CONTEXT FOR ORGANIZATION THEORY

CONTEXT FOR ORGANIZATION THEORY

KEY QUESTIONS TO ANSWERTHEORY TO PRACTICE. . .

WHAT DO I NEED TO KNOW ABOUT THIS ORG?

HOW CAN I FIND OUT? HOW CAN I USE THE INFORMATION

THAT I GET? MAKING CHOICES

MAKING SENSE OF WHERE I AM WHAT KNOWLEDGE AND HOW TO

APPLY

WHAT IS THE ROLE OF GOVT?

A NECESSARY EVIL?

TO SHOW THE WAY?

TO PROTECT, PRESERVE, PROMOTE?

TO MAKE IT WORK?

TO ENGAGE?

WHY STUDY FORMAL THEORIES?

USING THEORIES AS BENCHMARKS QUESTIONS TO ANSWER ISSUES TO BE CONSIDERED WHERE WE STAND THOUGHTFUL RECONSTRUCTION OF HOW

WE SEE THE WORLD AROUND US EMPHACIZING AND DE-EMPHACIZING

CERTAIN THINGS AND LEAVING SOME OUT

ROLE MODELS– REPRESENTATION OF REAL LIFE– MOLECULAR STRUCTURES VS MODEL CARS

BUILDING THEORIES

FROM PUBLIC ADMINISTRATION AS PART OF THE

GOVERNMENTAL PROCESS TO

PUBLIC ORGANIZATIONS ARE THE SAME AS BUSINESS

TO PUBLIC ADMINISTRATION IS A

PROFESSIONAL FIELD USUALLY FOCUSING ON

COMPLEX ORGS. CARRYING OUT GOVERNMENT MANDATES

BUILDING THEORIES OF PUBLIC ORGANIZATIONS

PUBLIC ADMINISTRATION AS PART OF GOVERNMENTAL PROCESS

GOVT IS LIKE BUSINESS RE: EFFICIENCY PUBLIC ADMINISTRATION AS A PROFESSION COMPLEX ORGS

– BUREAUCRATIC STRUCTURES– AUTHORITY RELATIONSHIPS

• PRINCIPAL-AGENT THEORY

– PUBLIC ADMINISTRATION AS GOVT ADMINISTRATION WITH AMBIGUOUS GOALS

– SERVICE FIRST?– DEMOCRATIZATION OF ORG DETERMINES

PUBLICNESS OF MGT PROCESSES

STACKING THE DECKAmerican Pol. Sci. Review, Vol. 81, No. 3

www.jstor.org

SHOULD PUBLIC MGRS BIAS THE SEARCH FOR OPTIONS?

SHOULD POLITICIANS ANTICIPATE AND CONTROL SOLUTIONS?

REDEFINING THE FIELD

PROCESS NOT STRUCTURE CLARIFY EARLIER PERSPECTIVES

– POLITICAL– ADMINISTRATIVE– PROFESSIONAL

PUBLIC NATURE NOT GOVT SYSTEMS MANAGING CHANGE PROCESSES IN

PURSUIT OF PUBLICLY DEFINED SOCIETAL VALUES

REDEFINING THE FIELD BRINGING TWO PERSPECTIVES

TOGETHER– DEMOCRATIC POLITICAL THEORY

• FREEDOM, JUSTICE AND EQUALITY

– ORG. THEORIES• MANAGING CHANGE IN PURSUIT OF PUBLICLY

DEFINED VALUES

CRITICAL ROLE OF PUBLIC MGR– INTERPERSONAL AND STRUCTURAL

RELATIONSHIPS AND CHANGE– DESIGN AND IMPLEMENTATION OF

SOCIETAL VALUES– DEFINING ETHICAL BASIS FOR PUBLIC MGT

WHY STUDY FORMAL THEORIES?

PROVIDE A BENCHMARK MORE COHERENT AND

INTEGRATED UNDERSTANDING MORE THAN SIMPLE OBSERVATION

–CONTEXT MODELS AS A REP. OR REAL LIFE

– LIKE MODEL CARS LANGUAGE

– SAID, UNSAID, SAID NEXT

INSIDE FORCES ON A PUBLIC AGENCY MANAGER

AGENCY HEAD OR MANAGER

AGENCY HEAD OR MANAGER

NEED TO MAINTAIN OR INCREASE PRODUCTIVITY

DEMANDS OF UNITS

PROFESSIONAL ASSOCIATIONS.

EMPLOYEE/UNION DEMANDS

MORALE

BUDGET CONSTRAINTS

TWO CASES: EFFICIENCY VS. EFFECTIVENESS?

KEN WELCH AS AN INTERN STUDIES THE RECRUITMENT PROCESS AND GETS TO KNOW RICK, TIM AND THE DIRECTOR– WHAT MOTIVATES EACH?– HOW DID HE COME TO UNDERSTAND

THE BUREAUCRACY?– WHAT COMMUNICATION PATTERNS?– WHAT ROLE ACQUISITION OF

KNOWLEDGE?– HOW TO COPE WITH OR DIRECT ORG

CHANGE?

TWO CASES: EFFICIENCY VS. EFFECTIVENESS?

JOHN AND CAROL TAKE OVER A NEW HOUSING-LOAN PROGRAM AND DISAGREE ON APPLICATION PROCESSING

– CUT RED TAPE OR EDUCATE?

– HOW DOES WHERE THEY SIT DEFINE WHERE THEY STAND?

THE POLITICAL & CULTURAL ENVIRONMENT OF PUBLIC POLICY &

IT’S ADMINISTRATION

WHAT IS PUBLIC POLICY– Public Policymaking in a Republic– Executive Powers

• The Restricted View– Wm. Taft and Strict Constructionism

• The Prerogative Theory– John Locke and Executive Privilege

• The Stewardship Theory– T. Roosevelt and Actions in the Public Interest

THE POLITICAL & CULTURAL ENVIRONMENT OF PUBLIC POLICY & ITS ADMINISTRATION

THE POLICY MAKING PROGRESS– Agenda Setting

• Process of ideas bubbling up for consideration• Anthony Downs – Preproblem, Alarmed Discovery,

Recognition, Decline of Public Interest, Post Problem Phase

– Decision Making • Rational• Intelligence, Recommending, Prescribing, Invoking,

Application, Appraisal, and Terminating Phases

– Implementation – small decisions at the margin• Seven Reasons for Incrementalism

– Evaluation – Feedback

RATIONAL ACCORDING TO HERMAN SIMON

1958

MAKING OPTIMAL CHOICES IN HIGHLY SPECIFIED ENVIRONMENT– IDENTIFYING ALTERNATIVES A GIVEN– CONSEQUENCES FOR EACH

• CERTAINTY, RISK, AND UNCERTAINTY

– DECISIONMAKER CAN RANK CHOICES BASED UPON CONSEQUENCES

– GOOD SELECTION POSSIBLE – MINIMAX RISK=MAXIMUM BENEFIT AND

MINIMUM CONSEQUENCE

THE POLITICAL & CULTURAL ENVIRONMENT OF PUBLIC POLICY &

ITS ADMINISTRATION

POWER--THE EXTERNAL PERSPECTIVE– Pluralism

• Assuming the shifting of power within a democracy

– Group Theory• Madison – Federalist Paper #10• Interest Groups Will Be Heard and Can Be

Managed

– Organizational Goals– Internal Power Relationships

THE POLITICAL & CULTURAL ENVIRONMENT OF PUBLIC POLICY & ITS ADMINISTRATION

THE CULTURES OF PUBLIC ADMINISTRATION– The Outside Cultural Environment – The Inside Cultural Environment – Professional Socialization– Symbolic Management

THE EVOLUTION OF ORGANIZATIONAL AND MANAGEMENT THEORY

From Moses Meets a Management Consultant to New

Public Management

A CHRONOLOGY 400 B.C. SOCRATES – MGT IS AN ART UNTO ITSELF 360 B.C. ARISTOTLE – CULTURAL CONTEXT 1776 ADAM SMITH – OPTIMAL ORGANIZATION OF

PIN FACTOR 1813 ROBERT OWEN – EMPLOYEES ARE VITAL

MACHINES 1910 LOUIS BRANDEIS AND FREDERICK TAYLOR -

SCIENTIFIC MANAGEMENT 1922 MAX WEBER –BUREAUCRACY AS A

STRUCTURE

A CHRONOLOGY 1937 GULICK’S POSDCORB 1940 MERTON AND THE DYSFUNCTIONS OF

BUREAUCRACY 1946 SIMON ATTACKS THE PRINCIPLES

APPROACH 1948 WALDO ATTACKS THE GOSPEL OF

EFFICIENCY 1949 SELNICK AND TVA’S COOPTATION 1954 DRUCKER AND MANAGEMENT BY

OBJECTIVES 1957 ARGYRIS AND THE CONFLICT BETWEEN

PERSONALITY AND THE ORGANIZATION

A CHRONOLOGY 1961 THOMPSON FINDS DYSFUNCTION

DUE TO ABILITY VS AUTHORITY 1962 PRESTHUS’ UPWARDMOBILES,

INDIFFERENTS AND AMBIVALENTS 1964 CROZIER – BUREAUCRACY AS AN

ORGANIZATION THAT CANNOT LEARN FROM ERRORS

1966 BENNIS PROCLAIMS DEATH TO BUREAUCRATIC INSTITUTIONS

1968 HERZBERG – MOTIVATORS, SATISFIERS AND HYGIENE FACTORS

1972 CLEVELAND – CONTINUOUS IMPROVISATION IS REQUIRED

1976 MACCOBY AND THE GAMESMAN 1981 PFEFFER – POWER IN

ORGANIZATIONS

A CHRONOLOGY 1983 ROSABETH MOSS KANTER AND

THE CHANGEMASTER 1988 ZUBOFF AND THE AGE OF THE

SMART MACHINE 1990 GAGLIARDI AND SYMBOLS AND

ARTIFACTS 1992 OSBORNE AND GAEBLER RE-

INVENT GOVERNMENT 1997 VIRTUAL ORGANIZATIONS AND

BEYOND 2000 SNOOK ANALYZES SYSTEMIC

BREAKDOWN IN FRIENDLY FIRE 2002 PERROW AND ORGANIZING AMERICA:

WEALTH, POWER AND ORIGINS OF CORPORATE CAPITALISM

MOSES CREATES FIRST BUREAUCRACY

JETHRO – INSTEAD OF COUNSELING EVERYONE – TEACHING ORDINANCES AND LAWS SO THEY FIND THEIR OWN WAY USING BASIC PRINCIPLES

HAVING TO DEAL WITH ONLY THE HARD CHOICES

EIGHT DEFINITIONS OF ORGANIZATION

WEBER– OBEY ORDERS

WALDO– STRUCTURE OF INTER-RELATIONS

BARNARD– CONSCIOUSLY COORDINATED

ACTIVITIES SELZNICK

– STRUCTURAL EXPRESSION OF RATIONAL ACTION

EIGHT DEFINITIONS OF ORGANIZATION

KATZ AND KAHN– ENERGETIC AND INTERDEPENDENT INPUTS-

OUTPUTS SILVERMAN

– SOCIAL INSTITUTIONS WITH SPECIAL CHARACTERISTICS AND LEGITIMACY

COHEN, MARCH, OLSEN– COLLECTION OF ISSUES LOOKING FOR

RESOLUTION AND DECISION MAKERS LOOKING FOR WORK

BRINGING THEORIES INTO PERSPECTIVE

DOMINANT METAPHORS PRIMARY UNITS OF ANALYSIS RELATION OF INDIVIDUAL TO ORG. MEANING OF RATIONALITY PRIMARY VALUES EMBODIES IN

THEORITICAL PERSPECTIVES “GENERIC” NO DIFFERENCE

BETWEEN PUBLIC AND PRIVATE SECTOR THEORIES???

