Title: Organizational Theory
1Organizational Theory
2Organization
- Greek Organon
- meaning a tool or instrument.
-
- So, organizations are tools or instruments to
meet goals, objectives, to carry out tasks.
3Theory and Paradigms
- Theory
- A coherent group of general propositions used as
principles of explanation or - A proposed explanation whose status is still
conjectural - Paradigm an example or pattern
4Theory and Paradigms
- To help us understand how organizations work
- To help us think about how we understand
organizations - To help us think about we approach others within
the organization based on our theory. - To help us determine more effective ways of
organizing to get work done.
5Organizational Theology?
- Each offers scripture and preaches its own
version of the gospel to modern managers. Each
has a vision of how organizations are and should
be. - Boleman and Deal, p.3
6Theories as Frames
- Frames or Windows
- filter
- order the world
- Structural Frame
- Human Resource Frame
- Political Frame
- Cultural
- Systems
7Guidelines for Leading Paradigm Shifts
- Introduce anomalies and help people perceive them
- Provide a clearly defined new paradigm
- Build faith in the new paradigm
- Help people let go of their old paradigm
- Give people time in the neutral zone
- Give people touchstones
- Provide a safety net
- Osborne and Plasterik, Banishing
Bureaucracy, p. 265.
8Structural Paradigm
- Image A machine
- Pyramid
- Words Efficient
- Impersonal
- Goal-driven
- Phrase The One Best Way
9Structural Paradigm
- Max Weber
- Structure strives to achieve
- calculability of rational results,
- precision, stability, discipline, and
- reliability.
10Structural Assumptions
- Exist to accomplish its goals
- Problems usually reflect an inappropriate
structure - Work effectively when the norms of rationality
prevail. - Specialization permits higher levels of
individual performance. - Coordination and control are accomplished best
through the exercise of authority and impersonal
rules, and centralized oversight.
11Structural Paradigm
12Margaret Wheatley
- If organizations are machines, then control
makes sense. If organizations are process
structures, then seeking to impose control
through permanent structure is suicide. - Wheatley, p. 23
13Truth or Fiction?
- Bureaucracy is the single best form of
organization of organization yet devised for
providing consistency, continuity,
predictability, stability, deliberateness,
efficient performance of repetitive tasks,
equity, rationalism and professionalism.
(Cooper, p. 201)
14Bureaucracy Does Not Mean Government
- In organizational theory, we are talking about
how organizations are structured. - This is not to be confused with discussions about
government, even though government is often
referred to as bureaucracy. - The overall governance is not easily explained by
the principles of the Webers ideal bureaucracy.
15Which is True?
- Rules promote fairness and accountability in the
conduct of public business. - Rules are also the enemy of progress and
dispatch.
16Human Relations Frame
- Image Family
- Words Caring, Nurturing, Supportive
- Spirit
- Concepts motivation, empowerment,
development, communication
17Human Relations Assumptions
- Organizations exist to serve human needs
- Organizations need the ideas, energy, and talent
that people provide - People need the careers, salaries, and work
opportunities that organizations provide. - Fit is crucial
- When poor, one or both will suffer.
- When good, both benefit.
18Human Relations
- Chester Barnard
- The key limiting factor to organizational
success is in getting people to cooperate in
accomplishing the organization's purpose.
19Incentives
- To get them to cooperate you must induce them to
join the organization and then induce them to
contribute. - The organization depends upon the motives of
individuals and the inducements that satisfy
them.
20Incentives
- Material money, compensation, bonuses
- Personal prestige, distinction, power
- Values pride of workmanship, altruistic
- service, loyalty, patriotism
- Associational social compatibility, social
status - Opportunity participation, efficacy
- Security job security, support
21Maslows Hierarchy of Needs
Self-Actualization
Esteem
Belonging Love
Safety
Physiological
22Follett Different Vision
- Circle, Not Pyramid
- Belonging and Relatedness would be the top.
