Management Thinking Evolution: Classical School to Planning

Evolution of Management Thinking in Business Schools

Classical School

The Classical School, spearheaded by Taylor and Fayol, also known as scientific management, was based on a mechanistic conception of work. This involved a type of human engineering design coupled with the motivation of workers, primarily for economic reasons. The focus was on achieving greater efficiency in the work by improving its procedures and the application of work-related principles of division and specialization.

School of Human Relations

Research showed that not only do physical conditions affect performance, but also industrial relations are important.

Max Weber's Bureaucratic Model

Max Weber's bureaucratic model aimed to find the ideal organizational structure.

Overall Planning Process

Elements of Planning

The planning process involves a number of factors and variables. Following the relationship established by Koontz, O'Donnell, and Weihrich, we can enumerate the following elements:

• Mission and Purpose: Explaining the purpose of the basic socio-economic activity or other business.
• Objectives or Goals: Usually quantifiable and specific purposes with a determined time horizon, which are directed towards the activity of an organization.
• Strategy: A general and integrated unit project that connects the company with the environment and the future, aiming to guarantee the achievement of the purposes of the signature policies.
• Policies: Defined as explicit or implicit declarations that guide and direct the thinking and action, making informed decisions concerning the trial fields for the administrator's discretion.
• Procedures: Logical sequence of actions required to operate on structured problems, establishing a formalized method to handle regular and future activities.
• Rules: Taxative ordering instructions that dictate whether or not to follow a particular course of action or a specific action, without supporting or allowing deviations or discretion.
• Software: A specific plan in which the policy goals are realized, including procedures, rules, and the set of parts necessary to follow a determined course of action aimed at achieving the specific objectives.
• Budget: A ciphered expression in monetary terms of a plan or a program to provide rigorous planning.