Organizations PDF

C H A P T E R 3 Organizations Theory and practice Individuals and groups operate within the framework of larger groups, which are loosely described as organizations....

C H A P T E R 3 Organizations Theory and practice Individuals and groups operate within the framework of larger groups, which are loosely described as organizations. Although much of what has already been said about the behaviour of individuals and groups makes assumptions about the organizational context, we need to study organizations because of the complexity of their structure, the inter- relationships of their component groups and their relationships with the external environment. The importance to managers of organiza- tional studies is this: first, when we reach the organizational level of analysis, we are considering the total effectiveness of the system; sec- ond, having considered how an organization does and should control its component elements, we are still left with the very difficult question – how is the organization itself to be controlled? Is it capable of control- ling itself? For example, Northcote Parkinson (1958) acquired a spe- cial fame for his comments about the uncontrolled ways in which organizations behave and expand: ‘work expands so as to fill the time available for its completion’. The basic problem of size and complexity in organizations is some- thing that everyone experiences sooner or later. It is seen in everyday working life in the difficulties that employees find in describing the organization where they work or in relating to it. Employees usually identify more with smaller groups. When they try to relate to organiza- tions it is as though individual employees are dealing with a mystical, unseen, indefinable force that controls their working lives, but with whom, like God, they can never come face to face. In the last ten years there has emerged a more radical critique of ‘rational’ approaches to the study of organizations. Postmodernism rejects the ‘objective’ positivist way organizations are researched, and with this rejection comes a denial of the scientific basis of knowledge accumulation. The postmodernist critique owes much to philosophers Chapter 3 Organizations 43 such as Foucault and Derrida. Postmodernism is a valuable antidote to the over-confidence found among consultants and managers who have lost sight of their own part in perceiving and constructing reality, but it does not propose a coherent theoretical alternative. Postmodernism values diversity, symbolism and reinterpretations of old into new ways of working: a view of knowledge as fragmented, which rejects ideas of ‘grand narrative’, simplifying assumptions and appeals to universal models, or universal laws (Hatch, 1997). We should note the following aspects to postmodernism. Organizations are not necessarily rational – they only exist in the perceptions of their members and those who wish to deal with them; reality is socially constructed. Our understanding is based on a number of distinct discourses that frequently are in opposition to each other. Language use and power are linked, and power and control are inher- ent within language structure and use. Words carry a history; there are different meanings that are part of the language games we play as we define meanings in use. Therefore, human resource management could be understood as a mechanism for creating taken for granted power relations (Legge, 1995). Like the other aspects of the study of people at work, there has been considerable research into organizations and a vast quantity of litera- ture has now accumulated. These works could be classified in various ways, but there is a common thread running through the diversity of particular themes, which is the implicit assumption that organizations, as a phenomenon of modern industrial life, need to be studied and analysed to understand them and how they affect human life as well as to provide a basis for designing structures that are as effective as possible both in terms of productivity and of human contentment. In addition to postmodernism, it is possible to distinguish four broad categories of approach, which reflect different emphases in studying the subject: 1 Structural approach: this group includes authors who form the so-called classical or traditional school. They are mainly con- cerned with formal organizations and related questions such as structural design, the definition of responsibilities and the legitimacy of authority. 2 Human relations approach: those who follow this approach stress the importance of individuals and groups, their needs and reactions to organizational life, and the existence of an informal system which needs to be taken into account when organizations are designed. 44 Essentials of human resource management Chapter 3 3 Systems approach: authors included in this category are inter- ested mainly in the significance of the interaction and inter- relationships between the component elements of organizations and between organizations and their environments. 