securing maximum prosperity
with a minimum effort so as to secure maximum prosperity and happiness for both
employer n employee and provide best services thereby.
5. Integration
concept
According to this
concept, management is the coordination of human and material resources towards
the achievement of organizational objectives as well as the organization of the
productive functions essential for achieving stated or accepted economic goal.
These above
definition of management, given by different writers and authorities, are found
giving different senses. Virtually, the five concepts are found developed by
the authorities emphasizing in different aspects. However, it has been realized
by many that it will not be fair to define management based upon any one
aspect. Management can be taken as process-managerial process or social process
either engage in planning, organizing, staffing, directing and controlling or
mobilizing the group activities to achieve the corporate goals.
To overcome the
limitations of the above concepts, Theo Haimann, the leading management expert
has explained three basic concepts of management as under:
a. Management as a
process:-
Management is a
process. It includes the process of planning, controlling, coordinating,
motivating, and staffing. These processes are the series of interrelated
sequential functions. Processes refer to accomplish these mentioned activities.
Management is the efforts of organizational members to accomplish the
organizer’s objectives. This concept is very simple because
i. It is very simple
and very easy to understand
ii. It indicates
functions of management as a process
iii. It recognizes
management as a universal process
b. Management as a
discipline
the term
management is used as a subject of instructions. It is a specific branch of
knowledge which is studied in campuses and schools like economics, sociology,
mathematics, political science etc. the scholars of management have found that
the information and management are used in practical life for better
functioning. The scope of managenent is being increased day to day as a
discipline
c. Management as a
noun:
The word
management itself refers as a noun. There are many kinds of employees in an
organization . some people are involved in managerial function and some are
involved in operating functions. The individuals who manage the organization
and departments are managers. As a noun, the term management is used as single
name of managers, board of directors, managing directors, departmental
managers etc are included in management.
Thus, theo haiman
the leading management expert expiained the meaning and concept of management.
Characteristics
of Management
1. Universality:- management
is applied in government as well as non government sectors. It is used in
business and other type of organizations. Broadly, the management is applied in
society, nations and also houses. In other words the principle of management is
applicable in every area. Therefore, management is universal activity
2. Integrative:- according
to size and nature of business organizations, many departments may be
establishes. Departments, managers, customers, government, investors, society
etc must be integrated for the smooth operation of the organization. Therefore,
management is an integrative process.
3. Goal
oriented:- management is the means to achieve organizational goals.
Management maximizes efficiency of human effort for the operation of
organizational job. The success of management can be accessed on the basis of
attainment of organizational goals.
4. Art
and science:- management is the scientific Art. It contains special
knowledge, technique and principles. It applies that special knowledge,
techniques and principles to practical situations for better results.
5. Profession:- management
is the profession. It has own study mechanism on a whole series of cannons.
Policies and laws. It is based on a systematic study curriculum. The management
techniques, knowledge and principles are applied in practice. It is necessary
to study the full syllabus of management in a states period of time for the
managerial job in any organization.
6. Distinct
entity:- management is a distinct activity. It has proved that
management is a specialized art and science and only technically qualified
people can lead the organization.
7. Pervasive
function:- management is necessary for the success of all levels of
management. The principles and methods of management can be applied for the
smooth functioning of different departments and operational units. It is
applicable for the lower level, middle level and top level management
8. Group
effort:- management directs group efforts to the accomplishment of
organizational goal. It is a collective force of group efforts of persons.
9. Intangible:- management
is an intangible activity which cannot be seen. It is bound by a web
relationship between levels of employees. It makes and enforces rules for
better results. It can be judged by its effectiveness on the basis of
objectives
10. Social
process:- management is concerned with inter-relations and human
behavior. Management creates mutual understanding and cooperation among the
employees. Management jobs are related to the human actions.
Management as
science, art and profession
Management as
a science, it has systematized body of knowledge, concept and principles.
Management deals different problems and issues by using quantitative models and
decision making techniques and issues by using quantitative models and decision
making techniques to arrive at right decisions. As a science management
contains concepts, hypothesis, theories, experimentation all verified and
tested accordingly to clarify about cause and effect relationship between many
facts or events occurred.
