CLASSICALTHEORY

Abroaderapproachtoorganisationwasinitiatedbyagroupofwriterswhoseinterestwaschieflyin
formalorganisationstructureandthebasicmanagementprocess.MarchandSimonhavecharacterized
thisbodyofknowledgeasadministrativemanagementtheoryanditsproponentswerecalled
developmentalists.Thisisalsoknownasthetraditionalorclassicaltheoryofmanagement.The
combinationofthedefinitionofthefieldasproposedbyWilsonandtheScientificManagementand
Departmentalismprescriptionsfororganisationmanagementandstructure(relyingheavilyonhierarchy
asaprimarymechanismforcontrolandcoordination)constitutedthecoreoftheclassicalapproachto
publicadministration.Weberisalsorelatedtotheclassicalapproach,buthisanalysiscoveredmuch
widerground.ScientificmanagementalsointheclassicalmouldasdevelopedbyTaylorandhis
followerswasnarrowlyconceivedasitfocussedonefficiencyattheoperativelevel.
HenriFayol,Hebelievedthattherewasasingleadministrativesciencewhoseprincipleswere
applicablenotonlytobusinessbutalsotogovernment,religiousandotherorganisations.In1916,he
publishedapaperentitledGeneralandIndustrialManagementwhichwaslaterbroughtoutinabook
form.Evennow,thisisconsideredoneoftheclassicsofmanagementthought.Knowledgeof
administrationratherthantechnicalknowledge,accordingtoFayol,iswhatisneededathigherlevelsof
anorganisation.Hedefinedtheprimaryfunctionofadministrationas
1. toplan
2. toorganicbothmenandmaterials
3. tocommandortotellthesubordinateswhattodo
4. tocoordinate
5. tocontrol.
FaoylsPrinciplesofManagement:Fayolevolvedfourteenprinciplesofmanagementwhichmaybe
brieflystatedasfollows:
1.Divisionofwork:Theobjectofdivisionofworkistoderivethebenefitsfromtheprincipleof
specializationwhichcanbeappliednotonlyintechnicalworkbutinallotherworkaswell.UnlikeTaylor,
Fayolpointedoutthatthedivisionofworkhasitsobviouslimits.
2.Authorityandresponsibility:Authorityandresponsibilityarecorrelatedterms.Responsibilityisthe
essentialcounterpartofauthorityandtheygohandinhandtogether.
3.Discipline:Disciplineisinessenceobedience,application,energybehaviour,andoutwardmarksof
respectshownbyemployees.
4.UnityofCommand:Thisprinciplerequiresthatanemployeeshouldreceiveordersfromonesuperior
only.Dualcommandwreckshavocinallconcerns,sinceauthorityisundermined,disciplineisin
jeopardy,orderdisturbedandstabilitythreatened.