- Self-esteem and self-actualization would be
lower-order needs - Mary was not big on individualism.
23Follett Different Vision
- We cannot put the individual on one side and
society on the other, we must understand the
complete interrelation of the two. Each has no
value, no existence without the otherThere is no
such thing as a self-made man. (p. 257) - Of what then does the individuality of a man
consist? Of his relation to the whole, not (1)
of his apartness nor (2) of his difference alone.
24Follett Different Vision
- I am an individual not as far as I am apart
from, but as far as I am part of others. - Non-relation is death. (257)
25Theory X and Theory Y
- Theory X
- childlike
- passive
- lazy
- resists work
- want to be led
- bare minimum
- Theory Y
- adults
- desire to achieve
- committed to work
- responsible
- lead, control their work
- want to do a good job
26Where is your organization?
- Does it value people?
- Does it treat people like adults?
- Does it develop people?
- Do managers treat employees as customers?
- Should it?
27Mary Says
- Even if it is true that people want to be told
what to do--and I dont think it is true but even
if it is-- - I dont think there is any reason to encourage
that desire. As a parent, you teach your
children to make decisions, even if they would,
at least initially, prefer you to make the
decisions for them.
28Mary Says
- We all have to learn to take our share of
responsibilityand leaders should make us feel
our responsibility, not take it from us. (p.
214) - We are all part of the evolving situation.
- We all must make our contribution.
29Peter Block
- the mindset that there is a population waiting
to be told what norms and values they are to live
by expresses a loss of faith in human capacity.
30Political Paradigm
- The political frame views organizations as 'alive
and screaming' political arenas that house a
complex variety of individuals and interest
groups. - This is not about elections and elected positions.
31Political Paradigm
- Image smoke-filled room
- battle
- Words wheeling and dealing
- My way or no way.
32Political Paradigm
- It is a world not of angels but of angles, where
men speak of moral principles but act on power
principles a world where we are always moral and
our enemies always immoral. - Saul Alinsky, 1971
33Political Paradigm
- Morgan "Power is the medium through which
conflicts of interest are ultimately resolved.
Power influences who gets what, when, and how." - Dahl "Power involves an ability to get another
person to do something that he or she would not
otherwise have done." - Follett "Power might be defined as simply the
ability to make things happen, to be a causal
agent, to initiate change. "
34Power Paradigm Assumptions
- Important decisions allocation of scarce
resources. - Organizations are coalitions composed of a number
of individuals and interest groups - Individuals and interest groups differ in their
values, preferences, beliefs, information, and
perceptions of reality. - Goals and decisions emerge from ongoing processes
of bargaining, negotiation, and jockeying for
position among individuals and groups. - Because of scarce resources, narrow self-interest
and enduring differences, power and conflict are
central features of organizational life."
35Power Assumptions
- Its all a game.
- Who ever has the most toys wins.
36Human Side of Power
- The decision as to whether an order has
authority or not lies with the persons to whom it
is addressed, and does not reside in 'persons of
authority' or those who issue these orders.
Chester Barnard -
- Our job is not how to get people to obey orders,
but how to devise methods by which we can best
discover the order integral to a particular
situation. Mary Parker Follett
37Human Side of Power
- Power Over
- power is scarce and limited
- giving orders
- punish non-compliance
- negative beliefs about people
- Power With
- power increases when shared
- orders are determined by the situation
- participatory problem-solving
- positive beliefs about people
38Powerlessness
- In organizations, it is powerlessness, not power
that corrupts. When people feel powerless, they
behave in petty, territorial ways. The become
rules-minded and they are over-controlling
because theyre trying to grab hold of some
little piece of the world that they do control
and then over-manage it to death. Kantor
39Forms of politicking
- Pad budgets to get more resources
- Pick easy tasks and build them into mountains
- Image management
- Appear busy
- Manage to stay until after the "boss" leaves, so
you appear to be hard working.
40More malignant forms
- Sabotage co-workers, or competitive work units,
so you appear to look good. - Create "problems" which only you can solve.
