Transcript Chapter15
Learning Objectives: Understand The Idea Behind Analyzing Organisational Design Understand The Meaning And Significance Of Organisational Design Explore What Managers Can Achieve Through Organisational Design Understand The Factors Affecting Organisational Design Explore Trade-Offs Involved In And Ways To Achieve And Maintain Effective Organisational Designs Explore various structural options useful in enhancing organisational effectiveness Organisational Design usually refers to the process of “devising structures to attain goals."If the organisation is a deliberately created entity to accomplish a goal or purpose, organisational design is the process of orchestrating the structure, systems and people so that the systematically organized effort can be effective In other words, organisational design is a process that allows the task, technological and social environments to interact in a complex and not very predictable way, out of which emerges a form of the organisation The structure Defines the formal channels of reporting, and allocation of authority and responsibility for performing tasks as determined by the technology adopted Systems and Procedure Consist of wide range of chosen methods of doing things such as processing information, decision making and taking action Values and Culture The commonly shared core and basic values of the organisation, which can be created and maintained especially through role modeling, as well as through various systems and procedures This means that we need to examine how individuals process information within their informational and social networks – known as social information processing, which gives us the culture and climate of the organisation The basic Social Information Processing Model has the following features: Job characteristics are not given but are constructed Individual behaviour is part of collective perception of people in a group, which is known as ‘Enactment Information is processed socially by an individual The design implication of social information processing approach is that one needs to understand how information flows and is processed using social networks within the organisation. So an effective design of the organisation is an overlap between rational design of job characteristics and social cues. Determine what would be the structure and major processes of an organisation, namely the task and support systems, business and support processes Ensure that member activities are adequately coordinated and integrated in relation to the purpose of the organisation Achieve and maintain appropriate control over member activities in the organisation Influence member motivation and commitment towards organisational goals Provide necessary and key interfaces with the organisation’s environment, especially with the important stakeholders – the customers and the markets, government, key suppliers, interest and pressure groups, trade unions as well as media and community leaders. Achieve innovation and flexibility, and retain capacity for responding adequately to the needs for change Effectively integrate the basic elements of the organisation Environment Age and Size Strategy, technology, and the scale and complexity of the task chosen by the organisation People and Power Shared Values, beliefs and Attitudes Designing for strategic and operational management control Designing for Coordination and integration Designing for handling routine as well as non-routine information Designing for buffering the core of the organisation from overload of information Designing for motivation and commitment Designing for innovation and flexibility Retaining Design Effectiveness Maximizing economic value of the operation, emphasize financial measures that focus improvement of bottom-line, focus financial performance of individual activity, use multi disciplinary teams, integrate data through MIS etc. Factors the influence organisations in India the structures of The owners need to realize that even their self interest is likely to be best served by taking better care of their workers. This is known as the position of enlightened self-interest Large, public sector organisations need to reduce their inability to generate appropriate return on their investment and adequate stream of income. They have an advantage in terms of power, access to resources and the infrastructure