Monday, October 31, 2011

More on Managerialism

In the wake of last week's story about escalating Directors pay, this article is well worth a look. It opens paraphrasing a book written by the academic Henry Mintzberg back in 1983.
"Thirty years ago Mintzberg concluded that most of the evidence suggested that the power of senior management within corporations has massively expanded and that it was now they, rather than the technical owners – i.e. shareholders – who really controlled the organizations.


What Mintzberg did not say, because at that point it wasn’t quite so obvious, was that having seized power it was only a question of time before the new corporate ruling class also started to seize the money."

Now contrast this with people in state employment. It is very hard to dismiss the concept of a public sector stuffed with 'budget-maximising bureaucrats.'

Leaving aside the kleptocratic aspects of managerialism, and the anti-human soul-destroying rejection of expertise and human intelligence that it implies - especially when it's applied to the outsourced work of the state, I think that 'budget maximising bureaucracy' is a very good description of the modern corporation.

Even shareholders need protecting from this now, surely?

(H/T Shuggy for the 'Whitehall Watch' link)


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