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In theory of A. Littlejohn, “A business is a closed system that is capable of being manipulated and controlled.” It is the most prominent theory for the practices of entrepreneurial capitalism as opposed to the corporate capitalism. This theory emphasizes that the governments, the educational system, the family and religious context have a much bigger effect in the creation of organizations, as opposed to the influence of the firm.
Management science is the study of management. It first increase the economic and technical effectiveness at both the national and international level. The managers, with the cooperation of experts, study and carry out the programs, projects, organizational policies and solve the problems. So today the management theories has evolved in various forms that are based on the manager’s situational behavior. According to the domain used in the management study, it can be broadly classified into: Organizational management, Strategic management, Ethical management, Personal management and Policy management. Knowing the specific domain is important to choose the right management theory.
Business administration is considered to be a relatively new unit of study. Alexander Kojeve once wrote, “Nothing of importance has been achieved as yet which cannot be attributed to the influence of the historical tradition.” This statement shows the importance of History in the field of business. Different sectors of economy have influenced different management theories. The article will review a number of managerial theories including Warren Bennis & Thomas Peters’ “Learning Organizations” and Mayo Simon & Trout’s “Theory for Action.” The major management theories will be discussed including the General Theory of Administration, the Economic Theory of the Firm and the Industrial Theory of Management. d2c66b5586