THREE ARENAS OF PUBLIC ORGANIZATION

INTER-ORGANIZATIONAL– PUBLIC ADMINISTRATOR ACTS AS AGENT

INTRA-ORGANIZATIONAL– PUBLIC ADMINISTRATOR HAS A PLACE IN

THE ORGANIZATION

ORGANIZATION TO INDIVIDUAL– INTERACTIONS WITH INDIVIDUALS INSIDE

AND OUTSIDE AND DISCRETION

BUREAUCRACY ACCORDING TO MAX WEBER

1. FIXED AND OFFICIAL JURISDICTIONAL AREAS DEFINED BY REGULATIONS

2. AUTHORITY AND SUPERVISION 3. WRITTEN AND PRESERVED FILES 4. EXPERT TRAINING IS ASSUMED 5. OFFICIAL ACTIVITY DEMANDS AND

RECEIVES FULL CAPACITY 6. MANAGEMENT FOLLOWS STABLE,

COMPLETE AND UNDERSTANDABLE RULES

POSTURE OF THE OFFICIALACCORDING TO WEBER

OFFICE HOLDING IS A VOCATION SOCIAL ESTEEM APPOINTED BY LEGITIMATE

AUTHORITY TENURE FOR LIFE COMPENSATION AND PENSION SET FOR A CAREER WITHIN

HIERARCHY OF PUBLIC SERVICE

THE EVOLUTION OF MANAGEMENT & ORGANIZATION THEORY

THE ORGINS OF PUBLIC MANAGEMENT – The Continuing Influence of Ancient Rome– The Military Heritage of Public Administration– Comparing Military & Civilian Principles – The Principles Approach– The Cross-Fertilization of Military & Civilian

Management –


Key Concepts– Merit system– Public Works– Police– Commander in Chief– Span of Control– Unity of Command


WHAT IS ORGANIZATION THEORY?– Classical Organization Theory

• Production related and economic goals• Systematic Organization• Division of Labor• People Act Rationally

– Adam Smith and the Pin Factory• Laissez-faire capitalism


THE ORGINS OF SCIENTIFIC MANAGEMENT

– Frederick W. Taylor• Time and Motion, Measuring Management• Worker Development• Worker Cooperation• Division of Work

– Fayol’s General Theory of Management• Six Principles – technical, commercial,

financial, security, accounting, management

FREDERICK TAYLOR PRINCIPLES OF SCIENTIFIC MGT.DECEMBER, 1916

RESTRICTING WORKER OUTPUT HURTS THE WORKER

PRACTICE PRECEDES THEORY GOODWILL IS CREATED AMONG WORKERS WORKERS ASSUME NEW BURDENS

VOLUNTARILY THE SCIENCE OF SHOVELING AT

BETHLEHEM STEEL COSTS MONEY AND JUSTIFIES PROFIT MR. BARTH INCREASING WORK 2-3 TIMES

THROUGH ANALYSIS

FREDERICK TAYLOR PRINCIPLES OF SCIENTIFIC MGT.DECEMBER, 1916

1ST PRINCIPLE: LEARNING THE SCIENCE OF WORK BY STUDYING MOTION AND TIME ON THE JOB

2ND PRINCIPLE – SELECT AND DEVELOP WORKMEN

3RD PRINCIPLE – BRINGING SCIENCE TOGETHER WITH TRAINED WORKERS

4TH PRINCIPLE – DIVIDING WORK BETWEEN WORKERS AND MGT.

FAYOL’S PRINCIPLES OF MANAGEMENT

DIVISION OF WORK AUTHORITY AND RESPONSIBILITY DISCIPLINE UNIT OF COMMAND UNITY OF DIRECTION SUBORDINATION OF INDIVIDUAL TO

GENERAL INTEREST REMUNERATION OF PERSONNEL CENTRALIZATION


CLEAR LINE OF AUTHORITY ORDER EUITY STABILITY OF TENURE OF

PERSONNEL INITIATIVE ESPRIT DE CORPS


• THE PERIOD OF ORTHODOXY- between the wars• Paul Appleby’s Polemic

– Govt is different because Govt is Politics

• Luther Gulick’s POSDCORB

POSDCORB AS AN ORGANIZING PHILOSPHY

PRIMARY ACTIVITIES OF THE EXECUTIVE

CONSEQUENCE:– EMPHACIZING MEANS OF

ADMINISTRATION NOT PURPOSE– DICHOTOMY BETWEEN POLITICS AND

ADMINISTRATION– EFFICIENCY OF WORK IS IMPORTANT

THRU DIVISION OF LABOR

POSDCORB AS AN ORGANIZING PHILOSPHY

PLANNING ORGANIZING STAFFING DIRECTING COORDINATING REPORTING BUDGETING

FOUR VIEWS OF ORGANIZATION

MACRO LEVEL

NATURAL SELECTION

COLLECTIVE ACTION VIEW

SYSTEM STRUCTURAL VIEW

STRATEGIC CHOICE

MICRO LEVEL

DETERMINISTIC VOLUNTARISTIC

FOUR BUREAUCRATIC POSTURESTOWARD A COMPOSITE

APPROACH APPROACH FORM SCOPE COVERAGE MOTIVE OR VALUES ORIGINS NET IMPACT ON PUBLIC INTEREST NET IMPACT ON PERFORMANCE

WEBERIAN OR RESPONSIBLE REPRESENTATIVE

PUBLIC SERVICE PUBLIC CHOICE

ADMINISTRATIVE DECISION-MAKING

DECISION MAKING: CHOICES EFFICIENCY VS. EFFECTIVENESS PRODUCTIVITY

– WEBER – LEGAL/RATIONAL (INSTRUMENTAL) AUTHORITY

RIGHTS AND THE ADEQUACY OF PROCESS– PUBLIC WELFARE ADMINISTRATORS AND

THEIR CLIENTS REPRESENTATION AND CONTROL OF

DISCRETION– ROLE OF MORAL OBLIGATION/CODES OF

ETHICS

WHAT DOES PUBLIC ADMINISTRATION DEAL

WITH? DECISIONS THAT

– AFFECT PEOPLE’S LIVES– ARE MADE IN THE NAME OF THE

PUBLIC– USE PUBLIC RESOURCES

TAME AND WICKED PROBLEMS PERSONAL VS. ORGANIZATIONAL

ACTION

FOUR QUESTIONS TO THINK ABOUT. . .

WHAT IS THE PUBLIC ADMINISTRATION FRAMEWORK?

WHAT ARE THE THEORIES THAT APPLY TO ORGANIZATIONAL BEHAVIOR?

HOW WOULD YOU DEFINE ORGANIZATIONAL THEORY?

COMPARE AND CONTRAST CLASSICAL AND NEOCLASSICAL APPROACHES TO ORGANIZATIONAL BEHAVIOR

DONALD RUMSFELD AND PRISONER ABUSE AT ABU

GHRAIB - 2004 AS A TRUSTED OUTSIDER AND

ADVISOR TO RUMSFELD– WHAT FACTORS BROUGHT THIS TO

CRISIS?– TO WHOM AND FOR WHAT IS

RUMSFELD MOST RESPONSIBLE?– WHAT STEPS TO TAKE TO ADDRESS

AND RESOLVE THE CRISIS?– WHAT ARE THE LESSONS LEARNED?

MOVING FROM CLASSICAL ON. . .

INDUSTRIAL REVOLUTION– EFFICIENCY AND EFFECTIVENESS

ORGANIZATION BY DECISION SETS ORGANIZATIONS AS PURPOSIVE

ENTITIES INTEGRATING INDIVIDUALS ORGANIZING AS REVEALED SELF-

INTEREST ORGANIZING AS SOCIAL ACTION OGANIZING AS DISCOVERED

RATIONALITY

SUPERINTENDENT’S REPORT

1856 – ERIE RAILROAD COMPANYSETTLED PRINCIPLES DIVISION OF RESPONSIBILITIES POWER TO CARRY OUT MEANS OF MEASUREMENT PROMPT REPORT OF ERRORS SO

CORRECTED DAILY REPORTS, CHECKS AND BALANCES ADOPTION OF SYSTEM TO ALLOW

GENERAL SUPERINTENDENT TO DETECT AND CORRECT ERRORS IMMEDIATELY

THE ENGINEER AS AN ECONOMIST

SEPARATE FROM THE AMERICAN SOCIETY OF MECHANICAL ENGINEERS

SHOP MANAGEMENT– ORG. , RESPONSIBILITY, REPORTS, SYSTEMS

OF WORK, EXECUTIVE MANAGEMENT

SHOP ACCOUNTING– TIME, WAGES, COSTS, BOOKKEEPING,

EXPENSES, RECORDS OF RESULTS AND PROFITS

CLASSICAL SCHOOL1930’S AND INFLUENTIAL

TODAY 1. ORGS EXIST TO ACCOMPLISH

PRODUCTION RELATED GOALS 2. ONE BEST WAY TO ORGANIZE 3. PRODUCTION IS MAXIMIZED THROUGH

SPECIALIZATION AND DIVISION OF LABOR

4. PEOPLE AND ORGANIZATIONS ACT IN ACCORDANCE WITH RATIONAL ECONOMIC PRINCIPLES

THE ECONOMY OF INCENTIVESCHESTER BARNARD - 1938

SPECIAL INDUCEMENTS FOR PRODUCTIVITY– MATERIAL– PERSONAL DEVELOPMENT– WORKING CONDITIONS– IDEAL BENEFACTIONS

• SATISY PERSONAL IDEALS RELATED TO FUTURE AND ALTRUISM

– ORGANIZATION ATTRACTIVENESS INCENTIVES DIFFER BY ORG. PURPOSE

– INDUSTRIAL – PRODUCTION OF MATERIAL GOODS + LIMITED MATERIAL REWARDS

– POLITICAL – PERSONAL PRESTIGE/MATERIAL REWARDS IMPORTANT TO IDEAL BENEFACTIONS

– RELIGIOUS – FAITH/LOYALTY MADE POSSIBLE BY MATERIAL CONTRIBUTIONS

BUREAUCRATIC STRUCTURE AND PERSONALITY

ROBERT MERTON - 1957

THE DYSFUNCTIONS OF BUREAUCRACY– SECRECY– OCCUPATIONAL PSYCHOSIS– OVERCONFORMITY– SECULAR AND SACRED DIVISION OF LABOR– DEPERSONALIZATION– DISCREPANCY BETWEEN IDEOLOGY AND

FACT• SERVANTS OF THE PEOPLE?

