“A major task in organizing is to determine, first, where the knowledge is located that can provide the various kinds of factual premises that decisions require.”

— Herbert A. Simon, book Administrative Behavior

Source: 1940s-1950s, Administrative Behavior, 1947, p. 24.

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Herbert A. Simon58

American political scientist, economist, sociologist, and p… 1916–2001

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“While decisions are constrained by the kinds of organizations and the kinds of knowledge involved, the Impetus for decisions comes from the internal preferences and external incentives facing those who actually make the decisions.”

Thomas Sowell (1930) American economist, social theorist, political philosopher and author

Source: 1980s–1990s, Knowledge and Decisions (1980; 1996), Ch. 1 : The Role of Knowledge

“I consider all large organizations troublesome, including governmental and nonprofit organizations. They concentrate power in the hands of their top management; the larger the organization, the greater the power being concentrated. There are degrees of concentration of course, and some large organizations are so disorganized that they lose much of their potential power. But size is generally correlated with these kinds of power: By deciding where to locate they determine economic opportunities for some communities and deny it to others. Their hiring decisions affect the life chances of people, and can, unless checked, favor religious, ethnic, racial, and political affiliations. As consumers of resources, they can favor certain producers over others, and not necessarily on the grounds of “efficiency.””

Charles Perrow (1925–2019) American sociologist

They can mobilize political resources to insure favored treatment better than small organizations. <br class="br">Charles Perrow, in: " Organizational Efficiency vs. Power: An Email Interview with Professor Charles Perrow http://blogs.gonomad.com/blog/2005/10/organizational-efficiency-vs-power-charles-perrow.html." blogs.gonomad.com, Oct. 2005. <br class="br">1980s and later

“The prevailing style of management must undergo transformation. A system cannot understand itself. The transformation requires a view from outside. The aim of this chapter is to provide an outside view—a lens—that I call a system of profound knowledge. It provides a map of theory by which to understand the organizations that we work in. The first step is transformation of the individual. This transformation is discontinuous. It comes from understanding of the system of profound knowledge. The individual, transformed, will perceive new meaning to his life, to events, to numbers, to interactions between people. Once the individual understands the system of profound knowledge, he will apply its principles in every kind of relationship with other people. He will have a basis for judgment of his own decisions and for transformation of the organizations that he belongs to.”

W. Edwards Deming (1900–1993) American professor, author, and consultant

The New Economics for Industry, Government, Education (1993)

“We will likely also find that the nature of the problem to be solved will be a principal determinant of the mix. With our growing understanding of the organization of judgmental and intuitive processes, of the specific knowledge that of the specific knowledge that is required to perform particular judgmental tasks, and of the cues that evoke such knowledge in situations in which it is relevant, we have a powerful new tool for improving expert judgment. We can specify the knowledge and the recognition capabilities that experts in a domain need to acquire, and use these specifications for designing appropriate learning procedures.”

Herbert A. Simon book Administrative Behavior

Source: 1940s-1950s, Administrative Behavior, 1947, p. 137.

“… age-old philosophical attitudes which arise from false factual premises, with vast theoretical superstructures framed to fit those premises”

Nyanaponika Thera (1901–1994) German Buddhist monk

Source: The Heart of Buddhist Meditation (1965), p. 38

“This paper analyzes the relations between knowledge, control and organizational structure both in the market system as a whole and in private organizations. Limitations on the mental capacity of the human mind and the costs of producing and transferring knowledge means that knowledge relevant to all decisions can never be collected in the mind of a single individual or a small body of experts. This means that if the knowledge valuable to a particular decision is to be used in making that decision, there must be a system for partitioning out decision rights to individuals who already have the relevant knowledge and abilities or who can acquire or produce them at the lowest cost. Self interest on the part of individual decision-makers means a control system is required to motivate individuals with the decision rights and the relevant knowledge to use those decision rights appropriately. This control problem is solved in a capitalist economy by a system of alienable property rights.”

Michael Jensen (1939) American economist

Michael C. Jensen and William H. Meckling. "Specific and general knowledge and organizational structure." (1992).

“[Integration is defined as] the process of achieving unity of effort among the various subsystems in the accomplishment of the organization's task.”

Paul R. Lawrence (1922–2011) American business theorist

Variant: [Integration is defined as] the process of achieving unity of effort among the various subsystems in the accomplishment of the organization's task.
Source: Organization and environment: Managing differentiation and integration, 1967, p. 4

“Ethics requires the kind of personal reflection, in the end, that no one else can do decisively for any individual.”

Tibor R. Machan (1939–2016) Hungarian-American philosopher

Source: The Promise of Liberty: A Non-Utopian Vision (2009), p. 69

“The function of knowledge in the decision-making process is to determine which consequences follow upon which of the alternative strategies. It is the task of knowledge to select from the whole class of possible consequences a more limited subclass, or even (ideally) a single set of consequences correlated with each strategy.”

Herbert A. Simon book Administrative Behavior

Source: 1940s-1950s, Administrative Behavior, 1947, p. 78.

“Formulating consists of determining the system inputs, outputs, requirements, objectives, constraints. Structuring the system provides one or more methods of organizing the solution, the method of operation, the selection of parts, and the nature of their performance requirements. It is evident that the processes of formulating a system and structuring it are strongly related.”

Harold Chestnut (1917–2001) American engineer

Source: Systems Engineering Tools, (1965), Systems Engineering Methods (1967), p. 70

“A major task in organizing is to determine, first, where the knowledge is located that can provide the various kinds of factual premises that decisions require.”

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