Pre-1900
Reflect that one of the vastest
pieces of industrial
organization in the history of the world was associated
with the beginnings of an undying literature.
The
building of Solomon's temple...chief organizer...
architect...skilled technicians...70,000 to bear
Theory W page 135
History
burdens...80,000 to hew the stone in the mountains...
3,600 overseers...the broad divisions show us the
separation between artistic designing, artistic
production, the labor of transport and the labor
of
building with their parallel distinctions in supervision.
(184 173)25
The basic of functionalism. What
work the individual
performs, predominates as the essence of an organization.
In the above temple building case the functions of hew
stone, transport burden, administer hewers, and administer
transporters, offers a simplistic view of the organization
which aimed to build Solomon's temple. In Theory W terms,
the organization strategy flows from the aim (the end) to
the beginnings as shown in the table below.
____________________
25 From the report of the twenty-seventh
lecture
conference for works directors, managers, foremen and
forewomen, held at Balliol College, Oxford. (184 171)
Theory W page 136
History
Table 14 - A Solomon-temple organization hierarchya
____________________________________________________________
Functionb
Responsibility
______________________ ______________
build Solomon's temple
set stones
transport stones
70000 expert workers
hew stones
80000
administer workers
3600
design temple parts
____________________________________________________________
Note: a A top-down list of the work functions provides
the
opportunity to arrange tasks in priority (hierarchical)
order. The frequent use of the formal organization chart
establishes the attractiveness of a hierarchical chart over
narrative.
b Obviously the organization
structure remains
incomplete. The full application of Theory W provides a
complete structure of a organization through the ability to
integrate the valid work tasks of every employee.
Theory in practice. Ancient organizations
practiced
organization theory - history so demonstrates. The evidence
of a temple proves the implementation of theory. The
builders, specifically the designers, had predisposed ideas
(theories) in their minds. Modern scholarship and
specifically science attempts the exposition of theory under
the charter of the human self. More on human self
motivation in part 3. We continue here with a first sign
of
world administrative science.
Post-1900
Congress of Administrative Science
in 1910.
The importance of administration
has grown steadily
since the first Congress of Administrative Science
held
Theory W page 137
History
in Brussels in 1910. In consequence we have
felt
strongly the need of good administrative methods,
and men
such as Fayol, Solvay and Taylor have in recent
years
worked out certain formula (or a synthesis of
principles)... (183 101)
A significant universality of
early ideas.
Most of these writers did their
thinking
independently....The striking similarity and harmony
of
the analyses, nomenclature, and hypotheses, frequently
set forth as principles, is thus doubly significant.
(182 v)
The congress papers presented spanned
1923-1936 for
both manufacturing and public administration as shown in the
following table.
Table 15 - Beginnings of administrative science
____________________________________________________________
Year Author Country and organization represented
____ _________ _____________________________________________
1923 Fayol France
1928 Lee England
1932 Follett England and U.S.
Dennison U.S.manufacturing and
Post Office
1933 Urwick U.S. consultant
Graicunas French consultant
1935 Henderson
Whitehead
Mayo Harvard
University
1936 Gulick Columbia University public administration
____________________________________________________________
Note: (182), (183).
Many of these early modern administrators
spanned both
manufacturing administration and public administration.
As
shown in the dissertation proposal and delimitation,
appendicies A & C, the subject of administration and the
topic of organization span both Business and Education.
Theory W page 138
History
Thus an attempt to span specialities exists in history.
Theory W attempts application to both Business, Education,
and the individual self beyond their worker role.
The relation of theories and principles?
A set of administrative principles.
I [Fayol] am going to describe
briefly the
administrative tools that I used during fifty years...
1. General Survey - From this survey should emerge the
general scheme and the directives which serve as
a basis
for the Plan of Operations.
2. Plan of Operations. [for control]
3. Reports or Proceedings...daily, weekly, monthly or
annual...The use of the plan of operations and the
detailed report by each grade of the service permit
us to
realize...the sense of responsibility among employees
and
confidence among the administrative authorities.
4. Minutes of (weekly) Conferences between Heads of
Departments.
5. Organization Charts...permit us to seize at a glance,
better than we could with a long description, the
organization as a whole; various activities and
their
boundaries; the ranks of the hierarchy; the position
occupied by each employee, the superior to whom
he
reports and the subordinates under his control.
(183 105-6)
Relegation of responsibility.
[Fayol's] logical analysis of
the operations involved
in...the function of Administration stops quite
suddenly... This sudden check in his thought...is
an
interesting example of the limitations imposed on
scientific study by immediate administrative
responsibility. (189 117)
Strategy from history. The General
Survey equates to
the idea of strategy today. Although the idea of strategy
Theory W page 139
History
wants for more structure in today's text books. Thus Theory
W aims to provide an organization structure which quantifies
strategy. Strategy can be visibly structured for the
organization with the result of greater productivity and
synergism. Theory W provides strategy in organization chart
form. More about strategy in chapter 4.
Job performance from history.
