In this perspective, Dunlop analyzes industrial relations systems as a subsystem of society. An industrial relations system at any one time in its development is regarded as comprised of certain actors, certain contexts, an ideology which binds the industrial relations system together and a body of rules created to govern the actors at the workplace and work community.

1. Dunlop’s System Theory (1958)
Theories of Industrial Relations

2. Prepared By
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Manu Melwin Joy
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Ilahia School of Management Studies
Kerala, India.
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3. Dunlop’s System Theory (1958)
• In this perspective,
Dunlop analyzes
industrial relations
systems as a
subsystem of society.

4. Dunlop’s System Theory (1958)
• An industrial relations system at
any one time in its
development is regarded as
comprised of certain actors,
certain contexts, an ideology
which binds the industrial
relations system together and a
body of rules created to govern
the actors at the workplace and
work community.

5. Dunlop’s System Theory (1958)
• IR = f(a,t,m,p,i)
– a = Actors, employers,
workers and government.
– t = technological context.
– M = Market context.
– p = Power context.
– i = Ideological context that
helps to bind them together.

6. Dunlop’s System Theory (1958)
• a = refers to the undernoted
actors in the IR drama.
– A hierarchy of managers and
their representatives in
supervision.
– A hierarchy of workers and any
spokesmen.
– Specialized government
agencies created by the first
private agencies.

7. Dunlop’s System Theory (1958)
• The significant aspects of
the environment in which
the actors interact are :
– The technological
characteristics of the
organization, the workplace
and work community.

8. Dunlop’s System Theory (1958)
• The significant aspects
of the environment in
which the actors interact
are :
– The market or budgetary
constraints which impinge
on the actors.

9. Dunlop’s System Theory (1958)
• The significant aspects
of the environment in
which the actors
interact are :
– The locus and
distribution of power in
the larger society.

10. Dunlop’s System Theory (1958)
• The significant aspects of
the environment in which
the actors interact are :
– An ideology or set of ideas
and beliefs, commonly held
by the actors, helps to bind
or integrate the system
together as an entity.

11. Dunlop’s System Theory (1958)