Question

According to you, which management theories suit best to the modern business world? Name three management thoughts. Explain and justify by giving examples and discussing their pros and cons.

Answer 1

The three management theories that suit best to the modern business world:-

• Administrative management theory.
• Scientific management theory.
• Behavioral management theory.

1) Administrative management theory - Administrative management theory is given by Henry fayol. This theory tells about the many activities that must be conducted to do a successful business. According to the Administrative management theory every work should be worked in departmentalization. Means the different activities should be performed in a different group or department. So, that task can complete successfully.By the help of this theory modern business can do a different task at the same time. which will help them to save there time and cost.

Pros:

• Five basic element help this theory like planning, organizing, commanding, Coordinating and controlling. These elements help the business to accomplish there task successfully.
• It promotes the team concept in the organization.which will motivate the employees to do the task in a team.

Cons

• It is still based or working on the human application. So, if the implement of this theory by human in the wrong way.it will may affect the organization.

2) Scientific management theory - Scientific management theory is given by the Frederick Winslow Taylor.It is a theory of management that is used in the operation or the production level.This theory help the modern business by focusing to improve there efficiency in the organization.It help the organization to increase there production level by using the various technologies.

Pros

• It helps in the development of new technology and improving the labor system.
• Scientific management theory main aims is to standardize the material and introduce the new methods at the production level.

Cons

• High cost is one of the disadvantage of this theory as when the production level will change or new technology is introduce.it will need high cost.
• Unsuitable for the small business and farms.

3) Behavioral management theory - Behavioral management theory was given by Elton Mayo's. This theory tell about how to manage the working force in the organization or how to increase the productivity by analyzing the behavior of the employees and also by motivating them. We can increase the production in the organization.By this theory we analyzing the behavior of the human such as motivation and conflict.

Pros

• This theory helps the modern business by increasing there leadership model in there employees and manager.
• Behavioral management theory help to increase the confidence level and motivate the employees.

Cons

• It is a time taking process.