4 Contingency approach: this has links with the structural and sys- tems approaches, but emphasizes the need for on-site, com- parative studies to find out what organizations are really like, to analyse the interactions of all the internal and external vari- ables, and on this basis to design organizations to take account of the contingencies of differing situations. This categorization is a simplification of a very complex field of study, but is adequate as a basic framework for a broad analysis of the subject. For the purpose of this review, it would be useful briefly to examine some of the important contributions in each group as samples of the main trends of thought about problems that typically occur, their causes and possible remedies. Studies of organizational structure The first major study of organizations was made by Max Weber (1947). This work was doubly important because it laid a foundation for subse- quent studies and raised the question of authority types: 1 Charismatic : authority stems from the personality of the lead- ers of the organization and is typified in religious, political and industrial organizations by people like Gandhi, Churchill and Ford. 2 Traditional: the basis is precedent and custom. The common- est example is a monarchy. In industry, examples are found in family firms, where the leadership is passed from parent to son or daughter, even though initially at least the son or daughter may derive no authority from experience. 3 Rational-legal: this is described as a normal basis for demo- cratic society and formal work organizations. The main requirement is a hierarchy of levels of authority, which is based on the assumed ability of managers to perform better than their subordinates either through superior professional or superior administrative experience, knowledge and skills, or a combination of both. This authority is then incorporated into a set of rules and codes governing the arrangements for work and the conduct of employees. Chapter 3 Organizations 45 Weber described the rational-legal organization as a bureaucracy, which he considered to be the predominant and most effective form of organization. Its particular virtue, in Weber’s view, and hence its name, is that once the roles of office at various levels have been defined, the organization continues to function independently of individuals. A simple analogy would be a long-running play, where different actors join and leave the cast over the years, but the play continues. Weber was not so concerned with what later authors have described as the dys- functions of bureaucracy, e.g. the potential for the misuse of authority by the substitution of power by certain individuals who seek to pursue personal ends by means of coercion or manipulation; conflicts which arise from personal interpretations of the meanings of organizational rules. Furthermore, while the basic model of the typical bureaucracy is useful for general analysis, it does not take account of the importance of role interpretation. Employees interpret their work roles in the light of their own attitudes, values, beliefs, needs and expectations. Weber has adequately described the formal pattern of organizational behav- iour, but beneath the surface there is an informal pattern that is just as important, as the ‘Human Relations School’ has shown. People inter- act socially at work and take part in activities not prescribed in the formal system. Nevertheless, the introduction of the idea of authority and legitimacy has made a most important contribution to the study of organizations, especially in terms of the psychological contract, dis- cussed earlier. Another significant contribution to the theme of organizational authority has been made by Amitai Etzioni. This author was inter- ested in the idea of matching individuals’ attitudes and expectations with types of organizations. He identifies three main types of organiza- tion, according to their authority base, and three types of individual involvement: 1 Organization types (a) Coercive : used in prisons, mental hospitals and sometimes in military units. (b) Utilitarian: used mainly in industry, related to Weber’s rational-legal type and relying mainly on economic rewards. (c) Normative: used mainly in organizations where voluntary service predominates, e.g., religious, welfare, and political and professional associations. 2 Individual types of involvement (a) Alienative : members are forced to join and have no psychol- ogical involvement. 46 Essentials of human resource management Chapter 3 (b) Calculative: members join mainly to satisfy economic and similar needs. (c) Moral: members place a high personal value on the objec- tives of the organization. There is a general correlation between the organizational type and the type of involvement. This model may also be useful when related to the idea of the psychological contract between employer and employee and possible problems of misperception. For example, if an organiza- tion that is expected to be essentially utilitarian tries to introduce pat- terns of authority that are coercive in nature, then an alienative response is likely to be produced. Similarly, if this type of organization expects a moral involvement, such as a heart and soul commitment from employees to the firm and its products, it could be making a psy- chological miscalculation in asking for more from its employees than it is really prepared to give in return. The human relations approach This approach to organizational life is concerned with the effects that the dispositions of management, as expressed in the form of organiza- tional structures, rules of conduct, hierarchical systems of authority, working arrangements, etc., may have upon the individual employees. Among