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CiteWeb id: 19830000004

CiteWeb score: 22311

What makes organizations so similar? We contend that the engine of rationalization and bureaucratization has moved from the competitive marketplace to the state and the professions. Once a set of organizations emerges as a field, a paradox arises: rational actors make their organizations increasingly similar as they try to change them. We describe three isomorphic processes-coercive, mimetic, and normative-leading to this outcome. We then specify hypotheses about the impact of resource centralization and dependency, goal ambiguity and technical uncertainty, and professionalization and structuration on isomorphic change. Finally, we suggest implications for theories of organizations and social change. In The Protestant Ethic and the Spirit of Capitalism, Max Weber warned that the rationalist spirit ushered in by asceticism had achieved a momentum of its own and that, under capitalism, the rationalist order had become an iron cage in which humanity was, save for the possibility of prophetic revival, imprisoned "perhaps until the last ton of fossilized coal is burnt" (Weber, 1952:181-82). In his essay on bureaucracy, Weber returned to this theme, contending that bureaucracy, the rational spirit's organizational manifestation, was so efficient and powerful a means of controlling men and women that, once established, the momentum of bureaucratization was irreversible (Weber, 1968). The imagery of the iron cage has haunted students of society as the tempo of bureaucratization has quickened. But while bureaucracy has spread continuously in the eighty years since Weber wrote, we suggest that the engine of organizational rationalization has shifted. For Weber, bureaucratization resulted from three related causes: competition among capitalist firms in the marketplace; competition among states, increasing rulers' need to control their staff and citizenry; and bourgeois demands for equal protection under the law. Of these three, the most important was the competitive marketplace. "Today," Weber (1968:974) wrote: it is primarily the capitalist market economy which demands that the official business of administration be discharged precisely, unambiguously, continuously, and with as much speed as possible. Normally, the very large, modern capitalist enterprises are themselves unequalled models of strict bureaucratic organization. We argue that the causes of bureaucratization and rationalization have changed. The bureaucratization of the corporation and the state have been achieved. Organizations are still becoming more homogeneous, and bureaucracy remains the common organizational form. Today, however, structural change in organizations seems less and less driven by competition or by the need for efficiency. Instead, we will contend, bureaucratization and other forms of organizational change occur as the result of processes that make organizations more similar without necessarily making them more efficient. Bureaucratization and other forms of homogenization emerge, we argue, out of the structuration (Giddens, 1979) of organizational fields. This process, in turn, is effected largely by the state and the professions, which have become the great rationalizers of the second half of the twentieth century. For reasons that we will explain, highly structured organizational fields provide a context in which individual efforts to deal rationally with uncertainty and constraint often lead, in-the aggregate, to homogeneity in structure, culture, and output.

The publication "The Iron Cage Revisited: Institutional Isomorphism and Collective Rationality in Organizational Fields" is placed in the Top 1000 of the best publications in CiteWeb. Also in the category Sociology it is included to the Top 100. Additionally, the publicaiton "The Iron Cage Revisited: Institutional Isomorphism and Collective Rationality in Organizational Fields" is placed in the Top 100 among other scientific works published in 1983.
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