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Presentation of the structure and culture in an organization.

Presentation of the structure and culture in an organization.

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  • 1. ORGANISATION Structures and Cultures
  • 2. Topics to be covered…
    • Elements of Organisational Structure
    • Common Organisational Designs
    • Characteristics of Organisational Culture
    • Functions of Organisational Culture
    • Types of Organisational Culture
  • 3. Organisational Structure
  • 4. Elements of Organisational Structure
      • Work Specialisation
    • The process of division of labour or is known as work specialisation.
  • 5. Advantages and Disadvantages of Work Specialisation
    • Increases work efficiency and productivity
    • Repetitive performance increases employee skills
    • Less time is spent in changing tasks.
    • It is easier and costs less
    • Causes boredom
    • Causes fatigue and stress
    • Increases absenteeism
    • Increases employee turnover
  • 6. Elements of Organisational Structure
      • Chain of Command
    • Chain of Command is an unbroken line of authority that extends from the top of the organisation to the lowest employee.
  • 7. Chain of Command
    • Authority of Command
    • Authority is the rights given to a person in the chain of command to give orders and expect them to be obeyed.
    • Unity of Command
    • Unity of Command states that a person should have one and only one superior to whom they must report.
  • 8. Elements of Organisational Structure
      • Span of Control
    • Span of control is the number of subordinates in an organisation who are supervised by managers.
    • The span of control determines the number of levels and managers in an organisation.
  • 9. Elements of Organisational Structure
      • Centralisation and Decentralisation
    • In centralised organisaions the top management makes all the key decisions.
    • In decentralised organisation the lower-level personnel have a greater say in decision making.
  • 10. Elements of Organisational Structure
      • Formalisation
    • Formalisation is the degree to which jobs within an organisation are standardised.
    • On highly formalised jobs employees are merely expected to follow rules and instructions laid down without much or any freedom.
  • 11. Elements of Organisational Structure
      • Departmentalisation
    • In departmentalisation jobs are grouped together so that common tasks can be coordinated.
  • 12. Departmentalisation
      • Functional Departmentalisation
  • 13. Departmentalisation
      • Product Departmentalisation
  • 14. Departmentalisation
      • Geographical Departmentalisation
  • 15. Departmentalisation
      • Process Departmentalisation
  • 16. Departmentalisation
      • Customer Departmentalisation
  • 17. Common Organisational Designs
    • When the elements of orgainsational structure are coordinated together in an appropriate manner they form an Organisational Design
    • Some of the common Organisational Designs are:
    • The Simple Structure
    • The Bureaucracy
    • The Matrix Structure
  • 18. Common Organisational Designs
      • The Simple Structure
      • A simple structure organisation is usually a small informal organization in which there is a single individual with unlimited power
      • Following are the main characteristics:
      • It has a low degree of departmentalisation
      • Authority is centralised in a single individual
      • It is a ‘flat’ organisation
      • There is very little specialisation or formalisation
  • 19. Advantages and Disadvantages of The Simple Structure
    • They are fast and flexible.
    • They are able to respond quickly to the changes in the environment.
    • They are risky organisations as everything depends on one person.
    • As the organisation grows, it leads to information overload on a single individual.
    • Increase in size leads to a slower decision-making process
  • 20. Common Organisational Designs
      • The Bureaucracy
    • Characteristics of a Bureaucracy:
    • Employees perform highly routine tasks
    • High level of specialisation and employees are grouped into functional departments
    • There are many formalised rules and regulations and authority is centralised
    • Decision making follows a chain of command and hence can be slow
  • 21. Advantages and Disadvantages of The Bureaucracy
    • High level of standardisation leads to high efficiency in performances of activities of employees.
    • It can be managed by less talented and less costly managers
    • High levels of specialisation reduces production costs
    • High levels of specialisation leads to conflicts between functional units
    • In bureaucratic organisations there is an obsessive concern for rules
    • There is no scope for modification
  • 22. Common Organisational Designs
      • The Matrix Structure
    • The matrix structure combines two forms of departmentalisation, functional and product.
    • In the matrix design there are three major roles:
    • Two-Boss Managers
    • Matrix Bosses
    • Top Leader
  • 23. Advantages and Disadvantages of The Matrix Structure
    • Facilitates coordination
    • Exhibits flexibility
    • Encourages better communication
    • Leads to power struggle
    • Unclear expectations creates ambiguity
    • Role-conflict causes frustration and stress
  • 24. Organisational Culture
  • 25. Characteristics of Organisational Culture
      • Innovation
    • Some organisations encourage its employees to be creative and generate new ideas.
