Decision-making process in universities: Theory III

Abstract

Studies having universities as unit of analysis have treated them as special kinds of bureaucracy. This paper's departure point is that characteristics which distinguish universities from other types of bureaucracies (i. e. business enterprises) can only be captured if focus is directed to their "core logics of action" that is, to the decision-making processes.

Existing theories of decision making lend support to at least two major perspectives of theorizing. The first suggests the overriding impact of economic rationality over decision-making processes (Theory I and Theory II) and the second emphasizes the political nature of decision-making as the dominant influence (Theory III).

This study concentrates on the relative influence of goal directed behaviors as opposed to political activities in universities. The essence of decision-making is captured exploring the factors associated with successful and unsuccessful decision outcomes. It examines these problematics based on the results of a research I have conducted in England comparing eighteen universities' decisions with thirty four business-like decisions.

It is concluded that decision-making in universities is political1y vivid. In the organizations participation and involvement of various interests in the decision process is related to successful outcomes whilst imbalance of influence, centralization and conflict account for less successful outcomes. By contrast, bounded rationality explains the decision success in business firms. Success, therefore, instead of being an intrinsec characteristc of organizations, can only be viewed as reflection of meanings organizational members attach to their actions and action of others.