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Why do organisations exist? What purpose do they serve? Outline some of the historical factors and key people that have influenced our understanding of management and organisations today.Organisations are "a consciously coordinated social unit, composed of two or more people, that functions on a relatively continuous basis to achieve a common goal or set of goals" (Robbins, S.P., Millett, B., Cacioppe, R., Waters-Marsh, T., 2001). Organisations exist due to the simple thing that one person cannot do everything. Organisations strive for a common goal to produce products and services for the consumer. Management of these organisatio


Scientific/Classical ManagementScientific/classical approach was pioneered by Max Webber and Henri Fayol. Behavioural recognised to increase productivity, workers participation in the production process lead to the worker's contribution of the output being recognised. These all have advantages and disadvantages. 1998)Behavioural ManagementBehavioural (or 'human relations') theory developed because scientific theories did not always lead to productivity due to the repetition and nature of the jobs. "He conducted an experiment with Western Electric Hawthorne Company in Chicago, and showed that workers' improved output was not due to installation of better lighting in the factory but because employees felt that management was trying to do something about working conditions" (Robbins et. Their management was seen as a precise science where there is a best way of doing things. ns has changed throughout time, and theories have been developed to maximise to productivity and running of the organisation. He demonstrated that that meeting people's social needs has a significant impact on productivity. Examples of this type of management are seen in Ford Motors and McDonalds.

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