Proceedings of early
administrative history stood for actual accomplishments by
individuals within the organization. In many cases, single
individuals represented the functional responsibility for a
group of individuals. Yet each employee had "functional
position" in the organization chart. Theory W provides
an
organization chart of the whole organization strategy and
resorts the database by employee. Thus even with complex
job descriptions, employee function can be visible for the
advantage of both the individual and the employer
organization.
The visible set of up-to-date
job descriptions (equal
to the strategy organization chart) has this old-time
effect:
The co-operation that is established
among employees
in all ranks of the hierarchy by the preparation
of
reports... constitutes a real participation
in
administration by minor employees and is perhaps
the best
participation that could be devised. (183
107)
Work divides into tasks.
Theory W page 140
History
The work of individuals is always
divided...into
different tasks. Taylor was imbued with the
necessity of
basing industrial management upon exact measurement
and
specialized knowledge, he was impressed with the
impossibility of discovering subordinates who could
exercise overall responsibility with maximum
effectiveness in respect of all its aspects.
(188 51)
Review of theories presented.
From pre-1900 we have
the theories of (1) functional task division, and (2) the
authority of the idea or design to achieve the organization
aim. Then from the early 1900s we have (1) confirmation
of
the authority of the aim, and (2) functional tasks grouped
into an individual's job description for the purpose of
performance evaluation in support of the organization aim.
These theories are restated in the table below.
Table 16 - Organization theories - phase 1a
____________________________________________________________
Theory
Effectiveness
______
_____________
authority of the aim (strategy)
yes
functional task division
yes
individual job performance responsibility
yes
____________________________________________________________
Note: a Another phase appears later in this chapter.
Formal was functional.
A formal organization bases on
personal
dependency,26 thus individual vested interest many times
takes priority over the function of the organization as a
whole. In other words, the direct supervisor or boss, tends
Theory W page 141
History
to use the organization for their vested interest. The
advocates of formal organization theory have a chart for
exposition. A functional organization theory chart,
although constructable as per an above table, does not
usually exist in hard usable form. Engineering projects
being the exception as we shall review later.
Theory W, in contrast to the reviewed
literature,
provides a hard and whole functional organization structure
which can compliment the formal and informal organization
theories.
History looked forward to the
growth and development
of the organization system - a structure which would clearly
differentiate yet integrate the two traditional structures.
There would seem to be a fundamental
difference
between the departmental and the functional system,
the
former being sometimes called `geographical' or
`territorial.' It is very doubtful if there is today
a
purely `geographic' system of division....When we
place a
perfected departmental system side by side for purposes
of comparison with a perfected functional system
we are
failing to recognize the fact that growth and development
are of the essence of any human organization.
The error
which Taylor made in his eight functional foremen
was to
overlook the human need on the part of the workers
for
such definite direction as is incarnated in one
person.
(184 174)
Oversimplified, Taylor fell into
disfavor because he ____________________
26 Any formal organization chart
will show the
employee name reporting to, reviewed by, and thus dependent
on the name above.
Theory W page 142
History
underchallenged the worker's ability to administer
themselves. Unfortunately, Taylor's emphasis on task
division also fell into disfavor - and our ability to
administer to others and ourselves has been handicapped to
this day.
Thus even in the early 1900s,
the individual worker
was seen to be capable of providing some of their own
administration. This self determination inateness permits
the expansion of effective worker responsibility if, and
only if, the organization administrator can control task
division, task responsibility, and task performance. Taylor
may have been correct in using the eight functional foremen
to control tasks, but definitely wrong in stealing worker
growth and development opportunity - if, in fact, he did
steal it. This dissertation does not try to vindicate
Taylor, but attempts to emphasize the use of organization
task division theory for more effective organization
performance without stealing any worker self-administration
responsibility.
Functional fuzziness. The early
science of function
administration was unclear in terms of action and object as
shown in the following table.
Theory W page 143
History
Table 17 - Elements of the function administration
____________________________________________________________
Function Principle
Process Effect
______________ _______________ ____________ _____________
administration investigation forecasting planning
forecasting appropriateness organization co-ordination
planning order
command control
____________________________________________________________
Note: (189 125).
Early history takes a behavioral path
With the success (and failure)
of Taylor, the want to
differentiate and integrate the formal and functional
structures fell relatively dormant. The writers and academe
of organization joined with psychology and expanded what can
be called Organization Behavior (OB). The quantitative
science of task division and job description performance
took a back seat to the art of management. Then the art
of
management was called on to become quantitatively
scientific. The same science, but a different underlying
theory. For a time the social group was of more importance
than task division.
Organization Behavior in history.
We are beginning to accumulate
fundamental material to
form the basis of an art of management, which will
be the
application of the pertinent social and psychological
sciences. A factory or business organization
is...one
sort of social group - a group of human beings,
each with
his individual nature, attempting to work together
for
some...definite end. A nation or state is
another sort
of social group, living together and in no remote
sense
working together for common ends, whose management
is the
Theory W page 144
History
art we call governing. For the study of this
art of
governing I am proposing a shift of emphasis comparable
to that which has taken place in studying the art
of
factory management, that is, a shift from the descriptive
to the analytical; and from the analytical immediately
to
the engineering point of view, which focuses upon
the
natural material and psychological forces found
in a
given social group and the measures and structures
of
organization which can be applied to them in order
to
work toward its fundamental purposes. It is
the
approach, not of the historian or of the moralist,
but of
the student of applied science, the engineer.
