Max Weber Applied Management Theory

1776 Words 8 Pages
Applied Management Theory
We are at a crossroads in the world of business management. At a time of fast changes in the workplace, companies that are not adapting are failing at an increasing faster rate. In the past 50 years, the life expectancy of a typical Fortune 500 company has fallen from 75 to 15 years. Not only that, but employee engagement is also at an all-time low. Global figures show that only 13% of employees can be considered fully engaged, while the number of people that can be considered passionate about their work hovers around 25% (Hlupic, 2015).
This puts into question the validity of classical organizational theories such as those championed by the historical organizational theorist, Max Weber. Weber was a strong supporter
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This theory came about from the ideas of Max Weber, Henri Fayol and Lyndall Urwick and became the prominent management theory of the first half of the 20th century. It evolved as greater industrialization created the need for industrial management and ways to pursue greater efficiency, higher quality and lower costs of production (Russ, n.d.).
Classical management theory has its shortcomings as it ignores the human element in whether employees are engaged with their work and the company. For my company, however, it is probably a good fit for the manufacturing division. As mentioned earlier, it uses less skillful laborers and the division of labor and work procedures work probably works best at keeping them focused on their daily tasks. It promotes employees based solely on their skills, meaning supervisors will be the ones with the knowledge and capacity to manage the workers under their command. In a manufacturing facility, there is not much room for worker individuality as the focus is in efficiency of production. Following classic management theory, the workers are monetarily incentivized should their metrics of reject rates and safety come in at or above expectations. Turnover has been high in some manufacturing plants while not in others, suggesting there may be an area for improvement
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The theory sets job performance criteria with economic incentives for meeting or exceeding it, such as increasing production numbers while maintaining quality. These were done by replacing rule-of-thumb procedures with procedures based on a scientific study of the task. Taylor’s ideas were instrumental in increasing productivity during the industrial boom of the early 1900’s. His principles are still used today. His legacy can be seen from the fast food assembly of a hamburger to timed technical support procedures in call centers (Bell & Martin,

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