- Take credit for the work of others.
41Ways to handle conflict
- Avoidance--denial moose on the table
- Compromise deals, temporary
- Competition win/lose
- Accommodation giving way, submission
- Collaboration win/win, integrative
42Follett Dealing with Conflict
- Bring the conflict into the open
- denial is dsyfunctional
- Make agendas visible
- dont pretend you dont have personal motives
- Lay your cards on the table
- Listen to the issues and concerns of all parties.
43Follett Dealing with Conflict
- Break issues and concerns into their constituent
parts - Seek areas of agreement
- Seek solutions on the smaller issues.
- Understand the symbolic value of the issues.
- Respect and trust are essential.
44Follett Dealing with Conflict
- Not all problems will have win-win solutions.
- But all parties should feel they have been heard
and that their views were seriously considered.
45Obstacles to Integration
- Lack of intelligence and inventiveness
- Unwillingness to take responsibility
- Enjoyment of domination
- Fight addict
46Obstacles to Integration
- Tendency to theorize rather take action
- Language of "war"
- The manipulation by the unscrupulous leaders
- Our lack of training in the "art" of cooperative
thinking and action
47Kritek Masks of Manipulation
- Praise and Flattery
- Lying and Deception
- Helpfulness and Generosity
- Trickery and Secret Deals
- Attacking and Threatening
48Masks of Manipulation
- Deliberate Stupidity
- Cuteness and Flirtatiousness
- Persevering
- Withholding
49Covey Personal Influence
- Refrain from saying the unkind or negative thing
- Exercise patience with others (and self)
- Distinguish between the person and the behavior
- Perform anonymous service
- Keep your promises
- Assume the best of others
50Covey Personal Influence
- Seek first to understand
- Reward open, honest expressions
- Give an understanding response
- Admit your mistakes, apologize,
- Let arguments fly out open windows
- Go one on one
- Renew your commitment to things you have in
common
51Sources of Power
- Authority
- Expertise
- Control of Resources
- Control of Process
- Control of decision processes
- Information
- Personal
- Associational
- Coercive
52Exercise
- Who has power in your organization?
- What are your sources of power?
53Cultural Paradigm
- A pattern of basic assumptions, invented,
discovered, or developed by a given groups as the
correct way to perceived, think and feel
54Cultural Paradigm
- Words norms, values
- The way it is done here
- We dont do that
- our way.
- Image village, anthropologist
55Cultural ParadigmAssumptions
- Culture affects how each member thinks, feels and
acts. - Much of what happens is ambiguous and uncertain,
and undermines rational approaches - When faced with uncertainty and ambiguity, people
create symbols to reduce ambiguity and to resolve
conflict
56Clues to Organizational Culture
- Passion
- Pictures
- Habits
- Humor
- Stories
- Surprises
57Seidman Agency culture and personality
- Attempts to change organizations without
understanding its culturenorms, beliefs, and
valuesare bound to fail. - Reorganizations should not be prescribed as a
cure for personality problems.
58Seidman Agency culture and personality
- Agencies have "distinct and multidimensional
personalities and deeply ingrained cultures and
subcultures, reflecting institutional history,
ideology, values, symbols, folklore, professional
biases, behavior patterns, heroes, and enemies.
59Seidman Agency culture and personality
- It would be as unthinkable for a secretary of
agriculture to question the innate goodness of
the rural way of life and the inherent virtues of
the family farm as it would be for an OMB
director to be against economy and efficiency
60Seidman Agency culture and personality
- As the leader of a rugged 'outdoors-type'
department, a secretary of the interior is not
out of character when he climbs mountains, shoots
the Colorado River rapids, or organizes
well-publicized hiking and jogging expeditions.