(186 133-4)
Theory W, being based on the principle
of task
division, does not enter the realm of OB in terms of group
behavior. Rather Theory W views an organization as a
structure of individual work tasks. The whole of all the
work tasks taken together analytically (quantitatively)
build an organization which supports an aim or end. For
example, the aim of Solomon's temple in the table above.
Review of theories presented.
The artful theory of
governing still has prominence in today's world, especially
with executives as administrators. And since the worker
has
control of their administrative function, the art of
governing becomes more prolific. The authority of the
artful administrator now places a facade over the authority
of the organization aim.
Theory W page 145
History
Table 18 - Organization theories - phase 2a
___________________________________________________________
Theory
Effectiveness
_____________________________________________ _____________
administrator authority (vs aim authority)
no
strategy (mission statement in annual report)
yes/no
functional task division
yes/no
individual job performance responsibility
yes/no
___________________________________________________________
Note: a Another phase appears later in this chapter.
Informal organization
Informal groups.
Not until the early 1900s did management
really begin
to recognize the existence of informal groups.
The
problem of restricted output was perceived as early
as
1911 by Fredrick Taylor. (6 204)
The bank wiring experiment showed
that the group's
power exceeded management's. Thus, it seemed
that the
second alternative - promoting friendly informal
groups -
would more likely meet with success. Amid
cries of
manipulation, management sought to encourage groups
to
think constructively along managerial lines.
(6 206)
Most recently, the study of informal
organization
traces to the Korean post-war period, where the importance
of group to performance was evidenced. The importance of
the informal group was shown.
The group serves three functions
for the individual:
the satisfaction of complex social needs, (1) the
satisfaction of complex social needs, (2) emotional
support in identifying oneself and dealing with
the
world, and (3) assistance in meeting goals.
(245 215)
Informal organization traces to
the Hawthorne Studies
and Mayo. Simplistically, this "paying attention to worker
needs" was transplanted via Demming and Drucker to Japan
Theory W page 146
History
where the quality circle and just-in-time philosophies
account as trade deficits and increasing foreign
ownership/management of U.S.organizations. The leadership
of work and work improvement lies with the expert worker.
Necessity of informal organization.
Human
communication must be present for synergistic organization
performance (SOP). The general SOP purpose has already
been
established. The strategy statement represents the SOP
aim
- if pure functional organization permits the operation of
the necessary informal freedoms.
It had been emphasized several
times in this treatise
that informal organization is essential to formal
organizations, particularly with reference to
communication. This is true not only of the
organization
as a whole, or of its ultimate subordinate units,
but
also of that special part which we call the executive
organization. The communication function of
executives
includes the maintenance of informal executive
organization as an essential means of communcation.
Although I have never heard it stated that this
is an
executive function or that such a thing as an informal
executive organization exists, in all the good
organizations I have observed the most careful attention
is paid to it. In all of them informal organizations
operate. This is usually not apparent except
to those
directly concerned. (4 223)
If then the informal organization
is vital one should
explain it. Not only in the sense of understanding the
concept but also as scientific administration. The same
goes for pure functional strategy organization.
One of the indispensable functions
of informal
organizations in formal organizations--that of
communication--has already been indicated.
Another
function is that of the maintenance of cohesiveness
in
Theory W page 147
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formal organizations through regulating the willingness
to serve and the stability of objective authority.
A
third function is the maintenance of the feeling
of
personal integrity, of self-respect, of independent
choice. (4 122)
1. Communicaiton
2. Cohesiveness
a. willingness to
serve
b. objective authority
3. Choice
a. personal integrity
b. self-respect
c. independent expression
(4 122)
The informal organization definition,
under Theory W,
is chosen away from the above social norms. Theory W sees
something other than informal organization, as the way work
is accomplished.
Universal informal organization.
The informal organization operates
at all levels in a
corporation... (9 458)
Early informal organization recognition.
Chester Barnard recognized the
existence of the
informal organization in 1938. (9 458)
Leadership required in quality
circle.
The quality circle can be seen
as akin to the informal
organization.
In the purest theoretical sense,
team members have
quality in decision making, but an effective team
cannot
be leaderless. As a result, it is necessary
for some
team member to be the primus inter pares.
(145 153)
Leadership means the generation
of ideas (128 146) and
a certain amount of thought energy applied to situational
problem solving.
Theory W page 148
History
Hearing employees.
Many informal groups develop goals...that
are not
understood by the supervisor. The best strategy
for the
supervisor to deal with the informal organization
is to
constantly listen to the communications that come
from
employees. Not just the words they say or
write, but the
actions they take and the way the employees themselves
organize and do their work is important information.
Often, employees are able to come up with better
ideas
and ways of doing things than their supervisors.
This
should not be viewed as a threat to the supervisor,
but
as an opportunity for increased productivity and
better
communication. (6 187)
Preservation of informal freedom.
