Professional Documents
Culture Documents
Definition
Chapter One . Social entity
. Goal-directed
. Designed as deliberately structured and
Organizations and coordinated activity system
Organization Theory . Linked to the external environment
1
Importance of Organizations
(cont’d) Organization Theory in Action
Topics
Adapt to and influence a changing
environment Current Challenges
Create value for owners, customers and Global Competition
employees Ethics and and Social Responsibility
Accommodate ongoing challenges of Speed of Responsiveness
diversity, ethics, and the motivation and The Digital Workplace
coordination of employees Diversity
An Open System
Perspectives on Organizations and Its Subsystems
Environment
Production,
Boundary Boundary
Subsystems Spanning
Maintenance,
Spanning
Adaptation,
Management
2
Structural and Contextual Interacting Contextual and Structural Dimensions of
Organisation Design
Dimensions
Structural Contextual
Goals and
Dimensions Dimensions Strategy
Environment Size
Formalisation 1. Size
Specialisation 2. Organisation
Culture Technology
Hierarchy of technology Structure
1. Formalization
authority 3. Environment 2. Specialization
Centralisation 4. Goals and Strategy 3. Hierarchy of Authority
4. Centralization
Professionalism 5. Culture 5. Professionalism
6. Personnel Ratios
Personnel ratios
3
The Evolution of Organisation The Evolution of Organisation
Theory and Design Theory and Design
Administrative Principles The Hawthorne Studies
Looked at the design and functioning of the Chicago electricity company
organisation as a whole. Characterised by rules.
Positive treatment of employees improved
Work pioneered by Fayol
their motivation and productivity
Gave rise to bureaucractic organisation – which
emphasised designing and managing organisations on Gave rise to human relations and
an impersonal, rational basis through such elements as behavioural approaches
clearly designed authority and responsibility, formal
recordkeeping, and uniform application of standard
rules
Vertical Horizontal
Structure Structure
Source: Adapted from David K. Hurst, Crisis and Renewal: Meeting the Challenge of Organizational Change (Boston, Mass.: Harvard Business School)