Rational organization

Employee’s duties to firm

Base on the rational model of a business organization the duties that firm or company’s load in
to their employees are the employee have to work to get the goal of the firm and doing all of
their job within the rules that apply in the firm. For example the staff of finance have to work
well to make a financial report, analyze the expenditure and make sure that the company have
profit of it.

Law of agency
The part of the law that specifies the legal duties of “agents” toward their principals or their
bosses. These traditional views of the employee is naturally following the “law of agency”, simply
because the law of agency must have the same idea with the firm’s goal. So when the employee
and also all of people who work in the company which mean they are committed to get the goal
of the company the law of agency should be parallel with the target of the firm.

Firm’s duties to employees

If we take a look on the theories it’s clear that the duties of firm to their employees are given
what the right of the employees and explain clearly what the employee’s responsibility in the
company is. The right of employees that should firm fulfill such as give the training for the
employees to increase employees’ performance, give the paid leave who’s appropriate with the
regulation that applied in the country. Or give the real reward for every development that
employees shows.
Caring organization:
Plus: when the chef of the company apply the caring organization it’s make the employees happy
to work in the company because they treated like a family, the good side for company is low
turnover
Minus : When the climate of the company is like a family, the side effect of it is make the
employees having trouble to distinguish which time they must be serious and professional , which
time they can having fun in office.