CONTEXT FOR ORGANIZATION THEORY

CONTEXT FOR ORGANIZATION THEORY

KEY QUESTIONS TO ANSWER THEORY 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 TO USUALLY FOCUSING ON
PUBLIC ADMINISTRATION AS PART OF THE GOVERNMENTAL PROCESS TO PUBLIC ORGANIZATIONS ARE THE SAME AS BUSINESS 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 DECK American Pol. Sci. Review, Vol. 81, No. 3 www. jstor
STACKING THE DECK American Pol. Sci. Review, Vol. 81, No. 3 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
MORALE EMPLOYEE/UNION DEMANDS AGENCY HEAD OR MANAGER AGENCY HEAD OR MANAGER BUDGET CONSTRAINTS PROFESSIONAL ASSOCIATIONS. DEMANDS OF UNITS NEED TO MAINTAIN OR INCREASE PRODUCTIVITY

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

POWER--THE EXTERNAL PERSPECTIVE
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 CULTURES OF PUBLIC ADMINISTRATION
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 ADAM SMITH – OPTIMAL ORGANIZATION OF PIN FACTOR ROBERT OWEN – EMPLOYEES ARE VITAL MACHINES LOUIS BRANDEIS AND FREDERICK TAYLOR - SCIENTIFIC MANAGEMENT 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 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 OFFICIAL ACCORDING 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
DETERMINISTIC VOLUNTARISTIC MACRO LEVEL NATURAL SELECTION COLLECTIVE ACTION VIEW SYSTEM STRUCTURAL VIEW STRATEGIC CHOICE MICRO LEVEL

FOUR BUREAUCRATIC POSTURES TOWARD A COMPOSITE 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 COMPANY SETTLED 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 SCHOOL 1930’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 INCENTIVES CHESTER 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 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 POSDCORB LUTHER 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 GROUP IN HIERARCHY LIMITING SPAN OF CONTROL 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 LEADER FORMAL AUTHORITY
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 QUALITIES OF THE LEADER
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 LEADERS ED 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 EFFECTIVENESS MARTIN 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 –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 APPROACH BURNS 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 BUREAUCRACY JAQUES - 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 TOOL BURTON 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 Body Jeremy 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 CHANGE 1980’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 ORGANIZATIONS PETER SENGE - 1990
LEARNING HOW TO LEARN TOGETHER COMPONENT TECHNOLOGIES FIVE DISCIPLINES SYSTEMS THINKING PERSONAL MASTERY MENTAL MODELS BUILDING SHARED VISION TEAM LEARNING

REINVENTING GOVERNMENT OSBORNE & 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 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.

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).

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.

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.

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.

The Evolution of Management Thinking
Chapter 2

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

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

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

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

Management Perspectives Over Time
Exhibit 2.1, p.44 2000 2010 The Technology-Driven Workplace 1990 2010 The Learning Organization 1980 Total Quality Management 2000 1970 Contingency Views 2000 1950 2000 Systems Theory 1940 Management Science Perspective 1990 1930 Humanistic Perspective 1990 1890 Classical 1940 2010 1870

Classical Perspective: 3000 B.C.
Rational, scientific approach to management – make organizations efficient operating machines Scientific Management Bureaucratic Organizations Administrative Principles

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.

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

Bureaucracy Organizations
Max Weber 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

Bureaucracy Organizations
Division of labor with Clear definitions of authority and responsibility Personnel are selected and promoted based on technical qualifications Positions organized in a hierarchy of authority Managers subject to Rules and procedures that will ensure reliable predictable behavior Administrative acts and decisions recorded in writing Management separate from the ownership of the organization Exhibit 2.3, p. 49

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

14 General Principles of Management
Henri Fayol 14 General Principles of Management 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

Ethics - Power - Empowerment
Mary Parker Follett 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

Chester Barnard 1886-1961 Informal Organization
Cliques Naturally occurring social groupings Acceptance Theory of Authority Free will Can choose to follow management orders

Humanistic Perspective
Emphasized understanding human behavior, needs, and attitudes in the workplace Human Relations Movement Human Resources Perspective Behavioral Sciences Approach

Human Relations Movement
Emphasized satisfaction of employees’ basic needs as the key to increased worker productivity

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

Human Resource Perspective
Suggests jobs should be designed to meet higher-level needs by allowing workers to use their full potential

Based on needs satisfaction
Abraham Maslow’s Hierarchy of Needs Self-actualization Esteem Belongingness Chapter 16 – Maslow in more detail Safety Physiological Based on needs satisfaction

Douglas McGregor Theory X & Y
Theory X Assumptions Theory Y Assumptions Do not dislike work Self direction and self control Seek responsibility Imagination, creativity widely distributed Intellectual potential only partially utilized Dislike work –will avoid it Must be coerced, controlled, directed, or threatened with punishment Prefer direction, avoid responsibility, little ambition, want security

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

Behavioral Sciences Approach
Sub-field of the Humanistic Management Perspective 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

Management Science Perspective
Emerged after WW II Applied mathematics, statistics, and other quantitative techniques to managerial problems Operations Research – mathematical modeling Operations Management – specializes in physical production of goods or services Information Technology – reflected in management information systems

Recent Historical Trends
Systems Theory Contingency View Total Quality Management (TQM)

Systems View of Organizations
Exhibit 2.5, p. 58

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

Elements of a Learning Organization
Team-Based Structure Learning Organization Empowered Employees Open Information Exhibit 2.7, p. 61

Types of E-Commerce Exhibit 2.8, p. 63 Business-to-Consumer B2C
Selling Products and Services Online Consumer-to-Consumer C2C Electronic Markets Created by Web-Based Intermediaries Business-to-Business B2B Transactions Between Organizations Exhibit 2.8, p. 63

Classical Organizational Theory
Vincent Myers And Nina Presuto

Main idea of 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:
Lucian Sharpe impresses Taylor with his focus, concentration, and task commitment John Griffith teaches Taylor how to be an appreciative, respectful, and admirable working mechanic

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
Scientific Job Analysis – observation, data gathering, and careful measurement determine “the one best way” to perform each job Selection of Personnel – scientifically select and then train, teach, and develop workers 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 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 Functions
Fundamental 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: Division of Work —improves efficiency through a reduction of waste, increased output, and simplification of job training Authority and Responsibility—authority: the right to give orders and the power to extract obedience – responsibility: the obligation to carry out assigned duties 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:

Planning - developing an outline of the things that must be accomplished and the methods for accomplishing them Organizing - establishes the formal structure of authority through which work subdivisions are arranged, defined, and coordinated to implement the plan Staffing - selecting, training, and developing the staff and maintaining favorable working conditions Directing - the continuous task of making decisions, communicating and implementing decisions, and evaluating subordinates properly

Coordinating - all activities and efforts needed to bind together the organization in order to achieve a common goal 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 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 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: Break into four groups: Taylor, Fayol, Gulick and Weber
Refer to the power point notes you have been given to examine a classical organizational theorist’s principles Consider what you discussed about each principle Analyze how the theorists beliefs exist, don’t exist, or are modified within today’s educational world Please have someone take notes on your work Lead a discussion of how your theorist’s ideas relate to the current system of educational administration

Classical Organizational Theory
Vincent Myers And Nina Presuto

CONTEXT FOR ORGANIZATION THEORY

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CONTEXT FOR ORGANIZATION THEORY

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