An organizational system of communicaiton
is usually
created by the setting up of formal systems of
responsibility and by explicit delegations of duties.
These categories include statements, often implicitly,
of
the nature, content, and direction of the communication
which is considered necessary for the performance
of the
group. Students of organization, however,
have pointed
out repeatedly that groups tend to depart from such
formal statement and to create other channels of
communication and dependence. In other words,
informal
organizational systems emerge. One may take
the view
that these changes are adaptations by the individuals
involved in the direction of easier and more effective
ways of working... (21 377)
Align personal bias. Theory W
provides a strategy
bias - an aim whereby the the above referenced easier and
more effective ways of working can by directly modeled and
influenced toward even more ease and more effectiveness.
All under the direct influence of the informal organization.
Further - Theory W provides a
functional organization
structure whereby work can be modeled and actualized for
even more organizational productivity. This has not been
the case in history.
Theory W page 149
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Unfortunately, there seems to be
no organized body of
knowledge out of which one can derive, for a given
organization, an optimal communication system.
Administrative thinking on this point commonly rests
upon
the assumption that the optimum system can be derived
from a statement of the task to be performed.
It is not
difficult to show, however, that from a given set
of
specifications one may derive not a single communication
pattern but a whole set of them, all logically adequate
for the successful performance of the task in question.
Which pattern from this set should be chosen?
The
choice, in practice, is usually made either in terms
of a
group of assumptions (often quite untenable) about
human
nature, or in terms of a personal bias on the part
of the
chooser. (21 378)
Theory W solution.
If the organizer follows the classical
principles, the
resulting structure will necessarily be characterized
by
a hierarchy, a division of labor, and a series of
rather
precisely defined jobs and relationships.
This is closer
to the functionsl type of organization. On
the other
hand, the earlier behavioral scientists do not
necessarily prescribe any one form of organizaiton
but
believe the classical structure can be amended and
improved by taking into account the human element.
In
recent years some theorists have suggested an "organic"
type of structure, which deemphasezes specialization
and
authority and concentrates on problem solving.
This
comes closer to project organization. (21
11)
Quality work planning.
If the informal organization defines
[actual] work
toward mission then the executive function is to
facilitate the fit of individuals to the [planned]
work
assignment and quality standards. (4 224)
Adversarial negotiation.
Unfortunately, for all involved,
informal groups and
workings are assumed by many as having an adversarial mode.
Organization members are not heard, even thought they
deserve active listening. The creative freedom of members
Theory W page 150
History
is squelched because it pushes the administration to think
ahead or stay ahead of synergistic thinking. Thus
situations deteriorate and grievances must be negotiated.
Negotiating is an interpersonal
or intergroup verbal
or nonverbal interaction incorporating objective
and
subjective factors, acting alone or in combination,
in
connection with a contemplated future transaction
involving the exchange of goods, services, resources,
knowledge, behavior, money, terms of exchange, and/or
expectations and satisfactions. (84 628)
Adversarial informal groups. Weekly
learning promotes
constructive thinking along the management line of pure
functional authority. The weekly one-on-one meetings of
Theory W defuse the adversarial tendency of informal
organization structure.
Iterative invention. Relating to
quality circles.
The maintenance and development
of organizations
proceed by an iterative process of invention and
reinvention. This process is based significantly
on the
creation of new, and the examination of existing
mental
systems, in the sense of the organization charts
and the
life spaces considered. By way of empirical
approach,
relevant realities are initially sketched or otherwise
expressed in visual fashion. These expressions,
eliciting salient aspects of the person's experienced
world, or of worlds anticipated, then provide further
opportunity for observer and phenomenologist to
consider
in requisite depth (as, for instance, by means of
the
"phenomenal interview") the central meanings of
events
and their significance for the people who move in
frequently fragile balance between their unique
psychological worlds and relevant organization systems
and their pervasive requirements. (108 68)
Natural evolution. Dependencies
tend to escape the
formal and informal attempts at continued focused
effectiveness. A separate functional structure provided
by
Theory W page 151
History
Theory W poses a solution to capture emerging member
adaptations.
An organizational system of communication
is usually
created by the setting up of formal systems of
responsibility and by explicit delegations of duties.
These categories include statements, often implicity,
of
nature, content, and direction of the communication
which
is considered necessary for the performance of the
group.
Students of organization, however, have pointed
out
repeatedly that groups tend to depart from such
formal
statements and to create other channels of communication
and dependence. In other words, informal organizational
systems emerge. One may take the view that
these changes
are adaptations by the individuals involved in the
direction of easier and more effective ways of working,
or, perhaps, not working. (21 377)
Renewing organizations. Four categories
of
organization innovation (143 733):
1- New product or service produced, sold, or given
away,
2- Production-process task changes,
3- Structure alteration of work assignment, authority
relationship, communication method,
rewards, or
interaction patterns, and
4- Hiring/firing or modifying the behavior/beliefs
via
education or psychoanalysis.
Theory W impacts upon the above
item 3, that of
structuring work assignment, authority relationship, and
interaction patterns.
