How Bureaucracy Impacts Decision Making in a SME
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2025-07-01
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en
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This study explores the following research question: “How does bureaucracy influence decision-making speed and autonomy in manufacturing process innovations within a SME?” The study focuses on a medium-sized manufacturer firm with approximately 150 employees. Using Mintzberg’s decision-making model (identification, development, selection) and theoretical frameworks by Mintzberg (1980), Adler & Borys (1996) and Holm et al. (2024), fifteen semi-structured interviews were conducted across different organizational levels and thematically analysed. The findings reveal that in the identification and development phases, both decision speed and autonomy are high, due to a lack of formalized procedures. During development, autonomy is slightly lower than in selection. However, in the selection phase, autonomy decreases drastically because decision authority becomes centralized. Decision speed remains high, as only one approval layer is required. This is contrary to theoretical expectations that link low autonomy with slower decision-making. The organization demonstrates an organic structure in early phases but shifts toward an autocratic (coercive) form during selection. Still, enabling elements of bureaucracy, such as internal transparency, flexibility, and problem-solving are present. Future studies could extend the findings through cross-case or quantitative approaches. Practitioners are advised to clearly define roles and responsibilities to avoid delays in the decision-making process.
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Faculteit der Managementwetenschappen