-The Classical Approach-
The origin of Classical Approach carried out initially in the early part of the century, by
such scientist as Frederick W. Taylor, Henri Fayol, Urwick, etc. Most of them were laying
the fundamental for a comprehensive theory of management (Mullins, 2005). Frederick W.
Taylor came up with the so-called Scientific Management through his book The Principle
of Scientific Management on 1911. His theory emphasizes in obtaining increased
productivity from each worker through structuring the technical work organization and
providing monetary incentives as the motivator for higher results. He believed there is a
most efficient working method by which employee should do their jobs. He argued that all
jobs processes can be determined into discrete tasks, so that tasks, by scientific method,
was able to find the best way to undertake each task, these terms recognized as division of
labour. Taylor found out the major cause of inefficient work is lack of employee initiatives
on his job. This issue obtain another negative impacts for company such as waste of
human effort, waste of material things, waste of time, etc(Freedman, 1992). In other
words, Taylor thought the basic cause of these waste was because company focused too
much on the output of job rather than focusing on every single process by which the work
was finished. This condition was normally happened in that time because most of company
used predetermined results, usually throughout the number of finished product, to measure
appropriate salary or incentives for the workers. Having said that, Taylor saw initiatives
and incentives system are major problem for company in order to improve their
performance. Therefore, he argued that the only way to increase performance is by giving
special incentive so the company can hope to get a lot of initiatives from his employee
(Owens, 1987).
The other contributor of Classical Theory is Henri Fayol. Henri Fayol has different
perspective than Taylor, he was focusing on the manager rather than the employee and he
emphasized in administrative aspects in the organization. Fayol established five
administrative functions:
(1) Planning; (2)organizing; (3)commanding; (4)coordinating; (5) controlling. By these
terms, it is obvious that Fayol concerned in commanding and controlling the organization
towards high performance. Moreover, another contributor for this approach is Max
Webber, a German sociologist, who came up with the idea of bureaucracy. Weber believed
the bureaucratic concept was an approach to minimize the frustrations and illogicality of
huge organization where the relationship between executive level and workers are based