→management is
systematic body of knowledge with theories, concepts, principles, experiments
and functions which are systematically and logically analyzed
→the theories
related to management are applicable and used in all types of organization
irrespective of size, type, capital and so on. However, the usage and method
may vary according to the situation of organization and time.
→all the
managerial knowledge and practices are developed through various observations
and experiments which are researched and experiment based
→tests of
management theories are applied in situational and judgmental cases which help
in prediction of future events.
→management is
not a pure science but a social science
→management
relates itself to cause and effect relationship. Results of modern management
are acceptable to all employees. Good and efficient management system enhances
the purity in organization.
Management as an art
Management
includes the activities of planning, organizing, direction, decision making,
regulating and integration of all resources which requires special skill and
art. According to Mary Parker,” management is an art of getting things done
through others. Management enables a manager to get thongs done through
employees.”
→management
performs non programmed and non routine work using creativity and innovations
→management
accomplishes any job within time and budget to achieve organizational goals
with ease.
→managers
apply their interest, ability and skills for solving contemporary issues
through decisions which ignite their creativity. They can use their skills in
field of job performance, solving exceptional issues, forming objectives etc.
→managers must
posses practical knowledge not only theoretical acquired from experiences which
helps in working according to situation
→managerial
activities are practices by using knowledge, ability and skill to solve the
problems.
Management as a profession
In general
sense, profession means occupation. Occupation is rendering service. Similarly
management is a distinct profession backed up by specialization. As a
professional activity all management efficient people should have academic
qualification and personal qualification from any body. Here profession is not
only an occupation of specialized skill but these skills should be applicable
in large scale and interest of society as a whole.
→management is
a separate discipline which includes research, observations and practice
→management
requires formal education and training with updates of professionalism.
→professional
managers must be joined in an association that follow rules and regulation
according to the objectives set.
→a
professional association requires code of conduct to maintain self discipline
ethical behavior. Violation of code must be punishable
→organizations
should be responsible towards society. An organization gets its birth in a
society, lives and grows in a society and finally liquidates or dissolves in a
society. Thu, an organization has responsibility towards members of society
such as consumer, investors, employees and shareholders.
Management
and administration
Management and
administration are synonymous:-Henry fayol, Kuntz, O’Donnell, Allen, terry,
Newman
→Management is
wider term than administration: – Barry Richman, Melvyn Copen
→Management and
administration are different functions: – Oliver Sheldon, W.R Spiegel, and
Ordway Teed
Management
and administration are synonymous:- According
to this concept, there is no distinction between management and administration
they are twin word rather. The authorities like Henry fayol, Kuntz, O’Donnell,
Allen, terry, Newman opine that Management is specialized activity used in
social institutions whereas administration is used in government sectors.
Management
is wider term than administration:- Management
experts of U.K claim that management is wider that administration and it
includes higher meaning than that of administration. Barry Richman and Melvyn
Copen opine that management includes administration and administration is just
an implementing agency.
Management =
administration +entrepreneurship
Management and administration are different functions:- Under this
concept much focus is given to administration. Administration is higher level
activity and is concerned with formulation of broad objectives, mission,
purpose and goals of organization. On the other hand, management is meant to
execute and regulate the business activities to accomplish the organizational
policies. Oliver Sheldon, W.R Spiegel, Ordway Teed opine that administration is
determinative function relating to determining major mission considering the
public opinion, government policies, social and external factors.
Difference
between administration and management
Bases
of differences
|
Administration
|
Management
|
Nature
|
It is thinking or determining function.
|
It is doing or executive function.
|
Types of work
|
It relates with formulation of plans and objectives.
|
It is operative level.
|
Level of authority
|
It is top level activity.
|
It is operative level activity.
|
Decision making
|
It considers public opinion, government policies, social
and external factors for taking decisions.
|
It considers decisions influenced by values, opinions and
beliefs.
|
Status of performer
|
It consists of investors.
|
It consists of paid employees.
|
Use
|
It is used in government sectors.
|
It is used in private sectors.
