ABSTRACT

This chapter focuses on the nature of staff activities and the theories of organization held by Milo's top managers. Milo's formal organization chart lumps together the group of 226 with over 100 of the marginal members. The latter are indistinguishable from the 93 salaried first-line foremen with whom they are included at the bottom of the chart. The chart shows some anomalies. Milo's managerial blueprint is incomplete without some comment on the assumptions of staff theorists responsible for the formal chart. The Auditing Department, a staff group directly accountable to the Office, is represented at the upper left of the chart. In the Auditing Staff, the sub departments, "Inventory Control," "Cost Analysis," "Record Storage," and so on are "control" bodies. Milo industrial engineers theorized around three models of administrative organization, "straight-line," "functional" and "staff-line". The "functional" plan of organization is thought to escape many of these evils by allowing the greatest possible specialization.