Rack BA — Classic Organization and Management Theory

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Rack BA (Classic Theories): Scientific Management | Theories of Administration | Theories of Bureaucracy

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What is Classic Management Theory and Why is it Important?

In short, this is where it all began!

Classical management theory is an umbrella term that covers a multitude of foundational frameworks in the field of management that emerged in the late 19th and early 20th centuries but whose influence continues to this day. The theorists mentioned here sought to establish universal principles of management that can be applied across various organizations to enhance efficiency and productivity. This theory is characterized by its emphasis on a structured approach to management, including clear hierarchies, defined roles, and systematic processes. There was also a managerial focus embedded with this literature — efficiency, productivity, and the decisions were largely from the perspective of the managers and supervisors to help them get the most out of workers. It would be later theories such as contingency theories that inserted the context as a complicating variable (Rack BC) and human relations theories that shifted focus to the workers’ themselves (Rack BH) that would challenge classic management perspectives.

Some Leading Classic Organization Theorists

The classical management theory perspective is often viewed as a set of theorists rather than the theories. Below is a short list of perhaps the biggest names:

Frederick Winslow Taylor (and Scientific Management). Often referred to as the “father of scientific management,” Taylor introduced principles aimed at improving labor productivity through systematic study and analysis of work processes. His work emphasized the importance of optimizing tasks and using scientific methods to determine the most efficient ways to perform work. Taylor’s principles laid the groundwork for modern operational management and efficiency practices. We covered his famous work The principles of scientific management (1911) in our inaugural episode (Episode 1).

Henri Fayol (and the Theory of Administration). Fayol is another key figure in classical management theory, known for his development of the administrative management perspective. He (1949) proposed 14 principles of management, which include concepts such as division of labor, authority, discipline, unity of command, and scalar chain. Fayol’s work emphasized the importance of managerial functions such as planning, organizing, commanding, coordinating, and controlling. His contributions are considered foundational for understanding management as a discipline and have been influential in both academic and practical contexts (Pryor & Taneja, 2010). We covered him in Episode 2.

Max Weber (and Bureaucracy). Although not strictly a classical management theorist, Weber’s ideas on bureaucracy significantly influenced classical management theory. He introduced the concept of an ideal bureaucratic organization characterized by clear hierarchies, defined roles, and a set of formal rules and procedures. Weber’s (1922) emphasis on rational-legal authority and organizational efficiency complements the principles established by Taylor and Fayol. We covered Weber in Episode 6.

At the same time, however, other theorists were already stepping forward with alternative perspectives from the likes of Taylor, Fayol, and Weber. The following are some of the authors whose works are “classic” in their own right, even if they did not fully align with “classic management theory.” We covered several authors in our Academy of Management professional development workshop on the classics (Episode 46; one page flyers on these authors are available on that post).

Mary Parker Follett. Also more closely associated nowadays with contingency theory (see Rack BC), Follett was a trailblazer work in the fields of organizational theory and organizational behavior, identifying the importance of cross-organizational processes within hierarchical organizations, which was an important development supporting matrix-style organizations such as DuPont in the 1920s. She believed organizations would benefit from embracing conflict as a means of achieving diversity and integrated solutions rather than merely compromising. We covered her twice in Episodes 5 and 91.

Karl Marx (and Radical Structuralism). Although the works of Marx are difficult to pin down to a specific theory as his writings shifted greatly over time, he is most associated with the radical structuralist paradigm that drove radical change to the established capitalist systems of his time (Burrell & Morgan, 1979). Where most organization theory aims to discern timeless generalities/laws of organization, Marx encourages us to consider too the specific forms of organization that arise in capitalist society.

Albert Hirschmann. He was an active member of the French resistance during the Second World War and played a key role in helping Jews escape the Nazi’s during the German Occupation. After the war, he moved to the United States and, a few years later – as Chief of the Western European and British Commonwealth Section of the Federal Reserve Board (1946 – 1952) – he played a vital role in the development and implementation of the Marshall Plan. His theories sought to bring changes to systems of operation that were proving not to be beneficial for an organization’s stakeholders.

Mary Douglas. Considered a follower of Émile Durkheim and a proponent of structuralist analysis, with a strong interest in comparative religion and a focus on rule systems and social categories. Douglas’s works have been broadly influential in the social sciences, especially in studies of the social organization of community, linked to forms of action, in comparative religion, and in the study of risk cultures. A large community of scholars interested in policy and policy analysis has developed around her work in what they would call ‘Cultural Theory’. She pioneered a compelling style of comparative analysis.