61Seidman Agency culture and personality
- Identical conduct by the secretary of the
treasury would shake the financial community to
its core." pp. 166-167
62Cultural Paradigm
- Myths
- provide explanations
- maintain group cohesion
- anchor the present in the past
63Cultural Paradigm
- Some myths we live by
- Authority must always equal responsibility
- Planned organizational change
- The objective, neutral expert
- Managerial control
- One best way
64Cultural Paradigm
- Some rituals and ceremonies
- presidential conventions
- performance appraisals
- award ceremonies
- committee meetings (with no outcomes expected)
- management training programs
65Twelve Lessons for Leaders of Culture
Transformations
- Winning minds, changing habits, touching hearts
- 1. Dont control employees--involve them.
- 2. Model the behavior you want.
- 3. Make yourself visible
- 4. Make a clear break with the past.
- 5. Unleash--but harness the pioneers.
- .
66Twelve Lessons for Leaders of Culture
Transformations
- Winning Minds, Changing Habits, Touching Hearts
- 6. Get a quick shot of new blood--and a slow
transfusion - 7.Drive out fear--but dont tolerate resistance.
- 8. Sell success.
- 9. Communicate, communicate, communicate.
67Twelve Lessons for Leaders of Culture
Transformations
- Winning Minds, Changing Habits, Touching Hearts
- 10. Bridge the fault lines in the organization.
- 11. Change administrative systems that reinforce
bureaucratic culture. - 12. Commit for the long haul.
- Osborne and Plasterik, Banishing Bureaucracy
68Open Systems
- Organizations can be seen as open systems, like
organisms which constantly adapt to their
internal and external environment - Image organism
- Words flexible, responsive, fluid, changing
69Systems Paradigm
- What endures is process
- dynamic
- adaptive
- creative
- Leader maintains focus, guiding principles, and
vision.
70Wheatley
- I have observed that the search for
organizational equilibrium is a sure path to
institutional death, a road to zero trafficked by
fearful people. (P. 76). - Life is an open system Open systems that engage
with their environment and continue to grow and
evolve. (P.77)
71Assumptions
- External conditions influence the flow of inputs,
outputs and can affect the internal operations. - Organizations use many of their products,
services, and ideals as inputs to organizational
maintenance or growth - Organizations are influenced by their members as
well as their environments.
72Assumptions
- Subsystems are all interrelated and influence
each other - Organizations are constantly changing.
- An organization's success depends on its ability
to adapt to its environment - Any level or unit within an organization can be
viewed as a system.
73Environment
Goals Culture
Behaviors Processes Technology Structure
Inputs
Outputs
Environment
74Open Systems
- Inputs
- Outputs
- Technology
- Environment
- Goals and strategies
- Behavior and processes
- Culture
- Human resources
- Structure
75GAO
- Inputs People and money some technology
knowledge - Outputs reports and testimony
- Technology brains, analytic thought,
rational model, computers, printing - Environment political
76GAO
- Goals and
- Strategies vision statement but no
strategic plan to get there. - Behavior and
- processes command and control, accounting
model -
77GAO
- Culture 100 accuracy inspect accuracy
checkers checking the - checkers.
- Human resources few careers rewards based on
writing, not rocking the boat. - Structure flat at the bottom very steep
hierarchy at the top.
78Colleges/Universities
- Inputs?
- Outputs?
- Technology?
- Goals and Strategies?
- Behavior and Processes?
- Culture?
- Human Resources?
- Structure?
79Application Senges Learning Organizations
- Systems Thinking
- big picture, interconnections
- Personal Mastery
- personal vision, patience, reality
- Shared Vision
- picture of the future
- Team Learning
- Group IQ
- dialogue
- greater than sum of the parts
- Mental Models
- question assumptions, internal images
80Wheatley
- We are capable of ...transformations when we
trust that new thoughts and ideas can
self-organize in the environment of our minds and
our organizations. And we should do well to take
clouds more seriously - After all, how do you hold a hundred tons of
water in the air with no visible means of
support? You build a cloud. - Cole, in Wheatley, p.99
81Wheatley
- Wheatley asks Why are we afraid of what happens
if our boat gets rocked?