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The Evolution of Management and Organization Theory. Lecture 5 – Administrative Processes in Government. The Origins of Public Management. The key to the city – harks back to an era when the only way into a city was through a locked gate.

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The evolution of management and organization theory l.jpg

The Evolution of Management and Organization Theory

Lecture 5 – Administrative Processes in Government


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The Origins of Public Management

  • The key to the city – harks back to an era when the only way into a city was through a locked gate.

  • The profession of management began and developed as the profession of arms.

    • War is not possible without an effective system of public administration.

    • Military officers were the first public administrators.


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The Origins of Public Management

  • The profession of management began and developed as the profession of arms.

    • First armies were mobs with managers.

    • Gradually developed hierarchy, line and staff personnel, logistics and communications.

  • The continuing influence of ancient Rome.

    • The transfer of managerial control from those of wealth and power to those with professional expertise first happened in the Roman army.

    • The power of technical expertise would not be seen again until Napoleon.


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The Origins of Public Management

  • The continuing influence of ancient Rome.

    • Origins of merit system.

    • Origins of civil service (to regulate pay).

    • The core features of modern public administration were first found in the Roman Empire.

    • Depersonalization, separation of public and private funds, hierarchy, functional specialization.

    • The virtue of military service (as training in administration).


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The Origins of Public Management

  • The military heritage of public administration.

    • The history of the world can be viewed as the rise and fall of public administrative institutions.

    • Rome was effective because the army’s organizational doctrine made it superior to its competitors and because it was backed up by a sophisticated administrative system of supply backed by taxes.


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The Origins of Public Management

  • The military heritage of public administration.

    • The Roman empire only fell when its legions degenerated into corps of mercenaries and when its supply and tax bases were corrupted.

    • Both victorious soldiers and successful managers tend to be inordinately admired and rewarded as risk takers.


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The Significance of Administrative Doctrine

  • All organizations are guided by a doctrine of management that reflects basic values.

  • The first administrative doctrine (military): Do this or die!

  • Modern example (Henry Ford): All that we ask of men is that they do the work which is set before them. (Implication: or be fired! Better than being shot.)


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The Significance of Administrative Doctrine

  • More sophisticated doctrines are needed when meaningful and fulfilling work for its employees is the central goal of an organization.

  • These doctrines are generally more conducive to long-term organizational effectiveness and productivity.


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The Significance of Administrative Doctrine

  • Doctrine and attitudes affect morale and performance and more importantly organizational culture.

  • Organizational culture affects the overall competence or incompetence of the organization.


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The Significance of Administrative Doctrine

  • Each organization’s doctrine remains in place until technological and situational changes make the organization’s adaptations less useful and render the organization incompetent.

  • Every major political revolution can be said to be caused by the same thing – poor public administration.


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The Significance of Administrative Doctrine

  • The evolution of management principles.

    • Authoritarian or traditional management is the classical model of military governance applied to civilian purposes.

    • Managers under an authoritarian doctrine value order, precision, consistency, and obedience.

    • This authoritarian model has been gradually been replaced with less centralized, more participatory models.

    • Why? Because they work better with sophisticated workers.


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The Significance of Administrative Doctrine

  • Comparing military and civilian principles.

    • No royal road to administrative wisdom. No hard and fast principles. But:

    • Nine principles of war (U.S. Army).

      • Objective: Direct every, military operation toward a clearly defined, decisive and attainable objective.

      • Offensive: Seize, retain, and exploit the intiative.

      • Mass: Concentrate combat power at the decisive place and time.


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The Significance of Administrative Doctrine

  • Comparing military and civilian principles (contd.)

    • Nine principles of war (contd.)

      • Economy of force: Allocate minimum essential combat power to secondary efforts.

      • Maneuver: Place the enemy in a position of disadvantage through the flexible application of combat power.

      • Unity of command: For every objective, insure unity of effort under one responsible commander.


