Name: Sarim Malik
Management Major Essay
A woman claimed 60,900 $ from centerlink. She earned a total of 264,000 $, but she only declared 76,600$ to centerlink & was taking 68,000 $ for single parenting. Documents tendered to Wollongong Local Court said the 40-year-old told Centerlink her gross pay for that time period was $76,600 – an under-declaration of almost $190,000. In a statement made to court she said that she did this because she was suffering from financial hardship.
The management problem was that there were no rules and regulations, no one was doing their job the way they needed to do. They never verified the information provided by the woman and gave her the money. I also noticed that there were no consequences for the person who made such a huge mistake. So, the management problem was that there was no rule and regulations.
Problems like this can be solved with the theory that Weber bought to the world which is known as WEBER and BUREAUCRACY. Max Weber considers the structure of offices and management of organizations both public and private. He tries to construct a stereotype of these organizations through the use of a set of characteristics that he deems should be possessed by such groups.
Bureaucracy is a personnel and administrative structure of an organization. Business, labour, religious, educational, and governmental systems depend on a large workforce arranged in a hierarchy to carry out specialized tasks based on internal rules and procedures. The term is used mostly in referring to government administration, especially regarding officials in the federal government and civil service. It is often used derogatorily to suggest waste, inefficiency, and red tape. (Microsoft Encarta, 2009).
The term ‘bureaucracy’ has been widely used with invidious connotations directed
at government and business. Bureaucracy is an administrative system designed to accomplish large-scale administrative tasks by systematically coordinating the work of many individuals. Weber has observed three types of power in organisations: traditional, charismatic and rational-legal or bureaucratic. He has emphasized that bureaucratic type of power is the ideal one. (Smriti Chand, 2010)
Primarily prescriptive in nature, Weber’s writings strike an interesting contrast with
the practitioner-oriented recommendations offered by Taylor
and Fayol. Weber’s major contribution was an outline of the characteristics of what he termed “bureaucracy,” that is, government by bureaus (German Buro, 1979).
Max Weber saw it as a far better solution for structuring than the traditional ones. In a bureaucracy, everyone is treated equal and the division of labour is clearly described for each employee.
Before we further deep dive into this theory by Max Weber, let us take a look at the meaning and definition of bureaucracy – Bureaucracy is an organizational structure that is characterized by many rules, standardized processes, procedures and requirements, number of desks...