An Axiomatic Theory of Organizations

The organizational variables of complexity, centralization, formalization, stratification, adaptiveness, production, efficiency, and job satisfaction are defined. These variables are interrelated in seven basic propositions as suggested by the theoretical writings of Weber, Barnard, and Thompson. Then the seven propositions are used to derive twentyone corollaries and to define two ideal types of organizational systems. A limits proposition is suggested. The axiomatic theory, consisting of twenty-nine hypotheses, is tested against a number of research studies and receives considerable support. It appears useful in analyzing a number of organizational problems, including organizational change, centralization versus decentralization, and morale. The author is an assistant professor in the Department of Sociology at the University of Wisconsin.