In revising the Tinbergen Lectures I have expanded and restructured
the material in an attempt to make the book more readable and more
interesting. I have also tried to show more clearly its relevance
to managerial and organizational practice. Some mathematical
derivations have been moved to appendices. Certain sections that
may be skipped in a first reading have been starred. Points that
should be of interest to management include * the nature and
necessity of rank (4. 1, 4. 2, 4. 4) rank assignment by counting up
or down (4. 3) defining an organization's task (6. 2) calculating
the required size of an organization (6. 3) * allocating
supervisors in the short run (6. 7) when uniform spans of control
are desirable (6. 8) * how to estimate an organization's implicit
span of control (7) determining the minimal ranks in supervision
(8. 3) * the advantage of flexible department lines (8. 4)
measuring the leanness of an organization (8. 5) the relationship
between average wage and unit labor cost (10. 2) job allocation in
the short run (10. 4) * calculating the cost of supervision for
particular jobs (10. 5) * recognizing economic choices in
substituting managers for operatives or vice versa (11) *
determining the optimal size of a research team (12) VI * setting
targets (13. 1) * budgeting under full information (13. 2) *
budgeting under imperfect information (13. 3) * sources of
information loss (14.
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