– QUESTIONS TO BE ANSWERED• PRESTIGE SYMBOLS TO INNER CIRCLE?


“MODERN” STRUCTURAL ORGANIZATION THEORY– Talcott-Parsons 1951– Social Systems vs. Political Organizations– Basic Assumptions

• ORGANIZATIONS ARE RATIONAL• BEST STRUCTURES• DIVISION OF LABOR• PROBLEMS ARE STRUCTURAL

– Mechanisms and Organic Systems


NEOCLASSICAL ORGANIZATION THEORY- 1776 TO 1937

ORGANIZATIONS DO NOT EXIST AS ISLAND– Herbert Simon’s Influence

• SATISFICING• BOUNDED RATIONALITY

– The Impact of Sociology• SELZNIK – GOALS AND VALUES NOT

NECESSARILY ALIGNED• OPENING UP ORGANIZATIONS

ORGANIZATIONS AS NON-RATIONAL INSTITUTIONS

SELSNICK - 1948

ORGANIZATIONS AS ECONOMIES ORGANIZATIONS AS ADAPTIVE SOCIAL

SYSTEMS STRUCTURAL-FUNCTIONAL ANALYSIS

– SECURITY, STABILITY CONTINUITY, RECALCITRANCE, HOMOGENEITY OF OUTLOOK

CO-OPTATION – PROCESS OF ABSORBING NEW ELEMENTS

AS A MEANS OF AVERTING THREATS

ORGANIZATIONS AS A COLLECTION OF BEHAVIORS

Cyert & March -1959

COALITIONS– OBJECTIVES SET THRU BARGAINING,

INTERNAL CONTROLS AND ADJUSTING TO EXPERIENCE

– EXAMPLE: COMMITTEE AND PAINTING– PREDICTIVE THEORY

• DEMANDS AND PROBLEMS FOR MEMBERS• TOOL TO CHANGE DEMAND OVER TIME• ATTENTION-FOCUS TOOL FOR DEMANDS• ATTENTION-FOCUS TOOL FOR PROBLEMS• DEMAND EVALUATION PROCEDURE• TOOL FOR CHOOSING AMONG VIABLE COALITIONS


SYSTEMS THEORY– SYSTEMS ANALYSIS-RIGOROUS COLLECTION,

MANIPULATION AND EVALUATION OF DATA TO MAKE GOOD DECISIONS

– CYBERNETICS – ADAPTIVE SYSTEMS REQUIRING MULTI-DISCIPLINARY APPROACHES

– THE LEARNING ORGANIZATION-PERSONAL MASTERY, MENTAL MODELS, SHARED VISION, TEAM LEARNING, SYSTEMS THINKING


THE ORGINS OF PUBLIC MANAGEMENT – The Continuing Influence of Ancient Rome– The Military Heritage of Public Administration– Comparing Military & Civilian Principles – The Principles Approach– The Cross-Fertilization of Military & Civilian

Management

NEO-CLASSICAL: ORGANIZATIONS AS DECISION

SETS

FROM SYSTEM, HIERARCHY, STRUCTURE TO NEO-CLASSICAL:– HUMAN ANALYSIS– DECISIONMAKERS– SERIES OF CHOICES – RATIONAL LINKAGES– BOUNDED BY ORGANIZATIONAL

PURPOSE

FAYOL’S FOURTEEN PRINCIPLES

PRINCIPLES APPLY DIFFERENTLY IN DIFFERENT SITUATIONS

ADMINISTRATION: TO BRING A BETTER, ORDERED LIFE FOR THE ORGANIZATION AND THOSE WORKING IN IT– SUBORDINATION OF INDIVIDUAL INTERESTS

TO COMMON GOOD– HIERARCHY– CENTRALIZATION– UNITY OF COMMAND AND MANAGEMENT

FAYOL’S PRINCIPLES OF MANAGEMENT-1916

DIVISION OF WORK AUTHORITY AND RESPONSIBILITY DISCIPLINE UNIT OF COMMAND UNITY OF DIRECTION SUBORDINATION OF INDIVIDUAL TO GENERAL

INTEREST REMUNERATION OF PERSONNEL

– JOB, PIECE, BONUSES, PROFIT SHARING, PAYMENT IN KIND, WELFARE WORK, NON-FINANCIAL INCENTIVES

CENTRALIZATION – ALWAYS THERE JUST QUESTION OF PROPORTION


SCALAR CHAIN: CLEAR LINE OF AUTHORITY

ORDER EQUITY STABILITY OF TENURE OF

PERSONNEL INITIATIVE ESPRIT DE CORPS

CONSEQUENCES OF POSDCORBLUTHER GULICK

WILSONIAN CONTEXT: ACHIEVING MEANS WITHIN A DEMOCRACY

EMPHASIS ON DIVISION OF WORK ORGANIZATION AS A TECHNICAL

PROBLEM CENTRALITY OF EFFICIENCY

KEY TERMS SATISFICING: LIMITS TO DECISION MAKING RATIONAL MAN: ANALYZES COMPLEXITIES

AND MAXIMIZES CHOOSING BEST ALTERNATIVE

BOUNDED RATIONALITY: LIMITING ADMIISTRATIVE RATIONALITY DUE TO – COMPLETE KNOWLEDGE OF

CONSEQUENCES– FUTURE MUST BE ANTICIPATED– ALTERNATIVE BEHAVIORS LIMITED– ORGANIZATIONAL SETTING– PSYCHOLOGICAL STATE

• NARROW INTERPRETATION

KEY TERMS INSTRUMENTAL RATIONALITY – SUBJECTIVE

MEANS-END REASONING DECISION – CONCLUSION DRAWN FROM SET OF

VALUE AND FACTUAL PREMISES EFFICIENCY –MAXIMIZE ATTAINMENT OF CERTAIN

ENDS WITH SCARCE RESOURCES EFFECTIVENESS-ACCOMPLISHING ORG

OBJECTIVES AND OVERALL PERFORMANCE PUBLIC PROBLEMS – EXTRA-ORGANIZATIONAL AUTHORITY –POWER TO MAKE DECISIONS WHICH

GUIDE THE ACTIONS OF ANOTHER COORDINATION – THE PRINCIPLES OF

ORGANIZATIONS IN TOTO OPERATING THRU A SUPERME COORDINATING AUTHORITY (URWICK)

SIMON’S ACCEPTED ADMINISTRATIVE PRINCIPLES

ADMIN. EFFICIENCY INCREASED BY:– SPECIALIZATION OF THE TASK– ARRANGING MEMBERS IN DETERMINATE

HIERARCH OF AUTHORITY– LIMITING SPAN OF CONTROL TO A SMALL

NUMBER– GROUPING WORKERS ACCORDING TO

PURPOSE, PROCESS, CLIENTELE AND PLACE KNOWLEDGE IS NEUTRAL

– VALUES OF USER APPLY TEHCNOLOGY IS APPLIED KNOWLEDGE

AND NEUTRAL

RATIONAL ACCORDING TO HERMAN SIMON

1958

MAKING OPTIMAL CHOICES IN HIGHLY SPECIFIED ENVIRONMENT– IDENTIFYING ALTERNATIVES A GIVEN– CONSEQUENCES FOR EACH

• CERTAINTY, RISK, AND UNCERTAINTY

– DECISIONMAKER CAN RANK CHOICES BASED UPON CONSEQUENCES

– GOOD SELECTION POSSIBLE – MINIMAX RISK=MAXIMUM BENEFIT AND

MINIMUM CONSEQUENCE

HERBERT SIMON’S ACCEPTED ADMINISTRATIVE

PRINCIPLES

EFFICIENCY IS INCREASED BY 1. SPECIALIZATION

2. GROUP IN HIERARCHY

3. LIMITING SPAN OF CONTROL

4. ORGANIZING ACCORDING TO PURPOSE, PROCESS, CLIENTELE AND PLACE

OVERHAULING THE PROVERBS NOT PRINCIPLES OF ADMINISTRATION

1. DEVELOP A VOCABULARY

2. STUDY THE LIMITS OF RATIONALITY

DECISION-SET CHARACTERISTICS

DECISION MAKING IS FOCAL POINT OF ADMINISTRATION – MAKING DECISIONS, ANALYSIS, PRIORITIZING,

COMMUNICATION CORE MODE OF OPERATION IS

INSTRUMENTAL RATIONALITY EFFICIENCY AS A MEASURE ROLES MORE IMPORTANT THAN

INDIVIDUALS WHAT ROLE REPRESENTATION AND

CONTROL OF DISCRETION??

OPEN SYSTEMS AND SYSTEM MANAGEMENT

OPEN SYSTEMS – ANY ORGANIZATION THAT INTERACTS WITH ITS ENVIRONMENT

STRUCTURAL/FUNCTIONALISM – ORGS EXPLAINED IN TERMS OF CONTRIBUTION TO MAINTAINING THE SYSTEM

SYSTEMS THEORY – DYNAMIC RELATIONSHIPS OF INPUTS, PROCESSES, OUTPUTS, FEEDBACK LOOPS, ENVIRONMENT

NEO-CLASSICAL APPROACHES

WHAT ARE THE DISTINGUISHING CHARACTERISTICS?

WHERE DO INDIVIDUAL EMPLOYEES FIT?

ARE THEY ALL THE SAME? WHAT DO THEY MISS? HOW WOULD THEY ADDRESS THE

LOCAL EDUCATION AUTHORITY ALES RAKOVICH’S DILEMMA?

HUMAN RESOURCE THEORY PRINCIPLES

ORGANIZATIONS EXIST TO SERVE HUMAN NEEDS

ORGANIZATIONS AND PEOPLE NEED ONE ANOTHER

WHEN THE FIT IS POOR, ONE OR BOTH SUFFER

A GOOD FIT BENEFITS BOTH

HUMAN RESOURCE THEMES

LEADERSHIP MOTIVATION INDIVIDUALS IN TEAMS AND

GROUPS EFFECTS OF WORK ENVIRONMENT USE OF POWER AND INFLUENCE ORGANIZATIONAL CHANGE

HUMAN RESOURCE THEORY

MUNSTERBERG – FINDING AND SHAPING PEOPLE TO FIT NEEDS

PEOPLE, GROUPS, RELATIONSHIPS AND ORG ENVIRONMENT

HAWTHORNE EXPERIMENTS MASLOW’S THEORY THEORY X & THEORY Y MAXIMUM INFORMATION AND INFORMED

DECISIONS (ARGYRIS, 1970) GROUPTHINK (JANIS, 1971)

WHAT ROLE LEADERSHIP?

