Page 102 - The Drucker Lectures

10

Managing the Increasing

Complexity of Large Organizations

1981

f you look at the history of political theory—and basically
Iwhen we talk organizational structure we are talking gover-
nance and political theory—there are two strands in the West-
ern tradition. One is the constitutionalist, which basically says,
“What are the right laws so that even mediocre people can func-
tion and so that the evildoers are at least confined?” The other
one, which went by the name of the “education of the Christian
prince” and also goes back to the Greeks and even earlier, says,
“How do we form the rulers so that even if there are turbulent
times and the rules aren’t clear, we get the best there is, and we
get virtue and leadership into the system?”
In the last 30 years, we have emphasized the constitutional
approach. Let me say that this is normal in this country, where
business basically started out taking its structural concepts from
the American Constitution. If you look at our organizational
theory, it is tremendously influenced by the Constitution, for bet-
ter or worse. I’d say largely for better because at least it preaches
the need to think through the limitations of power. At the same
time, we have had some approaches that are opposite—that start
out with, “How do we form people?”

[ 83