Session 05: Forms of Organizing

Topics

The past few weeks we examined both rational and natural views of how individual action determines organizations. Beginning this week we take a more macro organizational-level perspective of alternative forms of organizing. In particular, we focus on four basic forms of organizing: hierarchy, market, network, and community. Much of the literature in organization theory over the years has focused on comparative assessments of these four types of organizing, and the conditions when each is appropriate. In your integrative assessment of these papers, think of preparing one argument that explains when and why organize activities via hierarchies? markets? networks? and communities?

• Prof. Van de Ven’s class slides

• Michael and Cameron Discussion Slides

Required Readings

• • Max Weber on bureaucracy elements (pp 73-78 in Shafritz, Ott & Jang 6th ed.,2005) and legitimate authority (pp 15-29 in Pugh (ed.) Organization Theory.

  • Ouchi (1980) “Markets, bureaucracies, and clans,” ASQ, 25: 129-141

  • Williamson (1994) “Transaction Cost Economics & Organizational Theory” in Smedel and Swedberg (Eds.) Handbook of Economic Sociology Princeton Univ. Press 77-107.

  • Powell (1990) “Neither market nor hierarchy: Network forms of organization,” in Staw & Cummings, ROB, 12: 295-336.

  • Van Maanen & Barley (1984) “Occupational communities: Culture and control in organizations,” in L.L. Cummings & B.M. Staw (Eds.), Research in Organizational Behavior, 6: 287-365.

  • Makadok & Coff (2010), “Both market and hierarchy: An incentive-system theory of hybrid governance forms” AMR, 34: 297-319.

Supplementary Readings

• • Scott & Davis (2007) Chpts. 13 & 14, pp. 340-390.

  • Merton (1957), Bureaucratic Structure and Personality, chpt 10 in Shafritz et al 2005, pp. 103-111

  • Gouldner (1920-1980) “Patterns of Industrial Bureaucracy,” (1954). Download excerpt on the gypsum plant from http://www.analytictech.com/mb119/gouldner.htm

  • Haveman (2009) “The Columbia School and the study of bureaucracy,” Chpt. 26, pp. 585-606 in Adler op. cit.

  • Stinchcombe, (1965) “Social structure and organizations,” Chpt 4 in March (Ed.) Handbook of Organizations, Chicago, Rand McNally, 142-193.

  • Perrow (2002) “Organizing America: Wealth, power, and origins of corporate capitalism,” Princeton, Chpts. 1-2 and appendix.

  • Adler & Borys (1996) “Two types of bureaucracy: Enabling and coercive,” ASQ, 41: 61-89.

  • Lounsbury & Ventresca (2002) “Social structure and organizations revisited,” Vol. 19, pp. 3-36.

  • Chandler (1990) “Scale and Scope: The dynamics of industrial capitalism,” Harvard Press, pp. 1-13 and 593-628.

  • Williamson (1975) Markets and Hierarchies, NY: Free Press.

  • Walker & Weber (1984) “A Transaction Cost Approach to Make-or-Buy Decisions,” ASQ, 28: 373-391.

  • Nohria (1992) Is a network perspective useful for studying orgs? In Nohria & Eccles (1992) Networks and Organizations, HBS Press, Chpt. 1, pp 1-22.

  • Kunda, Barley, & Evans (2002) “Why do Contractors Contract? The experience of highly skilled technical professionals in a contingent labor market,” ILRR, 55, 21: 234-261.

  • McEvily, Perrone, Zaheer (2003) “Trust as an Organizing Principle,” OS, 14, 1: 91-103.

  • Granovetter (1994) “Business Groups” in Smelser & Swedberg Handbook of Economic Sociology, chpt 18, pp. 453-475.

  • Williamson (1996) “Economics and organization: A primer,” California Management Review, 38, 2: 131-146.

  • Adler & Heckscher (2006) “Towards Collaborative Community” in The Firm as a Collaborative Community, Oxford, pp 11-105.

  • Background: Read about Ferdinand Toennies on Gemeinschaft and Gesellschaft