Chester Barnard Quotes (1886-1961)

“Effectiveness relates to the accomplishment of the cooperative purpose which is social and non-personal in character. Efficiency relates to the satisfaction of individual motives and is personal in character.”

“An organization comes into being when (1) there are persons able to communicate with each other (2) who are willing to contribute action (3) to accomplish a common purpose. The elements of an organization are therefore (1) communication; (2) willingness to serve; and (3) common purpose. These elements are necessary and sufficient conditions initially, and they are found in all such organizations. The third element, purpose, is implicit in the definition. Willingness to serve, and communication, and the interdependence of the three elements in general, and their mutual dependence in specifie cooperative systems, are matters of experience and observation.”

“The fine art of executive decision consists in not deciding questions that are not now pertinent, in not deciding prematurely, in not making decision that cannot be made effective, and in not making decisions that others should make. Not to decide questions that are not pertinent at the time is uncommon good sense, though to raise them may be uncommon perspicacity. Not to decide questions prematurely is to refuse commitment of attitude or the development of prejudice. Not to make decisions that cannot be made effective is to refrain from destroying authority. Not to make decisions that others should make is to preserve morale, to develop competence, to fix responsibility, and to preserve authority. From this it may be seen that decisions fall into two major classes, positive decisions - to do something, to direct action, to cease action, to prevent action; and negative decisions, which are decisions not to decide. Both are inescapable; but the negative decisions are often largely unconscious, relatively nonlogical, "instinctive," "good sense." It is because of the rejections that the selection is good.”

“To the late Chester I. Barnard I owe a special debt: first, for his book, Functions of the Executive, which exerted a major influence on my thinking about administration. Secondly, for the extremely careful critical review he gave the preliminary version of this book; and finally for his Foreword to the first edition.”

“The Functions of the Executive remains today, as it has been since its publication, the most thought-provoking book on organization and management ever written by a practicing executive.”

“Before World War II management was the concern of a tiny band of “true believers,” mostly consultants and professors. Very few practicing managers paid any attention, though Alfred P. Sloan at General Motors, Robert E. Wood at Sears, Roebuck, and Chester Barnard at the American Telephone Company—to mention some prominent Americans—were significant exceptions. But even Barnard’s colleagues at the Telephone Company showed no interest in what they considered his hobby. Few managers at that time would have even realized that they practiced management; and concern with management as a field of study, as a discipline, and as a social function was practically nonexistent.”

“In 1938... a business executive with academic talents named Chester Barnard proposed the first new theory of organizations: Organizations are cooperative systems, not the products of mechanical engineering. He stressed natural groups within the organization, upward communication, authority from below rather than from above, and leaders who functioned as a cohesive force. With the spectre of labor unrest and the Great Depression upon him, Barnard's emphasis on the cooperative nature of organizations was well-timed.”

“One can list on the fingers of one hand the truly influential organizational scholars working prior to 1950. They include: Max Weber, Frederick Winslow Taylor, Henri Fayol, Elton Mayo, and Chester I Barnard. Of these, the two paying most attention to the sociological aspects of organizations were Weber and Barnard.”

“Chester Barnard was best known as the author of The Functions of the Executive, perhaps the 20th century’s most influential book on management and leadership. Barnard offers a systems approach to the study of organization, which contains a psychological theory of motivation and behavior, a sociological theory of cooperation and complex inter−dependencies, and an ideology based on a meritocracy.”