Page 40 - DMGT402_MANAGEMENT_PRACTICES_AND_ORGANIZATIONAL_BEHAVIOUR

Unit 2: Development of Management Theories

labour, organisation structure, grouping of activities and span of control, etc. but not with Notes
its effects on the interrelationships. It is a need model and assumes action and
communication will flow uninterrupted. They do not envisage the development of
informal groups and their leaders who control the behaviour of their members. According
to neoclassicists, there is no scope for emotions and sentiments and no conflicts due to
elaborate job descriptions, policy specifications, rules and regulations, clear-cut authority
and responsibility, etc. under the classical theory. In this way, it recognises tasks and not
the people.
6. Little Scope for Integration: The theory provides little scope for integrating people with
the organisation. The goals are set at the top without consulting the subordinates who are
actually, the real executors. The decision-making is highly centralised. The theory
concentrates too much of authority at the top as the people at lower level are considered
to be the ‘inferior lot.’
The various criticisms of the classical organisation theory should not lead one to feel that it is a
useless theory and does not offer any guidance for managerial action in an organisation. In fact,
still there are many classical principles which are applied successfully in many organisations. It
shows that though not much, the classical theory has its validity in designing an organisation.
Scott observes, “It would not be fair to say that the classical school is unaware of the day-to-day
administrative problems of the organisation. The classical organisation theory has relevant
insights into the nature of an organisation, but the value of this theory is limited by its narrow
concentration on the formal anatomy of the organisation.”

Caselet Electricity Workers Kick out Bureaucratic
Management in Valencia State

lectrical sector workers, after a just struggle against the managerial bureaucracy of
Corpoelec [the state owned National Electricity Corporation] conveyed their
Esatisfaction with the announcements by Chavez regarding the electrical sector. The
Corpoelec bureaucracy has revealed itself in the large failures in the electrical service, and
in the violation of the rights of workers.
In this respect, on Friday morning in Carabobo [Valencia state], at the headquarters of
Corpoelec-Cafade, workers carried out a protest. “Out with the bosses, for being
incompetent” shouted dozens of electric sector workers in this protest demanding new,
more efficient authorities capable of looking for solutions to the blackouts that daily
leave thousands of Caraboban residents with out electricity.
The protest also demanded the re-hire of a group of workers and some engineers who
were unjustly fired by the management of Corpoelec.
The protest culminated with the withdrawal of various managers and directors, who used
their vehicles to open a path between the crowds of employees who sang loudly, “and
they’re going, they’re going, the managerial bureaucracy is going”.

The workers hugged and applauded, satisfied by the departure of the bureaucrats, whom
they blame for inscrutability around the concrete causes of the failures in the electrical
system and their supposed inefficiency with confronting the lack of maintenance of the
power lines, transformers, and other infrastructure.

Contd...

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