Organization work capacity. Members
have the work
capacity of their individual organizations.
In every formal organization there
arise informal
organizations. The constituent groups of the
organization, like all groups, develop their own
practices, values, norms, and social relations as
their
members live and work together. The roots
of these
informal systems are embedded in the formal organization
itself and nurtured by the very formality of its
arrangements. Official rules must be general
to have
Theory W page 152
History
sufficient scope to cover the multitude of situations
that may arise. But the application of these
general
rules to particular cases often poses problems of
judgement, and informal practices tend to emerge
that
provide solutions for these problems. (11
17)
This says that management must
provide pure functional
reasoning for the purpose of maximizing organization work.
Informal organizations develop
in response to the
opportunities created and the problems posed by
their
environment, and the formal organization constitutes
the
immediate environment of the groups within it.
(11 17)
Dilemma solution.
Many of today's management theorists
believe that a
systems-based theory can solve the quantitative/
behavioral dilemma. The December 1972 issue
of the
Academy of Management Journal was entirely devoted
to
general systems theory (GST) applied to management.
The
authors weighed the pros and cons of whether GST
can
unify management [of work]. The majority concluded
that
the systems approach is appealing and has a great
deal of
future potential, but is as yet incomplete.
The open, as
opposed to closed, systems view is able to cope
better
with the increased complexity and environmental
influence
facing today's managers. Systems concepts
such as
entropy (a system will become disorganized over
time) and
equifinality (a system can reach the same final
state
from different paths of development) are quite applicable
to the present managerial situation. (21 6)
For the past fifteen years, scholars,
consultants, and
practicing managers have attempted to apply either
quantitative or behavioral approaches, depending
on their
orientation, to all situations. The performance
results
of this universalist assumption were generally
disappointing. Certain quantitative approaches
worked in
some situations with some types of problems but
not in
others. The same was true for behavioral approaches.
(21 6)
The above general quantitative tool, through Theory
W,
could well integrate with the long recognized idea of
strategy. Thus strategy, functionalism, productivity, and
Theory W page 153
History
organization structure may well be linked and linkable in
actuality.
Theory W solution.
If the organizer follows the classical
principles, the
resulting structure will necessarily be characterized
by
a hierarchy, a division of labor, and a series of
rather
precisely defined jobs and relationships.
This is closer
to the functionsl type of organization. On
the other
hand, the earlier behavioral scientists do not
necessarily prescribe any one form of organizaiton
but
believe the classical structure can be amended and
improved by taking into account the human element.
In
recent years some theorists have suggested an "organic"
type of structure, which deemphasezes specialization
and
authority and concentrates on problem solving.
This
comes closer to project organization. (21
11)
Table 19 - Theory W versus quality circle
____________________________________________________________
Theory W Quality circle
Levels Levels
Remarks
_________ ___________ _____________________________________
Mission Assumptions Workers want work involvement
Motivate by recognition & differences
Systems allow individual creation
Objective Norms Encourage
subordinate ideas
Everyone knows about another's work
Action Procedures Workers graple
with whole work tasks
One task, one person
Group develops internal supervision
Group decides
Innovation is rewarded
____________________________________________________________
Source: (88 722).
The worker and tasks in history
Since any government structure
is made up of men, men
must somehow be selected for its tasks. The
selection
may be by birth...by tests of strength...by appointment,
by examination...by lot, or...by election.
To be
adequate, any method of selection must include a
sufficient knowledge of qualities and abilities
the task
Theory W page 154
History
calls for and the individual characteristics of the
men
among whom selection is to be made. For most
of the
separate tasks...this is not difficult; the main
trouble
has been how to define the requirements of the job
and
analyze the characteristics of the possible candidates
so
that an adequate selection machinery might be setup.
For
the efficient performance of a task, as well as
for the
proper selection of its performer, a clear definition
of
it is essential; and not merely of the task conceived
of
separately, but of its relationships to other tasks
as
well. It is often easy to forget that an essential
part
of each separate task is to maintain all proper
co-ordinate relations with other tasks. (186
141)
Theory W aims to structure those "relationships
to
other tasks" as referenced above. An organization structure
without an explicit statement of tasks cannot be adequately
reinforced by education - formal or on-the-job.
Span of control model. The problem
of constant
education on the job was addressed by the span of control
model of organization - a part of the formal organization
theory.
If you have only the authority
of position in
organization, the responsibility relationships between
supervisor and subordinate can be seen as mathmatically
defined interfaces:
Theory W page 155
History
Table 20 - Span of control geometric progression
___________________________________________________________
Subordinates Total relationships
____________ ___________________
Maximum Minimum
_______ _______
1
1 1
2
6 4
3
18 10
4
44 21
5
100 41
6
222 78
7
490 148
8
1080 283
9
2376 547
10
5210 1068
11
11374 2102
12
24708 4161
_________________________________________________________
Note: (187 186). Williamson's organization Theory
Was span
of control. (119 18)
Refering to the span of control table above:
[A] sharp rise in [the] curve beyond
four subordinates
denotes rapid increase in complexity of relationships.
