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In the late eighteenth century, industrial revolution brought so many challenges for the organizations for the ways in which work was planned and manage. Most of the organization whether its small or large has its own business principles that lays the foundation of any organization and its all depends on the owner or top level of the organization that how to implement these principles. Any organization is divided into two classes
Non - Bureaucratic Organization
In order to manage activity, Bureaucracy is the combined structure, policies, procedures, protocols and regulations, usually in the large organizations. A bureaucracy does not make policy but, rather, enacts it. Normally a leadership usually generates law, policy and regulation. A bureaucracy is directly liable to the leadership that creates it, such as executive or board of directors.
Definition of Bureaucracy
"** A well - defined division of administrative labour among persons and offices"**
"* Formal and informal networks that connects organizational actors to one another through flows of information and patterns of cooperation**"
(Nicos .M: 2003)
Basically 'Bureau 'is a French word which means desk, an office so bureaucracy is rule through desk or office which in turn is the form of an organization which is based on the research and dispatch of written documents.
Max Weber saw Capitalism as a rational way to manage the activities of an organization that all the decisions made in the good way to organization in the form of profit. So it was the matters of principles that are affected by efficiency which mean that by using the minimum input (resources) produce the maximum output (profit).
(Weber M, Owen S. David, Strong B. T: 2004),
Bureaucracy was characterized by competence, consistency and impersonality. Authority of the officers that should be published rules and codes of practices in writing." In Bureaucracy the structure of organization is a continuous hierarchy where each level is control by the above level. Each level has its own responsibilities and competence clearly defined to them.
So bureaucracy is a traditional style of structure which is followed throughout the organization by the pre defined set of policies and procedures. These are followed by ages and no tend to change.
By Colin Hales (1993) the main weakness of the bureaucratic organization is the resistance to change and sometimes the inappropriate decisions are imposed to the long hierarchy. However according to Nicos P. Mouzelis (1968) "Bureaucratic administration means fundamentally the exercise of control on the basis of knowledge." So in bureaucratic organization there is a proper mechanism of understanding of how to work and manage the operations of organization.
On the other hand, non bureaucratic organization is a form of informal organizational structure which lacks the specific structures, policies, procedures and dimensions of centralization. Basically it suits to the small or medium size of organizations that are new with the wholly centralized control. In this type of an organization the leader is solely responsible for making all the majors decisions of the organization and the subordinates are need to follows that decisions. It has more flexibility in its operation environment
Basically the leader has the command to maintain all the operations of the organization. In this type if structure the best utilization of human resources and motivational level are high by giving them rewards and appreciated by the higher level of management. It is the best structure for those who have started fro scratch for the growth and development of an organization.
Comparison of Bureaucratic and Non Bureaucratic Organisations:
The Style of bureaucratic organization has totally different structure as compare to the non bureaucratic organizations. The bureaucratic style is preferred due to its technical style of administration but for the new and small and medium size organizations no bureaucratic style is most popular.
Here are comparisons between these two:
Bureaucratic style is more suitable for large organization but for new small and medium size organization the non bureaucratic style is more suitable
Utilization of Human resources :
In the non bureaucratic the human resources are more effectively and efficiently used by the organization as compare to the other style.
Creativity and Innovation:
As the non bureaucratic organizations is more flexible environment so the more chances o creativity and innovation is in non bureaucratic as compare to bureaucratic organizations. (Stamm V B: 2008),
In the bureaucratic organizations the control command for operations are distributed while in non bureaucratic there is a centralised command of control for the operations of the organization.
In bureaucratic organizations there is very long chain of command and when the order is given by the higher authority from top to down level it takes more time to communicate while in the non bureaucratic direct orders are given from the higher authority to the subordinates in order to get the spontaneous response. It takes less time and more time to work is devoted.