the contributors to the school of thought who emphasize the importance of the individual are Mayo, Maslow, McGregor, Herzberg and Argyris, whose theories we have already examined in discussions of motivation and group behaviour. Their value has been to draw atten- tion to the existence and significance of the informal systems of behav- iour and relationships that are not considered in the traditional approach to organizational structure. The systems approach Chronologically, the theories that belong to this group are more recent in origin. The emphasis of the approach is upon the inter- actions between the different elements of an organization – the people, the structure, the technology and the environment – which could be seen as a response to the greatly increased pressures upon organiza- tions and their employees in recent years as a result of the very rapid changes in political, technological, economic and social environments. Chapter 3 Organizations 47 The studies of coal mining made by the social scientists of the Tavistock Institute and the conclusions that they reached about the impact of the task upon group behaviour have already been mentioned. Strongly advocating the view that an organization is a complex of interacting variables, this group has produced two important ideas: 1 The concept of the sociotechnical system: this implies that an organization is a combination of two systems: the technology (the tasks, the equipment and working arrangements) and the social system (the interpersonal relationships of employees). The two systems are in constant interaction and each influ- ences the other. 2 The open-system model: the essence of this idea is that organiza- tions import resources and information from the environment, which are processed within the organization and then exported to the environment in the form of products or services. The significance of these ideas lies in their emphasis on the organiza- tion’s dependence on its environment and on the need to design organizations that take full account of the sociotechnical system. A well-known example of the systems approach to organizational studies is Likert’s theory of overlapping groups and linking pins, the main theses of which are: 1 The significant environment for a group is composed of other groups. 2 Groups are linked to their environment by people holding key positions and being members of more than one group (e.g. the Head of Department who is also a member of the Organizational Management Committee). The total system comprises three levels – society as a whole, organiza- tions of similar function, and subgroups within a larger system – which are connected by people in key positions, acting as linking pins. Likert’s model emphasizes the importance and the possibly far-reaching consequences of relationships and dependencies. A theory that is very similar to Likert’s in concept, but adds a further important idea, has been developed by Kahn and colleagues. On the basis of Weber’s view that organizations should be regarded as a hier- archy of offices and the behaviour of office holders as roles, Kahn pro- poses that all those with whom office holders have contacts can be described as their role sets. In this way an organization can be regarded as a complex of overlapping role sets. The model is useful for analysing organizational problems of relationships and integration. For example, 48 Essentials of human resource management Chapter 3 there may be role conflict because members of the role set have differ- ent views about the ways role holders should behave; role ambiguity may arise if office holders are not given adequate information to perform their roles; office holders may experience role stress when members of their role set have different expectations of their behav- iour, as often happens to supervisors when dealing with the expec- tations of management on the one hand and those of their subordinates on the other. The systems approach to organizational study has made a particul- arly valuable contribution in emphasizing the possible extents of influ- ence, what Rosemary Stewart (1972) has called ‘the concept of boundaries’. For example, in studying an organization, we need to think beyond the internal confines of the organization’s immediate environment and consider the clientele that it exists to serve and its general social environment. This idea is closely related to the model developed by Blau and Scott (1963), who proposed that an organiza- tion’s survival and growth depends on its ability to clarify its purpose and to be aware of its beneficiaries. On this basis they propose four categories of organizations: 1 Mutual benefit associations – serving their own members (e.g. unions, political, professional and religious groups). 2 Businesses – serving their owners, shareholders and the gen- eral public. 3 Services – serving particular clients (e.g. hospitals, schools). 