This enforces organiztion by function with a
correspondingly greater demand for coordination...
(187 187)
Note how the span of control idea
"enforces
organization by function." History has long ago called
for
an "organization by function" structure. Yet the main
structure of an organization used today lies with formal
organization theory, even the modern matrix organization
theory simply superimposes unto the formal-functional
organization.
Theory W page 156
History
Line and staff.
The challenge of a simple functional
organization
theory seems obvious. Thus Theory W provides an
organization structure which emphasizes the work of
organization individuals so as to realize the aimed at
purpose in a universal manner.
There are principles which can
be arrived at
inductively from the study of human experience of
organization, which should govern arrangements for
human
association of any kind. These principles
can be studied
as a technical question, irrespective of the purpose
of
the enterprise, the personnel composing it, or any
constitutional, political or social theory underlying
its
creation. They are concerned with the method
of
subdividing and allocating to individuals all the
various
activities and the conscious control of the work
of
individuals so as to secure the most economical
and the
most effective realization of the purpose.
(188 49)
Taylor insisted that "one should
be sure, beyond the
smallest doubt that what is demanded of the men
is
entirely just and can certainly be accomplished."
British army regulations read: "The staff
must be in a
position to appreciate what is possible."
(188 83)
By a function Taylor meant a particular
kind of work,
a subject. When his conception of a division
of
responsibilities by function is carried higher up
the
line of control in any large enterprise, difficulty
is
encountered immediately. (188 52)
Efficiency. In the early 1900s
the work output term was
efficiency and the input was job task performance in the
form of assent to orders. Scientific understanding was
relegated to informal organization, common sense, or the art
of management.
Since the efficiency of organization
is affected by
the degree to which individuals assent to orders
[job
tasks], denying the authority of an organization
communication [of tasks] is a threat to the interests
of
Theory W page 157
History
all individuals who derive a net advantage from their
connection with the [pure functional] organization,
unless the orders are unacceptable to them also.
Accordingly, at any given time there is among most
of the
contributors an active personal interest in the
maintenance of the authority of all [job task] orders
which to them are within the zone of indifference.
The
maintenance of this interest is largely a function
of
informal organization. Its expression goes
under the
names of public opinion, organization opinion,
feeling in the ranks, group attitude, etc.
Thus the
common sense of the community informally arrived
at
affects the attitude of individuals, and makes them,
as
individuals, loath to question authority that is
within
or near the zone of indifference. The formal
statement
of this common sense is the fiction that authority
comes
down from above, from the general to the particular.
(4 170)
Proliferation of staff.
Two consequences of the lack of
co-ordinating
mechanisms in civil organization may be noted.
First is
the proliferation of Committees... Committees
have only
come into existence because an individual vested
with the
authority and possessing the capacity to do coordinating
work has not been appointed. (188 83-84)
There is a tendency for their
number [subordinates] to
exceed his [the administrator's] span of control.
If he
groups functions, the same difficulty of cross
correlation occurs at lower levels of the organization.
The dilemma is a real one. In a large organization
the
complex of different principles which demand
consideration in the structure of authority and
responsibility may be most serious. The solution
so far
adopted in practice is know as the Line and Staff
system
of organization. It is admittedly a compromise.
Precise
statement of what is meant by the term is lacking.
A
form of organization may be described with reference
to
the functions allotted to the various positions
or with
reference to the relations between different positions.
(188 57)
Petrification of leadership.
More serious is the petrification
of leadership which
follows from an overload of administrative work.
The
most constructive aspects of leadership are those
which
are exercised face to face. (188 83-4)
Theory W page 158
History
From the corporate view, Williamson
in 1970 (119 3)
"is mainly concerned with the important and pervasive
effects of organization structure on goal formation and
internal efficiency." But in 1970, the general focus was
on
"micro-level" internal organization therefore the intent to
focus on the whole organization structure came to apparent
naught. Yet the pitfall of large organizational work
remains a worthy lesson - "The intent is to be sensitive to,
without being swamped by, institution detail."
Fatigue and monotony.
Officers of the Western Electric
Company were probably
moved to begin the researches of 1927 at Hawthorne
by...the problems of fatigue and monotony...[and]
that
Company policies with respect to human beings were
not so
securely based as policies with respect to material
and
machines. (190 145-6)
It was the organization of human
relations [informal],
rather than the organization of technics [formal],
which
accompanied spurts [speed of work] in these cases
[1927
to 1932]. (190 149)
Informal organization.
Differences in output related
themselves approximately
"to the individual's position in the group."
That is to
say, differences in output related themselves to
social
controls established by the informal grouping and
not to
individual capacity or to economic or logical
considerations. [Dickson] expresses a caution
that these
conclusions apply specifically to the group under
observation and are not to be interpreted as
generalizations. (190 154)
Sumary of industrial organization theories
Organization theory in the early
1900s has good roots.
However, the growth and development called for has yet to
Theory W page 159
History
provide a distinct theory to expound in scholarly detail
about the "authority of the aim" principle which has
remained unquestionably primary although remaining in the
background.