5.Unityofdirection:Whileunityofdirectionisconcernedwiththefunctioningofthebodycorporate,
unityofcommandisonlyconcernedwiththefunctionofpersonnelatdifferentlevels.Forthe
accomplishmentofagroupofactivitieshavingthesameobjectives,thereshouldbeoneheadoneplan.
6.Subordinationofindividualinteresttogeneralinterest:Commoninterestmustprevailover
industrialinterest,butsomelikeambition,laziness,weakness,andotherstendreducetheimportance
ofgeneralinterest.
7.Remunerationofpersonnel:Asthepriceofservicesrendered,remunerationshouldbefairand
satisfactorytoboththeparties.
8.Centralization:Everythingwhichgoestoincreasetheimportanceofthesubordinatesroleis
decentralization,everythingwhichgoestoreduceitiscentralization.
9.ScalarChain:Itisthechainofsuperiorsorthelineofauthorityfromthehighestexecutivetothe
lowestoneforthepurposeofcommunication.
10.Order:Materialorderrequiresaplaceforeverythingandeverythinginitsplaceandsocialorder
demandstheengagementsoftherightmanintherightplace.
11.Equity:Equityisgreaterthanjustice,sinceitresultfromthecombinationofkindlinessandjustice.
12.Stabilityoftenure:Stabilityoftenureisessentialtogetinemployeeaccustomedtodoinganew
workandtoenablehimtoperformitwell.
13.Initiative:Thefreedomtopurposeaplanandtoexecuteitiswhatisknownasinitiativethat
increaseszealandenergyonthepartofhumanbeings.
14.Espritdecorps:Itrestsontheadageunionisstrength.
Inhismonograph,GeneralandIndustrialManagement,aswellasinhispubicspeeches,Fayolhastime
andgainpointedouttheuniversalityofmanagementprinciples.Toquotefromhismonograph,This
(Management)codeisindispensable.Beitacaseofcommerce,industry,politics,religion,waror
philanthropy,ineveryconcernthereisamanagementfunctiontobeperformed,andforits
performancetheremustbeprinciples,..
FayolsFollowers
AfterFayol,hislineofthoughtwasfurtherelaboratedbyanumberofwritersduringthe1920sand
1930s.In1937,GulickandUrwickeditedPapersontheScienceofAdministration,whichwasreportto
PresidentRooseveltsCommitteeonAdministrativeManagement.Astheysaid:Itisthegeneralthesis
ofthispaper.thatthereareprincipleswhichcanbearrivedatinductivelyfromthestudyofhuman
organizationwhichshouldgovernarrangementsforhumanassociationofanykind.Theseprinciplescan
bestudiedasatechnicalquestion,irrespectiveofthepurposeoftheenterprise,thepersonnel
comprisingit,oranyconstitutional,politicalorsocialtheoryunderlyingitscreation.

Thisisanassertionofpositivismanduniversalism.Administrationisascienceandtheprinciplesare
universallyapplicable.IntheirenthusiasmforacientismGulickandUrwicklaiddownsevenprinciplesof
administrationthatcametobeexpressedasPOSDCORB(planning,organising,staffing,directing,
coordinating,reporting,andbudgeting).Theirgeneralapproachcanbesummedupasfollows:
a. Theremustbeaclosematchbetweenpeopleandorganisationalstructure.
b. Unityofcommandisessentialtotheorganisation.
c. Departmentalstructureshouldbebasedonpurpose,process,persons,andplace.
d. Responsibilityshouldbecommensuratewithauthority.Delegationshouldbecarefullyplanned.
e. Spansofcontrolshouldberightlyconstructedinanorganisation.
f.

Sourceofauthorityshouldbeclearlyconcentratedinonetopexecutive.

TwoGeneralMotorsexecutivesintheU.S.A,JamesD.Moone)andAlanC.Reiley,madeimportant
contributionstoadministrativemanagementtheory.Theylaidemphasisonfourmajorprinciples:
a. theprincipleofcoordinationinpursuitofunityofaction
b. thescalarprincipleemphasisinghierarchyinorganisation:design,
c. thefunctionalprincipletobefollowedinorganizingtaskintodepartments,
d. thestaffprincipleforgivingadviceandinformationalongsidelinemanagementfortheexercise
ofauthority.
Theirwritingspopularisedsuchdevicesasorganisationchartsandmanuals.
MARYPARKERFOLLETT(DYNAMICADMINISTRATION)
Organisationwas;toherasocialsystemandmanagementasocialprocess.Psychologicaland
sociologicalaspectsofmanagementweregivenprominenceinherwritings.Unlikemostofher
contemporaries,sheattachedspecialsignificancetolateralcoordination,authorityacceptanceinan
organisation,integrationofindividualsandorganisation,andadministrativechange.Inmanyways,
Follettcanbelookedatastheforerunnerofbehaviouralscienceapproachtoorganisationalanalysis.
Ofmanyofherinnovativeidea,deservespecialmention.
First,socialconflict,inherview,isinevitable.
Second,cooperationinanorganisation,accordingtoFollett,isaprocessandanoutcome,nota
precondition.Thisgoesagainstthedominantparadigminorganisationtheoryliteraturethat
organisationisacooperativesocialsystem.Third,groupprocessconstitutesacriticalthemeinFolletts
thoughtprocess.Asshesaid,individualsachievetheirtrueexpressiongrouprelationships;individual
activitiesrealiseincreasedrangeandenhancedsignificanceinthegroupsetting.