4 Commonweal associations – serving the public at large (e.g. police, fire, welfare services, governmental departments). Contingency studies In recent times, there have been developments in organizational research which are different in approach from, but related to, the structural and systems approaches. The authors of these studies have in common that they are especially concerned with current problems faced by organizations, such as the suitability of structures for different organizational purposes, their capacity to adapt to their environment in times of considerable instability and the organizational designs likely to be most effective for various situations. Unlike traditional struc- tural theories, this research has usually been very practical and carried out at work sites over long periods of time by means of direct observation and questioning. The authors are concerned with what organizations Chapter 3 Organizations 49 are really like and what they need to do to be effective, rather than what they seem superficially to be. In the 1950s, Joan Woodward carried out detailed research of a wide variety of firms in Essex with reference to certain characteristics, e.g. the number of levels of authority, the span of control, definitions of respon- sibilities, communication patterns and divisions of labour, and the effects that environmental variables such as technology have upon them (Woodward, 1965). Three types of production technologies were distinguished: 1 Unit and small batch, including self-contained units making products for customer specifications. 2 Large batch and mass, where the technology is characterized by mass production. 3 Process, in which the technology is directed towards an inter- mittent or continuous flow production, e.g. of chemicals or food. When the types of internal organizational variables mentioned above were examined, relative to the three categories of factories, it was found that there was a direct relationship between these and the tech- nological processes employed. The main conclusions drawn from these studies were: 1 Variables in the environment, and especially technology, should be a fundamental factor in organizational design. 2 It is inadvisable to think of organization design in terms of universally applicable principles. A sociologist, Burns, collaborated with a psychologist, Stalker, in a simil- arly important on-site study of manufacturing firms in Scotland (Burns and Stalker, 1961). They were particularly interested in problems of introducing modern electronic technology into traditional organiza- tions. As a result of these studies, the authors have produced a well-known model based on the difficulties that different firms experienced in adapt- ing to change. They propose a continuum of organizational structures, with what they describe as ‘mechanistic’ and ‘organic’ types of organiza- tion at the extremes. The ‘mechanistic’ organization is typical of Weber’s bureaucracy in structure, and works satisfactorily in stable conditions. In unstable conditions, such as those of rapid technological change, the ‘organic’ type of organization has much more flexibility. Its signifi- cant differences compared with the traditional organization are these: 1 Functions and duties are not enshrined in organizational charts. 50 Essentials of human resource management Chapter 3 2 Interactions and communication are not restricted by a hier- archical structure of authority, but depend on the specialist requirements of the situation. 3 There is continuous readjustment to meet changing circumstances. The impact of technology on organizations has produced opportunities to change the nature of the employment relationship. Changes to size, reporting relationships and contractual relationships are well summa- rized by the idea of ‘post-Fordism’ – a post assembly-line, lean produc- tion approach, which provides a modern version of Woodward’s theory (Table 3.1). A major study typical of the contingency approach has been produced by Lawrence and Lorsch (1967), based on the work of Woodward and Burns and Stalker. These authors studied ten firms from three differ- ent industries in terms of different rates of technological change and the influence of different elements in the environment. They analysed the internal structures of these firms according to two dimensions: 1 The differentiation of different functional departments (dif- ferences in objectives, time allocation, interpersonal relation- ships, etc.). Table 3.1 Changes resulting from the impact of technology From To Technology Fixed dedicated machines Microelectronically controlled multipurpose Vertically integrated operation Subcontracting Mass production Batch production Products For a mass consumer market Diverse production Relatively cheap High quality Labour process Fragmented Task flexible Little discretion Some autonomy Hierarchical authority and Group control technical control Contracts Collectively negotiated rate for job Individual pay for performance Relatively secure Secure for core workers not for contingent workforce Source: Ward (1990) Chapter 3 Organizations 51 2 Integration (the degree of interdepartmental coordination, col- laboration and relationships). Then they analysed the relationships between differences in external environments and differences in internal environments. They found that the internal variables have a complex relationship with each other and with the external variables. In contingency terms, their findings may be summarized as follows: 1 In an unstable and varied environment, the organization needs to be relatively unstructured. 2 In a stable and uniform environment, a more rigid structure is appropriate. 