Organisation Theory

ORGANISATION THEORY
(ESSAY-CRISTIAN OPREA)

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
MAIN BODY..................................................................................................................................3
Classical approaches....................................................................................................................3
Neo-classical approaches.............................................................................................................4
Forces that will shape organisations and their structures in the future........................................6
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................9

INTRODUCTION
Organisational theories play an effective role to different companies and organisation in
market place, in which top-level management of each company have to follow the concept of
theories of organisation (Sears, 2017). Currently those organisations and groups are gaining huge
profit in market place where existing management has already implemented various theories of
organisation. Basically, organisational theories provide a specific framework to different
companies and ventures to achieve very positive outcomes in market place. This report discusses
the classical and neo classical approaches to an organisation. Factors which shape an
organisation and its structure also has been mentioned in this report.
MAIN BODY
Classical approaches
Classical approach is the oldest approach to organisation, and it known by many other
names as well, like; functional, empirical and management process approach etc. This theory is
helpful to different organisations in representing traditional thought about business and growth.
This classical approach is fully focused on the overall development of an organisation. Three
major classical approaches to organisation has been discussed below;
Scientific Management Approach
This approach is given by Frederick Winslow Taylor, and he is currently known as
“father of scientific management”. He has provided some specific ways of management through
this theory, and that’s why currently lots of ventures highly considers scientific management
theory in their daily operations. According to Taylor’s view point, top-level management of a
business should always start its work with conducting the practice of scientific selection and
training of workers or employees. After conducting this practice, that business will simply
achieve an effective workforce in its workplace. This approach said that, a venture should always
be focused on working for maximum result or output, because this is the only way to perfectly
survive in market place.
Administrative Management Approach

Administrative management theory or approach was given by Henry Fayol. Basically,
this approach is completely based on the functions and principles of management. The
management principles of Mr. Fayol are currently considered by many ventures and
organisations in market place for managing their various activities and operations in a very
systematic manner (Brugger and Gehrke, 2017). According to administrative management
approach, each business has to divide its whole organisational work into small functional
departments for running different functions in proper channel. The business needs to give
different responsibilities to its various people or employees as well for maintaining effectiveness
in their performance. Administrative management approach contributes in properly conducting
five major functions of management as well, like; Planning, organising, directing, coordinating
and controlling Mr. Fayol said that, Discipline is another key principle of management, in which
top-level management of each venture have to follow the concept of discipline in its workplace.
After considering these factors of administrative approach, any organisation can simply gain
huge profit margins in market place.
Bureaucratic Approach
Bureaucratic theory has been given by Max Weber. He was a German sociologist.
Currently this theory also has used by many of companies in market place. This approach also
discusses some fundamental ways or methods of management which can save lots of precious
time and resources of an organisation. According to Bureaucratic approach, division of work is
very necessary for analysing responsibilities of different people in workplace. Rigidity in rules
and regulation is another major attribute existing approach which has influenced to organisation
for developing some productive rules and regulations in organisation for motivating all people to
work in a proper manner. This approach is focused on the development of various competences,
skills and abilities of employees as well. That’s why Bureaucratic is also a very useful classical
theory to organisation
Neo-classical approaches
Neo-classical approach is basically an attempt to more improve or develop classical
theory. This is also known as behavioural science and human relations approach which gave
effective emphasis for man behind a machine. Currently this theory is mainly used by
organisation for reducing stress levels of employees, and providing them the great satisfaction.