Barnard 2

Question 1

1.Barnard conceives of the organization as a system of exchange between the organization and each of its participants. (Comment) .

Answer 1

1.1n an organisation there are three basic activities.
A They are : inducing a willingness to cooperate on the part of organisational participants,
B. Establishing and defining organisational purpose,
and communication.
C.Inducing a willingness to cooperate involves the system of incentives.

Question 2

2. Barnard conceives of the organisation as a system of exchange between the organisation and each of its participants. (Comment) .

Answer 2

2.The decision by any individual to participate in the organization involves an immediate cost: the loss of control over one’s personal actions. As Barnard puts it, “The ethical ideal upon which cooperation depends requires the general diffusion of a willingness to subordinate immediate personal interests for both the ultimate personal interest and the general good.” Consequently, willingness to cooperate involves a personal cost-benefit calculation that is dependent on individual purposes, desires, and impulses of the moment (Barnard calls these factors “motives”).

Question 3

3.Participation in the organization is a function of the net inducements (inducements minus costs) offered by the organization compared to the net inducements afforded by alternative activities. Comment

Answer 3

3.Evaluations of inducements and costs are personal and subjective for each individual and are based on the “egotistical” motives of self-preservation and self-satisfaction.

Furthermore, Barnard argues that these evaluations are seldom a matter of logical thought. Having made the decision to participate in the organization, the individual’s willingness to cooperate is contingent on the continuing perception of a net positive balance of inducements over required contributions.