11/16/2023 0 Comments Max webber canada fiona mcluckieWeber wanted each hierarchy to have what he called legal-rational authority. Each board member will then be responsible for managers, who in turn will manage employees. For example, a typical company will have the CEO at the top of the hierarchy, followed by the executive board. A clear organizational hierarchyĪn organizational hierarchy defines how people are structured and fit within an organization. There are two parts to Weber’s Bureaucratic Theory: 1. What is Bureaucratic Theory?īecause of the problems Weber saw with traditional authority he favored a more rational approach to running an organization and helping it to achieve its goals. Weber saw that it was unlikely that this was the best way to run an organization. Today we call this favoritism, but Weber called it particularism, where a particular group of people had disproportionate sway over the organization. At this time, most organizations were running based on traditional authority, where how well you did was based on who you knew rather than what you knew. Weber saw that organizing large groups of people like this presented new challenges, especially when it came to authority. Society was moving towards larger and larger organizations, from farms employing a dozen people, to factories employing thousands of people. He grew up at a time when industrialization meant how employees were organized was becoming increasingly important. Max Weber was a German sociologist born in 1864. These days the word bureaucracy is often associated with negative connotations, but at the time bureaucratic theory was developed by Weber it was designed to solve some big problems with the way organizations were being run. What is Bureaucracy?īureaucracy is defined in the dictionary as, “a system for controlling or managing a country, company, or organization, that is operated by a large number of officials employed to follow rules carefully”. Max Weber’s Bureaucratic Theory of Management proposes that the best way to run an organization is to structure it into a rigid hierarchy of people governed by strict rules and procedures.
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