Strategy not specific. Strategy
also remains a
background idea. However, the idea of strategy can be
shaped to serve as a theory in support of aim authority, but
the word, commonly used, does not have the distinctiveness
required for a renewal effort. Thus Theory W has been
coined. Theory W bases on why an organization exists, and
the way which the organization accomplishes the why. Thus
this explicit view of strategy moves from the why to the
way.
Review of theories presented.
Table 21 - Organization theories - phase 3a
___________________________________________________________
Theory
Effectiveness
______
_____________
administrator authority (vs aim authority)
no
authority of the aim
yes
strategy
yes
authority of the administrator
yes
span of control
yes/no
line and staff
yes/no
functional task division
yes
individual job performance responsibility
yes
___________________________________________________________
Note: a Another phase appears later in the next chapter.
History and Theory W
History provides us with solid
organization theories.
Theory W page 160
History
Theory W however chooses to emphasize some and deemphasize
others. We begin to build an understanding of what makes
this theory different. First, the introduction of some
familiar terms.
Mission. Items of strategic evidence,
with which
everyone can be familiar, are the mission statements in
annual reports for business and catalogs for higher
education. Theory W uses these narrative expressions of
aims to construct the top of an authority-of-aim
organization chart.
Objectives. Items of planning
evidence are programs
like "management by objectives" for business, or faculty and
student handbooks for higher education. These plans of
conduct form the middle of the authority-of-aim chart.
In the middle of this century,
management was "the
active process of determining and guiding the course
of
the firm toward its objectives." (122 vii)
The logo of MBO for management-by-objectives
still
sounds in the minds of many business administrators.
Implementation. The task divisions
and performance
responsibilities form the bottom of the aim chart.
Chart understanding. The following
figures provide
visuals of a general and a specific aim chart.
Theory W page 161
History
Figure 8 - Visual of a general aim chart
____________________________________________________________
/\
An aim on top /__\ sometimes called a mission or philosophy
/ \
Objectives /______\ measured (likened to an
MBO program)
/ \
Actions /__________\ coming out of individuals'
choices
____________________________________________________________
Note: Also referenced in appendix b, p.a101.
Theory W page 162
History
Figure 9 - Visual of a specific aim chart
____________________________________________________________
/\
/ \
/ \
Mission or aim authority /
\
/ good- \
/ feelings \
/ growth \
Goals and objectives /
\
/ eustress \
/ challenge \
/ relatedness \
/ encouragement \
/ respect, existence \
authorship, PhD,dissertation
Implementation /
\
quantify administration strategy
document individual experience
document education experience
document business
experience\
/provide
3-sided pyramid
\
/ identify
24 hour daily work
\
/ formulate
Theory W hypothesis
\
/ illuminate
organization propositions \
/ document
scholarly process
\
/ clarify
theory construction
\
/ identify
organization theories
\
/ research
organization structures
\
/ delimit
wisdom key words
\
/ style
electronic writing
\
/ research
writing wisdom
\
____________________________________________________________
Note: Ties to the structural statement of part 2.
Barnard revisited
Organization output. An organization
produces a
something which can be called productivity, efficiency,
creativity, synergism, or leadership - among other
possibilities.
Dividing output by input arrives
at productivity or
Theory W page 163
History
efficiency. New products and process ideas are produced
by
creativity. Synergism, as another view, produces something
bigger than the simple addition of the individual input
units. And leadership manages ideas whereas things are
managed for output. But regardless of the approach, the
focal point of an organization remains output - even as
stated in the annual report mission statement or annual
product catalog.
Recall the history of efficiency,
job task
performance, assent to formal organization orders, and the
understanding of relegation to informal organization, common
sense, or the art of management. Science had been applied
to job tasks but not to organization per se.
Since the efficiency of organization
is affected by
the degree to which individuals assent to orders
[job
tasks], denying the authority of an organization
communication [of tasks] is a threat to the interests
of
all individuals who derive a net advantage from
their
connection with the [pure functional] organization,
unless the orders are unacceptable to them also.
Accordingly, at any given time there is among most
of the
contributors an active personal interest in the
maintenance of the authority of all [job task] orders
which to them are within the zone of indifference.
The
maintenance of this interest is largely a function
of
informal organization. Its expression goes
under the
names of "public opinion," "organization opinion,"
"feeling in the ranks," "group attitude," etc.
Thus the
common sense of the community informally arrived
at
affects the attitude of individuals, and makes them,
as
individuals, loath to question authority that is
within
or near the zone of indifference. The formal
statement
of this common sense is the fiction that authority
comes
down from above, from the general to the particular.
(4 170)
Theory W page 164
History
The problem comes when the common
sense strangles
output. To counter the many forms of work slowdown, a lot
of managing energy goes into "motivating" the common sense
to greater output.
In contrast to adversarial-reduction
motivation,
Theory W transcends to a simple philosophy of mutual
purpose. Theory W proceeds to quantify the organization
of
job tasks with the organization's common sense purpose.
Thus Theory W offers a simple tool which releases the
individual to motivate themselves in a cooperative and
coordinated way.
Upward delegation.