3 If the external environment is very varied and the internal struc- ture is highly differentiated, positive measures need to be taken to ensure integration. There is a clear similarity in the data from all these contingency stud- ies. These show that organizational effectiveness is greatly influenced by the degree of harmony between the internal and external environ- ments of organizations, and this is a fundamental factor to be taken into account in their design. A great deal of contemporary research into organizations is con- cerned to explain the variety of new organization forms, caused by moves away from large bureaucracy, as the most common type, towards fed- eral structures, matrix forms, smaller collegiate structures, flatter organ- izations and structures which change rapidly in response to market demands. Matrix structures are much more important in modern organ- izations. These come in a variety of forms. In the ‘overlay’ form, the person remains largely within the project, e.g. an accountant who has a dotted line relationship to the functional boss, but a day-by-day reporting responsibility to a project or unit manager. Projects/units Functions Figure 3.1 An example of a matrix structure 52 Essentials of human resource management Chapter 3 In the ‘coordination form’, people work within many projects, and the work is coordinated by project managers (who may also be functional managers). The ‘either/or form’ has people working on short-term proj- ects within the project teams, but moving on to new projects on comple- tion of their role (e.g. software specialists). Postmodernist explanations are partly a consequence of new tech- nologies which can offer customers flexible specialization (customizing products from a standard range) and stronger lateral rather than hier- archical relationships for organization members, who network and who work in many different teams. The organization subunits now often have considerable autonomy, and there is a return to semiautonomous work groups as the centre of customer relations or product output. Taking these trends, together with cost-conscious delayered organiza- tions, we have what Peters and Waterman (1982) described as simulta- neous ‘tight-loose’ properties of organizations. There is a realization that earlier attempts to explain organizations as simply an outcome of rational economic design decisions were inade- quate. A variety of institutional and power pressures clearly affect organ- ization behaviour and structure. Agency theory takes the perspective of the stakeholders which acknowledges that, for example, managers do not always behave in the interests of the owners, but have their own agendas and power relationships. The degree of change experienced by modern organizations has also been seen as a consequence of the impact of economic and social forces on organizations. This ‘institutional’ perspective sees behaviour and orga- nizational choice from a somewhat deterministic viewpoint. For example, Oliver Williamson, an economist, argues that there are two alternative ways in which activities can be organized: as hierarchies (bureaucracies), or as markets. Using transaction costs as the basic unit of analysis he demonstrated that, with the additional behavioural assumptions that managers act with bounded rationality and try to minimize opportunism among organization members, all forms of organization action could be viewed as contractual relations. The notion of the ‘internal market’ was well illustrated by the reorganized National Health Service, which was changed from a bureaucracy into a market-driven range of transactions, with consequences for organization structures (greater autonomy for general practitioners, ‘foundation’ status for hospitals and the like). Strategy and organization structure The relationship between strategy and structure can be illustrated by the way the organization of today has to move beyond the old bureaucratic Chapter 3 Organizations 53 formula, to be adaptive and to serve many different markets, while main- taining systems of integration which permit economies of scale, and an organization direction and control over marketing in an increasingly global context. The bureaucratic organization form still persists, but is altered in shape and size. Structures are now ‘flatter’ with fewer levels in the hier- archy, as a consequence of which reward systems have often been ‘broad banded’ and there is more flexibility in tasks. Many organizations also see benefits in reducing the size of the ‘Head Office’ or top echelon in man- agement. This means divisionalized structures and smaller business units within the larger conglomerate can be managed and run nearer to the customers and the suppliers. At the same time, the spate of takeovers and mergers which has seen integration in many industries – including phar- maceuticals, car manufacturing, financial services and retail, for example – means ownership itself is less significant to the individual employee. Off- shoring and outsourcing have also created a new contractual approach to the different parts of the organization which hangs together (or not) through interconnecting contracts and mutual interest. Many of these changes were foreseen by Ashkenas et al. (1995) in their idea of the ‘Boundaryless Organization’. They describe the new success factors for organizations, which are shown in Figure 3.2. They go on to describe what is now becoming more common, a process driven organization with a strong internal alignment to objec- tives and the corporate vision without ‘fiefdoms’ and organizational silos. They