Administrative Management Theory Essay

800 Words4 Pages
3 ADMINISTRATIVE MANAGEMENT THEORY

This theory deals with an institution or an organization which targets to have a formal administrative structure, a clear division of labour, handing of power and ability to administer its people. The key point of an administrative theory can be summarized into two main categories, first is a formalized administrative structure, this means there should be a well-defined hierarchy structure of authority from top to bottom. Second category is a division of labour that is clear enough for their own monopoly making them more responsible to achieve the goals of an organization as said by G Shawn. Three people have been a great contributor to this theory. Henri Fayol (1841 – 1925) developed fourteen (14) administrative
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(2011) has noted that the defining characteristics of Weber’s bureaucratic organization are clear division of labour with a balance of responsibilities and power which enables workers to become highly skilled in doing their work. Clear hierarchy of authority with well-defined authority, responsibility and flow of information. Formal rules and procedures to direct and guide employees in their day to day activities including decision making and all this are in written files kept for historical record. Impersonality with no preferential treatment and rules should be applied consistent throughout. Careers based on merit such as selection and promotion should be strictly based on technical qualification and not personal gains or relationship. They can all can be summarized as shown in the figure 2 below.

Figure 2: The Ideal of Bureaucracy Management theory

2.3.1 Criticism

This theory involves a lot of formalities and is most suited for government organization and not business one, there is too much formal writing and the decision-making process takes a lot of time. In business case their times one need to react due to certain circumstances and promotions takes a big delay as well since one has to be well equipped with the technical qualification no room for one to learn first after promotions. The theory has neglected commitment and dedication of employees and neglected the informal groups as they take a greater part in effective output due to an easy flow of
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