The New, Completely Revised Understanding Organisations

by Charles B. Handy

Charles Handy's revolutionary 1989 bestseller The Age of Unreason catapulted him into the ranks of the top management consultants. Now, in this new edition of his acclaimed study Understanding Organizations, he solidifies his reputation as a seminal business thinker, offering a brilliantly insightful, wide-ranging look at business organizations.Long a bestseller in the United Kingdom, this classic text offers an illuminating discussion of key concepts of concern to all culture, motivation, leadership, power, role-playing and working in groups. Ever mindful of actual business practice, Handy directly addresses how managers can translate the six main concepts into invaluable tools for effective management. He discusses how all organizations need to select, develop and reward their people; to structure and design their work; to resolve political conflicts; to lay down guidelines for their managers; and to plan for the future. In each case, the approaches and techniques described here are invaluable.Equally important, Handy excels at presenting his ideas in colorful, immediately accessible ways, filling the book with illuminating examples and inventive metaphors that range from Tolstoy's ideas on the concept of self, to the many meanings of "good morning," to the conversations that occur in a stopped elevator, to the proper size for a vineyard or an elephant. He shows, for instance, how an optical illusion experiment sheds light on interdepartmental relations, and how the way schoolchildren are typecast by their peers helps explain corporate hierarchies. And along with case studies, graphs, charts, and questionnaires, Understanding Organizations is peppered with boxed sections that offer advice and stimulate thought, brimming with provocative quotations from business wizards such as Peter Drucker, Tom Peters, Warren Bennis, Alvin Toffler, and Rosabeth Moss Kanter, as well as from Aristotle, Shakespeare, Gilbert and Sullivan, Gail Sheehy, and Joseph Heller.What the successful manager knows intuitively, Charles Handy puts into words. His powerful interpretive schemes will help managers grasp the underlying dynamics of their company, make sense of its past, and assess--and shape--its future.

Genres: Business, Management, Nonfiction, Psychology, Leadership, Sociology, Academic

500 pages, Paperback

First published September 30, 1976

About the author

Charles Brian Handy was an Irish author and philosopher who specialised in organizational behavior and management. Among the ideas he advanced are the "portfolio career" and the "shamrock organization" (in which professional core workers, freelance workers and part-time/temporary routine workers each form one leaf of the "shamrock").
Handy was rated among the Thinkers 50, a private list of the most influential living management thinkers. In 2001, he was second on this list, behind Peter Drucker, and in 2005, he was tenth. When the Harvard Business Review had a special issue to mark the publication's 50th anniversary Handy, Peter Drucker, and Henry Mintzberg were asked to write special articles.
In July 2006, Handy was conferred with an honorary Doctor of Law by Trinity College Dublin.

Reviews

[Jan-Maat]

This is a book I recommend to anybody seeking an introduction to the theory and practise of modern organisations.

The book is divided into three parts: an introduction to concepts, a middle section on the application of the concepts discussed in the first part and a final bibliographic essay. Those concepts include motivation to work, roles and interactions, leadership, culture and questions of power and influence.

Detailed asides in marginal boxes give a taste of the classics - Taylor scientific management - the belief that there is one best way to do anything , McGregor who suggested that people tended to have one of two possible approaches to motivation: theory x (people are lazy, shiftless and need extrinsic motivation - spare the rod and spoil the workforce) and theory y (people have intrinsic motivation), the influence of the success of Toyota and Japanese styles of industrial working a style much influenced by US experts sent over in the post WWII reconstruction period, whose expertise came from the experience of war time efficiency thinking - Walter A. Shewert et al led later to the development of theory z, Herzberg hygiene and maintenance factors in motivation very basically and misleadingly it's easier and cheaper to demotivate people than to cheer them up and encourage them and Mintzberg in my opinion the most interesting because he is the most empirical - preferring to focus on what managers actually do in any given organisation as opposed to imagining what they should be doing.

It's a good first place to get acquainted with Belbin's team roles and Maslow's hierarchy of needs on your way to self actualisation which may not necessarily take you through any organisations.

Although the book is geared towards management, organisational thinking opens up new perspectives more generally on institutions ancient and modern. Issues of power, motivation and interpersonal dynamics are a constant in all organisations after-all.