MANAGER – FORMAL AUTHORITY

LEADER– EFFECTIVE USE OF INFLUENCE– RELATIONSHIP BETWEEN PEOPLE

WHERE INFLUENCE IS UNEVENLY DIVIDED

– CANNOT FUNCTION IN ISOLATION

ESSENTIAL FUNCTIONS OF LEADERS AS EXECUTIVES

CHESTER BARNARD - 1938

PROVIDE SYSTEM OF COMMUNICATION

PROMOTE THE SECURING OF ESSENTIAL EFFORTS

TO FORMULATE AND DEFINE THE PURPOSES AND GOALS OF AN ORGANIZATION

LEADERSHIP APPROACHES TRAIT

– LEADERS ARE BORN NOT MADE• PERSONALITY CHARACTERISTIC

– TRANSACTIONAL• BASED ON AN INTERACTIONS• FOCUS ON THE LEADER AND ON SUBORDINATES

– CONTINGENCY OR SITUATIONAL• PARTICIPATORY LEADERSHIP• LAW OF THE SITUATION• CONTINUUM FROM BOSS-CENTERED TO

SUBORDINATE -CENTERED

– CULTURAL AND TRANSFORMATIVE• CHANGING CULTURAL ASSUMPTIONS

– WHERE TO FROM HERE?

LIFE CYCLE OF LEADERSHIP

THE MANAGERIAL GRID – CONSIDERATION VS INITIATING STRUCTURE– TEAM MANAGEMENT VS IMPOVERISHED– ADDING AN EFFECTIVENESS GRID

MOVING FROM – HIGH TASK LOW RELATIONSHIP TO HIGH ASK HIGH

RELATIONSHIPS– LOW HIGH RELATIONSHIPS LOW TASK TO LOW TASK

LOW RELATIONSHIPS LIKERT – EMPLOYEE CENTERED DIFFICULTIES

– CHANGING STYLE– CHANGING PERFORMANCE

CONTINGENCY THEORY

SELECTION AND TRAINING OF LEADERS

CO-ACTING TASK GROUPS ADMINISTRATIVE AND

SUPERVISORY STRATEGIES MOVING FROM NOVEL TO FAMILIAR STRUCTURED SITUATIONS VS.

CRISES

CALLING FOR TRANSFORMATIONAL LEADERS

TICHY AND ULRICH

ASSUMPTIONS– TRIGGER EVENTS INDICATE CHANGE IS

NEEDED– A CHANGE UNLEASHES MIXED FEELINGS– QUICK FIX LEADERSHIP LEADS TO DECLINE– REVITALIZATION REQUIRES

TRANSFORMATIONAL LEADERSHIP• VISION• MOBILIZATION OF COMMITMENT• INSTITUTIONALIZATION OF CHANGE

PHASES OF CHANGE

THREE-PHASE PROCESS– ENDINGS– NEUTRAL– NEW BEGINNINGS

QUALITIES OF THE LEADER– EQUITY, POWER, FREEDOM AND

DYNAMICS OF DECISIONMAKING, TOUGHNESS, SEIZING OPPORTUNITIES

CORPORATE CULTURE PROVIDES A WAY OF UNDERSTANDING + MEANING

ROLES OF LEADERSHIP IN STRATEGY FORMULATION

ED SCHEIN

PERCEIVE WHAT IS HAPPENING IN ENVIRONMENT

INFORMATION THAT MOTIVATES CHANGE

VISION FOR PSYCHOLOGICAL SAFETY ACKNOWLEDE UNCERTAINTY ACKNOWLEDGE ERROS IN THE

LEARNING PROCESS MANAGE THE PHASES OF CHANGE

LEARNING LEADERSED SCHEIN

PERCEPTION AND INSIGHT MOTIVATION EMOTIONAL STRENGTH ABILITY TO CHANGE THE CULTURAL

ASSUMPTIONS ABILITY TO CREATE INVOLVEMENT AND

PARTICIPATION ABILITY TO LEARN A NEW CULTURE

EMOTIONAL INTELLIGENCE MAKES A LEADER

DANIEL GOLEMAN

SELF-AWARENESS SELF-REGULATION MOTIVATION EMPATHY SOCIAL SKILL

LEADERS , DOUBT AND SENSEMAKING

KARL WEICK

THE VALUE OF UNCERTAINTY

LEADING BY COMPASS– ANIMATION– IMPOVISATION– LIGHTNESS– AUTHENTICATION– LEARNING

EFFICACY AND EFFECTIVENESSMARTIN CHEMERS

THE ROLE OF INTELLIGENCE FUNCTIONAL LEADERSHIP

– IMAGE MANAGEMENT– RELATIONSHIP DEVELOPMENT– RESOURCE DEVELOPMENT– TRANSFORMATIONAL – TRANSCEND AND

TRANSFORM • WEBER’S CHARISMATIC

SELF EFFICACY FOUR TYPES OF EMOTIONAL INTELLIGENCE

– TO FACIITATE THINKING– TO UNDERSTAND OWN EMOTIONS– EMPATHY– REGULATION OF SELF TO CONTROL AND PROMOTE

PERSONAL GROWTH

FROM OLD PUBLIC ADMINISTRATION TO PUBLIC SERVICE FOUNDATIONS HUMAN BEHAVIOR PUBLIC INTEREST RESPONSIVENESS MECHANISMS ACCOUNTABILITY ADMINISTRATIVE DISCRETION ASSUMED ORGANIZATIONAL STRUCTURE ASSUMED MOTIVATION BY PUBLIC

ADMINISTRATORS AND SERVANTS

SERVING CITIZENS NOT CUSTOMERS

CIVIC VIRTUE AND DEMOCRATIC CITIZENSHIP THEORIES OF CITIZENSHIP THE ROLE OF THE CITIZEN BUILDING CITIZEN INVOLVEMENT

– FIVE TENETS PUBLIC SERVICE AS AN EXTENSION OF

CITIZENSHIP NEW PUBLIC MANAGEMENT AND CUSTOMER

SATISFACTION NEW PUBLIC SERVICE AND QUALITY CITIZEN

SERVICE

ACCOUNTABILITY ISN’T SIMPLE

WHAT ARE WE RESPONSIBLE FOR? TO WHOM ARE WE

ACCOUNTABLE? BY WHAT MEANS WILL WE

ACHIEVE OUTCOMES AND BE ACCOUNTABLE FOR THEM?

SERVING CITIZENS NOT CUSTOMERS

CIVIC VIRTUE AND DEMOCRATIC CITIZENSHIP THEORIES OF CITIZENSHIP THE ROLE OF THE CITIZEN BUILDING CITIZEN INVOLVEMENT

– FIVE TENETS PUBLIC SERVICE AS AN EXTENSION OF

CITIZENSHIP NEW PUBLIC MANAGEMENT AND CUSTOMER

SATISFACTION NEW PUBLIC SERVICE AND QUALITY CITIZEN

SERVICE

BUILDING CITIZEN INVOLVEMENT

ACHIEVE BEST POLITICAL OUTCOMES

SATISFY INTERESTS OF CITIZENS

LEGITIMIZE GOVERNMENT

DEMOCRATIC MORALITY

BUILDING CITIZEN INVOLVEMENT

ACCESS TO INFORMATION

ACCESS TO DECISIONMAKING

ABILITY TO OPEN ISSUES FOR PUBLIC DISCUSSION

CONSIDERATION OF ALL CLAIMS ASSERTED

DEFINING PUBLIC SERVICE QUALITY

CARLSON + Schwarz, 1995

CONVENIENCE SECURITY RELIABILITY PERSONAL ATTENTION PROBLEM-SOLVING APPROACH FAIRNESS FISCAL RESPONSBILITY CITIZEN INFLUENCE

SEEKING THE PUBLIC INTEREST

WHAT IS THE PUBLIC INTEREST? NORMATIVE MODELS ABOLITIONIST VIEWS POLITICAL PROCESS THEORIES SHARED VALUES OLD AND NEW PUBLIC ADMINISTRATION AND THE

PUBLIC INTEREST WHAT ARE WE RESPONSIBLE FOR? TO WHOM ARE WE ACCOUNTABLE? BY WHAT MEANS WILL WE ACHIEVE OUTCOMES

AND BE ACCOUNTABLE FOR THEM?

Key Concepts

PUBLIC INTEREST AS THE BEST RESPONSE TO ALL INTERESTS AND CONCEPTS OF VALUE

PUBLIC INTEREST IS BEST UNDERSTOOD THROUGH INDIVIDUAL CHOICES

PUBLIC INTEREST IS DEFINED BY POLITICAL PROCESS

PUBLIC INTEREST AS PUBLIC VALUE CONSENSUS

FORCES THAT MISCONSTRUE THE PUBLIC INTEREST

SOCIAL – HIGH LEVEL OFFICIALS ARE NOT REPRESENTATIVE OF POPULATION

SPECIALIZATION LEADS TO NARROW INTERESTS

BUREAU IDEAOLOGY (DOWNS)– POSITIVE BENEFITS VS. COSTS– EXPANSION VS. CURTAILMENT– GENERAL BENEFITS VS. SPECIAL– PRESENT EFFICIENCIES VS. PAST FAILURES– ACHIEVEMENTS AND CAPABILITIES VS.