|
Main functions
|
Planning and organizing
|
Directing and controlling
|
Ability
|
Requires administrative quality
|
Requires technical and professional ability
|
Functions of
Management
. Planning:- planning
means the determination what is to be done, how and where is to be done, who is
to do it and how the results are to be evaluated. Planning consists of :-
a. Establishing
objectives
b. Formulating
rules and regulations
c. Developing
programs
d. Scheduling
e. Budgeting
2. Organizing:- it
means identification and grouping the activities to be performed and dividing
them among the individuals and creating authority and responsibility relationships
among then for the accomplishment of organizational objectives. It consists of
:-
a. Determination
of objectives and identification of activities necessary to achieve the
objectives
b. Delegation
of authority and relationship among individuals.
c. Coordination
of activities and assignment of duties.
d. Division
of activities into different units or departments
3. Staffing:- human
resources management is a process consisting of the acquisition, development,
motivation and maintenance of human resources. it consists of :-
a. Manpower
planning to determine the quality and quantity of employees required for
the jobs to b done
b. Recruitment
for attracting qualified persons
c. Selection
of best candidate
d. Placement
of the right man for the right job
e. Training
and development to increase new skills, knowledge and competency to do job
f. Motivation
of employees
g. Evaluation
performance of employees
h. Employees
welfare
4. Directing:- direction
embraces those activities which are related to guiding and supervising
subordinates .it consists of :-
a. Supervising
the subordinates
b. Communicating
the information
c. Providing
effective leadership
d. Motivating
employees
5. Controlling:- controlling
is the process of monitoring activities to ensure that they are being
accomplished as planned and of correcting any significant deviations. It
consists of :-
a. Determination
of standard performance
b. Measurement
of actual performance
c. Compares
the actual performance with the standard
d. Analyzes
deviations
e. Take
corrective actions if necessary.
Levels of
Management
1. Top
level management:- It includes board of directors, chief executive or
general managers , senior strategist, decision making, directors . Corporate
level goals, missions and objectives are determined. The major functions of
this level are:-
A. To
formulate and determine the objectives and define the goals of the business
B. To
establish policies and prepare plans to attain the goals
C. To set
up an organizational structure to conduct the operations as per the plans
D. To
provide the overall direction in the organization
E. To
assemble the resources necessary for the attainment of the policy and execution
of the paln
F. To
control effectively the business operations
G. To judge
and evaluate the results
2. Middle
level management:- It includes departmental managers, divisional heads
and section officers. It acts as a bridge between top level management and
lower level management. the major functions of this level are:-
A. To
implement the task set up by top management
B. To
implement the policies framed by the top management
C. To run
the organizations effectively and efficiently
D. To
cooperate for the smooth functioning of the organizations
E. To
coordinate between different departments
F. To
recruit , select and train the employees for the better functioning of the
departments
G. To issue
the instructions to the lower level management
H. To
motivate the workers and staffs for higher productivity and to reward them.
I. To lead
the departments and build up an organizational spirit
J. To
report and make suitable recommendations to the top level management for the
better execution of the plans and policies
3. Lower
level management:- It includes supervisors, foremen and workers. it is
also known as supervisory level of management in which the supervisors or foreman
like sales officers , account officers etc take responsibilities of the
implementation and control of the operational plans developed by the middle
level managers. The function of this level are: –
A. To issue
the orders and instruction to the workers to supervise and control the
performance
B. To plan
the activities of the sections.
C. To
direct and guide the workers about the work procedures
D. To
provide job training to the workers
E. To
arrange the necessary tools, equipment , materials fro the workers and look
after their proper maintenance
F. To solve
the problem of workers
G. To
develop sense of cooperation and high group spirit among the workers
H. To
advise the middle level about the work environment
I. To
inform the unsolved problems of the workers to the middle level management
Chapter 2
Meaning of
principle of management
A principle is
a rule or belief governing one’s personal behavior. It is a fundamental truth
or proposition that serves as the foundation for a system of belief or behavior
or for a chain of reasoning.” Principle is a fundamental statement of
truth that establishes a cause and effect relationship between two or more
variables. Principles are a guide to thought and action. If any principles are
applied results are expected. Descriptive principles describe the relationship
between variables and prescriptive principles indicate what a person should do
for the betterment of his interest to achieve prosperity.
