According to Max Weber, bureaucracy is the most efficient and most rational known means of exercising authority over human beings (Weber, p223). Further it is reliable, precise and stable, these are all terms that are desired for large complex organizations that need to control vast amounts of employees. Bureaucracy is based on legitimate authority, those that are being controlled by others; accept oppression as part of the work along. There are several characteristics that mold a particular organization into following the bureaucracy model, such as, rules, hierarchy, salaried careers, written documents and appointment. These characteristics serve as a guideline, or an owner's manual of sorts that has a pre

As stated above, direct sales people are employees of the company also called internalized labor. The major advantage to having this type of labor is that it is easier to control because they are integrated in the company. Another advantage to internalized labor is long term meaning employees stay in the organization, they want the security of working for a company that will pay them paycheck whether they have been successful in selling a product or not. Another benefit is keeping critical people that are key to the operations and/or have a specific knowledge of task. The disadvantages include costly overhead, metering costs and mediocre performance. It costs a company a lot of money to employee a full-time person along with benefits and a retirement. Employees expect some kind of security and loyalty from the company even in difficult times. All these costs do not guarantee that the employee will perform well; in fact, most employees do the minimum amount to receive a paycheck.

To externalize labor means to outsource labor, which is done by on a contractual basis either by a large company specializing in a vast array of products or by an independent person. These outside agents are responsible for selling products for a company but are not part of the company's integration structure. They are not salaried but are employees working on a commission only basis. In fact, these repres

Some topics in this essay:
Theory Defined, Max Weber, Cost Agency, , Estate Agents, sales force, externalized labor, agency theory, Mary Kay, 234 internal sales, anderson 234 internal, internal labor, sell product, internal sales, bureaucracy organization, internalized labor, 234 internal, independent contractors,