About This Chapter
Business Management Theory - Chapter Summary
In this chapter, we've provided short business management theory lessons you can use to teach your managers about classical management theory, the difference between theory x and theory y, and more business management topics. Your employees can use any computer or mobile device or access these lessons from work or from home, 24 hours a day.
How It Helps
- Provides knowledge: After finishing this chapter, managers will understand the behavioral management theory and how it affects employee motivation and behavior.
- Streamlines training: Because these lessons are readily accessible, you can assign them to your team members regardless of their work schedule or location.
- Builds strong teams: Managers who understand successful management theory are able to develop stronger, happier and more productive teams.
Once your managers review this chapter, they should be able to:
- Define classical management theory
- Outline the classical scientific school of management
- Explain how organizations are managed per the classical administrative school of management
- Identify the human relations approach of the neoclassical theory of management
- Explain the behavioral management theory
- Discuss the two types of managers as explained in theory x and theory y
1. Classical Management Theory (1900-1930): Definition
It was the rise of the Industrial Revolution and factories were becoming more common. Inside these factories, managers were constantly looking for ways to improve productivity and efficiency. As time moved on, it became apparent that searching for the single best way to do things was the most important thing for managers to do. Thus, classical management theory was born. This lesson will discuss the evolution of classical management theory.
2. Classical Scientific School of Management
The scientific school of management focused on the 'science' of creating specialized work processes and workforce skills to complete production tasks efficiently. This lesson will discuss the development of scientific management and how it is applied by management as illustrated by the classic example of Henry Ford's Model T production line.
3. Classical Administrative School of Management: Managing the Organization
Even if a business knows what each of their individual workers ought to be doing, there may not be any overarching mission guiding their work. This lesson describes how the need to consider an entire organization by emphasizing management principles led to the development of the classical administrative school of management.
4. Neoclassical Theory of Management: The Human Relations Approach
In the early 1920s, a shift away from classical management theory took place as theorists began to consider the human side of an organization and the social needs of employees. In this lesson, you will learn about the evolution of the neoclassical theory of management and its two sources: the human relations movement and the behavioral management movement.
5. Behavioral Management Theory: Understanding Employee Behavior & Motivation
Behavioral management theory was developed in response to the need to account for employee behavior and motivation. The shift moved management from a production orientation (classical leadership theory) to a leadership style focused on the workers' human need for work-related satisfaction and good working conditions.
6. Theory X & Theory Y: Two Types of Managers
Have you ever thought your boss despises you and all your co-workers? Or maybe you've lucked out and your superiors really encourage you to be yourself. This lesson describes the two types of managers you might have, Theory X and Theory Y. Find out how the idea of self-fulfilling prophecies affects employees actions according to Douglas McGregor.
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