Editing Organizational theory (section)

== Weberian bureaucracy ==
{{Main article|Weberian bureaucracy}}
The scholar most closely associated with a theory of bureaucracy is [[Max Weber]]. In ''[[Economy and Society]]'', his seminal book published in 1922, Weber describes its features. Bureaucracy, as characterized in Weber's terminology of [[ideal type]]s, is marked by the presence of positions that are earned and not inherited. Rules govern decision-making. Those in positions of authority demonstrate professionalism. There is a chain of command and position-defined responsibility. Authority is bounded.

Weber begins his discussion of bureaucracy by introducing the concept of ''jurisdictional areas'': institutions governed by a specific set of rules or laws.<ref name="Weber, Max 1968">Weber, Max. [1921] 1968. "Bureaucracy." Pp. 956–969 in  ''[[Economy and Society: An Outline of Interpretive Sociology]]''. Berkeley: University of California Press.</ref> In a jurisdictional area, regular activities are assigned as official duties. The authority to assign duties is governed by a set of rules. Duties are fulfilled continuously by qualified individuals. These elements make up a bureaucratic agency in the case of the state and bureaucratic enterprises in the private sector.

There are several additional features that make up a Weberian bureaucracy:<ref name="Weber, Max 1968" />
*It is possible to find the utilization of [[hierarchical]] subordination in all bureaucratic structures. This means that higher-level offices supervise lower-level offices.
*In bureaucracies, personal possessions are kept separate from the monies of the agency or the enterprise.
*People who work within a bureaucracy are usually trained in the appropriate field of specialization.
*Bureaucratic officials are expected to contribute their full working capacity to the organization.
*Positions within a bureaucratic organization must follow a specific set of general rules.

Weber argued that in a bureaucracy, taking on a position or office signifies an assumption of specific duties necessary for the smooth running of the organization. This conception is distinct from historical working relationships in which a worker served a specific ruler, not an institution.<ref name="Weber, Max 1968" />

The hierarchical nature of bureaucracies allows employees to demonstrate achieved social status.<ref name="Weber, Max 1968" /> When an officeholder is elected instead of appointed, that person is no longer a purely bureaucratic figure. He derives his power "from below" instead of "from above." When a high-ranking officer selects officials, they are more likely to be chosen for reasons related to the benefit of the superior than the competency of the new hire. When high-skilled employees are necessary for the bureaucracy and public opinion shapes decision-making, competent officers are more likely to be selected.<ref name="Weber, Max 1968" />

According to Weber, if 'tenure for life' is legally guaranteed, an office becomes perceived as less prestigious than a position that can be replaced at any time. If 'tenure for life' or a 'right to the office' develops, there is a decrease in career opportunities for ambitious new hires and overall technical efficiency becomes less guaranteed.<ref name="Weber, Max 1968" /> In a bureaucracy, salaries are provided to officials. The amount is determined on the basis of rank and helps to signify the desirability of a position. Bureaucratic positions also exist as part of stable career tracks that reward office-holders for seniority.<ref name="Weber, Max 1968" />

Weber argues that the development of a ''money economy'' is the "normal precondition for the unchanged survival, if not the establishment, of pure bureaucratic administrations."<ref name="Weber, Max 1968" /> Since bureaucracy requires sustained revenues from taxation or private profits in order to be maintained, a money economy is the most rational way to ensure its continued existence.

Weber posits that officials in a bureaucracy have a property right to their office and attempt at exploitation by a superior means the abandonment of bureaucratic principles. He articulates that providing a status incentive to inferior officers helps them to maintain self-respect and fully participate in hierarchical frameworks.<ref name="Weber, Max 1968" /> [[Michel Crozier]] reexamined Weber's theory in 1964 and determined that bureaucracy is flawed because hierarchy causes officers to engage in selfish power struggles that damage the efficiency of the organization.<ref>[[Michel Crozier|Crozier, Michel]]. [1964] 2010. ''The Bureaucratic Phenomenon'', with a new introduction by [[Erhard Friedberg]]. New Brunswick and London: Transactions Publishers.</ref>

===Summary of characteristics of Weberian bureaucracy===
Weber identified the following components of bureaucracy as essential:<ref name="Weber">{{cite book|last= Weber|first= Max|title= Economy and Society: An Outline of Interpretive Sociology (2 Volume Set)|publisher= University of California Press}}</ref>

* Official jurisdiction in all areas is ordered by rules or laws already implemented.
* There is an office hierarchy; a system of [[Superordinate goals|super-]] and [[Subordinationism|sub-ordination]] in which higher offices supervise lower ones.
* The management of the modern office is based upon written rules, which are preserved in their original form.
* Office management requires training and specialization.
* When the office is developed/established it requires the full working capacity of individuals.
* Rules are stable and can be learned. Knowledge of these rules can be viewed as expertise within the bureaucracy (these allow for the management of society).

