Lecture 1. What is organization theory? (McAuley et al. chapters 1 and 2 (pp. 1-48))
Definition organizations:
- Organizations are social entities created and sustained by collective human interaction.
Organizations enable people to achieve objectives and satisfy needs that could not be
attained or satisfied through the efforts of individuals alone. For the achievement of goals or
explicit purposes.
Organization exists at different levels:
- Micro: small group, classroom
- Mezzo: school, company
- Macro: society
Forms of organization:
- Formal/informal
- Institutionalized
- Ad hoc/temporary
Definitions theory:
- Theories help describe and understand what has happened as well as predict what will
happen in different circumstances.
- Are linguistic, conceptual devices that try to tell us things about the world by representing it in
a causal manner. Theories define, classify or categorize aspects of the world.
Definitions organization theory:
- To analyse, explain and influence what goes on in organizations. A system designed for the
attainment of goals.
- Organization theory is the total body of knowledge to which we can have access in order to
develop our understanding of and knowledge about organizations. Within this body of
knowledge exists a number of theories (modernism, critical theory, postmodernism etc.).
Why is organization theory important?
- Helps us to reflect upon and understand who we are and why we are who we are.
- How we interact with others during our encounters in different social contexts.
Organization theory is concerned with three key themes:
- The exploration of single organizations that are understood as systems (systems theory)
- The exploration of the idea that many organizations resemble each other in complex ways
(due to the growth of bureaucracy).
- Interactions between groups of organizations
Aim of organization theory:
- Organization theory contributes to organizations successfully achieving goals (efficacy) with
as little use of its resources as currently feasible (efficiency) or through the effective use of
management and leadership.
Relationship organization theory and human activities:
Organization theories can influence: the creation, maintenance and development of
organizations and the routine practices of their participants: relationships between those
members. Also they whey organization members deploy theory from various sources which
develop the organization.
Post-modernism: there is not enough knowledge, humans make decisions made on
emotions, others and subconscious. A post-modernist doesn’t believe that the
truth is out there.
Modernism: all about theories and research, not about culture
Modernism/neo-modernism: last half of the nineteenth century/ first half of the twentieth century.
1
Course: Organizational Theory
Summary partial test (1-3): Lectures, book & papers
, Philosophical choices:
Ontology and ontological positions (study of existence/ science of being)
Ontology raises questions regarding whether or not a phenomenon we are interested in actually exists
independently of our knowing and perceiving it. It is useful to differentiate between realist and
subjectivist assumptions. The nature of phenomena and their existence
1. Realist assumptions
2. Subjectivist assumptions
The modernist ontology: what modernist believe to be the core of organizations
- Natural and social worlds are ordered (so can individuals, organizations and societies)
- social world in particular can be conducted in a rational, structured manner that is not
dominated by emotion.
Epistemological position (how we know what exists/ science of knowledge)
How we know when some claim about the world is justified. It begs the question; how do we know if
and when the knowledge claims of scientists are warranted?
The modernist epistemology: what modernist believe to be the way in which we know what
the truths are, the facts of organization life
- use scientific techniques to understand and control the ways in which we can make our
organization ordered and systematic.
- Rely on the collection of empirical data that enables us to make decisions in a rational
- way.
- Use systematic devices to understand what is happening in the organization
- Use performance measures and other scientific means to get the best out of people
- Truth is research by rational thought rather than emotion and intuition.
Subjectivist
Assumes that what we perceive is, at least in part, an outcome of us and our conceptual
understanding of the world that we bring to bear in order to make sense of what we experience.
validity of individual experiences.
Positivist (protagonists)
Dominant philosophical stance in modernist and neo-modernist approaches to organization theory.
Positivists assume that there is a point at which an observer can stand back and objectively or
neutrally observe what they understand to be an external reality. Positivists think they can observe
without influencing what they observe. “objective” facts only, observable, measurable.
How ontological and epistemological assumptions are enacted
Modernists: assert that organization culture is built into the organization as a sub-system. It exists
within the organization and members’ behaviours are determined by the culture.
What it means for managers
Positivism is pivotal to management for two reasons:
- Positivism holds the promise of techniques for controlling the world
- The practices are more likely to be authenticated as merely technical activities grounded in
their objective representations of reality.
Key implication subjectivist epistemology:
- The creation of a ‘new sensibility’ that potentially undermines traditional managerial authority.
- Engage managers in new ways of thinking about the very nature of management and design
of the organization.
To understand human phenomena such as organizations the subjective is crucial. It is impossible to
understand organizations and develop theory in a neutral objective sort of way.