FAILURES AND LIMITATIONS

SHIFTING IN PEOPLE AND PERFORMANCE AREAS

TRADITIONAL– SINGLE SYSTEM– FAIRNESS IS

SAMENESS– PROCESS/RULES– PROMOTION BASED

ON TECH. EXPERTISE– JOB FOR LIFE– PROTECTION

JUSTIFIES TENURE– CENTRAL PERSONNEL

AGENCY

NEW PUBLIC SERVICE– MULTIPLE SYSTEMS– DIFFERENTIATION

BETWEEN DIFF. TALENTS– PERFORMANCE/RESULTS– HIRE, DEVELOP,

PROMOTE– CORE VALUES– PERFORMANCE AND

EMP. NEED– CENTRAL AGENCY WITH

EMPOWERED MANAGERS

NEW APPROACHES TO REGULATION

COMPLIANCE THROUGH DETERRANCE IS MISGUIDED AND MUST BE REPLACED BY:– PARTNERS– ONE-STOP SERVICES– IMPACTS VS. OUTPUTS– PROBLEMS VS. VIOLATIONS– FEASIBILITY VS. UNIVERSAL ENFORCEMENT– NEGOTIATION AND EDUCATION AS TOOLS– STRATEGIC ENFORCEMENT TARGETS– DEALING EFFECTIVELY WITH WORST

VIOLATORS

TOWARD NEW POLITICAL APPROACHES TO REGULATORY

ADMINISTRATION

BEYOND POLITICAL HACKS OF THE PAST

PUBLIC AS AN AGENCY CONSTITUENCY– AARP, CONSUMER GROUPS

FORWARD LOOKING ASSESSMENT– NEPA, REGULATORY FLEXIBILITY ACT,

PAPERWORK REDUCTION ACT

LEGAL APPROACHES TO REGULATORY ADMINISTRATION

ADVERSARY PROCEDURES

NEUTRALITY AND THE ADMINISTRATIVE LAW JUDGE

DUE PROCESS PROTECTION

REASONABLENESS– PROPERTY RIGHTS

AND TAKINGS

REGULATORY ADMINISTRATION

NARROW VS. BROAD PUBLIC INTEREST

BALANCING PRIVATE INTERESTS AGAINST ONE ANOTHER

PROTECTING AGAINST DISASTER

NEW PUBLIC SERVICE

PUBLIC ADMINISTRATORS ARE RESPONSIBLE FOR ENHANCING CITIZENSHIP AND SERVING THE PUBLIC INTEREST

VALUING CITIZENSHIP OVER ENTRPRENUEURSHIP

GOVERNANCE – EXERCISE OF PUBLIC AUTHORITY

NEW ROLES FOR GOVERNMENT– LEGAL AND POLITICAL RULES

– PROTECTING ECONOMIC INTERESTS

– ASSURE DEMOCRACY AND SOCIAL EQUITY ADMINISTRATION AND ADMINISTRATOR’S ROLES SERVICE PROCESS

– INVOLVEMENT

– INFORMATION

– CONSULTATION

– ACTIVE PARTICIPATION

REINVENTING THROUGH NATL PERFORMANCE REVIEW

1997

FLEXIBLE RESPONSIVE HIRING SYSTEMS REFORM PAY CLASSIFICATIONS ORGANIZATIONAL DEVELOPMENT INCENTIVE AWARDS SUPPORT MGT IN DEALING WITH POOR PERFORMERS MARKET-DRIVEN TRAINING FAMILY FRIENDLY WORKPLACES CROSS-TRAINING AND INTERAGENCY COLLABORATION ELIMINATE RED TAPE – AUTOMATE INFORMATION LABOR-MANAGEMENT PARTNERSHIPS INCENTIVES FOR VOLUNTARY SEPARATIONS

DELIBERATIVE DEMOCRACY

STRUCTURING PUBLIC DELIBERATION FOR THOUGHTFULNESS AND ETHICS

DIALOGUE NOT MONOLOGUE DIALOGUE FREE OF DOMINATION

AND DISTORTION INSTITUTIONALIZED DISCURSIVE

STRUCTURES

3 CONDITIONS FOR LEGITIMACY

EQUALITY AND SYMMETRY

ALL HAVE RIGHT TO QUESTION

ALL HAVE RIGHTS TO CHANGE THE RULES OF DISCOURSE

PUBLIC ADMINISTRATION AND CONSTITUTIONAL

RIGHTS LEGITIMACY DIVERSITY AMONG CITIZENRY FREEDOM AND LIBERTY

– CHILLING EFFECT– OVERBREADTH– LEAST RESTRICTIVE ALTERNATIVE

PROPERTY RIGHTS DUE PROCESS INDIVIDUALITY PRIVACY EQUITY

MODERN STRUCTURAL THEORIES

PUA 703-001 –FALL 2007

DR. CHRISTINE SPRINGER

MOVING ON AFTER WORLD WAR II

ORGANIZATIONAL EFFICIENCY IS THE ESSENCE OF ORG. RATIONALITY

RATIONALITY INCREASES PRODUCTION IN TERMS OF REAL GOODS AND SERVICES

STRUCTURE, CONTROL COORDINATION ONE BEST STRUCTURE SPECIALIZATION AND DIVISION OF

LABOR STILL IMPORTANT MOST ORG PROBLEMS ARE

STRUCTURAL

ORGANIZATIONS AS NON-RATIONAL INSTITUTIONS

SELSNICK - 1948

ORGANIZATIONS AS ECONOMIES ORGANIZATIONS AS ADAPTIVE SOCIAL

SYSTEMS STRUCTURAL-FUNCTIONAL ANALYSIS

– SECURITY, STABILITY CONTINUITY, RECALCITRANCE, HOMOGENEITY OF OUTLOOK

CO-OPTATION – PROCESS OF ABSORBING NEW ELEMENTS

AS A MEANS OF AVERTING THREATS

ORGANIZATIONS AS A COLLECTION OF BEHAVIORS

Cyert & March -1959

COALITIONS– OBJECTIVES SET THRU BARGAINING,

INTERNAL CONTROLS AND ADJUSTING TO EXPERIENCE

– EXAMPLE: COMMITTEE AND PAINTING– PREDICTIVE THEORY

• DEMANDS AND PROBLEMS FOR MEMBERS• TOOL TO CHANGE DEMAND OVER TIME• ATTENTION-FOCUS TOOL FOR DEMANDS• ATTENTION-FOCUS TOOL FOR PROBLEMS• DEMAND EVALUATION PROCEDURE• TOOL FOR CHOOSING AMONG VIABLE COALITIONS

SOCIO-TECHNICAL APPROACHBURNS AND STALKER - 1961

STABLE VS. DYNAMIC CONDITIONS

MECHANISTIC VS. ORGANIC ORG.

SECURITY VS. UNCERTAINTY

FORMAL VS. INFORMAL ORGS

BARNARD – 1938– UNCONSCIOUS ATTITUDES,

UNDERSTANDING, CUSTOMS, HABITS CREATING THE CONDITION UNDER WHICH FORMAL ORGANIZATION ARISES

BLAU + SCOTT – 1962– BUREAUCRATIZATION = AMT OF EFFORT

DEVOTED TO MAINTAINING THE ORG– NUMBER OF ADMIN.

PERSONNEL, HIERARCHIAL CHARACTER, STRICT ENFORCEMENT OF RULES, REIGID COMPLIANCE TO RULES

STRUCTURING ACCORDING TO PRODUCT OR FUNCTION

WALKER AND LORSCH - 1968

GROUPING BY WORKER OR BY PRODUCT– MAXIMUM USE OF A SPECIAL KNOWLEDGE?– EFFICIENT USE OF EQUIPMENT?– BEST CONTROL AND COORDINATION?

BEHAVIORIST FINDINGS– RELATIONSHIP BETWEEN ACTIVITIES AND

THOUGHTS AND BEHAVIORS– COLLABORATION AND INTEGRATION– COMMUNICATION AMONG SPECIALISTS

CLUES FOR MANAGERS– CROSS-FUNCTIONAL TEAMS– FULL-TIME INTEGRATORS– MATRIX OR GRID ORGANIZATIONS

KEY TERMS

DIFFERENTIATION = SPECIALIZATION IN A RAPIDLY CHANGING ENVIRONMENT– REQUIRES CONTROL, COORDINATION

AND INTEGRATION DONUT ORGANIZATIONS ORGANIZATIONAL NETWORKS VIRTUAL ORGANIZATIONS

FIVE PARTS OF AN ORGANIZATION

MINTZBERG - 1979

OPERATING CORE STRATEGIC APEX THE MIDDLE LINE TECHNOSTRUCTURE SUPPORT STAFF

IN DEFENSE OF BUREAUCRACYJAQUES - 1990

HIERARCHIAL LAYERS ALLOW ORGS TO COPE WITH DISCONTINUITIES

MANAGERS NEED TO UNDERSTAND AND BE ACCOUNTABLE– FOR ADDING VALUE– SUSTAINING TEAM– SETTING DIRECTION AND ENGAGING

SUBORDINATES ACCOUNTABILITY IS POSSIBLE WITH AUTHORITY

– VETO APPLICANTS– MAKE WORK ASSIGNMENTS– DECISIONS ABOUT RAISES AND REWARDS– INITIATE REMOVAL

TECHNOLOGY AS A TOOLBURTON AND OBEL 1998

FORMALIZATION CENTRALIZATION COMPLEXITY CONFIGUATION COORDINATION CONTROL INCENTIVES

Market Theories: Rational Self Interest

Grounds for opposition to organic system theories

Indifference to merits of human relations theory

How to maximize individual utility through rational choices?

Community as a Fictitious BodyJeremy Bentham - 1948

Composed of individual persons who are considered members

Community interest is the sum of individual interests

MARKET THEORIES: ORGANIZING AS REVEALED

SELF-INTEREST HOW INDUCE MGRS TO ACT IN BEST INTEREST OF

OWNERS AND THOSE IN CONTROL ANSWERING ECONOMIC QUESTIONS

– CONTRACTUAL NATURE– BOUNDED RATIONALITY– SIGNIFICANCE OF INVESTMENT IN SPECIRIC

ASSETS– SPECIFIC RIGHTS VS. RESIDUAL RIGHTS– EFFECTS OF IMPERFECT INFORMATION

EMERGENCE AND EXPANSION OF ORGS GIVEN COST OF UNCENTAINTY, INFORMATION, BOUNDED RATIONALITY AND COGNITIVE BARRIERS

Self-Interest and Market Organizing Theory

Collective Action is Aggregation of Individual Choice

Organizing manages individual conflicts

Rules needed to adjudicate conflicting preferences

Satisficing not maximizing choices in decisions

Satisficing results in incremental change

FRAMING INSTITUTIONAL ACTION

INTERPLAY OF INTRESTS, GROUPS AND INDIVIDUALS– PUBLIC CHOICE THEORY

IMPORTANT LIMITATIONS TO WHAT CAN BE DONE BY PUBLIC PLANNING– Satisficing (Simon)– Political

• What is legitimate?• What can be reasonably

acted on?

