Bureaucracy Vs Decentralised Power

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A bureaucracy is a systematic organisational structure that is hierarchical and rigid which focusses on centralised power. This centralised power provides the organisation with the authority to direct and control employees via an autocratic leadership style. Each employee specialises in an area, however, this specialisation can actually de-skill employees. In contrast, a post-bureaucracy employs a horizontal structure with decentralised power which enables employee empowerment (Clegg et al. 2011). This essay will argue that postbureaucracies are better at delivering change and innovation. In the first section, by using the readings of Barker (1993), Dimitroff et al (2005) and Clegg et al (2011), I will discuss the use of concertive control …show more content…
According to Burns and Stalker (cited in Josserand et al. 2006), post-bureaucracies operate a ‘softer internalised control’. This soft power creates an open and embracing organisation which allows staff to effectively contribute and adapt to changes and innovations. For example, StateCorp’s successful change to a more corporate and commercial business was made possible with a transition from a strict bureaucratic structure to a flatter, more decentralised one. StateCorp encouraged greater communication between general managers and line managers during their meetings (Josserand et al. 2006) with line manager contributions contributing to company strategy. Further, they were given the power to make more decisions. This new empowerment meant individuals were more greatly involved in the organisation’s change process and because of this, changes and innovations were delivered more …show more content…
According to Birkinshaw et al. (2004), ambidexterity is an important factor that can determine if an organisation will continue operating. Ambidexterity embodies adaptability, the organisation’s ability to respond to opportunities and alignment, the coordination of processes involved to achieve value over a short term. In 1998, TSB placed its focus on aligning with the return on equity and neglected the adaptability side of customer needs. This negligence led to TSB’s loss of 60% of its market share. However, in a large computer company, a sales manager became aware of a new need through communicating with clients and developed a specific business case (Birkinshaw et al 2004). This communication allowed the organisation to satisfy the customers and develop a closer relationship with their stakeholders..
In conclusion, post-bureaucracies are a more appropriate method in delivering innovation and change into organisations. Systematic bureaucracy may be able to deliver change through coercive control which can stimulate efficiency and production. However, generally they see change as undesirable and allow it only through strict systems which may hamper innovation. On the other hand, post-bureaucracies provide a more efficient and softer method to change and innovate. They use of employee empowerment or ‘concertive’

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