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what is bureaucratic theory

what is bureaucratic theory

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The bureaucratic theory is a management-related concept that was developed by Max Weber. The primary objective of the theory is to provide rules and guidelines so that efficient management of an organization is easier. According to this theory, it is important to have a clear line of company policy and regulations in order to run a business in an efficient manner. The different kinds of power in an organization like Traditional power, Charismatic Power, and legal-rational power are also explained by this theory. It is imperative to note that this theory essentially talks about businesses which are more formal and centralized in their approach when it comes to operations and the other aspects of the business. There are six principles of bureaucratic theory which need to be followed to manage the organization effectively, namely authority hierarchy, formal rules and regulations, division of labor, career orientation, impersonality, and formal selection process.

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