“Today, organizations are competing in complex environments so that an accurate understanding of their goals and the methods for attaining those goals is vital. The Balanced Scorecard translates an organization’s mission and strategy into a comprehensive set of performance measures that provides the framework for a strategic measurement and management system.”

Source: The Balanced Scorecard, 1996, p. 2

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Robert S. Kaplan6

American accounting academic 1940

David P. Norton (1941) American business theorist, business executive and management consultant

Source: The Balanced Scorecard, 1996, p. 2

“Most of our beliefs about complex organizations follow from one or the other of two distinct strategies. The closed-system strategy seeks certainty by incorporating only those variables positively associated with goal achievement and subjecting them to a monolithic control network. The open-system strategy shifts attention from goal achievement to survival and incorporates uncertainty by recognizing organizational interdependence with environment. A newer tradition enables us to conceive of the organization as an open system, indeterminate and faced with uncertainty, but subject to criteria of rationality and hence needing certainty.”

James D. Thompson (1920–1973) American sociologist

Source: Organizations in Action, 1967, p. 13 (in 2011 edition)

“The management of a system has to deal with the generation of the plans for the system, i. e., consideration of all of the things we have discussed, the overall goals, the environment, the utilization of resources and the components. The management sets the component goals, allocates the resources, and controls the system performance.”

C. West Churchman (1913–2004) American philosopher and systems scientist

Source: 1960s - 1970s, The Systems Approach (1968), p. 44

“A manager sets objectives - A manager organizes - A manager motivates and communicates - A manager, by establishing yardsticks, measures”

Peter F. Drucker (1909–2005) American business consultant

A manager develops people.
Source: 1930s- 1950s, The Practice of Management (1954), p. 344

“Systems analysis, conceived in a policy sciences framework, is the macro instrument of the systems manager for understanding, evaluating and improving human systems — which are defined as goal oriented interdependent units incorporating people, organization and some form of technology for control, administration or output.”

Richard F. Ericson (1919–1993) American academic

Richard F. Ericson (1979) Improving the human condition: quality and stability in social systems : proceedings of the Silver Anniversary International Meeting, London, England, August 20-24, 1979. Society for General Systems Research. p. 621

“The key element of an organization is not a building or a set of policies and procedures; organizations are made up of people and their relationships with one another. An organization exists when people interact with one another to perform essential functions that help attain goals. Recent trends in management recognize the importance of human resources, with most new approaches designed to empower employees with greater opportunities to learn and contribute as they work together toward common goals.”

Richard L. Daft (1964) American sociologist

Source: Organization Theory and Design, 2007-2010, p. 10

“Multiple leadership, as a stable system of goal determination and policy setting, is most likely to be found in organizations where there are multiple goals and where these goals lack precise criteria of achievement and allow considerable tolerances with regard to achievement. Organizations with a single goal [i. e., proprietary hospitals] or a clear hierarchy of goals provide little basis for multiple leadership. Multiple leadership arises because important group interests diverge, and each group has the power to protect its interests.”

Charles Perrow (1925–2019) American sociologist

Charles Perrow (1963). "Goals and Power Structures: A Historical Case Study." In: E. Friedson, (Ed.), The Hospital in Modern Society. New York: The Free Press, p. 132
1960s

“Organizations are goal-directed, boundary-maintaining, activity systems.”

Howard E. Aldrich (1943) American sociologist

Source: Organizations and Environments, 1979, p. 4

“Organizations are (1) social entities that (2) are goal-directed, (3) are designed as deliberately structured and coordinated activity systems, and (4) are linked to the external environment.”

Richard L. Daft (1964) American sociologist

Source: Organization Theory and Design, 2007-2010, p. 10; Cited in: Jan A. P. Hoogervorst (2009), Enterprise Governance and Enterprise Engineering, p. 80.

“Recent organizational approaches to control (e. g., Ouchi 1979) suggest two underlying control strategies. On the one hand, control can be accomplished through performance evaluation. Performance evaluation refers to the cybernetic process of monitoring and rewarding performance. This strategy emphasizes the information aspects of control. Namely, to what degree can the various aspects of performance be assessed? Alternatively, control can be achieved by minimizing the divergence of preferences among organizational members. That is, members cooperate in the achievement of organizational goals because the members understand and have internalized these goals. This strategy emphasizes people policies such as selection, training, and socialization.
The two control strategies are interrelated. An organization can tolerate a work force with highly diverse goals if a precise evaluation system exists. In contrast, a lack of precision in performance evaluation can be tolerated when goal incompatibility is minor (Ouchi 1979). The choice between the two is driven by the ease of performance evaluation”

Kathleen M. Eisenhardt American economist

Source: "Control: Organizational and economic approaches," 1985, p. 135

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Robert S. Kaplan6

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