Administration as Political Challenging the

possibility/ desirability of tightly structured orgs reaching goals of internal efficiency and control

Agreeing with System Theorists– Engaging political

environments– Internal Rules Stabilize

Disagreeing– Decisions not Structure

WHAT ARE THE RULES? PUBLIC CHOICE AS

REPRESENTED BY BUCHANAN, TULLOCK AND OSTROM– CONSTITUTIONAL RULES– IMPROVING GOVT

PERFORMANCE MEANS MAKING IT MORE DEMOCRATIC AND EFFICIENT

– DEFINING HUMAN MOTIVATIONS SO AS TO DERIVE A PREFERRED THEORY OF VALUES

– BASIC ASSUMPTIONS ENABLE EXPLANATION OF PAST, PRESENT AND PREDICTION OF FUTURE

MARKET THEORISTS

SCOT, DAVID HUME, JEREMY BENTHAM, JOHN STUART MILL– UTILITARIANSIM

JAMES BUCHANAN, GORDON TULLOCK AND VINCENT OSTROM– PUBLIC CHOICE

CHARLES LINDBLOOM, DAVID BRAYROOKE– INCREMENTALISM DISJOINTED

ALBERT HIRSCHMAN– ECONOMIC– FAILING TO RESPOND TO REPAIRABLE LAPSES

IN PERFORMANCE

KEY TERMS

AGENCY THEORY – MANAGERS ARE AGENTS OF THE OWNERS AND DELEGATED AUTHORITY

PROPERTY RIGHTS THEORY – HOW COSTS AND REWARDS ARE ALLOCATED TO PARTICIPANTS IN AN ORGANIZATION

TRANSACTION COST THEORY – HOW TO MAINTAIN PRINCIPAL-AGENT RELATIONSHIPS AND MINIMIZE COSTS OF TRANSACTIONS AND MANAGEMENT DECISIONS AND SOCIAL INTERDEPENDENCE

UNANIMITY RULE – INDIVIDUALS ARE PROTECTED AGAINST COERCIAN AND EXTERNAL DAMAGE

PUBLIC CHOICE – DECISION-MAKING ARRANGEMENTS ESTABLISH THE TERMS AND CONDITIONS FOR MAKING CHOICES.– MAKING GOVERNMENT MORE DEMOCRATIC AND EFFICIENT

MORE KEY TERMS SELF-INTEREST – HEDONISM VS

ALTRUISM INCREMENTALISM - DECISIONS THAT

TAKE INTO ACCOUNT ONLY THE MARGINAL OR INCREMENTAL DIFFERENCES BETWEEN PROPOSAL AND EXISTING STATE OF AFFAIRS

DISJOINTED – LACK OF CONSCIOUS COORDINATION IN DECISIONMAKING

CRITICS OF THE MARKET THEORIES

HIRSCHMAN - 1970

MARKET FORCES ARE AT BEST A PARTIAL CONDITION FOR ORG RESPONSIVENESS

EXIT, VOICE OR LOYALTY CONDITIONS FOR CORRECTION

– MEANS TO EXPRESS DISSATISFACTION– TIME AND RESOURCES TO MEND WAYS– SELF-INTERESTED REASONS FOR TAKING

SERIOUSLY EXIT OR VOICE OF CLIENTS OR CITIZENS

Questions to think about . . . What are the tenets or assumptions

of market theories? What types of behavior do market

theories explain? How do market theories explain the

behavior of organization members? What insights do market theories

provide about orgs? How are market theories different

from classical theories? What is the market metaphor?

POWER AND POLITICS COMPLEX SYSTEMS OF INDIVIDUALS AND

COALITIONS CONFLICT IS INEVITABLE INFLUENCE, POWER AND POLITICAL ACITIVTY

PRIMARY TOOL GOALS ACHIEVED THROUGH MANUEVERING INTERDEPENDENCE OF ORG UNITS POWER IN ORGS

– CONTROL OVER SCARCE RESOURCES– ACCESS TO POWER– CENTRAL POSITION IN POTENT COALITION– WORKING THE RULES– CREDIBILITY

KEY TERMS POWER – THE ABILITY TO GET THINGS

DONE THE WAY ONE WANTS THEM DONE AND TO INFLUENCE PEOPLE

SOCIAL POWER – POWER BETWEEN TWO AGENTS BASED UPON REWARDS, COERCIVE , LEGITMATE, REFERENT AND EXPERT POWER

SOCIAL CHOICE-POWER IS THE RESULT OF INFLUENCE EXERTED BY NUMEROUS COMPONENTS AND RESPONSIVENESS IS A FUNCTION OF CHANCE, FORCE, OR PROCESS


“MODERN” STRUCTURAL ORGANIZATION THEORY– Talcott-Parsons 1951– Social Systems vs. Political Organizations– Basic Assumptions

• ORGANIZATIONS ARE RATIONAL• BEST STRUCTURES• DIVISION OF LABOR• PROBLEMS ARE STRUCTURAL

– Mechanisms and Organic Systems

KEY TERMS SATISFICING: LIMITS TO DECISION MAKING RATIONAL MAN: ANALYZES COMPLEXITIES

AND MAXIMIZES CHOOSING BEST ALTERNATIVE

BOUNDED RATIONALITY: LIMITING ADMIISTRATIVE RATIONALITY DUE TO – COMPLETE KNOWLEDGE OF

CONSEQUENCES– FUTURE MUST BE ANTICIPATED– ALTERNATIVE BEHAVIORS LIMITED– ORGANIZATIONAL SETTING– PSYCHOLOGICAL STATE

• NARROW INTERPRETATION

BUREAUCRATIC STRUCTURE AND PERSONALITY

ROBERT MERTON - 1957

THE DYSFUNCTIONS OF BUREAUCRACY– SECRECY– OCCUPATIONAL PSYCHOSIS– OVERCONFORMITY– SECULAR AND SACRED DIVISION OF LABOR– DEPERSONALIZATION– DISCREPANCY BETWEEN IDEOLOGY AND

FACT• SERVANTS OF THE PEOPLE?• QUESTIONS TO BE ANSWERD

– PRESTIGE SYMBOLS TO INNER CIRCLE?

KEY TERMS INSTRUMENTAL RATIONALITY – SUBJECTIVE

MEANS-END REASONING DECISION – CONCLUSION DRAWN FROM SET OF

VALUE AND FACTUAL PREMISES EFFICIENCY –MAXIMIZE ATTAINMENT OF CERTAIN

ENDS WITH SCARCE RESOURCES EFFECTIVENESS-ACCOMPLISHING ORG

OBJECTIVES AND OVERALL PERFORMANCE PUBLIC PROBLEMS – EXTRA-ORGANIZATIONAL AUTHORITY –POWER TO MAKE DECISIONS WHICH

GUIDE THE ACTIONS OF ANOTHER COORDINATION – THE PRINCIPLES OF

ORGANIZATIONS IN TOTO OPERATING THRU A SUPERME COORDINATING AUTHORITY (URWICK)

ORGANIZATIONAL CULTURE CHALLENGING RATIONAL

THEORISTS ORGANIZATIONS AS COLLECTION

OF VALUES, LIEFS, PERCEPTIONS, BEHAVIORAL PATTERNS

BEHAVIOR IS PREDETERMINED BY MEMBERS’ ASSUMPTIONS

ORGS ARE ONLY RATIONAL IF:– SELF-CORRECTING SYSTEM OF

INTERDEPENDENT PEOPLE

– CONSENSUS ON OBJECTIVES AND METHODS

– COORDINATION THROUGH SHARED INFORMATION

– PREDICTABLE PROBLEMS AND SOLUTIONS

ORGANIZATIONAL SYMBOLISM

MEANINGS AS SOCIALLY CONSTRUCTED REALITIES

INTERPRETATION IS MOST IMPORTANT

AMBIGUITY AND UNCERTAINTY PRECLUDE RATIONALITY

PEOPLE USE SYMBOLS TO REDUCE AMBIGUITY– ROOT METAPHORS, SHARED

MEANINGS, INTEGRATING SYMBOLS

CHANGING ORG. CULTURES

TRICE AND BEYER 1993

CAPITALIZE ON PROPITIOUS MOMENTS

COMBINE CAUTION WITH OPTIMISM

UNDERSTAND RESISTANCE TO CHANGE

CHANGE ELEMENTS BUT MAINTAIN CONTINUITY

CHANGING ORG. CULTURES

TRICE AND BEYER 1993

RECOGNIZE IMPORTANCE OF IMPLEMENTATION

SELECT, MODIFY AND CREATE RIGHT CULTURAL FORMS

MODIFY SOCIALIZATION TACTICS

FIND AND CULTIVATE INNOVATIVE LEADERSHIP

DEFINITIONS OF ORG CULTURE

SHARED BELIEFS SHARED

UNDERSTANDINGS UNDERLYING

ASSUMPTIONS COMMON

ORIENTATION PATTERNS OF

MEANING STORIES TOLD IN

ORIENTATION

COMMON RITUALS

INITIATION REWARD DEGRADATION RENEWAL CONFLICT

REDUCTION INTEGRATION ENDING COMPOUND

REFORM THROUGH CHANGE1980’S AND 1990’S

LASTING ORG. REFORM REQUIRES CHANGE IN ORG CULTURE

TOTAL QUALITY CONTROL– PRODUCTIVITY– FLEXIBILITY– RESPONSIVENESS– RE-EINGINEERING– CUSTOMER SERVICE

APPLYING JAPANESE METHODS

OUCHI - 1980

THEORY Z ORGS– CULTURAL

CONSISTENCY NOT HIERARCHY

– CLANS NOT MARKETS OR HIERARCHIES

– DIFFICULTIES IN TRANSLATION

– SOCIAL ORGS VS. FORMALITY

– BUREAUCRACY VS. DISCRETION

– BALANCING FREEDOM AND INTEGRATION

ATTRIBUTES OF EXCELLENCE

PETERS - WATERMAN

BIAS FOR ACTION CLOSE TO CUSTOMER AUTONOMY ENTREPRENUERSHIP PRODUCTIVITY THROUGH

PEOPLE HANDS-ON VALUE-DRIVEN STICK TO KNITTING SIMPLE FORM LEAN STAFF LOOSE-TIGHT

LEARNING ORGANIZATIONSPETER SENGE - 1990

LEARNING HOW TO LEARN TOGETHER

COMPONENT TECHNOLOGIES

FIVE DISCIPLINES– SYSTEMS THINKING– PERSONAL MASTERY– MENTAL MODELS– BUILDING SHARED

VISION– TEAM LEARNING

REINVENTING GOVERNMENTOSBORNE & GAEBLER - 1992

CATALYTIC COMMNITY-OWNED MISSION DRIVEN RESULT ORIENTED CUSTOMER DRIVEN ENTERPRISING ANTICIPATORY DECENTRALIZED MARKET ORIENTED

GENDER AND DIVERSITY PERPETUATING MALE

REALITY ACKER-1992– GENDER DIVISIONS– SYMBOLS AND IMAES– INTERACTIONS– DEMANDS FOR GENDER-

NEUTRAL BEHAVIOR ORG CULTURES THAT

ARE BARRIERS TO PERFORMANCE – WORKFORCE 2000 –

1987– MANAGING DIVERSITY IS

A CRUCIAL COMPETENCY

Organizational Behavior

Lecture 6 – Administrative Processes in Government

Example: Groupthink

The mode of thinking that persons engage in when concurrence seeking becomes so dominant in a cohesive in-group that it tends to override realistic appraisal of alternative courses of action.

Example: Groupthink

Symptoms of groupthink:– An illusion of invulnerability;– Collective construction of rationalizations that

permit group members to ignore warnings or other other forms of negative feedback;

– Unquestioning belief in the morality of the in-group;– Strong, negative stereotyped views about the

leaders of enemy groups;– Rapid application of pressure against group

members who express even momentary doubts about virtually any illusions the group shares;

Example: Groupthink

Symptoms of groupthink (contd.):– Careful, conscious, personal avoidance of

deviation from what appears to be a group consensus;

– Shared illusions of unanimity of opinion; And.– Establishment of mind guards – people who

“protect” the leader and fellow members from adverse information that might break the complacency they shared about the effectiveness and morality of past decisions.