When a bureaucracy is implemented, it can provide accountability, responsibility, control, and consistency. The hiring of employees will be an impersonal and equal system.<ref name="Weber" /> Although the classical perspective encourages efficiency, it is often{{quantify|date=January 2017}} criticized as ignoring human needs. Also, it rarely takes into consideration human error or the variability of work performances (since each worker is different).

In the case of the [[Space Shuttle Challenger disaster|Space Shuttle ''Challenger'' disaster]], [[NASA]] managers overlooked the possibility of human error.<ref>{{cite journal|last= Vaughan|first= Diane|title= The Trickle-Down Effect: Policy Decisions, Risky Work, and the Challenger Effect|doi= 10.2307/41165888|publisher= California Management Review|jstor= 41165888|s2cid= 153988785}}</ref> (See also: [[Three Mile Island accident]].)<ref>{{cite book|last=Perrow|first=Charles|title=Normal Accidents|date=12 October 2011|url=https://press.princeton.edu/books/ebook/9781400828494/normal-accidents|publisher=Princeton University Press|isbn=9781400828494}}</ref>

=== Efficiency and teleological arguments ===
Weber believed that a bureaucracy consists of six specific characteristics: hierarchy of command, impersonality, written rules of conduct, advancement based on achievement, specialized division of labor, and efficiency.<ref>Dobbin, Frank. 12 September 2012. "The Rise of Bureaucracy." Cambridge, MA: [[Harvard Hall]].</ref> This ultimate characteristic of [[Weberian bureaucracy]], which states that bureaucracies are very efficient, is controversial and by no means accepted by all sociologists. There are certainly both positive and negative consequences to bureaucracy and strong arguments for both the efficiency and inefficiency of bureaucracies.

While Max Weber's work was published in the late 1800s and early 1900s, before his death in 1920, his work is still referenced today in the field of sociology. Weber's theory of bureaucracy claims that it is extremely efficient, and even goes as far as to claim that bureaucracy is the most efficient form of organization.<ref>Akrani, Gaurav. 22 April 2011. "[http://kalyan-city.blogspot.ca/2011/04/bureaucratic-theory-of-management-by.html Bureaucratic Theory of Management by Max Weber]."</ref> Weber claimed that bureaucracies are necessary to ensure the continued functioning of society, which has become drastically more modern and complex in the past century.<ref name="uregina1999">Gingrich, Paul. 14 October 1999. "[http://uregina.ca/~gingrich/o14f99.htm Rationalization and Bureaucracy]." ''Introduction to Social Theory'' [Sociology 250]. Regina: University of Regina.</ref> Furthermore, he claimed that without the structured organization of bureaucracy, our complex society would be much worse off, because society would act in an inefficient and wasteful way.<ref name="uregina1999" /> He saw bureaucracies as organizations driven towards certain goals, which they could carry out efficiently. In addition, within an organization that operates under bureaucratic standards, the members will be better off due to the heavy regulation and detailed structure. Not only does bureaucracy make it much more difficult for arbitrary and unfair personal favors to be carried out, it also means that promotions and hiring will generally be done completely by merit.<ref name="uregina1999" />

Weber regarded bureaucracies as goal-driven, efficient organizations. But he also acknowledged their limitations. Weber recognized that there are constraints within the bureaucratic system. First of all, he noted that bureaucracies are ruled by very few people with considerable unregulated power.<ref>Kendall, Diana, Jane L. Murray, and Rick Linden. 2004. ''Sociology in Our Times'' (3rd ed.). Nelson Education Ltd. p. 190.</ref> A consequence is oligarchy, whereby a limited number of officials gain political and economic power.<ref>Weber, Max. 1905. ''[http://marxists.org/reference/archive/weber/protestant-ethic/ch05.htm The Protestant Ethic and the Spirit of Capitalism]''. via Marxists Internet Archive.</ref> Furthermore, Weber considered further bureaucratization to be an "inescapable fate" because it is thought to be superior to and more efficient than other forms of organization.<ref>Weber, Max. [1921] 1978. ''[[Economy and Society: An Outline of Interpretive Sociology]]''. Berkley: University of California Press. p. 1403</ref> Weber's analysis led him to believe that bureaucracies are too inherently limiting of individual human freedom. He feared that people would begin to be too controlled by bureaucracies.<ref name="uregina1999" /> In his view, the strict methods of administration and legitimate forms of authority associated with bureaucracy act to eliminate human freedom.

