How management theories affects the ability of an organization

Table of Contents

Introduction. 2

Approaches used in implementing the management theories. 3

Common management theories that can be used for strategy execution. 4

Classical management theory. 4

Behavioral management theory. 5

Modern management theory. 5

Best strategy for an organization to execute strategy. 6

Summary. 7

Works Cited. 7


Impacts of management theories in building an organization capable of a good strategy


A successful organization must be equipped with the right tools of management and plan to be successful in the market. These entail have a structure that is competent enough for any strategy execution (Crittenden and Crittenden ). Managers in any organization are tasked to ensure that any strategy that has been proposed is implemented and executed. Most of the time, the success or failure of any organization wishing to execute a particular strategy lie mainly with the manager and the overall organizational structure. It is essential to understand that when an organization wants to achieve its targeted strategic objectives as well as the financial objectives, it has to have a good organization that is a critical ingredient in the progress of making the strategic vision a reality (Augustine). This essay will examine different management theories and propose the best concerning a fashion industry organization. It will look closely at the impact of how each of the management theories affects the ability of an organization to execute and implement strategies effectively.

The management department in any organization has to take into consideration the available stakeholders when looking to implement a strategy in an organization. This entails making sure that all the stakeholders understand what the policy being implemented entails (Gamble). Most of the time, any strategy that has been developed will involve several stakeholders. For instance, the investors using their money to buy shares that will help finance the operations of the organization need to be aware of the strategy being executed. The managers need to give a precise forecasted result and make projections of what each of the stakeholders is required to do (Team). The managers have to think through the answers that they will give when asked different questions that relate to the strategy. It is essential to understand that there are different structures within an organization, and each of the plans requires unique methods of implementation. It, therefore, necessary for the management to come up with strategies that fit the organization structures.

Approaches used in implementing the management theories.

Common management theories have the same outline that dictates how the organization can execute a strategy. First, the management should work towards building the organizational competencies, resource strengths, and demand by the strategy. Most times, the resources should be availed for smooth implementation (Gamble). Not only the finances but also the necessary skillset in case there is some technical upgrade enshrined in the strategic plan. Secondly, the management is tasked with the duty to come up with policies and procedures that are clear that will facilitate the smooth execution and implementation of a strategic plan. It is essential as it offers a guideline of how the members of the organization should work. This includes the middle-level managers and the employees within the organization.

Any organization in the modern world has some aspect of technology incorporated within the organization. This means for an effective and efficient organizational culture, and it is essential for the management of installing information systems and operating systems that allow the company to move seamlessly and effectively (Gamble). This helps the human resources as well as the supply chain processes to be carried out in a lean manner. Human behavior is also a significant aspect of strategy execution in any company. Most of the time, employees are motivated when an objective has been tied to a reward. In this case, the management should link their financial targets and other strategic goals to rewards that will mainly go to the employees and other stakeholders, helping in the execution of the strategic plan.

Common management theories that can be used for strategy execution

It is essential to understand that management theories revolve around the same concept. It is expected that the managers handle all duties, processes, people as well as information as required by their duties description. Managers are tasked with even the responsibilities to motivate the junior employees and offer guidance on how to improve best the operational processes of an organization (Elkins). The management theories have been around for quite some time now. They started during the era of mass production and the industrial revolution, which required the organization to start managing people. The corporation started during that era grew in the number of activities, size, and operation as well. This meant that they had to bring in more human resources, which leads to needing management. The conventional management theories are classified into three primary classifications (Augustine).

Classical management theory

Each of the classifications has subsections that show have a further explanation of the sub-theories. Classical management theory is mainly concerned with the maximization of production as well as the execution of any strategy. On the other hand, the behavioral management theory centers its focus on improving the human elements while designing the workplace as a social environment. It is majorly concerned with the increasing human resources motivation and improving the behavior as well (Crittenden and Crittenden ). The modern management theory is described as being a combination of the two previous approaches. The main objectives of the contemporary management theory are maximization as well as execution of strategies as well as improving on the human resource. This theory utilizes systematic thinking as well as modern scientific methods to ensure that each of those primary objectives is attained.

