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Chester Barnard

Chester Barnard made several important contributions to the field of management. He analyzed management as a social system and examined the roles and tasks of executives within that system. Some of his major concepts included defining the key elements of an organization, distinguishing between formal and informal organization structures, and proposing that authority comes from employees' willingness to accept orders rather than being imposed from above. He also identified three main functions of executives as maintaining communications, securing employee services, and formulating organizational purpose. Barnard emphasized non-financial motivators for employees and the importance of leadership and organizational equilibrium between individual and group needs.

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0% found this document useful (0 votes)
989 views1 page

Chester Barnard

Chester Barnard made several important contributions to the field of management. He analyzed management as a social system and examined the roles and tasks of executives within that system. Some of his major concepts included defining the key elements of an organization, distinguishing between formal and informal organization structures, and proposing that authority comes from employees' willingness to accept orders rather than being imposed from above. He also identified three main functions of executives as maintaining communications, securing employee services, and formulating organizational purpose. Barnard emphasized non-financial motivators for employees and the importance of leadership and organizational equilibrium between individual and group needs.

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anishjohna
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Chester Barnard’s contribution to management is important.

His book ‘The Functions of the


Executive’ is the most influential book on the management during the pre-modern management
era. He analyzed management as a social system. His analysis of the executives based on the
major tasks in the system in which they operate. He also stated the co-operative social system.
He also found non-logical factors influencing human behaviour in the organization.
The major contributions of Chester Barnard is as follows:

1. Concept of Organization: According to Barnard, an organization exists when the following three


conditions are fulfilled. a) there are persons able to communicate with each other b) they are
willing to contribute to the action and c) they are willing to accomplish a common purpose.

2. Formal and informal organizations: There can be two types of organizations. They are formal
and informal. In the formal organization there are co-ordinated interaction, which are deliberate
and have common object. On the other hand the informal organization refers to those social
interactions, which do not have deliberate joint object. Informal organizations overcome the
problems of formal organization. Both the formal and informal organizations depend on each
other and there is continuous interaction between the two.

3. Elements of Organization: Barnard had suggested four elements of a formal organization. They


are a) a system of fictionalization (specialization) b) a system of effective and efficient incentives
c) a system of power to accept the decision of the executives d) a system of logical decision-
making.

4. Authority: in the classical view authority comes from the top. Bernard has given a new concept
of authority, which is called ‘Acceptance Theory of Authority’ or ‘Bottom-up authority’.
In his opinion person should obey an order not because it has given by the superior but he will
take it as a communication. This is possible only when
i.  he can understand the communication
ii. he believes that it is not contradictory with the organizational purpose
iii. it is compatible with his personal interest as a whole and
iv. he is mentally and physically able to obey with it.

5. Functions of the executives: According to Barnard there are three types of functions, which an
executive performs. They are a) maintenance of organization communication through a system
of organization b) the securing of essential services from individuals in the organizations to
achieve organizational purpose c) the formulation and definition of organizational purpose.

6. Motivation: Apart from financial incentives Barnard has suggested a number of non-financial


techniques for motivating people. They are opportunity of power and distinction, pride of
workmanship, pleasant organization participation, mutual supporting personal attitudes, feeling of
belongings, etc.

7. Executive Effectiveness: Responsible leadership is required to make the executive effective.


Leadership is the most strategic factor in securing co-operation from the people. Executive
leadership demands high caliber, technological competence and social skills. It should be above
personal preference and prejudices.

8. Organizational Equilibrium: This means the matching of the individual efforts and


organizational efforts to satisfy individuals. The organization must afford satisfaction to
individuals. This requires the equilibrium in the organization.

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