The Different Perspectives on Management Taken by Fayol and Mintzberg - Essay Example

?Critically Discuss the Extent to Which Fayol’s ic Analysis of the Management Function has largely been made Redundant by the More Recent Empirical Studies of what Managers Actually do, Such as that Favoured by Mintzberg Table of Contents Introduction 3 Discussion 3 The Different Perspectives on Management Taken by Fayol and Mintzberg 4 Description on Fayol’s Work 4 Description on Mintzberg’s Work 6 The Different Approaches to the Study of Management Taken By Fayol and Mintzberg 7 Analysis of Strength and Weakness of Both the Theories 7 Critical Comparison 8 Conclusion 9 References 10 Introduction The application of management theories in business can be viewed from the past. Historically, there were not many competitors present in the corporate world. However, the adaption of management theories by business organizations can be viewed to assist them in maintaining their business efficiently and effectively during the course of attaining the broad organizations goals and objectives. With the advent of globalization and continuous advancement in technology, it can be viewed that the way business operated decades ago has radically changed. Many critics around the world are developing new theories that are providing much better ways than the theories that were propounded by managerial theorist in the past. It is believed that today’s managerial theories comparatively provide much detailed analysis and suggestions that can help a business in present highly competitive world. Among all Fayolism is a management theory that was developed by the famous French management theorist Henri Fayol. It is believed that though the theorist work as a guideline for administrators the theory contributed and highlights the practises that would be implemented while managing an organization (Wren, & et. al., 2002). The major purpose of this essay is to discuss the extent to which Fayol’s classic analysis of the management function has largely been made redundant by the more recent empirical studies of what managers actually do, such as that favoured by Mintzberg. Discussion Management theories are considered to be a vital part of every business association in today’s competitive commercial environment that serve as a road map and standards for accomplishing their broad objectives. It not only provides a blueprint on how business should be operated but also helps in proper management of resources and in formation of measurable aims and objectives for the business organisation. Henri Fayol is considered to be a pioneer in the field of management theories. With Fayol’s work viz. General and Industrial Management, Fayol was considered amongst the best management theorist in the past. However, with the passing time it can be viewed that many experts were largely convinced with the theory propagated by Fayol while some criticised it on certain ground. Among them the contemporary theory propagated by Henry Mintzberg has been largely been compared with Fayol’s management theory which has resulted in raising question regarding the applicability and acceptability of Fayol’s classic analysis of the management function. The Different Perspectives on Management Taken by Fayol and Mintzberg Description on Fayol’s Work Henri Fayol generally known as the father of administrative management is considered to be amongst the first management theorist that provided business organizations standard way of managing their business effectively that would help them to achieve their goals and objectives smoothly. According to Fayol, all industrial organization consists of six different group of activities including technical which mainly focused on production, manufacture and adaption; commercial which consists of buying, selling and exchanging; financial which concentrated on searching for chances that would help in optimum utilization of resources; security which mainly focused on protecting property and persons; accounting which main task was to maintain stock captivating, balance sheets and cost statistics and managerial functions. It is said that as Fayol has considerable experience of working as a managing director in a mining industry and his devotion towards his work has helped him to identify five key functions or elements of managerial work which is often regarded as the classic theory or as the management process (Lamond, 2004). The five key functions are stated here under: Planning and forecasting: This helps in anticipating the future of the business environment and helps in adapting actions to mitigate any risk that may arise in the near future. Organizing: It helps in laying out lines of ability and accountability that helps in making the business activity more effective and efficient. Co-ordinating: It helps in arranging time and help in identifying sequence of activities by binding it appropriately and harmonising it. Controlling: It is a process where approaches are made to monitor the performance of the employees working within an organization and ensures that the rules set by the management are being followed in a coordinated way (Lamond, 2004). Additionally it has also been viewed that Fayol came out with a list of 14 principles of management which highlighted vital aspects that are essential in every business. Correspondingly, these principles comprises of authority, unity of command, centralization and others. Although, it is worth mentioning that all the principles were viewed to be applied by the organizations however, Fayol was the first one who laid out the principles in such a conceptual manner. It is worth mentioning that Fayol has himself stated that the number of principles stated is non-exhaustive (Anupkumar, 2005). Many modern management theorist states that if Fayol would have proposed theory today, it would had contained modern management phenomena like teamwork, tendency to flatter hierarchies or flexible working hours among others. The vital reason behind such differences can be attributed with the complexities associated with the contemporary business spectrum over the conventional business environment. It is worth mentioning that Fayol probably knew about the changes that would change with the increasing time as he stated that his principal should be changed according to the need of every organization (SlideShare Inc., 2013). Description on Mintzberg’s Work Henry Mintzberg is considered to be one of the most internationally renowned academic and management, and business author. He is best known for his work in management theories and its relation to Fayol’s. Over 50 years after Fayol’s first publication i.e. General and Industrial Management Mintzberg dismissed his findings about the management process as “folklore.” According to Mintzberg, management is not about purposes but is mainly based on what leader do (2Mintzberg, 1975). For this study, Mintzberg witnessed five managerial personnel at work. On the basis of their research conducted he identified three managerial roles which are described here under: Interpersonal role: It is an aspect through which a manager connects with their subordinates and other lower level personnel associated with the organization. Accordingly, the manager can also be regarded as a leader as