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Fashion Valet applied administrative general management theory as their management approach.

Management theories are the set of rules that guide the managers to manage an organization.
Theories are guidance to assist employees to effectively relate to the business goals and
implement it to achieve the goals. Administrative approach was developed by Henri Fayol, often
described as the father of modern management. Drawing on his experience of what worked
well in an organization, he developed 14 principles general theory of business administration.

Some of the principles that Fashion Valet applied are such as, division of work,
discipline, authority and responsibility, unit of command, unity of direction, line of authority,
and order. In the past, Fadzarudin and his co-founder, Vivy Yusof, would do almost all the work,
they would receive hundreds of emails daily, seeking for his approval for projects and releases.
They were not delegating works to the employees. There wasnt any unity of direction among
the employees. Now, Fadzarudin will delegate task and upon hiring and working with people, he
will mention Fashion Valet mission and vision so that they all will know what they want to
achieve. Having unity of direction will also help the organizations to align and go in the same
direction. He also stated that through this, he expects the managers of the teams to handle and
manage their department without having to ask him for approval. As stated by Fadzarudin,
people have unlimited potential, therefore, through division of work, they are set to produce
more and better work with the same effort.

Furthermore, by having discipline, giving them authority and responsibility, having unit
of command as well as line of authority helped Fashion Valet to achieve more success. As we
may know, discipline is necessary as a successful organization requires the shared effort of all
staff. Employees must obey, however, if it is two-sided, they wont comply. Employees will only
comply if management play their part by providing good leadership. Good leadership skill is
vital. Thats why Fashion Valet who used to believe that structure isnt necessary as people
should be free to innovate the company, decided to add structure to their organization as their
company continue to expand. Having a line of authority will help the organization to stay in the
same direction. The higher management will give orders and monitors their employees and they
will ensure that they are achieving the goals. Due to having a large number of employees, is it
beneficial to have a unit of command, where employees will only receive orders from only one
superior and communicate with one superior only. This way, there wont be any conflicting lines
of command which will then jeopardize the management.

At the beginning, Fashion Valet, tried too many things out at a time which then drained their
resources. They tried to appeal to too many markets. Despite their limited resources, they had
many categories on their first website. They realized that this was stretching them too thin, and
they decided to focus on women. Even today, now that Fashion Valet is bigger, they still have to
be thoughtful in choosing their collaborations with others. Although they meet many people with
exciting ideas and things to do, they have to reject them because of realizing what it is that the
team should be focusing on.
An international company Nestle which offers multinational nutritional and health related
products had been identified to use the bureaucratic management approach in ensuring the
success of the company to achieve its objectives. Bureaucratic management theory introduced by
Max Weber who is a German sociologist, explained that this theory has two essential elements
which include structuring an organization into a hierarchy and having clearly defined rules to
help govern an organization and its members.

He found different characteristics in bureaucracies that would effectively conduct decision-


making, controlling resources, protecting workers and accomplishment of organizational goals
which is the six principles of Bureaucratic management approach. The first principle that could
be detected and interpreted in Nestles organization is the chain of command or organizational
hierarchy that should be constructed in a way that information related to decision and works can
flow effectively from top to bottom just like what could be seen in Nestle whereby it has a Board
of Directors, led by their Chairman Peter Brabeck-Letmathe, who was the former Nestl CEO
and the day-to-day management of the Nestl business is taken care of by the Executive Board
while its designated board members manage diverse parts of the global business. This means that
Nestle had systematically arranged its organization hierarchically where the lower management
members received command and report to their respected middle level of management that
consists of various divisions. Those middle level of managers then will report to the board of
directors. Secondly, is the proper division of labor implemented by Nestle whereby in order to
ensure efficiency of its workflow and to meet needs of various regions, Nestle managed their
group by geographies where it appoints representatives from many regions to manage the
business globally such as in Europe, Middle East and North Africa, Americas and Asia.

Despite of following the principles of Bureaucratic management , the features and characteristics
of organization that implements bureaucratic could also be seen in Nestle whereby it follows the
principle of Rationality, Objectively and Consistency recommended and explained by Max
Weber which is to promote efficiency of workflow and a prolong productivity of the employees.
In Nestle, there is an internal rules that does not only require strict compliance with the law, but
also guide the actions even if the law is more lenient or where there is no applicable law at all. It
requires steadfast principles that apply across the whole company and provide clear guidance for
all employees. While their Corporate Business Principles are firmly established, Nestle continues
to adapt them for a changing world. For instance, it incorporated all ten principles of the United
Nations Global Compact soon after their creation and continues to implement them today. As an
international company and having a wide branches globally, it is relevant for Nestle to
implement bureaucratic management especially in terms of command and rules for the
employees to obey it in order to sustain their position in the market.

In comparison of a local company, Fashion Valet and an international company, Nestle, there is a
major different that could be seen between both of the company in terms of command and
direction. In Fashion Valet, they believe that structure isnt necessary as people should be free to
innovate the company and the owner expects the managers of the teams to handle their
department without asking for approval which were like a self-managed teams. In contrast,
Nestle obviously managed their organization bureaucratically where it has its board of directors
that plays main role in giving command and each manager from every department should
monitor the progress and report them to the upper level. In fact, as an organization that been
governed bureaucratically, Nestle had underlined its own internal rules to be obeyed by the
employees and management compared to Fashion Valet who believes in unity of command
rather than underlining certain rules or regulations.

However, Nestle who implements bureaucratic management may has emphasis more on rules
and formalities which may cause wastage of time and efforts, therefore, as a recommendation
Nestle should improve its coordination and communication that could increase efficiency of
workflow across the organization and avoid a lot of paperwork and formalities. Furthermore, for
Fashion Valet, it would be more efficient and secured if the company improves their controlling
towards the employees to enhance productivity and creativity.