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" "The fact that functions may not be separated in organization does not in any way way destroy their identity as functions... The ideal of organized efficiency is not the complete segregation but the integrated correlation |of the three primary functions... The organizer must identify these functional principles, as they appear in every job, and make them the basis of his correlation... his duty is to correlate functions as such... The duty of the manager is to correlate who performs these functions... Management however represents the scalar principle... perpendicular correlations... true horizontal correlation requires other contact... The dissemination of understanding... of common purpose, of the relation of individuals to that purpose & to each other.
James David Mooney (18 February 1884 – 21 September 1957) was an American engineer and corporate executive at who played a role in international affairs in the 1930s and early 1940s. His career was disrupted when he was accused of Nazi sympathies in 1940. He is noted for his seminal contributions to the field of organizational theory.
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The term organization, and the principles that govern it, are inherent in every form of concerted human effort, even where there are no more than two people involved. For example take two men who combine their efforts to lift and move a stone that is too heavy to be moved by one. In the fact of this combination of effort we have the reality of human organization for a given purpose. Likewise in the procedure necessary to this end we find the fundamental principles of organization. To begin with, the two lifters must lift in unison. Without this combination of effort the result would be futile. Here we have co-ordination, the first principle of organization. Likewise one of these two must give the signal "heave ho !" or its equivalent, to the other, thus illustrating the principle of leadership or command. Again the other may have a suggestion to make to the leader in the matter of procedure, which involves the vital staff principle of advice or counsel. And so on. Thus in every form of concerted effort principles of organization are as essential and inevitable as organization itself.
When a member of an organization is placed in a position with duties ill defined in their relation to other duties what happens? Naturally he attempts to make his own interpretation of those duties and, where he can, to impose this view on those about him. In this process he encounters others in similar cases, with friction and lack of coordination as the inevitable result.
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The common impression regards this scale or chain merely as a "type" of organization, characteristic only of the vaster institutions of government, army, church and industry. This impression is erroneous. It is likewise misleading, for it seems to imply that the scalar chain in organization lacks universality. These great organizations differ from others only in that the chain is longer. The truth is that wherever we find an organization even of two people, related as superior and subordinate, we have the scalar principled.