    • However there are other organisations that expect the employees to go strictly by the rules laid down by the company’s manual.
  • 26. Characteristics of Organisational Culture
      • Stability
    • Some organisation emphasize on maintaining the status quo. That is, they prefer to maintain a stable and predictable environment.
    • On the other hand some organisation encourage change and resist too much stability.
  • 27. Characteristics of Organisational Culture
      • People Orientation
      • It is the degree to which the management takes into consideration the effect a decision will have on its people before a decision is made.
      • For example, Infosys Technologies views its employees as assets and decision are made only after considering what impact it will have on its “assets”.
  • 28. Characteristics of Organisational Culture
      • Result Orientation
      • It is the degree to which management focuses on results rather than methods used to obtain results.
      • For example, Reliance Industries is often described as a result oriented company.
  • 29. Characteristics of Organisational Culture
      • Team Orientation
    • It is a degree to which work activities are organised around teams rather than individuals.
    • For example, most software companies emphasize team approach towards work.
  • 30. Characteristics of Organisational Culture
      • Easygoingness
      • In some organisations the work atmosphere is relaxed and laid back whereas in some organisations the work atmosphere is charged, aggressive and competitive.
      • For example, public sector banks in India have a very easy going attitude towards work.
  • 31. Characteristics of Organisational Culture
      • Attention to Detail
      • It is the degree to which employees in the organisation are expected to show precision, anlysis and attention to detail.
  • 32. Functions of Organisational Culture
      • Positive Functions
      • Sense of identity:
      • When employees develop a sense of belongingness to the organisation they feel themselves part of the larger family.
  • 33. Functions of Organisational Culture
      • Positive Functions
      • Commitment to the organisation's mission:
      • Culture reminds people what their organisation is all about and encourages greater commitment to the organisation goals and missions.
  • 34. Functions of Organisational Culture
      • Positive Functions
      • Appropriate Standards of Behaviour:
      • Organisational Culture guides the words and deeds of employees.
      • Culture tells the employees what the should or should not do in a
      • given situation. Thus Organisational Culture is an important force
      • influencing behavior.
  • 35. Functions of Organisational Culture
      • Shortcomings of Organisational Culture
      • Barrier to change
      • Organisational practices which were previously successful may now
      • prove to be the cause of failure. Under such circumstances
      • Organisational Culture becomes a burden.
  • 36. Functions of Organisational Culture
      • Shortcomings of Organisational Culture
      • Barrier to diversity
      • Organisations hire individuals with diverse background because they
      • bring various strengths to the workplace. But often strong cultures
      • result in organisations becoming insensitive to people who are
      • different.
  • 37. Functions of Organisational Culture
      • Shortcomings of Organisational Culture
      • Barrier to mergers and acquisitions
      • Often mergers and acquisitions are not successful because of the
      • diverse culture of the two organisations.
      • For example, due to their different work cultures, managers face a lot
      • of problems when a public sector company is taken over by a private
      • sector company.
  • 38. Types of Organisational Culture
      • Dominant Cultures
      • The dominant culture is the core values and dominant beliefs
      • that are generally shared throughout the organisation.
      • When we talk about organisational culture, we refer to the
      • dominant culture prevailing in the organisation.
  • 39. Types of Organisational Culture
      • Subcultures
      • Subcultures are minicultures within an organisation. These
      • minicultures operate within the larger, dominant culture.
      • Subcultures are usually an outcome of occupational,
      • professional, functional differences or geographic distances.
  • 40. Types of Subcultures
      • Academy
    • Organisations with this kind of a culture hire new college
    • graduates and train them in a wide variety of jobs. Such an
    • organisational culture provides the employees with opportunities to master different jobs.
  • 41. Types of Subcultures
      • Club
    • Organisations that are highly concerned with getting people to fit in and be loyal are referred to as a club. The organisation promotes form within and highly values seniority.
  • 42. Types of Subcultures
      • Baseball Team
    • In such cultures employees tend to be entrepreneurs who are willing to take risks and are handsomely rewarded for their success.
    • This type of culture exists in fast-paced high-risk organisations such as investment banking, advertising.
  • 43. Types of Subcultures
      • Fortress
    • The fortress type of culture exists in organisation that are facing a hard time in fighting for their survival.
    • Employees who enjoy the challenge of fighting with their backs against the wall and do not mind the lack of job security enjoy working in this kind of culture.
  • 44. Conclusion
  • 45. Activity