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Summary Chapter 6
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Chapter 6 of Robbins' Organisation Theory, Concept and Cases, compulsory 2nd year course IBA
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Chapter 6: Organization sizeDefiniingn orggnninianioin siae
The totnl inumberg of employees iin the orggnninianioinn Diffulies ith this offurg hein
foinsidergiingn sensoinnl orgkergs, iindustrgy fompnrgisoins nind loingn-tergm subfointrgnftorgs orgkiingn
ith the orggnninianioinn
Advofntes of the siae impergnive
o Peterg Blnu; “siae is the most imporgtnint foindiioin nfefiingn the strgufturge of
orggnninianioins”
o Iinfrgensiingn siae prgomotes strgufturgnl difergeininioin, nt n defrgensiingn rgnte
o Ain iinfrgense iin fomplexity ns siae iinfrgenses, yet the rgnte of iinfrgense
dimiinishes oinfe n fergtniin siae is rgenfhed
o Astoin findiingns: orggnninianioinnl siae is posiively rgelnted to spefinlianioin, forgmnlianioin
nind vergifnl spnin, but inegnnively to feintrgnlianioin
o Meyerg: oine fnininot uindergesimnte the impnft of siae oin otherg fhnrgnftergisifs of
orggnninianioins
o Otherg rgesenrgfh: ho siae nfefts strgufturge nind opeprgnioins
o Lnrggne orggnninianioins nrge slo erg nt ndopiingn iininovnioins (but nrge morge
fomplex iininovnioinss
o Lnrggne orggnninianioins put gnrgenterg eforgt iinto sofinliaiingn ine employees
o Lnrggne orggnninianioins rgely morge oin iinforgmnioin tefhinologny
Crgiifs of the siae impergnive
o Chrgis Arggnyrgis: quesioins Blnu’s mensurges nind nrggnued thnt fivil-sergvife orggnninianioins
nrge uinique, ns they hnve budgnet limitnioins, gneognrgnphifnl bouindnrgies nind
prgedetergmiined stnf siaes
o Afkino ledgned the rgole of mninngnerginl disfrgeioin; usngne of difergeint theorgies
o Mnyhe fhnlleingned Blnu by usiingn n fomputerg prgognrgnm
o Aldrgifh frgiifiaed Astoin sugngnesiingn nlterginnives sufh ns siae beiingn the rgesult, inot the
fnusen
o Attnfk oin siae impergnive fnme frgom anll: ineitherg fomplexity inorg forgmnlianioin fnin
be implied frgom orggnninianioinnl siaen ae siaed ith Aldrgifh snyiingn strgufturge fnuses
siaen
o ‘A defisioin of einlnrggniingn the inumberg of fuinfioins rgequirges morge employees’
o Fiinnlly, it ns fouind thnt smnll nind medium-siaed busiinesses sho the impergnive,
hergens busiinesses fointrgolled by o inerg-mninngnergs do inotn
Isolating size as a contingency
o Cnin you isolnte the iinfueinfe of siae frgom otherg vnrginbles engnn tefhinologny?
o Uindergtnke loingnitudiinnl studiesn
o As e look nt the efefts of siae, e do inot ineed to be exnft of hnt fnused it: siae
fnin be isolnted
o Difergeininioin implied by n lnrggne siae mny inot nl nys be nssofinted ith the hignh
level of forgmnlianioin nssofinted ith burgenufrgnfy
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