[Kristi Hovington · Rating 1 out of 5]

This was one of the 100+ things I needed to read for my masters course and I cannot emphasize enough how distracting the sexism is in this “management bestseller.” It’s easily the worst thing I’ve read for my masters. I *was* in management in a large corporation and if I’d asked my team to read this I’d probably have had to talk to HR.

Examples? In a section titled “women in power” the author states “as a consequence of these, often well-intentioned, actions women in power tend to hug power to themselves and to be authoritarian.” There is more! “Professional people, one has noticed, often have undisciplined children.” No citations for that nugget of wisdom, I noticed. Oh and there’s this: “masculinity is connected with ambition...whereas it’s opposite, femininity, is more concerned with inter-personal relationships...and a sense of service.” Mmmmkay. My personal favorite is the tiny disclaimer the author places towards the beginning of the book that states while he uses the “he” pronoun for every example of leadership over 400 pages, the reader should assume that “he” stands for the universal “he” that includes women. Is it that difficult to write “She or he?” Or use a few examples that feature a woman? Evidently so.

There are an abundance of management books out there that aren’t blatantly sexist. I’d give this no stars if I could.

[Christine · Rating 5 out of 5]

A clear, structured, witty account of research done on organisations illuminated through practical cases and Handy's personal experiences.


A few notes from reading:

1. "Seek simplicity - and having found it, suspect it." - James Conant
2. To appreciate the complexities and particularities in the world, in people and organisations... "There are different angles from which we view the world. The view will be slightly different from each, the truth will be a combination of all."
3. On Taylor's story from Images of Organisation (1986).... "We are all, in some way perhaps, the prisoners of our past and our models of organisations just reflections of our childhood. There is no truth, only personality. It is a sobering thought for any would-be theorist."
4. The 4 steps of learning: Questioning. Conceptualisation. Experimentation. Consolidation.
5. Tolstoy on reinforcing the self-concept (see Ressurection)... "Whatever a man's position may be, he is bound to take a view of human life in general that will make his own activity seem important and good.... We do not see that their ideas of life and of good and evil are corrupt and inspired by a necessity to justify their position, only because the circle of people with such corrupt ideas is a larger one and we belong to it ourselves."
6. The management of people -> humorously comparing it with driving or sex: "Most of us do it at least adequately thought perhaps we worry from time to time that we might do it better...."
7. The Halo effect / The Helicopter Factor
8. Alistair Mant: we need builders, not raiders (Leaders We Deserve, 1984)
9. "Managers are people who do things right and leaders are people who do the right thing." the principle conclusion of Bennis and Nanus'' study

[AL · Rating 5 out of 5]

A very comprehensive guide for anyone looking for the bigger picture of Hows these Organizations work , Be it a small or a large one . After reading this book I could clearly see through all types of organizations. Same Rules apply to military , construction firms two of which I have worked in .Also to Organized crime and Terror organizations. Must read for anyone stepping into the corporate world.

[Marcus Goncalves · Rating 4 out of 5]

Overall a great read, almost a classic, especially considering this book is almost 40 years old. It was interesting to compare how business organizations have changed since, but also remained the same in so many (human) ways. It is a common sense book about the key issues in OB.

[Tom Fain · Rating 4 out of 5]

Interesting.

[Graham McCartney · Rating 4 out of 5]

Basic reading for how corporate structures work and infinitely put me off wanting anything to do with big corporates like Jack Welch's GE...

[Rob · Rating 5 out of 5]

A powerful book indeed, packed with knowledge. It's a bit old now, but there's a lot that can be learned. And it's written in a very accessible style.

[Kevin]

Very dry, hard to recommend.

[Nasir · Rating 4 out of 5]

Traditional Handy books explaining the basics of management. Godd for intro level reading

[Prabin Ghimire]

it good to understand a core part of organization

[Bryan]

a bit dry, "text book style" reading, but a great survey of contemporary findings in organizational behavior and dynamics

[Iain Hamill · Rating 4 out of 5]

Clear overview of the concept of organisations, albeit a bit dated now. Unexpectedly witty in places.

[Andrew Schoenfeld · Rating 5 out of 5]

A classic, a must read!