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Nature of Organization by Animaw Yayeh

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Nature of organisation

The study of an object or discipline should begin with its working definition delineating
precisely its content and characteristics, defining its scope and boundary, and prescribing
the objectives for which it stands. From this point of view, we can proceed further only
when we define the term organisation. However, it is very difficult to define the term
orgnaisation precisely bringing all the characteristics of a good definition.

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Criticisms of Principles of Classical Theory
A major contribution of classical theorists is the formulation of various principles of
organisation.

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Criticisms of Whole Theory of Classical Theory
According to the requirements of the organizations, classical theory suffers form many
limitations.

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Appraisal of Classical Theory
Classical organisation theory-physiological theory combined with administrative
management theory-has attracted numerous criticisms, particularly from neoclassicists.

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Fayol and Classical Theory
Fayol, the real father of administrative management theory, has viewed the organizational
problems from the top level.

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Weber and Classical Theory
Max Weber, a German social scientist, is regarded as the father of bureaucracy, a basic
content of classical organisation theory relating to structure and administrative process of
the organisation.

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Administrative Management Theory
Scientific management group was primarily concerned with problems at the operative
level and did not emphasise managerial organisation and process. The administrative
theorists-Weber, Fayol, Gulick, Sheldon, Mooney and Reiley, and Urwick-have viewed the
central problem a being one where there must be identification of tasks necessary for
achieving the general purpose of the organisation and of the grouping or departmentation
to take place to fulfill those functions most effectively.

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Critical Analysis of the Approach of Classical organisation theory
Although the principles of scientific management were intended for broad application, as
claimed by the contributors, the emphasis was not beyond the improvement at the shop
levels. They were more concerned about the efficiency of workers at actual work-place
and had left the principles which could be applied to other functions of the organisation.

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Scientific Management of Classical organisation theory
Through some attempts were made earlier to study organisational problems, particularly its
engineering problems, the real study in an organised way is recorded through the scientific
management, with which Taylor, Frank Gilbraith, Lillian Gilbraith, Henry Gantt, and
Harrington Emerson are associated.

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Classical organisation theory
The term classical in English language means something traditionally accepted or long
established. The classical theory is the beginning of the systematic study of the
organisations.

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Uses of organisation theory
The basic objective of a theory is to explain an predict. Organisation theory focuses its
attention on that special category of social or human grouping that is designed as an
organisation.

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Organisation Theory and Organisation Behavior
Sometimes organisation theory and organisation behavior are used interchangeably.
However, some differences can be made between the two. 'Organizational behaviour' as
defined by Davis 'is the study and application of knowledge about human behavior in
organisation as it relates to other system elements, such as structure, technology, and the
external social system.' If this definition is compared with that of organisation theory
which is also the study of behaviour of human beings in organisations, the contents and
subject-matter seem to be similar.

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Organisation Theory and the Theory of the Firm
The basic contents of the theory of the firm, or the economic theory, as described by
Mcguire, are as follows

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Organization Theory and management Theory
Management theory and organisation theory, though both have common orientation to
organisations as social entities, are different in their nature and scope. Though
management theory must be based on organisation theory, it contains philosophical
assumptions and value orientations regarding the nature of human behavior that are not
basic to a theory of organisation.

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Non-theoretic Formulations of Organization theory
Non-theoretic formulations do not meet the requirements of theory.They are of two types:
definitional system and analytical schema.

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Theoretic systems of Organization theory
The use of the term theory in the term theory in the phrase organization theory does not
quite square with its meaning to the philosophy of science. Before a set of concepts is
called a theory, certain requirements must be met. First, the concepts which are used to
form theory must be observational, or experimental.

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