Executive processes are specialized functions in what we know as organizations. If these functions are to be adequately described, the description mu… - Chester Irving Barnard

An organization is a subordinate system of a specific larger system, the cooperative system, whose components are physical, biological, and personal systems. The relations with other organizations... are outside this specific cooperative system. Other organizations are a part of the social environment of the organization. It is for this reason I have used the phrase "complex of organizations" rather than "system." Usually the most significant relationships of a unit organization are those with the specific cooperative system of which it is a part. It is this system which primarily and on the whole in most instances determines the chief conditions of the organization's existence.

Effectiveness relates to the accomplishment of the cooperative purpose which is social and non-personal in character. Efficiency relates to the satisfaction of individual motives and is personal in character.

The fine art of executive decision consists in not deciding questions that are not now pertinent, in not deciding prematurely, in not making decision that cannot be made effective, and in not making decisions that others should make. Not to decide questions that are not pertinent at the time is uncommon good sense, though to raise them may be uncommon perspicacity. Not to decide questions prematurely is to refuse commitment of attitude or the development of prejudice. Not to make decisions that cannot be made effective is to refrain from destroying authority. Not to make decisions that others should make is to preserve morale, to develop competence, to fix responsibility, and to preserve authority.