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theory of the firm (coase 1937)
firm and market as alternative ways of organizing economic activity; firms exist because coordinating some activities through a management hierarchy is more efficient than transacting in the free market
international labor organization definiton of employment
work for use by others in exchange for pay or profit, including self-employment
employment contract
flexible, indeterminate, open-ended, incomplete
employer agrees to provide certain benefits (eg. wage) regardless of economic performance of the business
social exchange theory (blau 1964)
exchange of heterogeneous resources, based on the norm of reciprocity, unspecified and long-term
the psychological contract
employment as a social exchange governed by a ‘__________’
the perception of both employee and employer of the mutual obligations
formation of the psychological contract
early life → recruitment → socialization
fulfillment of psychological contract
increased emotional wellbeing
higher employee engagement
greater loyalty & commitment
improved performance
breach of psychological contract
reduced emotional wellbeing
lower job satisfaction
more cynical attitudes
higher turnover & withdrawal
critical perspectives of organizations
organizations are systems of domination serving interests of those holding power
pursuit of efficiency and profit at workers’ expense
material and social inequalities persist
employees’ power weakened by lack of institutional curbs
material conditions determine individuals’ ability to meet basic needs
structuralist (marxian) perspective
focuses on political economy
structuralist (marxian) perspective
managerial power comes from control of means of production
structuralist (marxian) perspective
employment contracts reflect objective economic structures; seen as formalized expressions of roles, rights, & responsibilities
structuralist (marxian) perspective
emphasizes collective norms (eg. union agreements, standardized job classifications)
structuralist (marxian) perspective
structuralist response
unionization
collective bargaining of employment
resistance through collective action
organizations as sites of power, surveillance, and control
post-structuralist (focauldian) perspective
constant surveillance, panopticon
post-structuralist (focauldian) perspective on surveillance
normalization: comparing workers against a standard
post-structuralist (focauldian) perspective
ranking & hierachies
post-structuralist (focauldian) perspective
workers disclose their own failings
post-structuralist (focauldian) perspective -
confession
identity regulation: creating an identity defined as norm
post-structuralist (focauldian) perspective
post-structuralist response
activism
cynicism
sabotage, etc.
emancipatory perspectives
extend/combine marxian and focauldian perspectives to examine organization practices systematically create inequalities