Among the sub-theories that are under classical management, the theory includes the scientific management theory, which had its primary focus on minimizing waste as well as reducing the production times. The method was coined by Fredrick Taylor, who was attempting to utilize scientific approaches to improve the operations (Ingram). On the other hand, there is the administrative sub theory whose primary focus is the consideration of the numerous activities that any business conducts. On the other hand, the bureaucracy theory has its center in promoting management decisions and neglects charisma and nepotism.

Behavioral management theory

The behavioral management theory has some sub-theories, as well. First, human relations theory considers the organization construct. It understands money is not the only motivation for the employees (Team). On the other hand, the behavioral science theory has focused on the organization as well. It incorporates different elements of psychology, sociology, and anthropology. The main objective of this theory is to determine the specific things that lead to the motivation of the employees.

Modern management theory           

Lastly, the contemporary management theory has three sub-theories that have been coined over the period. The first is the quantitive theory, which came about as a result of the need for managerial efficiency during World War II (James). Its main objectives are to solve problems that rotate around the integrating of systems of people as well as materials. The other subsection is the systems theory, which has a view of management as an interrelated component of the organization. It is there its goal for the administration to support its objectives and processes to maintain overall organizational health (Ingram). Contingency theory is also among the subsections of the modern management theory. The contingency theory was coined by a sociologist called John Woodward. The main idea behind the theory is that organizations that have the better of technology are likely to make better decisions when it comes to situational contexts. This means that the manager should have the necessary competences to make decisions that allow the organization to adapt swiftly to unique situations and circumstances.

Best strategy for an organization to execute strategy.

Any organization across the globe is different from the other. This refers in terms of the size, structure as well as the general composition of the company. Each of these theories is important for the effective execution of a strategic plan. It is, however, essential to note that none of the three classifications of management theory is specially designed for a particular organization in a different industry (Gamble). In business, it essential to pick up the best strategy to manage to guarantee good profits and growth. The best approach is to use each of the policy at the same time. For instance, a company needs to improve its production and maximization of profits. The best plan is classical, but for an organization to achieve maximum productivity, it needs to have motivated human personnel working. It is, therefore, also essential to use the behavioral management theory at the same time.

The global growth rate is swift as more organizations are growing and increasing their production levels. Also, with the new technological innovations, there is a need to utilize the modern management theory—for instance, the contingency theory, which is essential for emergencies (Augustine). The management needs to make options that are appropriate and will not generally injure the organization. A typical example is the spread of the convid19 virus and how it has impacted the forex numbers. Only organization managers that are good with the contingency management theory would be able to understand the implications of such unexpected scenarios and circumstances.


In conclusion, an organization should have a management that is up to the task and will seek to use the management theory that will ensure that any strategy executed in the organization is done so effectively and efficiently (Elkins). It is essential as well to have the manager equipped with the necessary skills to motivate the employees to work diligently and towards achieving the organization’s goals. A good organization is designed in a manner that has all the competencies required for organizational growth.








Works Cited

Augustine, Anichebe Nnaemeka. “Effects of Classical Management Theories on the CurrentManagement Practice in Nigeria.” European Journal of Business and Management 5.19 (2013): 203-221. Online. 10 March 2020.

Crittenden, Victoria, and William Crittenden. “Building a capable organization: The eight levers of strategy implementation.” Kelley School Of Business (2008): 301-309. Online.

Elkins, Hanshaw. “Management Theories & Concepts in the Workplace.” 27 March 2019. chron. Online. 10 March 2020.

Gamble, Thompson Strickland. Crafting and Executing Strategy: The Quest for Competitive Advantage. New York: McGraw-Hill Irwin, 2008. Online.

Ingram, David. “Building an Organization Capable of Good Strategy Execution.” 15 May 2019. Chron. Online. 10 March 2020.

James, Khalid. “What are the Management Theories?” 23 May 2019. CFI. Online. 10 March 2020.

Team, Sling. “The 11 Most Important Management Theories For Small Business.” 8 April 2019. Get sling. Online. 10 March 2020.

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