Schools of Management Thought

Management thought has evolved over time in response to changing business environments, technological advancements, and societal needs. These schools of thought represent different approaches to understanding and practicing management.

🔹 1. Classical School (Traditional Approach) Focus: Structure, efficiency, and productivity.

• a) Scientific Management – by F.W. Taylor (Father of Scientific Management)
• Emphasis: Time & motion studies, work standardization, efficiency.

📌 Contribution: Scientific selection, training, work-study.

• b) Administrative Theory – by Henri Fayol
• Focused on management functions and 14 principles such as:
  • Unity of Command
  • Scalar Chain
  • Division of Work
  • Authority and Responsibility
  • Discipline

• c) Bureaucratic Model – by Max Weber: Emphasized rules, hierarchy, impersonal relationships, and authority.

🔹 2. Behavioral (Human Relations) School: Focus: Human behavior, motivation, leadership, and group dynamics.

• a) Hawthorne Studies – by Elton Mayo; Workplace productivity is influenced by social and psychological factors. “Hawthorne Effect”: People improve performance when observed.

• b) Maslow’s Need Hierarchy Theory; 5 levels: Physiological → Safety → Social → Esteem → Self-actualization

• c) Douglas McGregor – Theory X & Theory Y: Theory X: Workers are lazy and need control. Theory Y: Workers are self-motivated and creative.

• d) Chris Argyris & Herzberg: Motivation-Hygiene Theory (Herzberg). Individual growth and participation (Argyris)

3. Quantitative (Management Science) School; Focus: Use of quantitative tools and models in decision-making.

• Involves operations research, statistics, mathematical models.
• Techniques: Linear programming, queuing theory, simulation, PERT/CPM.
• Origin: During WWII, for military logistics.

4. Systems School: Focus: Organization as a system of interrelated parts.

• Organization = Input → Process → Output → Feedback loop
• Emphasizes synergy, interdependence, and open systems.
• Originator: Chester Barnard

5. Contingency (Situational) School: Focus: No one best way to manage; it depends on the situation.

• Management strategies depend on environmental variables.
• Emphasizes flexibility, adaptability.
• Example: Leadership style depends on workforce maturity.

• 6. Modern Management Approaches
• a) Total Quality Management (TQM) Customer-focused, continuous improvement (Kaizen), employee involvement.
• b) Management by Objectives (MBO) – by Peter Drucker; Joint goal setting between employees and managers.
• c) Learning Organization – by Peter Senge; Organizations that continuously adapt and grow by learning.
• d) Knowledge Management; Systematic management of an organization’s knowledge assets.

Summary Table of Management Schools