Learning organizations

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Learning organizations

  1. 1. Group One<br />BASIC ORGANIZATION DESIGNS<br />V<br />
  2. 2. CHAPTER’S OVERVIEW<br />
  3. 3. <ul><li>Foundations of organizational structure and its key components
  4. 4. What determines the type of organizational structure/its contingencies
  5. 5. Application of Organization Structures
  6. 6. Learning organization- the mind-set and shared values within the organization </li></li></ul><li>Companies’ Overview <br />
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  27. 27. Foundations of Organization Structureand Its Key Components<br />
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  29. 29. Organizational Design<br /> The SIX Elements of Organizational Structure<br />LG1<br />The process in which managers develop or change their organization’s structure<br />Organisational structure- A formal system of working relationships that both separates tasks and integrates tasks<br />
  30. 30. The SIX Elements of Organizational Structure<br />LG1<br />Specialization/Division of Labour<br />Chain of Command<br />Span of Control<br />Authority and Responsibility<br />Centralization versus Decentralization<br />Departmentalization <br />
  31. 31. Specialization <br />The process of identifying a particular tasks and assigning them to individuals or work groups who have been trained to do them/best suited for them<br />Candidate Service Team<br />Client Service Team<br />
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  37. 37. The SIX Elements of Organizational Structure<br />LG1<br />Specialization/Division of Labour<br />Chain of Command<br />Span of Control<br />Authority and Responsibility<br />Centralization versus Decentralization<br />Departmentalization <br />
  38. 38. Chain of command<br />The continuous line of authority that extends from the highest levels in an organization to the lowest level and clarifies who reports to whom<br />Unity of Command <br />
  39. 39. The SIX Elements of Organizational Structure<br />LG1<br />Specialization/Division of Labour<br />Chain of Command<br />Span of Control<br />Authority and Responsibility<br />Centralization versus Decentralization<br />Departmentalization <br />
  40. 40. Span of Control<br />The number of subordinates a manager can direct efficiently and effectively<br />
  41. 41.
  42. 42. The SIX Elements of Organizational Structure<br />LG1<br />Specialization/Division of Labour<br />Chain of Command<br />Span of Control<br />Authority and Responsibility<br />Centralization versus Decentralization<br />Departmentalization <br />
  43. 43. Authority and Responsibility <br />The rights inherent in the managerial position to give orders and expect them to be obeyed<br />Or<br />The right to decide and to act<br />Responsibility is the obligation to perform assigned activities <br />Spiderman: With great power comes………<br />Power vs. Authority<br />
  44. 44. Line authority<br />Staff authority <br />Line authority<br />
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  46. 46. Line authority<br />Staff authority <br />Line authority<br />
  47. 47. Types of Power<br /> Coercive<br /> Reward <br /> Legitimate <br /> Expert <br /> Referent <br />
  48. 48. The SIX Elements of Organizational Structure<br />LG1<br />Specialization/Division of Labour<br />Chain of Command<br />Span of Control<br />Authority and Responsibility<br />Centralization versus Decentralization<br />Departmentalization <br />
  49. 49. Centralization versus Decentralization<br />A management approach that is characterised by authority concentrated at the top of an organization or department<br />A management approach that is characterized by a high degree of authority being delegated throughout the organization to middle and lower level managers<br />
  50. 50. Centralization <br />
  51. 51. Contemporary Management Approach<br />DECENTRALIZATION<br />
  52. 52. ?<br />
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  54. 54. The SIX Elements of Organizational Structure<br />LG1<br />Specialization/Division of Labour<br />Chain of Command<br />Span of Control<br />Authority and Responsibility<br />Centralization versus Decentralization<br />Departmentalization <br />
  55. 55. DEPARTMENTALIZATION<br /> THE BUILDING BLOCK OF THE ORGANIZATION<br />The subdividing of work and assigning it to specialized groups within an organization<br />FORMS OF DEPARTMENTALIZATION<br />Functional- grouped according to their expertise and resources they draw on/function performed<br />Product- grouped by products produced<br />Customer-grouped by activities or needs of common customers<br />Geographic/Place-grouped according to location/territories served<br />Process-grouped according to work/customer flow<br />
  56. 56. DEPARTMENTALIZATION <br />BY<br />FUNCTION<br />CUSTOMER<br />CUSTOMER<br />
  57. 57. PRODUCT<br />PROCESSES<br />
  58. 58. The SIX Elements of Organizational Structure<br />LG1<br />Specialization/Division of Labour<br />Chain of Command<br />Span of Control<br />Authority and Responsibility<br />Centralization versus Decentralization<br />Departmentalization <br />
  59. 59. RECAP/SUMMARIZE<br />Specialization <br />Chain of Command<br />Span of Control<br />Authority & Responsibility<br />Centralization versus Decentralization<br />Departmentalization<br />
  60. 60. What determines the type of organizational structure/its contingencies?<br />
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  62. 62. Contrast mechanistic and organic organizations<br />Mechanistic organisation is a structure that Is high in specialization, formulation and centralization<br />Organic organisation is a structure that is low in specialization, formulation and centralization. <br />
  63. 63. Mechanistic <br />It is RIGID - close supervision<br />Bureaucratic – authority is centralized<br />Most appropriate for Stable Environment<br />