Principle
of management is concerned with managerial aspect of organization. It is
believed that management is as old as mankind however systematic approaches to
management are the outcome of efforts made in 20th century.
Nature of management
principles
· Management principles
are flexible and change with change in environment thus cannot be regarded as
final truth. Principles should be applied according to need, place time and
social culture. Continuous research re to be carried out.
· Management
principles are relative and are applied according to the needs of particular
organization.
· Management
involves the direction of human behavior in an organization which are directed
towards regulating human for best result.
· Management
principles establish cause and effect relationship. The effects are based on
management principles which are based on predictions based upon division of
labor which results efficiency. Here division of labor is cause and efficiency
is result.
The following are the
main reasons which highlight the importance of the principles of Management:
· Improving efficiency
of managers: Management
principles serve as a guideline for doing work with greater efficiency. These
principles help managers to take a more realistic view of different managerial
problems and to direct human behavior effectively. The conscious manager can
become more effective by using the established management principles to solve
problems.
Importance of
principles of management
· Improving art of
management:Management principles
help in improving the art of management by suggesting how things should be done
to get good results in an efficient manner. These principles provide a means of
organizing knowledge and experience in management.
· Useful for research
and practical guidance: The
network of management principles represents a key area for conducting research
studies. These principles have expanded the horizons of knowledge and promoted
further research. These principles have provided new ideas, imagination and
vision to the organization.
· Helpful in management
training:Management principles
are also needed to train managers. These principles provide a conceptual
framework for systematic training and development of future managers. New
techniques of management training make training programs more meaningful and
efficiency.
· Useful for spreading
knowledge: Management
principles are useful for spreading knowledge of management through teaching.
The teaching of management principles continues to be an integral part of
management education. These principles help to develop an organized body of
knowledge by management practitioners, thinkers and philosophers.
· Evaluating the
behavior of managers:Management
principles prescribe what one should do to improve things in some ways. These
principles attempt to prescribe and evaluate the behavior of the managers of
the organization.
· Attaining
social goals: Management principles have helped to attain the social goals by
increasing efficiency and productivity in the use of scarce resources. The
supply of quality goods at a reasonable price boosts social welfare.
Taylor’s
scientific management concept and his contributions
Scientific management
concept
Scientific
management concept is one of the principles of management and is also known as
classical theory. This principle is propounded by Fredrick Winslow Taylor (F.W
Taylor) – the father of management. He was born in USA in 1856. He joined
Midvale steel company where he worked as a machine shop worker for two years as
gang boss for some years and as chief engineer at the age of 28.he also joined
Bethlehem steel company where he served for a long time. Later he devoted his
time to develop the concept of scientific management.
He noticed
that there were much disorder and wastage of human as well as other resources
at work place. The managers and staffs had no concept about systematic and
efficient performance of task. And all were following traditional ways of doing
work. So he tried to remove these problems through the development of new
concept. Thus the scientific management concept was developed.
Contributions of
F.W Taylor
While working
in Midvale Company as a manager Taylor observed that employees were not
performing as per their capacity of productivity. And he considered that this
condition was occurring because of no care towards the waste. Taylor worked
towards the experiments at his work place to increase the worker’s efficiency
so that maximum output could be achieved by utilizing effort at maximum level.
1. Scientific task
setting:- Taylor observed that the management does not know exactly
the works – pieces of work- volume of works- which are to be performed by the
workers during a fixed period of time- which is called working day. In a
working day how much work is to be dome by a worker but be fixed by a manager
and the task should be set everyday. The process of task setting requires
scientific technique. To make a worker do a quantity of work in a working day
is called scientific task setting
2. Differential
payment system:- under this system, a worker received the piece rate
benefit which will attract the workers to work more for more amount of wages
and more incentives would be created to raise the standardization of output to
promote the workers to produce more and perform more task than before and
utilize waste time to earn more wages.
