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" "[People-processing institutions are] a type of social institution in which human beings constitute both the raw materials and the products of organizational work. Although all social institutions are involved in some degree in people-processing activities, the term is properly restricted to those whose primary goal is the shaping, reshaping, removing, overhauling, retooling, reassembling, and recording the physical, psychological, social, legal, or moral aspects of human objects.
Charles B. Perrow (born February 9, 1925) is an American Emeritus Professor of sociology at and visiting professor at . He is the author of several books and many articles on organizations, and is primarily concerned with the impact of large organizations on society. Perrow graduated in 1960 at the University of California, Berkeley, supervised by Philip Selznick, with the unpublished Ph.D. dissertation, entitled "Authority, Goals, and Prestige in a General Hospital." Perrow's research interests broadened over the years. Nowadays they include "the development of bureaucracy in the 19th Century; the radical movements of the 1960s; Marxian theories of industrialization and of contemporary crises; accidents in such high risk systems as nuclear plants, air transport, DNA research and chemical plants; protecting the nation’s critical infrastructure; the prospects for democratic work organizations; and the origins of U.S. capitalism (source: yale.edu)."
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Another discipline began to intrude upon the confident work and increasingly elaborate models of the human relations theorists (largely social psychologists) and the uneasy toying with bureaucracy of the "structionalists" (largely sociologists). Both tended to study economic organizations. A few, like Philip Selznick, were noting conflict and differences in goals (perhaps because he was studying a public agency, the Tennessee Valley Authority), but most ignored conflict or treated it as a pathological manifestation of breakdowns in communication or the ego trips of unreconstructed managers.