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The Significance of Administrative Doctrine

  • Comparing military and civilian principles (contd.)

    • Nine principles of war (contd.)

      • Security: Never permit the enemy to acquire an advantage.

      • Surprise: Strike the enemy at a time and/ or place and in a manner for which he is unprepared.

      • Simplicity: Prepare clear, uncomplicated plans and clear, concise orders to ensure thorough undestanding.


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The Significance of Administrative Doctrine

  • Comparing military and civilian principles (contd.)

    • Catheryn Seckler-Hudson’s 12 principles of management.

      • Policy should be defined and imparted to those who are responsible for its achievement.

      • Work should be subdivided, systematically planned, and programmed.

      • Tasks and responsibilities should be specifically assigned and understood.


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The Significance of Administrative Doctrine

  • Comparing military and civilian principles (contd.)

    • Catheryn Seckler-Hudson’s 12 principles of management.

      • Appropriate methods and procedures should be developed and utilized by those responsible for policy achievement.

      • Appropriate resources in terms of availability and priority should be equitably allocated.

      • Authority commensurate with responsibility should be delegated and located as close as possible to the point where operations occur and decisions need to be made.


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The Significance of Administrative Doctrine

  • Comparing military and civilian principles (contd.)

    • Catheryn Seckler-Hudson’s 12 principles of management.

      • Adequate structural relationships through which to operate should be established.

      • Effective and qualified leadership should head each organization and each subdivision of the organization.

      • Unity of command and purpose should permeate the organization.


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The Significance of Administrative Doctrine

  • Comparing military and civilian principles (contd.)

    • Catheryn Seckler-Hudson’s 12 principles of management.

      • Continuous accountability for utilization of resources and for the production of results should be required.

      • Effective coordination of all individual and group efforts within the organization should be achieved.

      • Continuous reconsideration of all matters pertaining to the organization should be a part of regular operations.


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The Significance of Administrative Doctrine

  • Comparing military and civilian principles (contd.)

    • The military list is more policy oriented, more leadership directed, than the civilian list.

    • The military approach underlies the reinventing government movement.


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What Is Organization Theory?

  • A proposition or set of propositions that attempts to explain or predict how groups and individuals behave in differing organizational arrangements.


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What Is Organization Theory?

  • Classic organizational theory.

    • Organizations exist to accomplish production-related and economic goals.

    • There is one best way to organize for production, and that way can be found through systematic, scientific inquiry.

    • Production is maximized through specialization and division of labor.

    • People and organizations act in accordance with rational economic principles.


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What Is Organization Theory?

  • Theory derived from organizational structures and procedures during the industrial revolution.

  • Adam Smith and the pin factory.

    • The Wealth of Nations, 1776.

      • Laissez-faire.

    • Economic rationale for the factory system.

    • All formal organizations are force multipliers.


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The Origins of Scientific Management

  • The basic problem with the traditional hierarchical organization was that it was dependent upon the proper enculturation of individual supervisors at every level for its success.

  • Changes in the environment can make hierarchical organizations less competent.


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The Origins of Scientific Management

  • Origin of the staff concept to overcome limitations of a single mind and fleeting time.

  • The general staff concept has been adopted by industrial and governmental organizations.


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The Origins of Scientific Management

  • The influence of Frederick W. Taylor (1911).

    • Father of the scientific management movement.

    • Scientific management principles.

      • Replacing traditional, rule of thumb methods of work accomplishment with systematic, more scientific methods of measuring and managing individual work elements;

      • The scientific study of the selection and sequential development of workers to ensure optimal placement of works into work roles;

      • Obtaining the cooperation of workers to ensure full application of scientific principles; And.

      • Establishing logical divisions within work roles and responsibilities between workers and management.


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The Origins of Scientific Management

  • Henri Fayol’s general theory of management (six principles, 1916, 1949).

    • Technical (production of goods)

    • Commercial (buying, selling, exchange).

