Bureaucracy

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aprile 10, 2026

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aprile 10, 2026

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"The great defect of scale, of course, which makes the game interesting — so that the big people don't always win — is that as you get big, you get the bureaucracy. And with the bureaucracy comes the territoriality — which is again grounded in human nature. And the incentives are perverse. For example, if you worked for AT&T in my day, it was a great bureaucracy. Who in the hell was really thinking about the shareholder or anything else? And in a bureaucracy, you think the work is done when it goes out of your in-basket into somebody else's in-basket. But, of course, it isn't. It's not done until AT&T delivers what it's supposed to deliver. So you get big, fat, dumb, unmotivated bureaucracies. They also tend to become somewhat corrupt. In other words, if I've got a department and you've got a department and we kind of share power running this thing, there's sort of an unwritten rule: "If you won't bother me, I won't bother you and we're both happy." So you get layers of management and associated costs that nobody needs. Then, while people are justifying all these layers, it takes forever to get anything done. They're too slow to make decisions and nimbler people run circles around them. The constant curse of scale is that it leads to big, dumb bureaucracy — which, of course, reaches its highest and worst form in government where the incentives are really awful. That doesn't mean we don't need governments — because we do. But it's a terrible problem to get big bureaucracies to behave."

- Bureaucracy

• 0 likes• law• business• management• political-systems• organizational-theory•
"The state—or, more precisely, the Communist Party—has no choice but to accommodate this new class because it depends on it to stay in power. And under Communism, the officialdom grows by leaps and bounds for the simple reason that inasmuch as all aspects of national life, the economy very much included, are taken over by the state, it requires a large bureaucracy to administer it. This bureaucracy is the favorite scapegoat of every Communist regime, yet none can manage without it. In the Soviet Union, within a few years of the Bolshevik coup d’état, the regime began to offer unique rewards to its leading cadres, which in time evolved into the nomenklatura, a hereditary privileged caste. This spelled the end of the ideal of equality. Thus to enforce the equality of possessions it is necessary to institutionalize inequality of rights. The contradiction between ends and means is built into Communism and into every country where the state owns all the productive wealth. True, periodic attempts have been made to shake off the grip that the Communist officialdom secured on the state and society. Lenin and Stalin tried purges, which under Stalin led to mass murder. Mao launched his “Cultural Revolution” to destroy entrenched party interests. None of these attempts succeeded. In the end, the nomenklaturas won out because without them nothing would work."

- Bureaucracy

• 0 likes• law• business• management• political-systems• organizational-theory•