RATIONALIZATION

Rationalization

Rationalization

Introduction

Rationalization in an organization refers to a situation within the organization that pursues a variety of specific objectives and display formal structures. The main aim of implementing or incorporating rationalization within the activities of an organization is to work together and achieve the common objectives of the organization. In a practical manner, it is clear that people come together for a particular reason and establish an organization to achieve a set of desired objectives (Daft, 2010, pp. 58). The focus of this paper is to identify and discuss the advantages and disadvantages of implementing rationalization in case of Junction Hotel which is aimed towards reduction of costs.

Discussion

Overview of Junction Hotel

Junction Hotel is seen to be an up market hotel which is situated in a major city centre location. This hotel came into existence in the decade of 1950, but it experienced various changes as far as ownership is concerned. The marketing line of the Junction Hotel has been termed as “An oasis of calm in the city”. The hotel consists of 100 rooms which are decorated expensively and the facilities in the room provide a comfortable stay for the customers who stay at this hotel. In addition to this, the hotel also provides fitness suite along with sauna, and a swimming pool. There is also a restaurant owned by the Junction hotel which is open to the public.

Origin of the Concept of Rationalization

The American scientists of sociology started studying organizational theory in the decade of 1950. It was very significant through the researches and studies of Max Weber and Frederick Taylor that there are different theories about how organizations work. This was the period when the scholars looked at the subject of organizations from a social perspective with a distinctive function and structure (Spiegler, 2011, pp. 92). After this, a number of studies were conducted on the concept of rationalization within organizations and implementing it for effectiveness of the organizational operations.

Characteristics of Rationalization

The foundation of the rational organization theory is the idea of rationality. Rationality is a manner in which the individuals make their decisions. It is believed that an individual makes rational decisions when he considers the quantitative observable data for determining the most suitable actions. It is also very important to understand that rational decisions do not involve irrational, emotional or subjective evidence into consideration. It is observed that individuals involve themselves in rational decision making to get the best outcome and nothing less than that.

In the case of an organization, the desire to be as efficient as possible refers to a rational organization. The rational organization theory views an organization as a mechanism with a number of different parts. It is very important for the managers to twist any part that does not function at its peak for increasing the efficiency of the organizational operations. The long term development of the organizations could also be controlled and modified for the achievement of the goals and objectives of an organization (Halpern, 1998, ...