3. Reorganization of
supervision:- concepts of separation of planning and doing and
functional foremanship were developed. Taylor opines that the workers should
only emphasize in planning or in doing. There should be 8 foreman in which 4
are for planning and 4for doing. For planning they were route clerk,
instruction cord clerk, time and cost clerk and disciplinarian. And for doing
they were speed boss, gang boss, repair boss and inspector.
4. Scientific
recruiting and training:-staffs and workers should be selected and employed
on scientific basis. Management should develop and train every workers by
providing proper knowledge and training to increase their skills and make them
effective
5. Economy:- efficient
cost accounting system should be followed to control cost which can minimize
the wastages and thoroughly reduced and thus eliminated.
6. Mental
revolution:- Taylor argued that both management and workers should try
to understand each other instead of quarreling for profits and
benefits which would increase production, profit and benefits.
Principles of
scientific management
Replacing the
rule of thumb with science:-it requires scientific study and analysis of
each element of job in order to replace the old rule of thumb approach. Only
through scientific investigation and standardization better way of work can be
developed. Scientific selection of employees requires that decisions to make on
facts rather than on opinions and beliefs.
2. Harmony
in group activities:- in the past there was only discord. Taylor has
emphasized harmony among employee and employer to attain common goals which
could help to contribute to the maximum limit.
3. Cooperation:- cooperation
between management and labor is the major foundation of scientific management.
It creates a sense of mutuality through which maximum prosperity can be guaranteed.
4. Development
of employees:- personnel management must be backed up by scientific
selection of employees along with proper training to them. Efforts should be
made to develop each employee to achieve efficiency and prosperity.
5. Division of
responsibility:- introduction of functional foremanship made division
of responsibility. Many foremen should be appointed out of which 4 for planning
and 4 for doing. In planning they were route clerk, instruction cord clerk,
time and cost clerk and disciplinarian. And for doing they were speed boss,
gang boss, repair boss and inspector. This promoted division of work which
promoted division of responsibility
6. Maximum
output:- Taylor was more concerned with continuous increase in
production and productivity. It maximum output is derived from optimum
utilization of resources than surely it will bring higher profits and better
benefits to the employer and employees.
Advantages
and Limitations of scientific management
vantages of scientific
management :-
To employees
a. Better
utilization of resources through scientific techniques
b. Scientific
selection and training of employees leads to better workforce which ensures
increase in efficiency
c. Harmonious
relationship between the workers and the management
d. Standardization
of tools, materials, techniques , equipments for increasing efficiency
e. Reduction
of production cost
To workers
a. Opportunity
for scientific training and development to increase skills knowledge and
competency
b. Better
working conditions
c. Application
of scientific methods and techniques in better working conditions to reduce
fatigue
d. Higher
wages to the workers for higher productivity
To society
a. People
get better quality products at lower cost
b. Increase
productivity in the country by utilizing resources properly
c. Improve
standard of living of people through better products
d. Scientific
investigation promotes technological development
Limitations of
scientific management: –
a. It is
based upon one best way and is applicable for simple organizations than that
for today’s dynamic and complex organization
b. It
focuses on individual performance than group efforts and divides the workers
into efficient and inefficient categories
c. It is
focused on specialization and repetition of jobs to increase the productivity
which reduces innovation and creativity and promotes monotony
d. It
neglects human factor because it motivates workers to work for monetary
benefits rather than human resource development and resources
e. There is
no scope for creativity of employees because they are developed by manager
which promotes frustration.
Fayol’s
administrative management theory
Henry Fayol
was born in 1841 as French. He is the industrialist who developed the
administrative theory. He is also known as father of general management. He got
his engineering degree and joined a French company as an junior executive in
1860 and senior executive in 1888. He published his classic book on
general and industrial administration in 1928, which explained the first
complete theory of management. He emphasized on 14 principles of general
management and attempted to provide guidance and direction to other management.
Fayol’s management
principles
1) Division of work: – This principle
implies on dividing the total task into compact jobs and thus allocating them
to different individuals which promotes specialization and efficiency in both
technical and managerial level. It helps to acquire speed and accuracy in performance.
2) Authority and responsibility: – Authority
means to give order and power to exert obedience whereas responsibility means
obligations to perform work in the manner directed and desired. Authority and
responsibility are co existed and leads to responsive behavior and efficiency.
