What are the Differences Between Classical Management and Strategic Management?

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What are the Differences Between Classical Management and Strategic Management?
Yeshna Ramchurn, Member
What are the main differences between classical management and strategic management and what are the changes in processes.

Classical Management versus Strategic Management
Alan Kennedy
Classical management has been around since the beginning of time. It is the command and control system that characterizes the military. The hierarchy of command is rigid and unforgiving. Disobedience is punished. Consumer choice is dictated or almost non-existent. True competition does not exist.
Strategic management first emerged as a discipline in the western world with the publication of Peter Drucker's The Practice of Management, in 1954. The evolution of the industrial revolution into the mass production age after World War 2 saw markets develop for all nature of goods and services. Now there were competitors offering choices and this made for choices of employment. Classical management cannot work when there are choices.
Strategic management is about searching for practices that will result in sustainability and relevance in an uncertain world where neither the employees nor markets can be controlled. Classical management doesn't function well under those conditions.

Management School of Thoughts
Peter Mayar Mareng, Member
I am still confused between classical management and strategic management.
Besides, what can a good manager do in order for him to make sure he has implement the above different theories?

Classic Strategic Management and Mintzberg
Jaap de Jonge, Editor
@Peter Mayar Mareng: The 10 schools of thought by Mintzberg remind us that there is not just one way/perspective of looking at the strategy process, but there are many perspectives. Mintzberg calls these perspectives: 'schools'. The advantage of categorizing the ways you can think about strategy into a model with 10 schools is that doing so helps you to understand the reality (which is even more complex).
Anyway, it is very important if you ever want to consider to be a strategist to not just take one school for granted, but consider and use them all.
The CLASSIC SCHOOL OF LOOKING AT STRATEGY was the planning school. See the summary of Mintzberg's 10 schools for more information.
The CLASSIC SCHOOL OF MANAGEMENT is what @Alan Kennedy described so well (an accepted definition by all does not exist), see Gulick's POSDCORB. The P of Planning (~classic strategy) is one of Gulick's 7 functions top managers should perform.
Does this help?

The Difference and Why it Matters
Bernhard Keim, Premium Member
Classical management is reactive management, i.e. it reacts only for change if outcome does not develop as expected. Strategic management tries to take future developments already today into account.
The difference is more a matter of perspective and a good manager should take care of both. The strategic view avoids going blindfolded into the future, the classical view avoids that operations stall.

Classical versus Strategic Managenent
Peter Loubele, Member
@Alan Kennedy: The main difference between these two topics is the time frame: 2-3 years for classical management and 5-10 years for strategic management and in that view the different attention points will come on the table. Also the different targets and objectives in view of these time lines will result in different holistic questions to be answered by the management exercise.


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