    • Financial (raising and using capital).

    • Security (protection of property and people).

    • Accounting.

    • Managerial (coordination, control, organization, planning and command of people).


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The Origins of Scientific Management

  • Fayol (contd.).

    • Dominant principle was management.

      • Division of work.

      • Authority and responsibility.

      • Discipline.

      • Unity of command.

      • Unity of direction.

      • Subordination of individual interest to general interest.

      • Remuneration of personnel.


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The Origins of Scientific Management

  • Fayol (contd.).

    • Dominant principle was management (contd.).

      • Centralization.

      • Scalar chains (supervisors).

      • Order.

      • Equity.

      • Stability of personnel tenure.

      • Initiative, and.

      • Esprit de corps.


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The Period of Orthodoxy

  • Interwar period a period of orthodoxy in public administration.

    • Work of government could be divided between decision-making and execution.

    • Administration was a science with discoverable principles.


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The Period of Orthodoxy

  • Paul Appleby’s polemic.

    • Politics and administration inextricably entwined.

  • Luther Gulick (1937, POSDCORB).

    • Planning (outline and methods).

    • Organizing (structure).

    • Staffing (personnel).

    • Directing (decision-making).

    • Coordinating (task management).

    • Reporting (communication and record-keeping).

    • Budgeting (fiscal planning, accounting, and control).


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The Many Meanings of Bureaucracy

  • First, “the bureaucracy is the totality of government offices or bureaus that constitute the permanent government of the state.

  • Second, “the bureaucracy” refers to all of the public officials of a government, both high and low, elected and appointed.

  • Third, bureaucracy is often used as a general invective to refer to any inefficient organization encumbered by red tape.


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The Many Meanings of Bureaucracy

  • Fourth, bureaucracy refers to a specific set of structural arrangements (Max Weber).

    • Bureaucrats are free as individuals, but not as employees.

    • Hierarchy.

    • Clearly specified functions.

    • Freedom of hiring.

    • Appointment by merit.


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The Many Meanings of Bureaucracy

  • Fourth, bureaucracy refers to a specific set of structural arrangements.

    • Due compensation and due process.

    • Sole occupation.

    • Advancement by merit or seniority.

    • Non-proprietary rights in position.

    • Strict controls.


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Neoclassical Organization Theory

  • The neoclassical theorists gained their reputation by attacking the classical theories.

    • Important source of the power and politics, organizational culture, and systems theory.

  • Herbert Simon.

    • Bounded rationality and satisficing.

    • Programmed and unprogrammed decision-making.

    • Management information systems.


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Neoclassical Organization Theory

  • The impact of sociology.

    • Philip Selznick – Organizations are made up of individuals whose goals and aspirations may not coincide with the organization’s.


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Modern Structural Organization Theory

  • Basic assumptions

    • Organizations are rational institutions whose primary purpose is to accomplish established objectives through control and coordination.

    • There is a “best” structure for any organization in light of objectives, environment, products or services, and the technology of the production process.

    • Specialization and division of labor increase the quality and quantity of production.

    • Most problems result from structural flaws.


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Modern Structural Organization Theory

  • Mechanistic and organization systems.

    • Mechanistic – traditional bureaucracy, best in stable conditions.

    • Organic – less rigidity, more participation, and more reliance on workers, best in dynamic conditions.


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Systems Theory

  • Systems theory views an organization as a complex set of dynamically intertwined and interconnected elements, including inputs, processes, outputs, feedback loops, and the environment. Any change in one element causes changes in other elements.


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Systems Theory

  • Cybernetics – Norbert Wiener (1948).


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Systems Theory

  • The learning organization.

    • Built on the doctrines of participation

    • Maslow’s hierarchy of needs.

    • New component technologies (the five disciplines).

      • Personal mastery.

      • Mental models.

      • Building shared vision.

      • Team learning.

      • Systems thinking.


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