Fourth,communicationinanorganisation,inherview,shouldflowhorizontally.Thisisinrefutationof
theclassicalviewthatcommunicationshouldfollowtheformalchainofcommand.AccordingtoFollett,
controlintheorganisationispluralisticandcumrnulative.Herealso,herviewrunscountertothe
conventionalideaofcontrolbeingconcentratedintheapexoftheorganisationalpyramid.Shehas
arguedthatauthorityshouldflowfromthelawofsituation,ratherthanbebasedonpersonal
impositioninanovelway,shehasconceptualisedleadershipastheabilitytocreatefunctionalunityin
theorganisationthroughpropercorrelationofcontrolsinsteadofpersonalpowertocommandbased
onposition.Apersonwellaheadofhertime,Follettpresentedinnovativeideasthathaveinfluenced
behaviouralanalysisoforgnaisationlifeverysignificantly.
Criticism
Itgoestothecreditoftheclassicaltheoriststopointoutthemanagementinanorganisationdeserves
carefulobservationareanalysis.Theprinciplesidentifiedbythemhavebeenfollowedthestructuring
oforganisations.Manyofthesearestillfoundusefulinorganizationalanalysis.Thecritics,however,
havenotsparedtheclassicaltheorists.Afewmajorcriticismsareasfollows:
1.Theprincipleofdivisionofworkandspecializationiseasytounderstand,butittellsverylittleabout
howthetaskinanorganisationshouldactuallybedivided.Theprincipleofspanofcontrol,whichlooks
apparentacceptable,doesnotprovideaspecificguideline.Inactualsituationsthespanofcontrolhas
beenfoundtobemuchwiderthanwhattheprinciplesuggests,andyettheorganisationsconcerned
haveoperatedsuccessfully.
2.AshortspanofcontrolandashortchainofcommanddonotgotogetherHerbertSimonhasseverely
criticisedtheclassicaltheoristandhasrightlydismissedtheprinciplesasnomorethatproverbs.He
haspointedouttheseriouscontradictionsthus.
Theprincipleofunityofcommandisperhapsmoredefensibleifnarroweddowntothefollowing:In
casetwoauthoritativecommandsconflict,thereshouldbeasingledeterminatepersonwhomthe
subordinateisexpectedtoobey,andthesanctionsofauthorityshouldbeappliedagainstthe
subordinateonlytoenforcehisobediencetothatoneperson...Eventhisnarrowerconceptofunityof
commandconflictswiththeprincipleofspecialization,forwheneverdisagreementdoesoccurandthe
organisationmembersreverttoformallinesofauthority,thenonlythosetypesofspecializationwhich
arerepresentedinthehierarchyofauthoritycanimpressthemselvesondecision.
GulicksrecommendationfordepartmentalizationhasbeencriticisedbySimonforitsambiguity.An
educationdepartment,ashepointsout,canbelookedatasapurposeorganisation(meantfor
education)oraclienteleorganisation(forchildren).Similarly,theforestserviceorganisationcouldbe
thoughtofbeingbasedonpurpose,clientele,orarea.Classicaltheoryhasbeenmostseverelycriticised
bythebehaviouralscientists.Ithasbeencharacterisedastoomechanisticandincompatiblewithhuman
nature.MarchandSimonhavecalleditthemachinemodeltheory,whileWarrenBennishasobserved
thatthefocusofclassicaltheoryisonorganisationswithoutpeople.

Theclassicalviewpointoftheconceptoforganisationandmanagement.Theideasforehclassical
theoristsregardingunityofcommand,delegationofauthority,spanofcontrolanddepartmentalization
arestillmuchinuseinthestructuringoforganisation.Manyofthepresentdaymanagementtheorists
acceptthebasicframeworkoftheclassicalschoolandseektoenrichitwiththerecentdevelopmentin
thebehaviouralandmanagementsciences.