also see the boundaries between the organization and the environment as more permeable with ‘free movement along the value chain’, where information, accounting and measurement are shared and customer and supplier relationships are aligned with integrated structures and processes. Networks are becoming more common. These can have marketing purposes (e.g. Lufthansa’s ‘Star Alliance’, British Airways’ ‘One World’), or even human resource management purposes, e.g. the Greater London Alcohol and Drug Alliance of Old success factors New success factors Size Speed Role clarity Flexibility Specialization Integration Control Innovation Figure 3.2 The shifting paradigm for organizational success. (From The Boundaryless Organization,Ashkenas et al., 1995, reprinted with permission of John Wiley) 54 Essentials of human resource management Chapter 3 organizations which produced an HR strategy for hospitals, charities, and the various not-for-profit organizations established to fight addic- tion in the capital. One could see signs of the postmodern approach to structures in the flexible network. However, the need for new organizational forms and the agile approach this requires is a response to broader changes in the business environment. Better use of people has become essential because of the high cost of employment as a proportion of total costs, especially as we move towards the knowledge based economy in the developed countries. The Internet means trading for all is global, and products or services are more likely to be tailored to the customer’s needs. It is said that instead of selling millions of products to thousands of customers we are now selling thousands of products to millions of customers. Organization culture is being seen increasingly as the ‘glue’ which holds companies together in a world of fragmented and networked structures. Small, entrepreneurial organizations are often admired even after the end of the Internet company boom, and even a company such as Amazon.com, set up by an ex New York banker, was created in a ‘garage’ to give the impression that it was a new start-up on the same lines as Hewlett Packard. Companies such as ‘innocent Drinks’ also demon- strate how small is still beautiful (Clapperton, 2005). For HRM, there is a strong link between brand values and the values sought among employees, and a link between brands and talent man- agement: e.g. brands are a centre for talent management in companies such as L’Oréal, which is seen as a critical role for all HR managers nowadays. The philosophy of management or the culture is seen as more significant than the structure in this type of company. A simple statement from a Master Baker in the UK sums up the issue: Once you try to generate passion through the management structure, you end up with people just doing a job. The significance of this strategic shift in HRM is discussed in the next part of the book. Conclusion Research data have produced the following general conclusions about organizational behaviour and management’s responsibilities (Figure 3.3): 1 Managers need to be aware of the general nature of organiza- tions, and especially of the complexity of the interactions Chapter 3 Organizations 55 Postmodernist Structural Human relations Systems Contingency and institutional studies school approach approach approaches (opposite approaches) This group is This group This group This group is Institutional ideas deal concerned with emphasizes the emphasizes the concerned with with the questions types and rationale effects of managerial importance of the suitability of of whether new of organizational behaviour on working interaction structures for organizational forms are structures and raises life and especially on between organizational a result of economic important questions motivation: the organizational functions and and social changes. of authority-legitimacy, importance of variables: people, technology and ‘Postmodernist’ e.g. Weber’s three informal systems of structure, with capacity to approaches stress the authority categories: behaviour below the technology, adapt to the move from rational surface of the formal external environment and towards other criteria charismatic organizational environment. change. Data are for organization traditional system. derived from structures. Institutional rational-legal Important on-site study. theorists see specific The main influences contributors are: Etzioni’s three types forms of rationality are Mayo, Maslow, Important of organization and Tavistock Institute: underlying action Herzberg, McGregor contributors are: corresponding caused by economic and Argyris sociotechnical individual involvement: Woodward forces. theory Burns and coercive: alienative Likert: link-pin Postmodern theory: Stalker utilitarian: calculative theory Lawrence and Kenneth Gergen normative: moral Kahn: role-set Lorsch Gareth Morgan theory Institutional theory: Oliver Williamson Conclusions Awareness of organizational complexity, the interrelationship of component elements and the existence and influence of informal system is fundamentally important Organizations must be specifically designed to suit particular functions Design should facilitate integration of component groups A general atmosphere of trust needs to be established for organizations to function effectively Organizations need to develop a capacity for self-analysis (e.g. organizational development) Organization form changes rapidly and in response to non-rational dynamics Organizations are determined by economic and social conditions Action in organizations can be measured in terms of transaction costs Figure 3.3 Summary of studies of organizations between the organization’s component elements and between an organization and elements in the external environment. 