Contemporary Research Areas

We will interpret “contemporary” research into classic management theory as a research aiming to clarify and explicate the classic perspectives, rather than reapplication to present-day contexts. Scholars are raising new questions about how the classic theories came about and what mean for organizations today. Some ideas are stemming from more contemporary theoretical perspectives such as postmodern and critical theories (see Rack BQ).

Deepening the Narratives. As with anything historic, management historians are (always) interested in ensuring that the understandings of the history of management are accurate and complete, which is arguably never possible so there’s generally room for deeper knowledge. One research topic is re-examining the social and political contexts of early management theories. For instance, Sarker (2013) provides an overview of the classical and neoclassical approaches to management, illustrating how historical events and movements, such as the Hawthorne experiments, have shaped modern management thought. The history of the spread of scientific management worldwide is also a popular topic (see Tsutsui, 2001 for a case study of Japan). Scholars are also looking more closely into colonial and imperial contexts that shaped early management theory, thereby calling out the limitations behind contemporary initiatives closely based on classic theories like scientific management (Aydin & Yavuz, 2021). The latter also suggests the need to understand the coloniality of management thought that may be overwhelming or suppressing useful indigenous perspectives (see Rack BQ on epistemic coloniality).

Challenging Traditional Narratives. Contemporary scholars are also questioning traditional narratives about the progressive development of management theory. Rather than seeing management theory as steadily maturing over time, researchers are examining how certain ideas and approaches were marginalized or forgotten. Durepos and Mills (2012) showed how management history is actively constructed rather than simply discovered, and how certain voices and perspectives get privileged while others are marginalized. Similarly, Cummings & Bridgman (2016) argue that the way management history is typically taught – as a progressive series of improvements from scientific management onward – limits one’s ability to think creatively about organization and management, while Durepos, Mills, & McLaren (2020) examined how the field of management history itself developed and how this development influenced understandings of management theory’s evolution.

Labor Relations. The role of labor relations and labor resistance in shaping management theory is receiving renewed attention. Contemporary scholars are showing how many management innovations were responses to worker organizing and resistance rather than purely technical improvements. For example, researchers are reexamining the political underpinnings of how scientific management, which arguably emerged in partial response to skilled workers’ power over the production process (e.g., Waring, 2016).

Related TAOP Episodes, Events, and Notes

53: Taylorism in Motion — Charlie Chaplin’s Modern Times

We discuss Charlie Chaplin’s 1936 film “Modern Times” balances great physical comedy with powerful social commentary. Chaplin portrayed a hapless Worker on an assembly line who is tormented both by supervisors and the work itself. After being subjected to a humiliating experiment intended to improve the line’s efficiency, the Worker runs through a series of rotating jobs, stints in jail, and other misadventures as he tries to find his purpose in life.
Read More

46: Classics of Management and Organization Theory – AoM 2018 Workshop LIVE

A special recording from a workshop on management classics held at the 2018 Academy of Management Conference in Chicago. Hosted by Pedro, this PDW intended to raise interest towards classic authors/ideas in the field of organization and management theory. It offered scholars from all levels the opportunity to reflect on insights of earlier scholarship and their relevance for current research, complementing the strong emphasis (on new ideas and approaches. This is of great importance as the field has thus far been more attentive to disruptions than continuities; pursuing novelty over tradition.
Read More

6: Bureaucracy – Max Weber

We discuss two chapters of Max Weber’s 1922 book Economy and Society. Weber was most interested in bureaucracy. He believed that bureaucratic coordination of activities is a hallmark of the modern and civilized society. This was not least because bureaucracies are organized according to rational principles, and rationality is an ongoing intellectual effort that is subject to education and discipline. In a bureaucratic organization offices are ranked in a hierarchical order and their operations are characterized by impersonal rules.
Read More

3: Theory of Human Motivation – Abraham Maslow

We discuss “A Theory of Human Motivation” by Abraham H. Maslow, one of the most famous psychology articles ever written. Originally published in 1943, it was in this landmark paper that Maslow presented his first detailed representation of Self-Actualization – the desire to become everything that one is capable of becoming – at the pinnacle of a hierarchy of human needs. What Maslow is most famous for, however, is the pyramid of human needs.
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2: General and Industrial Management – H. Fayol’s Theory of Administration

For this episode, we are reading part of Henri Fayol’s central 1916 work, General and Industrial Management (first translated into English in 1929, but not published in the United States until 1949). In this work Fayol clearly outlined the five distinct elements of management and the fourteen principles that he believed should guide managers in administering those elements.
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HOOKED ON CLASSICS!

