Centralized controls are designed to ensure that the chief executive can find out how well the delegated authority and responsibility are being exerc… - Ernest Dale

The major problems of organization can perhaps best be studied in dynamic terms, i.e., as they arise and change with the evolution of the company. In this dynamic setting the causes and nature of organization problems can be recognized most easily. Each major problem can be analyzed at the stage of the company's growth when it typically arises, when there are few complications and the organizational problem is centered about just one factor or change in the company's mode of operation. Just as it is easier to study the workings of democracy as they arise in one of the small towns of New England rather than in the United States as a whole, so it appears to be desirable, in dealing with a subject of such scope as organization, to isolate and study the major problems individually.

The functions or job contents necessary to reach objectives must be defined. This step is governed by two precepts.

This book is an analysis of the development and change of the organization structure of the individual company. It is an attempt to combine the systematic thinking on this subject with the "rule of thumb" of practical experience. It essays an integration of the formal structure of the enterprise with the human forces that mold and are molded by it. Thus it is designed to aid the practical man of affairs as well as the student of organization.