  64. 64. Organic <br />Fluid and flexible- tasks and roles are left ambiguous to encourage innovation and quick response<br />Authority is decentralized<br />Most appropriate for unstable environments<br />
  65. 65. VS<br />
  66. 66. The effect of strategy, size, technology, and environment on the organization structures<br />As strategies move from single product, to vertical integration, to product diversification, structure must move from organic to mechanistic.<br />As size increases, so to do specialization, formalization, and horizontal and vertical differentiation. Once an organization has 2000 or more employees its fairly mechanistic.<br />
  67. 67. Divisional VS. Functional Structures<br />
  68. 68. Functional <br />Structure takes advantage of specialization and provides economies of scale by allowing people with common skills to work together.<br />Functions are simply groups based<br /> on the expertise of individuals<br />
  69. 69. FUNCTIONAL<br />FUNCTIONAL<br />
  70. 70. Divisional <br />Structure is composed of autonomous units or divisions, with managers having full responsibility for a product or service<br /> DIVISIONS<br />FUNCTIONS<br />Divisional structures are simply separate business units based on products, location or processes, within which still contains functional structures<br />
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  72. 72. MATRIX STRUCTURE<br />Simultaneously groups people and resources based on functions and product.<br />Function<br />Product <br />
  73. 73. Boundaryless organization and what elements have contributed to its development <br />An organization where members are linked by computers, fax, computer aided design systems and video teleconferencing and who rarely see each other face to face.<br />
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  76. 76. LEARNING ORGANIZATIONS<br />What is a learning organization?<br />This is an organization that has developed the <br />capacity to continuously adapt and change<br />because all members take an active role in<br />identifying and resolving work-related issues.<br />
  77. 77. TYPES OF ORGANIZATIONAL LEARNING<br />Single-loop learning is localized learning within departments or sub units of the organization but may have few or if any implications for the entire organization and policies and rules remain unchanged.<br />2. Double-loop learning occurs when a discovery or insight causes not only localized change but a general revision in corporate policy or strategy that takes into account this new insight. <br />3. Triple-loop learning goes one step further by causing management to rethink the entire business paradigm and make organizational changes based on the new insight.<br />
  78. 78. Characteristics of a Learning Organization<br />
  79. 79. ORGANIZATION CULTURE<br />What is an organizational culture?<br /><ul><li> An organization culture is a system of shared meaning within an organization that determines, to a large degree, how employees act or in other words, it gives members of an organization meaning and suggests rules for how to behave and deal with problems within the organization.
  80. 80. It is also called corporate culture and it is the firm’s shared values, beliefs, traditions, philosophies, rules and heroes.
  81. 81. The organizational culture may be expressed formally through codes of ethics, memos, manuals and ceremonies but it is more often expressed informally through dress codes, work habits, extracurricular activities and stories.</li></li></ul><li>
  82. 82. How Can Cultures Be Assessed?<br />Ten (10) Characteristics Of Organizational Culture<br />Control<br />Unit Integration<br />Member Identity <br />Group Emphasis <br />People Focus<br />Means-end Orientation <br />Open-system Focus<br />Conflict Tolerance<br />Risk Tolerance<br />Reward Criteria <br />
  83. 83. Characteristics of Organizational Culture<br />Member identity <br /> The degree to which employees identify with the organization as a whole rather than with their type of job or field of professional expertise<br />
  84. 84. Characteristics of Organizational Culture<br />Group emphasis <br /> The degree to which work activities are organized around groups rather than individuals<br />
  85. 85. Characteristics of Organizational Culture<br />People focus <br /> The degree to which management decisions take into consideration the effects of outcomes on people within the organization<br />
  86. 86. Characteristics of Organizational Culture<br />Unit integration <br />The degree to which units in the organization are encouraged to operate in a coordinated or inter-dependent manner<br />
  87. 87. Characteristics of Organizational Culture<br />Control <br /> The degree to which rules, regulations and direct supervisions are used to oversee and control employees behavior<br />
  88. 88. Characteristics of Organizational Culture<br />Risk tolerance <br />The degree to which employees are encouraged to be aggressive, innovative and risk seeking<br />
  89. 89. Characteristics of Organizational Culture<br />Reward criteria <br />The degree to which rewards such as salary increases and promotion are allocated on employees performance criteria in contrast to seniority, favoritism or other non-performance factors<br />
  90. 90. Characteristics of Organizational Culture<br />Conflict Tolerance <br />The Degree To Which Employees Are Encouraged To Air Conflicts And Criticisms Openly<br />
  91. 91. Characteristics of Organizational Culture<br />Means-end orientation <br /> The degree to which management focuses on results of outcomes rather than on the techniques and processes used to achieve those outcomes<br />
  92. 92. Characteristics of Organizational Culture<br />Open-system focus <br /> The degree to which the organization monitors and responds to changes in the external environment <br />
  93. 93. Thank you !!!!<br />

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