3) Discipline :- Discipline implies
obedience, respect and establishment and regulations which are essential for
smooth running of all organizations for good supervision and built in system of
reward an punishment
4) Unity of command: – Subordinates
should receive orders from single superior at a time and all subordinates
should be accountable to that superior. More superior leads to confusion, delay
and so on.
5) Unity of direction: – One plan must be
formulated for a group of activity and all the related activities should be put
under one group show that efforts of managers of a single group can be directed
towards achievement of common goal.
6) eSpirit de corps : – This term
comprises of two principles namely union is strength and team spirit is most
essential. There should be cooperation and team work among members of the
organization. The managers should always make effort to ensure harmony among
the subordinates.
7) Equity: – Subordinates should be
treated with justice, equity and kindness so that there can not be nepotism and
favoritism while selection of workers, treating the workers which helps to
promote friendly environment between superior between superior and
subordinates.
8) Centralization: – It implies concentration
of authority at the top level. No hard fast rules can be laid down regarding
the extension of authority to be retained at the top level. Centralization and
decentralization should be proportionately decided.
9) Scalar chain: – It refers to chain of
superior ranging from top to low ranks in a management. It determines the clear
line of authority from top to bottom linking managers at all levels. All
communication should flow the established chain of command.
10) Order: – It refers to arrangement of
resources in the organization. It implies right place for everything. It
stresses upon proper utilization of physical, natural, capital and
organizational resources.
11) Stability of tenure: – It takes time
to learn and get a job therefore a reasonable time should be provided to all
employees for securing better results and guarantee of service. Stability of
employees promotes team work, loyalty to the organization
12) Initiative: – It means eagerness to
initiate action in work related matters without being asked to do so .it is a
powerful motivator of human behavior and is a source of strength for the
organization.
13) Remuneration of personnel:- The
remuneration payable to employees should be fair and reasonable .management
must ensure a fair reward for the work and decide the equitable method of
calculating wages
14) Superiority of organizational interest: – Personal
interest must be discarded and general interest must be maintained.
Organization is bigger than an individual .therefore the interest of the
organization must prevail upon the interest of an individual.
Max Weber
principle of bureaucratic theory
Max Weber a
German sociologist propounded the theory called principle of bureaucracy – a
theory related to authority structure and relations in the 19thcentury. According to him,
bureaucracy is the formal system of organization and administration designed to
ensure efficiency and effectiveness. He suggested an ideal model for management
as bureaucratic approach. He, in the book the theory of social and economic
organizations, explained the basic principles of bureaucracy. He gave emphasis
on division of labor, hierarchy, detailed rules and impersonal relations.
Principles
of bureaucratic theory
1) Job specialization:
– Jobs are divided into simple, routine and fixed category based on
competence and functional specialization.
2) Authority hierarchy:
– Officers are organized in a n hierarchy in which higher officer controls
lower position holders i.e. superior controls subordinates and their
performance of subordinates and lower staff could be controlled.
3) Formal selection:
– All organizational members are to be selected on the basis of technical
qualifications and competence demonstrated by training, education or formal
examination.
4) Formal rules and regulations:
– To ensure uniformity and to regulate actions of employees, managers must
depend heavily upon formal organizational rules and regulations. Thus, rules of
law lead to impersonality in interpersonal relations.
5) Impersonality:
– Rules and controls are applied uniformly, avoiding involvement with
personalities and preferences of employees. Nepotism and favoritism are not
preferred.
6) Career orientation:
– Career building opportunity is offered highly. Life long employment and
adequate protection of individuals against arbitrary dismissal is guaranteed.
Here managers are professional officials rather than owners units they manage.
They work for a fixed salaries and pursue their career within the organization.
Limitations of
bureaucratic theory
1) Informal relationship is not
considered: – It does not consider the informal
relationships between individuals working in the organizations.
2) Outdated system:
– Its system of control and authority are outdated which can’t work in
such a changed environment.
3) Inadequate means:
– Bureaucratic theory does not posses adequate means resolving differences
and conflicts arising between functional groups.
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