2 Managers need to be aware of the existence and significance of informal systems and their relationships with formal sys- tems in the organization. 3 No universal principles should be assumed in the design of organizations, which should be tailor-made to take account of 56 Essentials of human resource management Chapter 3 interactions between internal and external variables. The predominant technology is a fundamentally important factor affecting design. 4 The design should encourage the maximum possible integra- tion of groups and prevent intragroup and intergroup con- flict as far as possible. 5 A general atmosphere of trust and openness has to be estab- lished, whereby clearly defined objectives are communicated to all employees, and the psychological contract (what the organization can give and what it expects) should be clarified. 6 Finally, in order to survive and grow, organizations need to develop a capacity for self-analysis, whereby diagnosis is pos- sible, and solutions may be proposed. In this connection, the emergence and application in recent years of the idea of organ- ization development (OD) is particularly promising. The essen- tial objectives of OD are: (a) to help organizations to become much more aware of their own structures and of their internal and external relationships. (b) to become more adaptive to change, often in combin- ation with management development strategies. (c) to programme a process of continued self-analysis as an integral element of organizational life and to use appro- priate knowledge and techniques from the social sciences to create new cultures, structures and styles of working. Organization development requires the employment of external or internal consultants on a long-term basis to fulfil a catalytic function in helping managers at all levels to achieve the objectives described above. Questions 1 What different kinds of categories of organizational theory can be distinguished and what are the distinctive features of each? 2 Describe briefly the essential features of the theories of the following authors: Weber, Etzioni, Likert, Kahn, Burns and Stalker. 3 Summarize the main conclusions about organization design and behaviour that have emerged from studies of organizations. 4 What is organizational development and what are its principal objectives? Chapter 3 Organizations 57 References Ashkenas, R., Ulrich, D., Jich, T. and Kerr, S. (1995). The Boundaryless Organisation. Jossey Bass. Blau, P.M. and Scott, W.R. (1963). Formal Organisations: a comparative Approach. Routledge and Kegan Page. Burns, T. and Stalker, G.M. (1961). The Management of Innovation. Tavistock. Clapperton, G. (ed) (2005). Britain’s Top Employers. Guardian Books. Hatch, M.J. (1997). Organization Theory. Oxford University Press. Lawrence, P.R. and Lorsch, J.W. (1967). Organisation and Environment: Managing Differ- entiation and Integration. Harvard. Legge, K. (1995). Human Resource Management Rhetoric and Realities. Macmillan. Parkinson, C.N. (1958). Parkinson’s Law. Penguin Books. Peters, J.J. and Waterman, R.H. (1982). In Search of Excellence: Lessons from America’s Best Run Companies. Harper and Row. Stewart, R. (1972). The Reality of Organizations. Penguin. Ward, A. (1990). The future of work. In Anderson and Ricci, (eds). Society and Social Science. Open University Press. Weber, M. (1947). The Theory of Social and Economic Organisation. The Free Press. Woodward, J. (1965). Industrial Organisation: Theory and Practice. Oxford University Press. Further reading for Part One Argyle, M. (1967). The Psychology of Interpersonal Behaviour. Penguin. Argyle, M. (1974). The Social Psychology of Work. Penguin. Child, J. (1977). Organizations. Harper and Row. Dawson, S. (1986). Analysing Organizations. Macmillan. De Board, R. (1978). The Psychoanalysis of Organizations. Tavistock Publications. Evans, P. (1975). Motivation. Methuen. Gahagan, J. (1975). Interpersonal and Group Behaviour. Methuen. Gibb, C. (1969). Leadership. Penguin. Handy, C. (1985). Understanding Organizations. Penguin. Hatch, M.J. (1997). Organization Theory. Oxford University Press. Kirby, R. and Radford, J. (1976). Individual Differences. Methuen. Lassey, W. (1973). Leadership and Social Change. University Associates. Legge, K. (1995). Human Resource Management Rhetoric and Realities. Macmillan. Murrell, H. (1976). Motivation at Work. Methuen. Porter, L. and Roberts, K. (1977). Communication in Organizations. Penguin. Pugh, D. (1971). Organization Theory. Penguin. Radford, J. and Kirby, R. (1975). The Person in Psychology. Methuen. Reed, M. and Hughes, M. (1992). Rethinking Organisations. Sage. Reich, B. and Adcock, C. (1976). Values, Attitudes and Behaviour Change. Methuen. Schein, E. (1970). Organization Psychology. Prentice-Hall. Silverman, D. (1970). The Theory of Organizations. Heinemann. Stewart, R. (1972). The Reality of Organizations. Penguin. Vernon, M.D. (1971). The Psychology of Perception. Penguin. Vroom, V. and Deci, E. (1974). Management and Motivation. Penguin.