Organisation Theory and Design
-
Upload
ankitnagrath -
Category
Documents
-
view
217 -
download
0
Transcript of Organisation Theory and Design
-
8/10/2019 Organisation Theory and Design
1/39
ORGANISATION
THEORY AND DESIGN
-
8/10/2019 Organisation Theory and Design
2/39
-
8/10/2019 Organisation Theory and Design
3/39
What is an Organization?
An organization is a-
consciously coordinatedsocial entity,
with relatively identifiable boundary that
functions on a relatively continuous basis for
the achievement of a common goal.
-
8/10/2019 Organisation Theory and Design
4/39
WHY ORGANIZATIONS
mission
goals
objectives
-
8/10/2019 Organisation Theory and Design
5/39
Organizations have missions but
individuals have visions.
-
8/10/2019 Organisation Theory and Design
6/39
Goals
desired state of affairs which the organization
attempts to realize
They refer to future desired results.
Present efforts are directed to these futuredesired results
And goals are predetermined.
-
8/10/2019 Organisation Theory and Design
7/39
-
8/10/2019 Organisation Theory and Design
8/39
Missions are statements of dedication.
Goals are statements of commitment.
Objectives are statements of intentions.
-
8/10/2019 Organisation Theory and Design
9/39
Organization Structure
Made to achieve organizational objectives
Control and coordinate activities of employees
-
8/10/2019 Organisation Theory and Design
10/39
Dimensions of Structure
Hierarchical
Functional
Centrality
-
8/10/2019 Organisation Theory and Design
11/39
Organization Structure
net works of formally sanctioned and relatively
durable relationship between individual and
work group, between individual and machine
and between individual and organizationalarrangements.
-
8/10/2019 Organisation Theory and Design
12/39
Organization Design
Management side
Constructing or changing an organizations
structure to achieve its goals.
-
8/10/2019 Organisation Theory and Design
13/39
-
8/10/2019 Organisation Theory and Design
14/39
Systems
A set of interrelated and interdependent parts
arranged in a manner that produces a unified
whole.
Eg Societies, Automobiles, Human body
-
8/10/2019 Organisation Theory and Design
15/39
Open Systems
Environment
Input Conversion Output
Feedback
-
8/10/2019 Organisation Theory and Design
16/39
Differentiation & Integration
Specialised functions are Differentiated
Then integrated
-
8/10/2019 Organisation Theory and Design
17/39
Inputs(Goal
Oriented)
Outputs(External
ToOrgnzn.)
Planning
Organizing
Staffing
Leading
Controlling
Product/Services,
Profits, Customer &
Societal satisfaction,
Other Long-term Goals
Man, Machine
Material,
Method,
Measurement
Stake holder Feedback (reenergizing the system)
EXTERNAL ENVIRONMENT(Opportunities, Constraints)
StakeholdersShareholders;
Society; Customers;
Employees; Suppliers
Organizations as Open Systems
-
8/10/2019 Organisation Theory and Design
18/39
Organizations as systems
Environment Awareness
Feedback
Cyclical character
Negative Entropy
-
8/10/2019 Organisation Theory and Design
19/39
Characteristics of structure
Allocate responsibilities
Designates reporting relationship
Legitimizes authority to award or punish
Ensure smooth flow of communication
Uncertainty avoidance
-
8/10/2019 Organisation Theory and Design
20/39
Lack of clearly defined structures
Motivation and morale
Delay in decision making
Loss of opportunities
-
8/10/2019 Organisation Theory and Design
21/39
Over defined structures
Rigidity
Status demarcation
Distort error correcting mechanism
-
8/10/2019 Organisation Theory and Design
22/39
Informal
formal
-
8/10/2019 Organisation Theory and Design
23/39
Flat Tall
-
8/10/2019 Organisation Theory and Design
24/39
Implementing Structure
Planning (bounded rationality)
Organizing
Staffing
Controlling
Monitoring
evaluating
Implementation
-
8/10/2019 Organisation Theory and Design
25/39
THEORIES OF DESIGNOPTIONS
-
8/10/2019 Organisation Theory and Design
26/39
-
8/10/2019 Organisation Theory and Design
27/39
Rational Sys tem Model
Self Sufficient
Perfect
Little human Interference
Adam Smith
Max Weber
Fredrick Taylor
-
8/10/2019 Organisation Theory and Design
28/39
DIVISION OF LABOUR (Adam
Smith)
One man makes one pin a day.
One man draws out the wire another straightens it, a third cuts it, a fourthpaints it , a fifth grinds it at the top for receiving the heads; to make thehead requires two or three distinct operations; to put it on is a peculiar
business, to whiten the pin is another, it is even a trade by itself to put theminto the paper, and the important business of making the pin is., in thismanner divided into about eighteen distinct operations
Result
Upwards of 48000 pins a day by 10 people
-
8/10/2019 Organisation Theory and Design
29/39
One person cannot perform al l the
operat ions
Each job requ ires special ski l ls
Repet it ion in creases eff ic ienc y
a high degree of departmentalization and
differentiation of both horizontal and verticalkind
-
8/10/2019 Organisation Theory and Design
30/39
BUREAUCRACY (Max Weber)
Bureaucracy was developed as an ideal type
that is perfectly rational and provides
maximum efficiency of operation
Hierarchy o f Struc ture
Rules and Regu lat ions
Impersonal izat ion
-
8/10/2019 Organisation Theory and Design
31/39
SCIENTIFIC MANAGEMENT (Fredrick
Taylor)
Develop clearly stated rules and principles to replacethe old rule of thumb methods.
Select the "best" person, and train and develop himrather than choosing the untrained and any person.
Monitor their performance closely. Divide tasks and responsibilities equally between
workers and managers.
Use the following scientific methods to improve
efficiency: Economy of mot ion
Time Stud y
Ind us tr ia l Engin eer ing
-
8/10/2019 Organisation Theory and Design
32/39
Science of Shoveling
Piece-rate System
-
8/10/2019 Organisation Theory and Design
33/39
Failure ofRational
System
Social
System
-
8/10/2019 Organisation Theory and Design
34/39
Social System
Human Relations School
Hawthorne Studies by Elton Mayo,
Adhocracy by Henry Mintzberg, and
Theory Z by William Ouchi
-
8/10/2019 Organisation Theory and Design
35/39
Social System
People do not really dislike their work. The expenditure ofphysical and mental effort is as natural as play or rest
Since they enjoy their work, they do not have to be inducedor forced to work.
They do not necessarily avoid responsibility but take it moreseriously. There is no need to breathe down on their neck asthey do not have to look for directions.
People are quite capable of innovation and responding to thechallenges of work.
KYOTO
http://localhost/var/www/apps/conversion/tmp/scratch_1/Kyoto.docxhttp://localhost/var/www/apps/conversion/tmp/scratch_1/Kyoto.docx -
8/10/2019 Organisation Theory and Design
36/39
Adhocracy
teams of professionals getting together for a
specific task It is a time-bound, task-bound system based on the need of the
assignment.
Decision-making processes are highly decentralized.
As it has professionals who are experts, it has a high degree of
horizontal differentiation.
there are no formal rules of conduct or operations.
rules of hierarchy do not apply.
the focus is on innovation under time and facilities constraints.
It is best suited to technology that is non-routine
Th A Th J Th Z
-
8/10/2019 Organisation Theory and Design
37/39
Theory A Theory J Theory Z
Term of Employment
career path
decision making
Responsibility
appraisal
formal appraisal
promotion
concern for people
-
8/10/2019 Organisation Theory and Design
38/39
-
8/10/2019 Organisation Theory and Design
39/39