Weber tended to offer a [[teleological argument]] with regard to bureaucracy. Weber's idea of bureaucracy is considered teleological to the extent that he posits that bureaucracies aim to achieve specific goals. Weber claimed that bureaucracies are goal-oriented organizations that use their efficiency and rational principles to reach their goals.<ref>Hamilton, Peter. 1991. ''Max Weber: Critical Assessments'' (1st ed.). Routledge. p. 294.</ref> A teleological analysis of businesses leads to the inclusion of all involved stakeholders in decision-making.<ref>Brooks, Leonard J., and Paul Dunn. 2009. ''Business & Professional Ethics for Directors, Executives & Accountants''. Cengage Learning. p. 149.{{ISBN|978-0-324-59455-3}}</ref> The teleological view of Weberian bureaucracy postulates that all actors in an organization have various ends or goals, and attempt to find the most efficient way to achieve these goals.<ref name="uregina1999" />

===Criticism===

"There is dangerous risk of oversimplification in making Weber seem cold and heartless to such a degree that an efficiently-run Nazi death camp might appear admirable."<ref name=":1">Rollag, Keith. "[http://www.drtomoconnor.com/4090/4090lect02.htm Bureaucracy Theory]." ''Encyclopedia of Organization Theory''. Babson Park, MA: Babson College.</ref> In reality, Weber believed that by using human logic in his system, organizations could achieve improvement of human condition in various workplaces.

Another critique of Weber's theory is the argument of efficiency. Highest efficiency, in theory, can be attained through pure work with no regard for the workers (for example, long hours with little pay), which is why oversimplification can be dangerous. If we were to take one characteristic focusing on efficiency, it would seem like Weber is promoting unhealthy work conditions, when in fact, he wanted the complete opposite. Taking all of the characteristics that to Weber are hallmarks of bureaucracy, he recognized that a pure bureaucracy is nearly impossible to attain. Though his theories include characteristics of a highly efficient organization, these characteristics are only meant to serve as a model of how a bureaucratic organization works, recognizing that the manifestation of that model in life differs from the pure model.

With this said, the characteristics of Weber's theory have to all be perfect for a bureaucracy to function at its highest potential. "Think of the concept as a bureau or desk with drawers in it, which seems to call out to you, demanding that everything must fit in its place."<ref name=":1" /> If one object in the drawer does not fit properly, the entire drawer becomes untidy, which is exactly the case in Weber's theory; if one characteristic is not fulfilled the rest of them are unable to work in unison, leaving the organization performing below its full potential.

One characteristic that was meant to improve working conditions was his rule that "Organization follows hierarchical principle – subordinates follow orders or superiors, but have right of appeal (in contrast to more diffuse structure in traditional authority)."<ref name=":2">Rollag, Keith. "[http://faculty.babson.edu/krollag/org_site/encyclop/bureaucracy.html Bureaucracy (Weber)] {{Webarchive|url=https://web.archive.org/web/20130224112221/http://faculty.babson.edu/krollag/org_site/encyclop/bureaucracy.html |date=2013-02-24 }}." ''Encyclopedia of Organization Theory''. Babson Park, MA: Babson College.</ref> In other words, everyone in a company or any sort of work environment has the opportunity and right to disagree or to speak up if they are unhappy with something rather than not voice their opinion in fear of losing their job. Open communication is a very important part of Weber's bureaucracy, and is practiced today. Because of the communication it may not be the most efficient, but Weber would argue that improved human conditions are more important than efficiency.

Weber's theory is not perfectly instantiated in real life. The elements of his theory are understood as "ideal types" and are not perfect reflections of individuals in their organizational roles and their interactions within organizations.<ref>{{Cite journal |last=Ang |first=Yuen Yuen |date=September 2017 |title=Beyond Weber: Conceptualizing an alternative ideal type of bureaucracy in developing contexts |url=https://onlinelibrary.wiley.com/doi/10.1111/rego.12123 |journal=Regulation & Governance |language=en |volume=11 |issue=3 |pages=282–298 |doi=10.1111/rego.12123 |hdl=2027.42/138260 |s2cid=14853087 |issn=1748-5983|hdl-access=free }}</ref> Some individuals may regard Weber's model as good way to run an organization.<ref name=":1" /><ref name=":2" /><ref>Rollag, Keith. "[http://faculty.babson.edu/krollag/org_site/encyclop/weber_crit.html Criticism of Weberian Bureaucratic Theory]." ''Encyclopedia of Organization Theory''. Babson Park, MA: Babson College.</ref>