Christopher Grey writes about how organization studies can be ignorant of history, including its own, as a result of forces inside and outside academia. In this Note, he related some of the reasons and the effects and why returning to the classics is so important.
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1: Principles of Scientific Management – F.W. Taylor’s One Best Way

Presents the seminal text that defined Taylorism and scientific management, a ‘scientific’ approach to managing people and work process design. The ‘Principles of Scientific Management’ proposed a ‘scientific’ approach to managing people and work process design. Taylor decried the waste of effort and resources that resulted from inefficient management practices, and thus proposed a science-based way of analyzing and reorganizing both the work and the management of it.
Read More

Available Resource Pages

Rack BC — Contingency Theory

Curated list of resources regarding the major theories regarding the organizational context and how particular situations influence organizational structures, behaviors, and so on. Includes classic contingency theories and pragmatism.
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Rack BI — Institution Theory

Curated list of resources on theories related to strategic management, including competitive forces models, resource-based perspectives, and organizational strategies and strategic change
Read More

Rack BL — Leadership Theories

Curated list of resources on theories related to leadership in organizations including classic trait theory, behavioral theories of leadership, and transactional / transformational leadership
Read More

References

Anthropic. (2024). What are areas of contemporary research into classic management theory;  What are areas of contemporary research into reanalyzing the histories and contexts of classic management theories; Can you give specific examples of books or articles regarding “Contemporary scholars are also questioning traditional narratives about the progressive development of management theory”. Claude (March 2024 version) [Large Language Model]

Cummings, S., & Bridgman, T. (2016). The limits and possibilities of history: How a wider, deeper, and more engaged understanding of business history can foster innovative thinking. Academy of Management Learning & Education, 15(2), 250-267.

Douglas, M. (2003). Purity and danger: An analysis of concepts of pollution and taboo. Routledge.

Durepos, G. A., & Mills, A. J. (2012). Anti-history: theorizing the past, history, and historiography in management and organization studies. IAP.

Durepos, G., Mills, A. J., & McLaren, P. G. (2020). Contextualizing the historian: an ANTi-History perspective. In Handbook of research on management and organizational history (pp. 275-292). Edward Elgar Publishing.

Fayol, H. (1949). General and Industrial Management, trans. Constance Storrs. Pitman: London.

Follett, M. P. (1926) The giving of orders. Scientific foundations of business administration, 29-37.  Available through the Mary Parker Follett Network.

Hirschman, A. O. (1970). Exit, voice, and loyalty: Responses to decline in firms, organizations, and states. Cambridge, Massachusetts: Harvard University Press.

Marx, K. (1996). Das Kapital (F. Engels, Ed.). Regnery Publishing.

Pryor, M. G., & Taneja, S. (2010). Henri Fayol, practitioner and theoretician–revered and reviled. Journal of management History, 16(4), 489-503.

Sarker, S. (2013). Classical and neoclassical approaches of management: an overview. Iosr Journal of Business and Management, 14(6), 01-05. https://doi.org/10.9790/487x-1460105

Scite. (2024). What is Classical Management Theory and who are its foundational scholars; What are areas of contemporary research into reanalyzing the histories and contexts of classic management theories. Scite (April 2024 version) [Large Language Model].

Taylor, F. W. (1911). The Principles of Scientific Management. Google Books link.

Tsutsui, W. M. (2001). Manufacturing ideology: Scientific management in twentieth-century Japan. Princeton University Press.

Uzuegbu, C. and Nnadozie, C. (2015). Henry Fayol’s 14 principles of management: Implications for libraries and information centres. Journal of Information Science Theory and Practice, 3(2), 58-72. https://doi.org/10.1633/jistap.2015.3.2.5

Waring, S. P. (2016). Taylorism transformed: Scientific management theory since 1945. University of North Carolina Press.

Weber. M. (1922) Economy and Society. CA: University of California Press

Jump to: Importance | Theories | Research Areas | TAOP Episodes | References

Rack BA (Classic Theories): Scientific Management | Theories of Administration | Theories of Bureaucracy

Aisle B (Major Theories): Classical Theories (BA) | Org. Behavior – Individual (BB1) | Org. Behavior – Groups & Teams (BB2) | Org. Behavior – Systems & Culture (BB3) | Contingency Theories (BC) | Org. Design (BD) | Org. Development & Change (BG) | Human Relations Theories (BH) | Institution Theories (BI) | Leadership Theories (BL) | Modern Management Perspectives (BM) | Postmodern & Critical Theories (BQ)

Resources: Main Page | Research Methods (A) | Major Theories (B) | Issues and Contemporary Topics (C) | Professional Education (D)