his task also involves acting as a liaison between inside and outside the organization (2Mintzberg, 1975). Informational Role: Information role of a manager mainly includes scanning and monitoring both in-house and outdoor facts in order to act as a spoke person for the entire group. It is considered to be an important principle which not only highlights the responsibility but also provides a direction to walk in (2Mintzberg, 1975). Decisional role: This aspect states the role of a manager as a judgment creator within an organization. The collected facts enable a manager to make choice, set objectives and also help in effective distribution of resources. This principle also helps in identifying the role of manager as an entrepreneur, a conflict resolver and speaker (2Mintzberg, 1975). In contrast to Fayol management theory Mintzberg found that the manager of any organization spends very little time on introverted task but are continuously involved in receiving calls and answering mails whole day. It was also observed that half of the activities that an executive performs consumed minimum 9 min and only 10% exceeded one hour. Considering the findings of his research Mintzberg founded that a manager is simply involved in activities that results from their job role, thus stating that those activities are not mentioned into Fayol’s principles of planning, co-coordinating and others (1Mintzberg, 1990). The Different Approaches to the Study of Management Taken By Fayol and Mintzberg With the increasing adaption of management theories by many organizations around the globe, it has become vital for every management theorist to prove that the theory proposed by them is superior when compared with other. Considering the aspect of Fayol and Mintzberg, it can be argued that Fayol’s traditional concept on management that was proposed 50 years earlier is superior to that of Mintzberg in term of its importance in today’s business world. Many of the management critics suggest that though his theory has some loop holes however if it is compared with the past managerial function, the theory seemed to provide a detailed image on what management theories should be like. Additionally, many critics also do believe that Fayol’s management theory provide a base for many management theories to form their own model by adding the changes that occurs with time. Considering the formation of the management theories, both the theorist has respective way of studying the management aspect of an organization (Wren, & et. al., 2002). Analysis of Strength and Weakness of Both the Theories Though both the theories are considered to be two of the most spoken management theories it is therefore vital that the strength and weakness of the theories are identified in order to find the best out of the two. It has been observed that according to Mintzberg the success of managers in the corporate world is mainly relied on the understanding of their job role which is directly dependent on the basis of the responsiveness resulting from the pressure of the job. However, when compared to Fayol’s principles of management, it can be viewed that when this principles are implemented within an organization it leads to organization success and competence (Lamond, 2004; 2Mintzberg, 1975). Again, according to Mintzberg when an individual spends a day in a manager office one might notice that Fayol’s management theory does not comply on how managers in today’s business world perform their task (Lamond, 2004; 2Mintzberg, 1975). When we analysed on how Mintzberg formulated his management theory, it can be viewed that Mintzberg theory was formulated on empirical studies i.e. through observation of five executives. In this aspect, it can be stated that that the study only included five executive who belonged to the higher level of the organization. Additionally, it has been viewed that many management theories were formulated only after observing number of personnel belonging to the higher level authority of an organization which proves that the theory formulated is comparatively weak in compare to Fayol’s management theory. It is worth mentioning that Fayol had an experience of more than 30 years in the corporate field therefore it can be stated that the principles formulated were based on a single observation (Lamond, 2004; 2Mintzberg, 1975). Critical Comparison Considering the above stated discussion and comparison amid Fayol’s and Mintzberg theory of management, it can be stated that Fayol’s management theory is far more superior and valid than Mintzberg theory. The fundamental reason behind this is that it can be viewed that Mintzberg defined management as a group of individuals called managers and do not include any speculative foundation but the description rendered by his theory was grounded on the basis of the observation conducted. Additionally, it can also be viewed that Mintzberg theory does not define any effective management style which can be considered as a vital aspect of any modern management theory in today’s competitive business world. Conclusion Both conventional and modern management theories are considered to be a vital part of in the day to day operation of any business organization in the current dynamic business environment. Present business environment is considered to be far more complex and modest than it was decades ago and management theories are among those factors that guides the organization and the higher level authorities to adopt strategies that would help them to mitigate any aspect which might act as a barrier in their functionality. Considering Fayol’s and Mintzberg management theory it can be revealed that both of the theories are considered to be two of the most spoken theories amid management critics. Some suggesting Fayol’s to be superior and valid while others believes Mintzberg to be more valid and practical. With reference to the above stated discussion, it can be viewed that Fayol’s management theory was formulated on the basis of his 30 years’ experience and through continuous observation. However, if Mintzberg way of formulating his management theory is viewed to be based on an investigation executed through observation of five executives. Thus, it can be concluded that the notion that ‘Fayol’s classic analysis of the management function has largely been made redundant by the more recent empirical studies of what managers actually do, such as that favoured by Mintzberg’ is not justifiable. References Anupkumar, A., 2005. An Analysis of the Contributions of Various Thinkers to the Field of Management, and a Review of the Management Practices of Five Companies. Principles of Management, pp. 1-68. Lamond, D., 2004. A Matter of style: Reconciling Henri and Henry. Management Decision, Vol. 42, No. 2, pp. 320-356. 1Mintzberg, H., 1990. The Manager’s Job Folklore and Fact. Harvard Business Review, pp. 1-103. 2Mintzberg, H., 1975. The Manager’s Job: Folklore and Fact. Harvard Business Journal, pp. 49-61. SlideShare Inc., 2013. Henry Fayol. Classical management Theory. [Online] Available at http://www.slideshare.net/aniket0013/henry-fayol-9215012 [Accessed November 13, 2013]. Wren, D. A., & et. al., 2002. The Foundations of Henri Fayol’s Administrative Theory. Management Decision, Vol. 40, No. 9, pp. 906-918. Read More