Beauracracy Essay

This essay has a total of 996 words and 5 pages.


There are many alternatives that are used to motivate workers beyond the conventional
bureaucratic ways that was once thought of as the only way to control workers. Since the
1960's we have learned a great deal of information leading to the discovery of
alternatives to bureaucratic organizations. Today, bureaucratic ideas are still widely
used among organizations, however a shift in thinking occurred and the question was asked,
What are the alternatives if bureaucracy it not working in an organization?

Bureaucracies Defined:
According to Max Weber, bureaucracy is the most efficient and most rational known means of
exercising authority over human beings (Weber, p223). Further it is reliable, precise and
stable, these are all terms that are desired for large complex organizations that need to
control vast amounts of employees. Bureaucracy is based on legitimate authority, those
that are being controlled by others; accept oppression as part of the work along. There
are several characteristics that mold a particular organization into following the
bureaucracy model, such as, rules, hierarchy, salaried careers, written documents and
appointment. These characteristics serve as a guideline, or an owner's manual of sorts
that has a preconceived effect for each cause with the organization. Even if bureaucracy
is working to its full capacity within an organization, there can be times when is no
longer efficient to use alone. Bureaucracy is still used within organization but usually
in conjunction with an alternative.

Agency Theory Defined:
The goal of agency theory is getting people to do the best job for the best price and
least amount of risk. One decision is to fill a sales district with representatives called
external or with an employee sales force called internal (Anderson, p 234).

An internal sales force is a company who uses their own employees to sell a product they
have produced. They are employed by the organization and receive a salary, no matter if
the product is successful or not. The externalized labor market consists of independent
contractors who agree to sell the product for the company for this they receive a
commission according to the amount of products sold. Companies who have greater difficulty
in evaluating a salespersons performance are more likely to substitute surveillance for
commission as a control device (Anderson, p 234). Internal sales forces are associated
with complex, hard to learn product lines in which the selling districts expect nonselling

As stated above, direct sales people are employees of the company also called internalized
labor. The major advantage to having this type of labor is that it is easier to control
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