11.14 Resource Dependence - Organizations and Environments:...

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Organizations and Environments:   Institutional Theory November 14, 2007
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Institutional Theory: General  n Formal structure reflects common  understandings and beliefs about how  organizations “ought” to look. n Institutional environment = these shared  understandings and beliefs n There are pressures to conform to the 
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Max Weber: Bureaucracy as  Contemporary Form of Organization n Formal division of labor n Hierarchy of control n Written rules and procedures n Selection on basis of merit n Separation of home and office
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(Versus Traditional Craft Form) n Minimal division of labor n Minimal hierarchy n Few/no written rules n Selection based on personal ties n Workers owned tools of production
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Why Did the Bureaucratic Form  Supersede the Craft Form? n Historical, comparative analysis  n Variety of conditions -> bureaucracy n Larger governments n Money economy n Educated population n Rational-legal authority
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Power vs. Authority
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This note was uploaded on 03/14/2008 for the course ILROB 1220 taught by Professor Goncaloj during the Fall '07 term at Cornell University (Engineering School).

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11.14 Resource Dependence - Organizations and Environments:...

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