THE PARABLE OF THE SADHU

The Larger Purpose of Organisations

Why does sadhu gets lost in collective human action?

Sadhu as ‘moral self’ Sadhu as ‘enemy’ Organisations as ‘selves’

Corporate interests Sadhu as ‘other’

Other mediated through social and historical context

HUMANS ARE MORE THAN ‘OPPORTUNIST’ BEINGS

HUMANS AS MORAL BEINGS Possibilities are squeezed out in the

‘instrumental’ organizational action ORGANISATIONAL GOALS

Profits INDIVIDUAL GOALS

Rewards

LOGIC OF ORGANISATIONS

‘Bureaucratic Impersonality’ Defines rationality of modern

society Divn. of Labour Authority Rules Career

Squeezes out moral spaces

1976 FORD

Net Worth: $ 7.7 billion Revenues: $ 30 billion Income after Tax: $ 983 million Fuel tank behind the rear axle

Lack of ‘crush space’ 53 fire deaths reported at the time

of writing the case

FORD PINTO CASE: Benefits

Savings: 180 burn deaths, 180 injuries, 2100 burned vehicles

Unit Costs: $200,000 per death*, $ 67000 per injury, $700 per vehicle

Total Benefits: $ 49.15 million________________ * Calculated by National Highway

Safety Admin.: victims pain & suffering- 10k

FORD PINTO CASE: Costs

Sales: 11 million cars, 1.5 million light trucks

Unit Cost: $11 per vehicle Total Costs: $ 137 million

Lee’s Car

Normal time span from conception to production of a new car model is about 43 months, Pinto schedule was set at just under 25

Iacocca's speed-up meant Pinto tooling went on at the same time as product development

The ‘limits’ of 2,000

GAP BETWEEN THE POSSIBILITIES AND THE REALITY OF ORGANISATIONAL ACTION POSSIBILITY OF TRANSCENDING

THE INDIVIDUAL ‘BOUND’ OF RATIONALITY

NOTION OF ORGN. GOAL PROBLEMATIC Profit as an absolute end Often coercive to instrumental

PURPOSE OF ORGANISATION GOALS

LEGITIMACY DIRECTION MOTIVATION & PURPOSE EVALUATION

PROBLEMS WITH GOALS ABSTRACT

Operational Goals : Target - Constraint Chain DIFFERENTIATION ROUTINISATION

Rules, Procedures & Roles INDIVIDUAL GOALS

Rewards & Punishment Inadequate SHORT TERM Vs LONG TERM WHOSE GOALS?