ABSTRACT

The purpose of this chapter is to review the significant schools of thought in organization theory. As we observed in the previous chapter, the parable of the six blind wise men of India is a very important conceptual framework to keep in mind when looking at organizations. Organization theory deals with a number of organizational dimensions, organization design (e.g., formal structure), internal functioning (e.g., decision-making, tasks, and human dynamics), and the external environment (e.g., markets, constituencies, and boundary spanning). We will look at organizations from the perspective of the public manager; however, the field of organization theory is inherently interdisciplinary. It incorporates such fields as psychology, sociology, economics, political science, and business administration (Argyris, 1990; Blau and Schoenherr, 1971; Denhardt, 1984; Evan, 1993; Golembiewski, 1985; Katz and Kahn, 1966; Mintzberg, 1983; March and Olsen, 1989; Perrow, 1986; Thompson, 1967; Senge, 1990; Wilson, 1989).