Chester Barnard

Chester I. Barnard (1886-1961) is one of the so-called "transitional period" in the history of organizing thought.

His main achievement was the introduction to the classical faculty of aspects related to human resource management.

In 1927, he assumed the position of Managing Director of the New Jearsy Bell Telephon Company, where he used his professional experience, knowledge of Weber's work and knowledge of philosophy and sociology to develop his own theories, published in 1938 in the book entitled "The Functions of The Executive". In this study, he perceives the organization as a social system that requires cooperation between people.

The most important achievement of Barnard is the theory that the efficient operation and survival of an enterprise depends on the balance and convergence of the goals of the organization and the people working in it. He based his thesis on observations, which showed that people in organizations combine interactive social relations. They form informal, organized groups to achieve goals that they would not be able to achieve separately. Noticing the huge role of informal organizations, and the willingness to meet their own needs by employees resulted in the creation of a theory that only stable and mutually beneficial conditions are possible for longer-lasting work of individuals.

Barnard also described the role of manager in the company as the person responsible for promoting a sense of moral goal among employees, and obliged to make decisions that go beyond self-interest, and also having regard to the well-being and needs of its employees. He also saw the significant role of workers, calling them the basic strategic factor of each organization. He devoted a lot of attention to the cooperation of individuals in groups.

Barnard is also known for his theory in which he proclaimed the need for the managers to constantly study the organization's environment so that they can adapt the organization to changing conditions. The organization's managers, in order to avoid the threat of the existence of an organization, should take care of a constant inflow of supplies and materials, as well as for outlets for their own products.

Barnard's ideas and theories make him a precursor of modern organizing thought. Nowadays, enterprises are more often chosen as the basic unit by self-governing, cooperating working groups, while paying great attention to the flexible adaptation of the organization's strategy to the dynamically changing conditions of the environment.

Examples of Chester Barnard achievements

• Chester Barnard is best known for his book, The Functions of the Executive, published in 1938. This book outlined Barnard's theories on how organizations should be managed and how managers should behave. He argued that effective management requires the coordination of multiple individuals and groups, and that this can be achieved through communication and an understanding of the organization's goals. Barnard believed that a manager must act as a leader, mediator, and coordinator in order to achieve the best organizational results.
• Barnard's theories also include the concept of organizational cooperation, which he argued was essential for any organization to achieve its goals. He argued that cooperation should be voluntary and based on mutual trust in order to be effective. Barnard also emphasized the need for communication between managers and employees, and suggested that organizations should be structured in a way that allows for the delegation of authority.
• Barnard's theories were further developed by other organizational theorists such as Mary Parker Follett and Douglas McGregor, who argued that effective organizations must have an appropriate balance of structure and flexibility. Barnard's theories were also influential in the development of the human relations school of thought, which emphasized the importance of considering the human element in organizations.
• Barnard's theories are still relevant today, as many organizations continue to struggle to achieve the necessary balance of structure and flexibility. His concepts of organizational cooperation and communication are particularly important, as these are key to ensuring that organizations are able to work together efficiently and effectively.

Advantages of Chester Barnard approach

Chester I. Barnard is one of the seminal figures in the field of organizational theory, and his works have had a lasting effect on how organizations think about management and structure. He is noted for his concept of the "informal organization," which focused on the role of informal relationships between people in a workplace. His ideas have been influential in the development of modern organizational theory and practice, and there are a number of advantages to his approach. These include:

• An emphasis on communication and understanding within organizations - Barnard believed that effective communication between people was vital to an organization’s success, and he proposed ways to encourage understanding among employees and stakeholders.
• A focus on the role of leadership - Barnard argued that leadership was a necessary element of organizational success, and he outlined ways to develop and strengthen leadership in organizations.
• The importance of motivation - Barnard argued that employees’ motivation was key to successful performance, and he proposed ways to create and maintain a motivated workforce.
• An appreciation of the informal structure of organizations - Barnard recognized the importance of informal relationships in the workplace, and he proposed ways to tap into these relationships to benefit the organization.
• An understanding of the importance of culture - Barnard argued that organizational culture was an important factor in organizational success, and he proposed ways to create and maintain a positive, productive culture.

Limitations of Chester Barnard approach

Chester I. Barnard was a prominent figure in the history of organizing thought during the "transitional period" between the scientific management of Frederick Taylor and the human relations school of Elton Mayo. As an early theorist, Barnard had some significant limitations that hindered the development of his ideas and theories. These limitations include:

• Barnard's focus on formal organizations and his neglect of informal organizations. Although he acknowledged the importance of informal organizations, Barnard's primary focus was on formal organizations, which limited the scope of his theories and their applicability to informal organizations.
• Barnard's view of leadership as a sacred responsibility. He believed that leaders should be respected and held to a high standard of ethics, which left little room for experimentation and innovation. This meant that Barnard's theories were not as progressive or adaptive as those of later theorists.
• Barnard's limited view of communication. He did not consider communication to be a significant factor in organizational success, which hindered his theories of organizational effectiveness and structure.
• Barnard's reliance on classical economic theory. As a businessman, Barnard viewed the organization as a system of economic exchange, which limited his ability to incorporate more modern theories of organizational behavior and dynamics.

Other approaches related to Chester Barnard

Chester I. Barnard is one of the most influential figures in the history of organizational thought, representing a transitional period between classical and modern approaches. His theories and writings have had a lasting influence on organizational studies and management. Along with Barnard, there are several other approaches related to the study of organizing, including:

• The systems theory approach, which views organizations as complex adaptive systems that can be studied using the principles of systems theory.
• The human relations approach, which emphasizes the importance of interpersonal relationships and employee motivation in creating a productive work environment.
• The contingency approach, which holds that there is no single, universal approach to organizing, and that the best approach depends on the specific context and situation.
• The resource dependency approach, which focuses on the external environment and the dependence of the organization on outside resources.
• The network approach, which emphasizes the importance of networks and interorganizational relationships in understanding how organizations operate.

In sum, Chester I. Barnard's theories and writings have had an enduring influence on the study of organizing, and there are several other approaches related to the field that are also important.

Chester Barnard — recommended articles

Mary Parker Follett — Job characteristics — Theory X and Y — Behavioral school — Leadership models — Management by values — Contingency leadership — Path goal theory — Cultural values

References

• Chester Barnard - Encyclopedia
• Nikezić, S., Dželetović, M., & Vučinić, D. (2016). Chester Barnard: Organisational-Management Code for the 21st Century. Procedia-Social and Behavioral Sciences, 221, 126-134.
• Chester Barnard - study.com