The level of motivation is very high in non bureaucratic style because the direct orders are given from the top level and more rewards and appreciation is given by higher level to the subordinates directly while in bureaucratic style the top level has rarely communicate directly to the subordinates. (Sapru R.K: 2006)
Non bureaucratic structure is more volatile as compare to the bureaucratic structure.
Communication and policies and procedures:
In bureaucratic there is poor level of communication while in non bureaucratic the level of communication and passing information from top to down is much quicker and faster. However, In bureaucratic style there are written documents of policies and procedures and if any problem comes they can resolve it by using that policies and procedures while it is absent in non bureaucratic organization.
As in bureaucratic organizations there are more policies and procedures which are followed by the employees and they feel no freedom and less motivated environment as compare to on bureaucratic organizations where people are more motivated and more efficient to make the organization more successful.
As discuss earlier that the non bureaucratic organization style is more suitable for small and medium sized organization while for higher or big organizations the bureaucratic style is more suitable. While I have seen that in non bureaucratic style the flexibility of work, communication from top to down and motivational level of the employees are high so they chase easily chase the goal of the organization. However every organization has its own style and structure and it is not easy to decide for a particular organization that which structure is best for them.
After critical analysis I will choose non bureaucratic style because the motivational factor involved in it is the main point for my organization and as motivation brings innovation and creativity in the organization.
As in 1995 Herzberg says
During work the different factors which motivate people and different from those which create dissatisfaction"
**"The factors which are usually involved in doing the job related to job satisfier while the factors which define the job context usually relates the job dissatisfies".**
Advantages and Disadvantages:
Every organization has its own style and every style has its own advantages and disadvantages. So these are as follows:
Advantages of Non-Bureaucratic Organization:
Non bureaucratic organization style is more flexible and easy to adopt the changes in any organization. As the authority has direct communication to the subordinates so the fast communication makes the response quicker and efficient. There is no long chain of command which saves the time and efficient use of human resources at its potential.
Employees are more motivated by rewards and appreciation by the higher authorities directly which bring the innovation and creativity in any organization as the decision and working environmental are more flexible so more quicker to adopt the global changes which keeps the employees more responsive and responsible to chase the organizational objectives.
As there is no long hierarchy so any employee can be given work without any time limit and position burden. So the employees can take their own initiatives and make decision in order to complete the task without waiting the higher authority permission.
Disadvantages of non-Bureaucratic Organization:
The main disadvantage is that the structure is very informal there are not any hard and fast rules, policies and procedures in the written form. There is lack of standardisation so the problems arise in the organization on the same issues cannot be solved so the workforce are involved to put their input to solve the problem.
As the centralisation of command of control make the employees to depend only on the top authority or single person to fulfil the operations or tasks of the organization. However every new small and medium organization will look forward to be expanding in the future so this non-bureaucratic style should be changed into the bureaucratic style in order to handle the tasks and operations of the organization in more effective and efficient way. Due to the absence of proper procedures and policies in the written form sometimes it's very hard for the organization to fulfil the requirements.
According to me the non bureaucratic style has some edge over the traditional bureaucratic style as it is more flexible and easy to adopt changes in this modern style of era. Although every organization has aits own structure according to its requirements and size. Although the non bureaucratic has some disadvantages like lack of standardisation and absence of written policies and procedures but still it is suitable for the small and medium size organizations.
However while choosing the style of an organization it's all depend on the nature and size and the main operations which is carried out by the organization. At the end every non bureaucratic is turn into bureaucratic as it grows and capture more market shares. So in the start of any new business the non bureaucratic style is adopted while it expand than there should be written rules, policies and procedures which should be followed by the employees in order to solve the problems and to attain the major objectives and goals of any organization.
This is a world of changes and future is uncertain so there should be some sort of innovation and creativity in the organization and its workforce should be satisfied with their work level and responsibilities. Thus the main purpose is to purse the organization's objectives and goals whether it is bureaucratic or non bureaucratic in style because both have their own advantages and disadvantages.