Organizational theory an introduction

The concept of Scientific Management was created by Frederick Taylor in as an attempt to provide a framework for improving labor efficiency and productivity Wikipedia, Other theories, or adaptations of existing theories, emerged as well, which most observers saw as indicative of the ever-changing environment within business and industry.

Each theory provides distinct advantages and disadvantages when implemented.

importance of organizational theory

Indeed, some researchers into organizational theory propound a blending of various theories, arguing that an enterprise will embrace different organizational strategies in reaction to changes in its competitive circumstances, structural design, and experiences.

Informal organizations tend to be more flexible and more reactive to outside influences.

Organizational theory and behavior

The key to achieving this goal is through scientific discoveries and innovations Dobbin The study of organizations and their management and production structures and philosophies continued to thrive throughout the s. Changes in the organization are less often the result of authoritative dictate and more often an outcome of collective agreement by members. Some important organizational theories are:. The organization is based on the concept of synergy, which means, a group can do more work than an individual working alone. Published on: Invalid date. In addition, as the population grew and transportation improved, the pre-organizational system struggled to support the needs of the market. The term organization refers to the group of individuals who come together to perform a set of tasks with the intent to accomplish the common objectives. The term "open systems" reflected the newfound belief that all organizations are unique—in part because of the unique environment in which they operate—and that they should be structured to accommodate unique problems and opportunities. The hiring of employees will be an impersonal and equal system. Weber's theories of organizations, like others of the period, reflected an impersonal attitude toward the people in the organization. Although his theories are now considered mechanistic and outdated, Weber's views on bureaucracy provided important insight into the era's conceptions of process efficiency, division of labor, and authority. Each theory provides distinct advantages and disadvantages when implemented.

Formalization is a way to standardize organizational behavior. Subordinates have less influence over the process in which they participate, with their duties more clearly defined. In general, line units focus on supply, production, and distribution, while staff units deal mostly with internal operations and controls or public relations efforts.

Classical organizational theory pdf

Ill-conceived or poorly implemented rules, of course, can actually have a negative impact on business efforts to produce goods or services in a profitable or satisfactory manner. Overall, the historical and social context in which organizations arose in the United States allowed not only for the development of organizations, but also for their spread and growth. As a result, both theories and practical applications became highly disputed and led to the rise of other competing approaches. Another important contributor to organization theory in the early s was Henri Fayol. Also, it rarely takes into consideration human error or the variability of work performances since each worker is different. Of considerable import during that period was the research done by of German sociologist Max Weber — Each provides a lens for interpreting novel organizational situations and developing a sense for how individual and group behaviors are organized. Weber claimed that bureaucracies are goal-oriented organizations, which use their efficiency and rational principles to reach their goals. His primary focus of thought was on how an organization can continue to moving towards its goal even though it functions as a collection of multitude of decision making entities, i. When a bureaucracy is implemented, it can provide accountability, responsibility, control, and consistency. The hiring of employees will be an impersonal and equal system. The changes in the ways in which we communicate and others brought about by advances in technology will likely create more opportunity for study. In general, line units focus on supply, production, and distribution, while staff units deal mostly with internal operations and controls or public relations efforts. Office management requires training and specialization. Doing the same routines may not suit everyone.

Recognizing that traditional theory had failed to take into account many environmental influences that impacted the efficiency of organizations, most theorists and researchers embraced an open-systems view of organizations.

Over the years, business analysts, economists, and academic researchers have pondered several theories that attempt to explain the dynamics of business organizations, including the ways in which they make decisions, distribute power and control, resolve conflict, and promote or resist organizational change.

Rather than small groups such as families and churches being able to control these problems as they had in the past, new organizations and systems were required. You may improve this articlediscuss the issue on the talk pageor create a new articleas appropriate.

organizational structure theory
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introduction of management theory and organisational behaviour