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Leading & Managing Holistically >Part 4 >Chapter 11 >Step 1: Universal Perspectives on Organization Design

[Solution] Step 1: Universal Perspectives on Organization Design

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Author: Emily Carter

Models of Organization Design

Models of organization design arose from universal perspectives on management. Two such models, the bureaucratic model and the behavioral model, have been especially influential.

Bureaucratic Model

The bureaucratic model of organizations was developed by Max Weber around the turn of the twentieth century. Weber's bureaucracy is based on a formal system of authority and is logical and efficient. Ideally, a bureaucracy has five characteristics:

  • A clear division of labor, with each position filled by an expert
  • A consistent set of rules so that tasks are done the same way each time
  • A hierarchy of positions that creates a chain of command from top to bottom
  • Managers who do business in an impersonal way and maintain social distance between themselves and subordinates
  • Employment and advancement in the organization based on technical expertise, not arbitrary criteria

While in everyday speech, the term bureaucracy has taken on connotations of inefficiency, in discussions of organization design, a bureaucratic organization is one that follows Weber's thinking about job roles, responsibilities, and reporting relationships and is intended to be highly efficient.

Weber's Bureaucratic Model Visualized

Formal System of Authority
Division of Labor

Specialized experts

Consistent Rules

Standardized processes

Hierarchy

Clear chain of command

Impersonal Management

Professional distance

Merit-Based Advancement

Technical expertise

Bureaucratic Model: Strengths and Weaknesses

The bureaucratic model offers several advantages:

  • Clear expectations - Employees understand their roles and responsibilities
  • Standardization - Consistent processes lead to predictable outcomes
  • Efficiency - Specialization and clear procedures optimize resource use
  • Fairness - Merit-based hiring and promotion reduce favoritism
  • Accountability - Clear chain of command establishes responsibility

However, the bureaucratic model also has significant limitations:

  • Inflexibility - Strict rules make it difficult to adapt to changing environments
  • Limited employee engagement - Lack of participation reduces motivation and innovation
  • Over-compartmentalization - Specialization can lead to silos and coordination problems
  • Excessive formalization - Rules may become more important than results
  • Slow decision-making - Following hierarchical channels delays responses

Select the correct responses to each of the following questions.

Which of the following are characteristics of the bureaucratic model of organization design? Check all that apply.

  • Hiring and promotion criteria based on technical expertise 
  • Participation of employees at all levels in goal setting 
  • An impersonal management style with clear professional boundaries
  • Rules that enforce consistent execution of tasks 
View Explanation

The characteristics of the bureaucratic model of organization design include the following:

  • A clear division of labor, with each position filled by an expert
  • A consistent set of rules so that tasks are done the same way each time
  • A hierarchy of positions that creates a chain of command from top to bottom
  • Managers who do business in an impersonal way and maintain social distance between themselves and subordinates
  • Employment and advancement in the organization are based on technical expertise, not arbitrary criteria

The participation of employees at all levels in goal setting is a characteristic of the behavioral model of organization design.

Which of the following are weaknesses of the bureaucratic model? Check all that apply.

  • Employees may struggle with unclear performance expectations. 
  • Group participation is not used to motivate employees. 
  • The organization has difficulty adapting to change. 
View Explanation

One shortcoming of the bureaucratic model is inflexibility when the environment requires change. Also, the organization fails to leverage the motivation and high performance engendered by group participation in decision making.

Employees in a bureaucratic organization usually know exactly what is expected of them.

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