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The Principles of Scientific Management - Case Study Example

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The case study "The Principles of Scientific Management" states that there are many theories of management of which four are most popular: Internal process model, Rational Goal Model, Human relations model, and Open systems model. These theories help in practically solving the problem…
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The Principles of Scientific Management
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Download file to see previous pages The entire study has been conducted in order to find out the management theories applied to the organization and also the theories which should be followed in the future in order to excel in its performance. Introduction The theories of management namely the Internal Process Model, Rational Goal Model, Human Relations Model and Open System Model became popular in the sequence stated above in response to the business environmental requirements. The Internal Process Model can also be termed as professional bureaucracy or Weberian Bureaucracy. In this model, it is assumed that the efficiency of the worker would grow if they are kept under policies and procedures. Their responsibilities should be clearly defined, positions should be organized in a hierarchy of authority, standard rules and procedures should be guiding all in the organization, promotion and selections should be done on the basis of employees’ technical abilities, decisions should be recorded and well maintained in written form and last but not the least in this bureaucratic scenario the employees in an organization should be uniformly guided by policies and procedures (Boddy, 2008).
The leaders were a task and goal-oriented where human relations did not have any value. The time came when the Rational Goal Model started to be obsolete since it is very difficult to suppress the humane feelings of employees for a longer time, and relationships among the co-workers started taking the greater priority for determining the efficiency level of the employee in an organization. Hence the Human relations theory propagated by Elton Mayo took birth through a series of studies at Hawthorn plant of the General Electric Company. The better the relations among the co-workers the higher the productivity would be. The theory also suggested that the empathetic behavior of the supervisor and his attention to the employees also enhances their productivity. Thus the human relations theory of management was successful in its approach. In modern times the business environment has become very dynamic and unstable (Boddy 2008). To complement the other three approaches the fourth theory which evolved was the Open systems model. In this model, the organization in a business environment would be required to accept the input received from the outer environment and accordingly modify its own system of work, policies, and procedures (Boddy 2008). This paper shows the application of the mentioned management theories in the case of Cairn Energy especially in the midst of energy crisis. Application Cairn Energy is one of the biggest and prominent oil and gas companies in Europe. It is based in Edinburg with the main interests in India and Greenland. It finds its name on the list of the London Stock Exchange. The company produces oil and gas assets across the world with a key focus in South Asia, comprising of more than 40 discoveries in the nations of India (focus on Rajasthan with 62.25 percent assets in Cairn India, a subsidiary) and Bangladesh.  ...Download file to see next pagesRead More
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