The Management Theory of Max Weber
Definition: The Bureaucratic Theory is related to the structure and administrative process of the organization and is given by Max Weber, who is regarded as the father of bureaucracy. What is Bureaucracy? The term bureaucracy means the rules and regulations, processes, procedures, patterns, etc. that are formulated to reduce the complexity of organization’s functioning.
According
to Max Weber, the bureaucratic organization is the most rational means to
exercise a vital control over the individual workers. A bureaucratic
organization is one that has a hierarchy of authority, specialized work force,
standardized principles, rules and regulations, trained administrative
personnel, etc.
Max Weber’s Bureaucratic
Form – 6 Major Principles
Max Weber listed six major
principles of the bureaucratic form as follows:
1. A formal hierarchical
structure –
In a bureaucratic organization, each level controls the level below it. Also,
the level above it controls it. A formal hierarchy is the basis of central
planning and centralized decision-making.
2. Rules-based Management – The organization
uses rules to exert control. Therefore, the lower levels seamlessly execute the
decisions made at higher levels.
3. Functional Specialty
organization –
Specialists do the work. Also, the organization divides employees into units
based on the type of work they do or the skills they possess.
4. Up-focused or In-focused
Mission –
If the mission of the organization is to serve the stockholders, board, or any
other agency that empowered it, then it is up-focused. On the other hand, if
the mission is to serve the organization itself and those within it (like
generating profits, etc.), then it is in-focused.
5. Impersonal – Bureaucratic
organizations treat all employees equally. They also treat all customers
equally and do not allow individual differences to influence them.
6. Employment-based on
Technical Qualifications – Selection as well as the promotion of employees
is based on technical qualifications and skills.
While these rules have received
criticisms from many corners, the bureaucratic form of the organization
continues to live on.
Bureaucratic Theory
Definition:
The Bureaucratic Theory is related to the structure and administrative process
of the organization and is given by Max Weber, who is regarded as the father of
bureaucracy. What is Bureaucracy? The term bureaucracy means the rules and
regulations, processes, procedures, patterns, etc. that are formulated to
reduce the complexity of organization’s functioning.
According
to Max Weber, the bureaucratic organization is the most rational means to
exercise a vital control over the individual workers. A bureaucratic
organization is one that has a hierarchy of authority, specialized work force,
standardized principles, rules and regulations, trained administrative
personnel, etc.
Max Weber’s Bureaucratic
Form – 6 Major Principles
Max Weber listed six major
principles of the bureaucratic form as follows:
1. A formal hierarchical
structure –
In a bureaucratic organization, each level controls the level below it. Also,
the level above it controls it. A formal hierarchy is the basis of central
planning and centralized decision-making.
2. Rules-based Management – The organization
uses rules to exert control. Therefore, the lower levels seamlessly execute the
decisions made at higher levels.
3. Functional Specialty
organization –
Specialists do the work. Also, the organization divides employees into units
based on the type of work they do or the skills they possess.
4. Up-focused or In-focused
Mission –
If the mission of the organization is to serve the stockholders, board, or any
other agency that empowered it, then it is up-focused. On the other hand, if
the mission is to serve the organization itself and those within it (like
generating profits, etc.), then it is in-focused.
5. Impersonal – Bureaucratic
organizations treat all employees equally. They also treat all customers
equally and do not allow individual differences to influence them.
6. Employment-based on
Technical Qualifications – Selection as well as the promotion of employees
is based on technical qualifications and skills.
While these rules have received
criticisms from many corners, the bureaucratic form of the organization
continues to live on.