Example: Groupthink

Incidents of groupthink at the federal level:– The 1941 failure to prepare for the Japanese attack on Pearl

Harbor.– The 1950 decision during the Korean War to send General

Douglas McArthur to the Yalu River.– The 1961 decisions to allow an American-sponsored

invasion of Cuba by expatriate Cubans trained by the CIA to overthrow the government of Fidel Castro.

– The 1965 decision to introduce American ground troops into Vietnam.

– The 2001 failure to anticipate the terrorist attacks on the World Trade Center and the Pentagon.

– The 2003 decision to invade Iraq.


The study of organizational behavior comprises those aspects of behavioral sciences that focus on the understanding of human behavior in organizations.

Classic model: authoritarian and militaristic.

Organizational Behavior: Major Themes

McGregor’s humanistic model. Group dynamics. Organization development. The impact of personality on organizational

behavior. The impact of bureaucratic structure on

organizational behavior. Motivation. The future of organizations.


Douglas McGregor’s (1960) humanistic model:– Organizations are created to serve human ends;– Organizations and people need each other

(organizations need ideas, energy, and talent; people need careers, salaries, and work opportunities);

– When the fit between the needs of the individual and the organization is poor, one or both will suffer (exploitation by one or the other or both).

– A good fit between individuals and organizations benefits both because people gain meaningful satisfying work.


When confronted with change, classical model assumes no concern for workers.

By contrast, modern behaviorists assume that organization will:– Minimize fear of change by inclusion of many in

decision-making process;– Minimize negative impacts of change on vulnerable

workers;– Coopt formal and informal leaders; and– Find alternatives for those workers for whom

change is negative.


Group dynamics– Organizations involve the development of formal and

informal work groups built around specializations.– Groups develop norms (shared beliefs, values, and

assumptions) and expect conformity through reward and punishment.

– Norms generate organizational stability, but can lead to overconformity.

– When a group becomes institutionalized, the norms become the basis for a cohesive group and an organizational subculture.


Group dynamics (contd.).– Group dynamics is the subfield of organizational

behavior concerned with the nature of groups, how they develop, and how they interrelate with individuals and other groups.

– Primary groups (face-to-face interaction)• Formal (task-oriented).• Informal (socially-defined). Critical to the functioning of

the organization.




Organization development.– All organizations need constant change

and renovation.– O.D. is planned organizational change.– O.D. is not a philosophy, but a strategy for

increasing organizational effectiveness.– Art, not science.– Large scale, not incremental.



The impact of personality.– Personality can impact performance

(Hippocrates’ four humors, 500 BC).• Sanguine (optimistic and energetic).• Melancholic (moody and withdrawn).• Choleric (irritable and impulsive).• Phlegmatic (calm and slow).

– Mismatches are commonplace in organizations.

The Impact of Bureaucratic Structure on Behavior Each organization has structures that define the

unique ways that labor is divided, how specialized roles and functions are coordinated, how information flows among people and groups, and how the system of controls (task measurement, evaluation, and change) is to work.

Structure is only one of the forces that affect behavior. Others include peer group pressure, group norms, social and technical aspects of work tasks, and internal and external cultures.

The Impact of Bureaucratic Structure on Behavior The structures of a bureaucracy are

inherently conservative. Common complaint is slowness of response.

But slowness reflects legal mandates. As government increased in size,

bureaucratic organizations provided an ideal structural model. Allowed control from the top.

But, also stifled initiative.

The Impact of Bureaucratic Structure on Behavior Bureaucratic dysfunctions.

– Inherently dysfunctional and and pathological over the long run.

– Blind conformance and double binds.• Catch-22.

» There was only one catch and that was Catch-22, which specified that a concern for one's safety in the face of dangers that were real and immediate was the process of a rational mind. Orr was crazy and could be grounded. All he had to do was ask; and as soon as he did, he would no longer be crazy and would have to fly more missions. Orr would be crazy to fly more missions and sane if he didn't, but if he was sane he had to fly them. If he flew them he was crazy and didn't have to; but if he didn't want to he was sane and had to. Yossarian was moved very deeply by the absolute simplicity of this clause of Catch-22 and let out a respectful whistle. "That's some catch, that Catch-22," he [Yossarian] observed. "It's the best there is," Doc Daneeka agreed (Joseph Heller, Catch-22).

The Impact of Bureaucratic Structure on Behavior Bureaucratic dysfunctions.

– Depersonalized relations.– Power derived from position. – Advantages of bureaucracy.

• Order, predictability, stability, professionalism, consistency.

– Disadvantages of bureaucracy.• Rule-bound, over-procedural, protection of

authority and influence.

The Impact of Bureaucratic Structure on Behavior Bureaucratic impersonality.

– Three virtues.• Increases organizational effectiveness by

ensuring distance from critical decisions.• Reduces personal and emotional

considerations in decisions.• Even-handed rule application.

– Vices.• May sacrifice substantive justice for procedural

justice.

The Impact of Bureaucratic Structure on Behavior Bureaucrat bashing.

– Focus: alleged incompetence and secular humanism.

– Reality: Satisfactory treatment the norm rather than the exception.

– Reality: Public performance not inferior to private performance.

– Reality: American bureaucratic performance vastly superior to performance in other countries.

Motivation

Hawthorne experiments – Workplaces are predominantly social institutions. Direct challenge to economic models of motivation.

Maslow’s needs hierarchy.

Motivation

Motivation – hygiene theory.– Herzberg, Mauser, Snyderman.– Determinants of job satisfaction.

• Achievement, recognition, work itself, responsibility, and advancement (Job content - motivations). Internal

– Determinants of job dissatisfaction.• Company policy and administration, supervision,

salary, interpersonal relations, and working conditions (job environment – hygiene). External.

Motivation

Toward a democratic environment.– A more participatory management style.– Three stratagems for a more democratic

working environment.• Symbolic.• Management-initiated.• Management-union initiated.

Motivation

Douglas McGregor.– Theory X.

• The average human being has an inherent dislike for work.

• Most people must be coerced or threatened with punishment to get them to put forth adequate effort.

• People prefer to be directed and wish to avoid responsibility.

• RESULT – Hierarchy and military organization.

Motivation

Douglas McGregor.– Theory Y.

• The expenditure of physical and mental effort in work is as natural as play or rest.

• A person will exercise self-direction and self-control in the service of objectives to which he is committed.

• Avoidance of responsibility, lack of ambition, and emphasis on security are generally consequences of experience, not inherent human characteristics.

• The capacity to exercise a relatively high degree of imagination, ingenuity, and creativity in the solution of organizational problems is widely, not narrowly, distributed in the population.

Motivation

Assumptions about behavior can be self-fulfilling prophecies.

However, public organizations have difficulty developing coherent philosophies because of conflicting goals and objectives.

The Future of Organizations

Postbureaucratic organizations.– Bennis – Temporary society (adaptive

organizations).– Toffler – Adhocracy.– However, hierarch still dominates, still

serves a purpose in bringing order out of chaos.


Postmodernism.– What is really changing organizations is

postmodernism: increasing complexity and unpredictability.

– Primary source: information technology.• Instant access to information eliminates the

need for multiple levels of hierarchy.

– Power arising from technology – Technocracy.


Themes of postmodernism.

MODERNIST POST-MODERNISThierarchy anarchydesign chancecentering dispersalreason and rational science can find us the answerers not possible, live with the incomprehensibleworld is logical, orderly not so, world is disorderlyobjective truths via science not so, are multiple interpretations

seriousness, depth, austere autonomy

superficiality, playfully embrace commerce, commodity, fashion, style (eg., playful reference to past architectural styles, juxtapose them

DIFFERENCES BETWEEN MODERNISM AND POST-MODERNISM

The Evolution of Management Thinking

Cha

pter

2

183

New Approach to Management

Success accrues to those who learn how To be leaders To Initiate change To participate in and create organizations

– with fewer managers

– With less hierarchy that can change quickly

184

Management and Organization

Management philosophies and organization forms change over time to meet new needs

Some ideas and practices from the past are still relevant and applicable to management today

185

Historical Perspective

Provides a context or environment Develops an understanding of societal impact Achieves strategic thinking Improves conceptual skills

Social, political, and economic forces have influenced organizations and the practice of management

186

Forces Influencing Organizations and Management

Social Forces - values, needs, and standards of behavior

Political Forces - influence of political and legal institutions on people & organizations

Economic Forces - forces that affect the availability, production, & distribution of a society’s resources among competing users

187

Management Perspectives Over Time

1930Humanistic Perspective

19901890Classical 1940

1950

2000Systems Theory

2000

2010The Technology-Driven Workplace

1990

2010The Learning Organization

1970Contingency Views

2000

1980Total Quality Management

2000

1940Management Science Perspective

1990

20101870

Exhibit 2.1, p.44

188

Classical Perspective: 3000 B.C.

● Rational, scientific approach to management – make organizations efficient operating machines

● Scientific Management● Bureaucratic Organizations● Administrative Principles

189

Scientific Management: Taylor 1856-1915

General Approach Developed standard method for performing each

job. Selected workers with appropriate abilities for

each job. Trained workers in standard method. Supported workers by planning work and

eliminating interruptions. Provided wage incentives to workers for

increased output.

190

Scientific Management

Contributions Demonstrated the importance of compensation for performance. Initiated the careful study of tasks and jobs. Demonstrated the importance of personnel and their training.

