Management Theory

Management Theory
Lecturer: Dr L. Wentzel
What is management theory?
• According the Indeed Editorial Team (2021) management theory refers to:
“..a collection of ideas that recommend general rules for how to

manage an organisation or business. Management theories address
how supervisors implement strategies to accomplish organisational
goals and how they motivate employees to perform at their highest
ability”
Management theories
• Command and control;
• Scientific management;
• Motivational theory; and
• Management as a discipline
Command and Control
• Robinson (2005) stipulates that Henri Fayol is the theorist famously
known for the classical school of management, emphasising ‘command
and control’.
• Ward (2021) states that the management theory pertaining to Henri Fayol
includes three main theories, namely: The six industrial activities; five
functions of management, and the 14 principles of management.
Command and Control: The six industrial
activities
• Technical Activities;
• Commercial Activities;
• Financial Activities;
• Security Activities;
• Accounting Activities;
• Managerial Activities
Command and Control: Functions of
Management
• Planning;
• Organising;
• Command;
• Coordinating, and
• Control
Command and Control: Fourteen principles
of management
• Division of work;
• Authority;
• Discipline;
• Unity of command;
• Unity of direction;
• Subordination of individual interests to the general interests;
• Remuneration;
• Centralisation;
• Scalar Chain;
Command and Control: Fourteen principles
of management
• Order;
• Equity;
• Stability of tenure of personnel;
• Initiative;
• Esprit de corps
Scientific Management
• Woodham (1997) states that Frederick Taylor is the originator of scientific
management theory, a theory that was developed in the United States of America
during the 1880s and 1890s within the steel manufacturing industry.
• According to Mitcham (2005) Taylors scientific management theory specifically
focuses on analysing and synthesising workflow, with the main objective of the
theory driven towards improving economic efficiency, especially productivity.
• Mitcham (2005) further states that Taylors scientific management theory was one of
the first attempts to combine science with engineering of processes to management.
Scientific Management: Four Principles
The Mind Tools Content Team (2021) indicate that there are four principles
related to scientific management:
• Replace working by “rule of thumb”, or simple habit and common sense;
• Match workers to their jobs based on capabilities and motivation;
• Monitor worker performance, and
• Allocate the work between managers and workers
Motivational Theory
• Robinson (2005) states that Abraham Maslow is the originator of the theory of human
needs which forms the fundamental background in understanding motivation.
• To this day Maslow’s theory is believed to be one of the most widely discussed theories
of motivations, stemming from his research conducted into human behaviour between
1939 and 1943, which describes five sets of goals each of which are fully dependent on
the other to be met (Robinson, 2005).
• In addition to Maslow’s theory Herzberg also developed a theory linked to motivation,
known as the two-factor theory, which according to Pardee (1990), concludes that certain
factors in the workplace results in job satisfaction, namely (Motivators) and (Hygiene
factors)
Motivation Theory: Maslow’s hierarchy of
needs
According to Robinson (2005) Maslow’s hierarchy of needs are stipulated as follows:
• Physiological;
• Safety;
• Love and belonging;
• Esteem, and
• Self-actualisation.
Management as a discipline
• According to Robinson (2005) Peter Drucker is the originator of the
management theory that refers to management as a discipline.
• Through Drucker’s theory it should be noted that management is not a
rank or title, but a huge responsibility and a practice, and a discipline that
should and can be taught and must be studied, just like other disciplines
(Robinson, 2005).
Management as a discipline: Five guiding
principles
• According to Robinson (2005) and Kaplan Financial Knowledge Bank
(2020) the five guiding principles linked to Drucker’s theory is:
• Set objectives;
• Organise;
• Motivate and Communicate;
• Establish measurements of performance, and
• Develop people.
References
• Indeed Editorial Team (2021). 7 Types of Workplace Management Theories. [Online], Available: https://
www.indeed.com/career-advice/career-development/types-of-management-theories [Downloaded: 15/02/2022];
• Robinson, D. (2005). Management Theorists: Thinkers for the 21 st century? Training Journal, 2005.
• Ward, P. (2021). Management Theory of Henri Fayol: Summary, Examples. [Online], Available:
https://nanoglobals.com/glossary/henri-fayol-management-theory/ [Downloaded: 15/02/2022].
• Woodham, J. (1997). Twentieth-Century Design. New York, USA, London, UK, Oxford University Press.
• Mitcham, C. (2005). “Management”, Encyclopedia of Science, Technology, and Ethics, Volume 3. USA, Macmillan.
• Mind Tools Content Team. ( 2021) Frederick Taylor and Scientific Management Understanding Taylorism and Early Management
Theory. [Online], Available: https://www.mindtools.com/pages/article/newTMM_Taylor.htm [Downloaded: 15/02/2022].
• Pardee, R.L. (1990). Motivation Theories of Maslow, Herzberg, McGregor and McClelland. A literature review of selected theories
dealing with job satisfaction and motivation. [Online], Available: https://eric.ed.gov/?id=ED316767 [Downloaded: 15/02/2022].
• Kaplan Financial Knowledge Bank. (2020). Drucker-Five basic operations. https://kfknowledgebank.kaplan.co.uk/drucker---
five-basic-operations- [Downloaded: 15/02/2022].
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Management Theory

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