System 4

System 4 is the code Rensis Likert gave to the future of organisations moving away from the bureaucratic model of Max Weber, which he referred to as System 1. Likert used a psychological analysis of organisations and conducted extensive research using questionnaires that try to locate the extent to which organisations are compliant with system 1, system 4, or in between.

The Four Basic systems of Organization Likert outlined are:: SYSTEM 1: Exploitive Authoritative - management uses fear and threats; communication is top down.: SYSTEM 2: Benevolent authoritative - management uses rewards; communication upward is censored or restricted.: SYSTEM 3: Consultative - management offers rewards and sometimes punishments; broader communication stream downward, upward is cautious.: SYSTEM 4: Participative Group – team oriented; free communication cooperative.

Three Key Elements of The System 4 Management Model: A. The Manager’s use of the principle of Supportive Relationships: B. The use of Group Decision Making in an overlapping group structure: C. The Manager’s high performance goals for the Organization

Rensis Likert's Systems 1 to 4: [http://www.change.freeuk.com/learning/business/systems1to4.html]