According to Chester Barnard’s Acceptance Theory of Authority, managerial authority is effective only when:
AIt is enforced through formal legal punishment
BSubordinates understand, accept, and voluntarily comply with orders
CIt comes directly from executive board appointments
DIt is accompanied by immediate financial bonuses
Explanation
• Chester Barnard’s Acceptance Theory of Authority posits that authority flows upward, originating from subordinates accepting a manager’s order.
• Subordinates comply if they understand the order, find it consistent with personal/organizational goals, and are physically/mentally able to perform it.
• He introduced the concept of ‘Zone of Indifference’, where orders are accepted without conscious questioning.
Exam Relevance
- Topic: Principles of Management
- Subtopic: Barnard Acceptance Theory
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