2
Course: Organizational Theory
Summary partial test (1-3): Lectures, book & papers
Definition organizations:
- Organizations are social entities created and sustained by collective human interaction.
Organizations enable people to achieve objectives and satisfy needs that could not be
attained or satisfied through the efforts of individuals alone. For the achievement of goals or
explicit purposes.
Organization exists at different levels:
- Micro: small group, classroom
- Mezzo: school, company
- Macro: society
Forms of organization:
- Formal/informal
- Institutionalized
- Ad hoc/temporary
Definitions theory:
- Theories help describe and understand what has happened as well as predict what will
happen in different circumstances.
- Are linguistic, conceptual devices that try to tell us things about the world by representing it in
a causal manner. Theories define, classify or categorize aspects of the world.
Definitions organization theory:
- To analyse, explain and influence what goes on in organizations. A system designed for the
attainment of goals.
- Organization theory is the total body of knowledge to which we can have access in order to
develop our understanding of and knowledge about organizations. Within this body of
knowledge exists a number of theories (modernism, critical theory, postmodernism etc.).
Why is organization theory important?
- Helps us to reflect upon and understand who we are and why we are who we are.
- How we interact with others during our encounters in different social contexts.
Organization theory is concerned with three key themes:
- The exploration of single organizations that are understood as systems (systems theory)
- The exploration of the idea that many organizations resemble each other in complex ways
(due to the growth of bureaucracy).
- Interactions between groups of organizations
Aim of organization theory:
- Organization theory contributes to organizations successfully achieving goals (efficacy) with
as little use of its resources as currently feasible (efficiency) or through the effective use of
management and leadership.
Relationship organization theory and human activities:
Organization theories can influence: the creation, maintenance and development of
organizations and the routine practices of their participants: relationships between those
members. Also they whey organization members deploy theory from various sources which
develop the organization.
Post-modernism: there is not enough knowledge, humans make decisions made on
emotions, others and subconscious. A post-modernist doesn’t believe that the
truth is out there.
Modernism: all about theories and research, not about culture
Modernism/neo-modernism: last half of the nineteenth century/ first half of the twentieth century.
1
Course: Organizational Theory
Summary partial test (1-3): Lectures, book & papers
, Philosophical choices:
Ontology and ontological positions (study of existence/ science of being)
Ontology raises questions regarding whether or not a phenomenon we are interested in actually exists
independently of our knowing and perceiving it. It is useful to differentiate between realist and
subjectivist assumptions. The nature of phenomena and their existence
1. Realist assumptions
2. Subjectivist assumptions
The modernist ontology: what modernist believe to be the core of organizations
- Natural and social worlds are ordered (so can individuals, organizations and societies)
- social world in particular can be conducted in a rational, structured manner that is not
dominated by emotion.
Epistemological position (how we know what exists/ science of knowledge)
How we know when some claim about the world is justified. It begs the question; how do we know if
and when the knowledge claims of scientists are warranted?
The modernist epistemology: what modernist believe to be the way in which we know what
the truths are, the facts of organization life
- use scientific techniques to understand and control the ways in which we can make our
organization ordered and systematic.
- Rely on the collection of empirical data that enables us to make decisions in a rational
- way.
- Use systematic devices to understand what is happening in the organization
- Use performance measures and other scientific means to get the best out of people
- Truth is research by rational thought rather than emotion and intuition.
Subjectivist
Assumes that what we perceive is, at least in part, an outcome of us and our conceptual
understanding of the world that we bring to bear in order to make sense of what we experience.
validity of individual experiences.
Positivist (protagonists)
Dominant philosophical stance in modernist and neo-modernist approaches to organization theory.
Positivists assume that there is a point at which an observer can stand back and objectively or
neutrally observe what they understand to be an external reality. Positivists think they can observe
without influencing what they observe. “objective” facts only, observable, measurable.
How ontological and epistemological assumptions are enacted
Modernists: assert that organization culture is built into the organization as a sub-system. It exists
within the organization and members’ behaviours are determined by the culture.
What it means for managers
Positivism is pivotal to management for two reasons:
- Positivism holds the promise of techniques for controlling the world
- The practices are more likely to be authenticated as merely technical activities grounded in
their objective representations of reality.
Key implication subjectivist epistemology:
- The creation of a ‘new sensibility’ that potentially undermines traditional managerial authority.
- Engage managers in new ways of thinking about the very nature of management and design
of the organization.
To understand human phenomena such as organizations the subjective is crucial. It is impossible to
understand organizations and develop theory in a neutral objective sort of way.
2
Course: Organizational Theory
Summary partial test (1-3): Lectures, book & papers