The fiction of superior authority
is necessary for two
main reasons:
(1) It is the process by which
the individual
delegates upward, or to the organization, responsibility
for what is an organization decision - an action
which is
depersonalized by the fact of its coordinate character.
(4 170)
To provide depersonalized coordination,
the
organization delegates tasks downward. That downward
assignment presumes to have upper level rationale since we
look upon the organization to be rational. Theory W simply
documents that depersonal coordination rational - that does
not say that the individual tasks are not personal. The
performance of individaul tasks must be the responsibility
of the individual worker - therein lies the pride of
actualization in Maslow's term.
Theory W page 165
History
Continuing with the fiction of
superior formal
authority -
(2) The fiction gives impersonal
notice that what is
at stake is the good of the organization.
If objective
authority is flouted for arbitrary or merely
temperamental reasons, if, in other words, there
is
deliberate attempt to twist an organization requirement
to personal advantage, rather than properly to safeguard
a substantial personal interest, then there is a
deliberate attack on the organization itself.
To remain
outside an organization is not necessarily to be
more
than not friendly or not interested. To fail
in an
obligation intentionally is an act of hostility.
This no
organization can permit; and it must respond with
punitive action if it can... (4 171)
Hawthorne informal organization.
Safeguarding the
substantial personal interest refers to individual task
performance - if the individual has tasks assigned
non-performance can be judged as hostile. Theory W says
that normal performance reporting occurs weekly. That
reporting, however, must be actualizing - not punitively
fearful. Thus the spirit of creativity, innovation, and
synergism can be facilitated. Simplistically, that can
be
called the Hawthorne Effect, or more simply informal
organization.
Another approach is to view informal
organizations as
a social fact and to treat them as part of the stage
for
formal organizations. This approach stresses
the useful
functions that could be performed by informal
organizations. It recognizes that informal
organizations
can help improve communications, develop cohesiveness
in
groups, and maintain the self-respect of members
in the
organization. (19 73)
Despite Carey's criticism of the
methodology, it would
seem that two major lessons were learned from the
Hawthorne experiments. First informal groups
can be
Theory W page 166
History
powerful factors in employee behavior. Second,
behavioral research can lead to a deeper understanding
of
the dynamics of behavior within organizations.
(19 137)
The [members] developed small,
cohesive group
structures. They became participating members
of the
group both psychologically and socially and a great
deal
of social activity occurred both inside and outside
the
working environment. The [members] began to
help each other
and the group. (19 136)
The Hawthorne studies formed the
bedrock of the human
relations movement. Although this movement
shifted
attention away from formal organization, it still
accepted the basic concept of the legitimacy of
authority
stemming from hierarchial controls. (19 137)
Pure functional informal organization.
Early
literature had fuzzy nomeclature, thus the addition of
"Hawthorne" and "pure functional," needs to be added to
anchor Theory W to that early literature.
[Pure functional] informal organization
is essential
to formal organizations, particularly with reference
to
communication. This is true not only of the
organization
as a whole, or of its ultimate subordinate units,
but
also of that special part which we call the executive
organization. The communication function of
executives
includes the maintenance of [pure functional] informal
executive organization as an essential means of
communication. (4 223)
Although I [Barnard] have never
heard it stated that
this is an executive function or that such a thing
as an
[pure functional] informal executive organization
exists,
in all the good organization I have observed the
most
careful attention is paid to it. In all of
them [pure
functional] informal organizations operate.
This is
usually not apparent except to those directly concerned.
(4 224)
[Hawthorne and pure functional]
informal organizations
are found within all formal organizations, the latter
being essential to order and consistency, the former
to
vitality. These are mutually reactive phases
of
cooperation, and they are mutually dependent.
(4 286)
Some more recent literature perpetuates
the fuzzy
meaning of the pure functional organization structure.
Theory W page 167
History
To some people, that mystical entity
known as the
[pure functional] "informal" organization is the
real
organization, through which things really get done.
(6 145)
[Pure functional] informal organization
encompasses
all the relationships, communication channels, and
influences of power centers that mature, reasonable
people in the organization [use]....Rather than
being a
logical extension of the formal organization, it
comes
into being because the formal organization is viewed
as
illogical, inflexible, inefficient, or just plain
inconsistent with personal and possibly even
organizational objectives. This...[pure functional]
informal organization, according to organization
specialists, gets work done in spite of the formal
organization. (6 146)
In Theory W, the in-spite-of pure
functional
organization comes from the non-executives of the formal
organization. Regardless of the individuals doing the pure
functional organizing, it must be accomplished. One way
being less productive than the other. Theory W encourages
executives to perform their function and proposes a way to
do so. This dissertation even proposes to measure the
result of increased visibility when using a more pure
functional structure.
Organization dependencies. All
organizations depend
on individuals. The Hawthorne informal organization
provides creativity, innovation, and synergistic spirit.
The pure functional informal organization provides the order
of task work. The formal organization denotes the
responsibility of monitoring for advances or declines versus
the pure functional plan. The earliest hardcopy literature
Theory W page 168
History
evidence of pure functional organization comes from Fayol.
