CLASSICAL THEORY OF MANAGEMENT

Classical Theory of Management

[Name of the Institute]

Date

Classical Theory of Management

Introduction

The purpose of this assignment is to apply the theories of management to the better place business scenario, and further evaluating and specifying the theories of management in order to implement and suggest for the business scenario. However according to the research made, it is clearly known that Better Place filed for bankruptcy in May, 2013; however, this essay will be based on that time of operations.

Introducing the Better Place, it was an electric car manufacturer, which was owned by IdanOfer's Israel Corporation, which has filed for bankruptcy protection. However once, the company said as a visionary pioneer of having the battery powered cars. However they have also filed a motion with the district court to be dissolved and a temporary liquidator appointed. They wanted to protect their employees, customers, and creditors, thus they asked the court to protect the bankruptcy, to have continued with the raising funds, and to continue their operation in the absence of the sufficient resources.

Further, going through the assignment, this paper will describe the theories of management, which are in the perspective of classical and behavioural approach, along with that the paper will describe the application of the theory which has been chosen for the Better Place, and in the end with the help of the refutation statement, it will lead towards the conclusion.

Description of Theories

Classical Perspective of Management

There are three theories of management, whoever talking specifically in the perspective of the classical review, emerged from the industrial revolution, and have its entire focus on the improvement in efficient, output of employees, productivity, and the overall organizational operations and processes. Nevertheless, the theory does not follow the roots in the behaviour of a normal human being or the factors of behaviour among the employees within the organization, for instance, an example can be shared with respect to the job satisfaction, which in return improves the efficiency of an employee (Mucahit, 2011, pp. 1-69).

It was introduced by Frederick Winslow Taylor, who truly focused on the employee efficiency and productivity. It was also known as the scientific theory of management where Taylor used production efficiency as a science and made his thoughts on the notion that the productivity of the worker can be controlled. Taylor focused on the scientific method of gaging in order to develop the guidelines and the rule of thumb for training and development of the employees.

However there are two more theorists who contributed in the classical management approach, one of the leaders in the perspective of classical theory of management if Max Weber, who developed the bureaucracy theory of management, which has it entire focus on the themes of rationalization, rules, and the expert opinion from the organization. However weber also has his focus on the efficiency within the organization, by which he meant that the organization's management can have its operations smoothly with little indulgence of the bureaucracy. As according to him flat structure of the organization has ...