Criticisms Did not appreciate social context of work and higher needs of

workers. Did not acknowledge variance among individuals. Tended to regard workers as uninformed and ignored their ideas

191

Bureaucracy Organizations

Max Weber 1864-1920 Prior to Bureaucracy Organizations

– European employees were loyal to a single individual rather than to the organization or its mission

– Resources used to realize individual desires rather than organizational goals

Systematic approach –looked at organization as a whole

Ethical Dilemma: The Supervisor

192

Bureaucracy Organizations

Positions organized in a hierarchy of authority

Managers subject to Rules and procedures

that will ensure reliable predictable behavior

Personnel are selected and promoted based

on technical qualifications

Administrative acts and decisions recorded

in writing

Management separate from the ownership of the organization

Division of labor with Clear definitions of

authority and responsibility

Exhibit 2.3, p. 49

193

Administrative Principles

Contributors: Henri Fayol, Mary Parker, and Chester I. Barnard

Focus: – Organization rather than the individual– Delineated the management functions of planning,

organizing, commanding, coordinating, and controlling

194

Henri Fayol 1841-1925

Division of labor Authority Discipline Unity of command Unity of direction Subordination of

individual interest Remuneration

Division of labor Authority Discipline Unity of command Unity of direction Subordination of

individual interest Remuneration

Centralization Scalar chain Order Equity Stability and

tenure of staff Initiative Esprit de corps

Centralization Scalar chain Order Equity Stability and

tenure of staff Initiative Esprit de corps

14 General Principles of Management

195

Mary Parker Follett 1868-1933

Importance of common super-ordinate goals for reducing conflict in organizations– Popular with businesspeople of her day– Overlooked by management scholars– Contrast to scientific management– Reemerging as applicable in dealing with rapid change in

global environment

Leadership – importance of people vs. engineering techniques

Ethics - Power - Empowerment

196

Chester Barnard 1886-1961

Informal Organization– Cliques– Naturally occurring social groupings

Acceptance Theory of Authority– Free will– Can choose to follow management orders

197

Humanistic Perspective

Emphasized understanding human behavior, needs, and attitudes in the workplace

●Human Relations Movement

●Human Resources Perspective

●Behavioral Sciences Approach

198

Human Relations Movement

Emphasized satisfaction of

employees’ basic needs as the key to

increased worker productivity

199

Hawthorne Studies

Ten year study Four experimental & three control groups Five different tests Test pointed to factors other than illumination for

productivity 1st Relay Assembly Test Room experiment, was

controversial, test lasted 6 years Interpretation, money not cause of increased output Factor that increased output, Human Relations

200

Human Resource Perspective

Suggests jobs should be designed to

meet higher-level needs by allowing

workers to use their full potential

201

Physiological

Safety

Belongingness

Esteem

Self-actualization

Abraham Maslow’s Hierarchy of Needs

Based on needs satisfaction

1908-1970

Chapter 16 – Maslow in more detail

202

Dislike work –will avoid it Must be coerced, controlled,

directed, or threatened with punishment

Prefer direction, avoid responsibility, little ambition, want security

Do not dislike work Self direction and self control Seek responsibility Imagination, creativity widely

distributed Intellectual potential only

partially utilized

Douglas McGregor Theory X & Y

Theory X Assumptions Theory Y Assumptions

1906-1964

203

Douglas McGregor Theory X & Y

Few companies today still use Theory X

Many are trying Theory Y techniques

Experiential Exercise: Theory X and Theory Y Scale

204

Behavioral Sciences Approach

Applies social science in an organizational context

Draws from economics, psychology, sociology, anthropology, and other disciplines– Understand employee behavior and

interaction in an organizational setting– OD – Organization Development

Sub-field of the Humanistic Management Perspective

205

Management Science Perspective

Emerged after WW II Applied mathematics, statistics, and other

quantitative techniques to managerial problemsOperations Research – mathematical modeling

Operations Management – specializes in physical production of goods or services

Information Technology – reflected in management information systems

206

Recent Historical Trends

● Systems Theory

● Contingency View

● Total Quality Management (TQM)

207

Systems View of Organizations

Exhibit 2.5, p. 58

208

Contingency View of Management

Exhibit 2.6, p. 59

Successful resolution of organizational problems is thought to depend on managers’ identification of key variations in the situation

at hand

209

Elements of a Learning Organization

Learning Organization

Open Information

Empowered Employees

Team-Based Structure

Exhibit 2.7, p. 61

210

Types of E-Commerce

Business-to-Consumer B2C Selling Products and

Services Online

Business-to-Business B2B Transactions Between

Organizations

Consumer-to-Consumer C2C Electronic Markets

Created by Web-Based Intermediaries

Exhibit 2.8, p. 63

ClassicalOrganizationalTheory

Vincent Myers

And

Nina Presuto

Main ideaof classical organizational theory

There is “one best way” to perform a task

Classical organizational theory espouses two perspectives:

Scientific management – focusing on the management of work and workers

Administrative management - addressing issues concerning how overall organization should be structured

Major contributors to the Classical Organizational Theory:

Scientific Management:»Frederick Taylor

Administrative Management:»Henri Fayol »Luther Halsey Gulick»Max Weber

Frederick Taylor•Taylor is born in Pennsylvania on March 20, 1856•After studying in Europe, he plans to go to Harvard, but does not pass the entrance exams•Instead Taylor works as a pattern maker at a pump manufacturing company in Philadelphia•Later, he studies mechanical engineering at Stevens, finishing in just three years.

Taylor identifies two people as having influenced him:

John Griffith teaches Taylor how to be an appreciative, respectful, and admirable working mechanic

• Lucian Sharpe impresses Taylor with his focus, concentration, and task commitment

Midvale Steel Company Taylor begins working for the Midvale steel

Company in 1878. While there he succeeds in doubling the work

of his men, is soon promoted to foreman As foreman, he begins studying productivity as

a means of measuring of manufacturing. Later he becomes the chief engineer at

Midvale.

Ingenuity and Accomplishments Creates systems to gain maximum efficiency

from workers and machines in the factory. Focuses on time and motion studies to learn

how to complete a task in the least amount of time.

Becomes consulting engineer for many other companies

Publishes—The Principles of Scientific Management

Key Points of Scientific Management 1. Scientific Job Analysis – observation, data

gathering, and careful measurement determine “the one best way” to perform each job

2. Selection of Personnel – scientifically select and then train, teach, and develop workers

3. Management Cooperation – managers should cooperate with workers to ensure that all work is done in accordance with the principles of the science that developed the plan

4. Functional Supervising – managers assume planning, organizing, and decision-making activities, and workers perform jobs

Henri Fayol

Engineer and French industrialist In France works as a managing director in

coal-mining organization Recognizes to the management principles

rather than personal traits While others shared this belief, Fayol was the

first to identify management as a continuous process of evaluation.

Fayol’s 5 Management FunctionsFundamental roles performed by all managers: Planning Organizing Commanding Coordinating Controlling

Additionally Fayol recognizes fourteen principles that should guide the management of organizations.

Fayol’s 14 Principles:1. Division of Work —improves efficiency through a

reduction of waste, increased output, and simplification of job training

2. Authority and Responsibility—authority: the right to give orders and the power to extract obedience – responsibility: the obligation to carry out assigned duties

3. Discipline—respect for the rules that govern the organization

4. Unity of Command—an employee should receive orders from one superior only

5. Unity of Direction—grouping of similar activities that are directed to a single goal under one manager

6. Subordination of Individual Interests to the General Interest—interests of individuals and groups should not take precedence over the interests of the organization as a whole.

7. Remuneration of Personnel—payment should be fair and satisfactory for employees and the organization

8. Centralization—managers retain final responsibility – subordinates maintain enough responsibility to accomplish their tasks

9. Scalar Chain (Line of Authority)—the chain of command from the ultimate authority to the lowest

10. Order—people and supplies should be in the right place at the right time

11. Equity—managers should treat employees fairly and equally

12. Stability of Tenure of Personnel—managerial practices that encourage long-term commitment from employees create a stable workforce and therefore a successful organization

13. Initiative—employees should be encouraged to develop and carry out improvement plans

14. Esprit de Corps—managers should foster and maintain teamwork, team spirit, and a sense of unity among employees

Luther Halsey Gulick(1892-1992) A specialist in municipal finance and

administration Gulick works with the Institute of Public

Administration, professor of municipal science and administration at Columbia, and serves on Franklin D. Roosevelt’s Committee of Government Administration

Expands Fayol’s five management functions into seven functions:

1. Planning - developing an outline of the things that must be accomplished and the methods for accomplishing them

2. Organizing - establishes the formal structure of authority through which work subdivisions are arranged, defined, and coordinated to implement the plan

3. Staffing - selecting, training, and developing the staff and maintaining favorable working conditions

4. Directing - the continuous task of making decisions, communicating and implementing decisions, and evaluating subordinates properly

5. Coordinating - all activities and efforts needed to bind together the organization in order to achieve a common goal

6. Reporting - verifies progress through records, research, and inspection; ensures that things happen according to plan; takes any corrective action when necessary; and keeps those to whom the chief executive is responsible informed

7. Budgeting - all activities that accompany budgeting, including fiscal planning, accounting, and control

Max Weber(1864-1920)

German sociologist Weber first describes the concept of

bureaucracy – an ideal form of organizational structure

He defines bureaucratic administration as the exercise of control on the basis of knowledge

Weber states, “Power is principally exemplified within organizations by the process of control”

Weber uses and defines the terms authority and power as:

Power: any relationship within which one person could impose his will, regardless of any resistance from the other.

Authority: existed when there was a belief in the legitimacy of that power.

Weber classifies organizations according to the legitimacy of their power and uses three basic classifications:

Charismatic Authority: based on the sacred or outstanding characteristic of the individual.

Traditional Authority: essentially a respect for customs.

Rational Legal Authority: based on a code or set of rules.

Weber recognizes that rational legal authority is used in the most efficient

form of organization because:

A legal code can be established which can claim obedience from members of the organization

The law is a system of abstract rules which are applied to particular cases; and administration looks after the interests of the organization within the limits of that law.

The manager or the authority additionally follows the impersonal order

Membership is key to law obedience

Obedience is derived not from the person administering the law, but rather to the impersonal order that installed the person’s authority

Weber outlined his ideal bureaucracy as defined by the following parameters:

A continuous system of authorized jobs maintained by regulations

Specialization: encompasses a defined “sphere of competence,” based on its divisions of labor

A stated chain of command of offices: a consistent organization of supervision based on distinctive levels of authority

Rules: an all encompassing system of directives which govern behavior: rules may require training to comprehend and manage

Impersonality: no partiality, either for or against, clients, workers, or administrators

Free selection of appointed officials: equal opportunity based on education and professional qualification

Full-time paid officials: only or major employment; paid on the basis of position

Career officials: promotion based on seniority and merit; designated by supervisors

Private/Public split: separates business and private life

The finances and interests of the two should be kept firmly apart: the resources of the organization are quite distinct from those of the members as private individuals.

(a) A tendency to a leveling of social classes by allowing a wide range of recruits with technical competence to be taken by any organization

(b) Elite status because of the time required to achieve the necessary technical training

(c) Greater degree of social equality due to the dominance of the spirit of impersonality or objectivity

Common Criticisms of Classical Organizational Theory

Classical principles of formal organization may lead to a work environment in which:

Employees have minimal power over their jobs and working conditions

Subordination, passivity and dependence are expected

work to a short term perspective Employees are lead to mediocrity Working conditions produce to psychological failure

as a result of the belief that they are lower class employees performing menial tasks

Activity:Activity:

•Break into four groups: Taylor, Fayol, Gulick and WeberBreak into four groups: Taylor, Fayol, Gulick and Weber

•Refer to the power point notes you have been given to examine a Refer to the power point notes you have been given to examine a classical organizational theorist’s principles classical organizational theorist’s principles

•Consider what you discussed about each principleConsider what you discussed about each principle

•Analyze how the theorists beliefs exist, don’t exist, or are modified Analyze how the theorists beliefs exist, don’t exist, or are modified within today’s educational world within today’s educational world

•Please have someone take notes on your work Please have someone take notes on your work

•Lead a discussion of how your theorist’s ideas relate to the current Lead a discussion of how your theorist’s ideas relate to the current system of educational administration system of educational administration

ClassicalOrganizationalTheory

Vincent Myers

And

Nina Presuto

Documents

CONTEXT FOR ORGANIZATION THEORY