The document discusses organization architecture, which refers to an organization's formal structure, control systems, incentives, processes, culture, and people. It states that for a firm to be profitable, these elements must be internally consistent and match the firm's strategy. It then provides details on key aspects of organization architecture, including organization structure, control systems and incentives, and organizational culture. It emphasizes that all these elements should focus on enabling people to help the organization perform well.
This document outlines the strategic management model process in 6 steps: 1) strategic elements, 2) environmental and organizational analysis, 3) identification of strategic alternatives, 4) choice of strategy, 5) implementation of strategy, and 6) evaluation and control. It defines strategic management as a stream of decisions and actions to develop effective strategies to achieve corporate objectives. The process allows firms to anticipate changing conditions and provide clear direction, though conditions may change too fast for planning.
This document discusses different levels of strategy, including corporate strategy, business strategy, and functional strategy.
Corporate strategy involves top-level decisions about the overall scope and direction of a corporation. It occupies the highest decision-making level. Corporate strategies include stability, expansion, retrenchment, and combinations of those. Expansion strategies involve concentrating resources, diversifying, integrating operations, cooperating with competitors, and internationalization. Retrenchment strategies are turnaround, divestment, and liquidation.
Business strategy details how a firm provides value to customers within a specific industry. Common business strategies are cost leadership, differentiation, focused low cost, focused differentiation, and integrated low cost/differentiation.
Functional
This document discusses the relationship between strategy, leadership, and culture in organizations. It states that strategy provides long-term direction, leadership is key to implementing strategy, and culture is shaped by leaders and embodies the organization's values and practices. Effective strategic leadership requires understanding how to align strategy and culture while empowering others. The founder's leadership style often shapes the initial culture, but this may later constrain the organization if not adapted over time.
Organizational structure defines how tasks are divided and coordinated within a company. It establishes reporting relationships, decision making processes, and the degree of standardization and centralization. Common structures include functional, divisional, matrix, and network forms. Structure is important for facilitating management, encouraging growth and innovation, and optimizing human and technological resources.
Strategy implementation refers to the activities within an organization to execute its strategic plan. This involves translating the chosen strategy into organizational actions to achieve strategic goals. Key aspects of strategy implementation include developing organizational structures, control systems, and culture aligned with the strategy. It also involves assigning tasks and roles to employees to maximize efficiency, quality, and customer satisfaction. Successful strategy implementation depends on factors like organizational structure, resource allocation, leadership styles, and procedures. It is important that implementation responsibilities are shifted to divisional and functional managers who were involved in the strategy formulation process.
Learning Organizations: Strategic ManagementTriune Global
A learning organization is the term given to a company that facilitates the learning of its members and continuously transforms itself. Learning organizations develop as a result of the pressures facing modern organizations and enables them to remain competitive in the business environment.
Organization structure in international businessCitibank N.A.
The document discusses different types of organizational structures used in international business. It describes centralization versus decentralization and the tradeoffs of each. There are five main types of organizational structures covered: functional structure, international division structure, product division structure, geographic (area) division structure, and matrix division structure. Each structure has advantages and disadvantages for coordinating and responding to activities in different markets and geographies.
The document discusses various strategic management concepts including types of strategies, strategic planning process, TOWS matrix, and portfolio analysis. It defines vertical integration, intensive, diversification, and defensive strategies. The strategic planning process includes establishing a mission and objectives, analyzing the situation, formulating and implementing strategies, and controlling performance. The TOWS matrix involves analyzing strengths, weaknesses, opportunities, and threats. Portfolio analysis models like the BCG matrix classify business units as stars, question marks, cash cows, or dogs based on market growth and market share.
This document outlines the strategic management model process in 6 steps: 1) strategic elements, 2) environmental and organizational analysis, 3) identification of strategic alternatives, 4) choice of strategy, 5) implementation of strategy, and 6) evaluation and control. It defines strategic management as a stream of decisions and actions to develop effective strategies to achieve corporate objectives. The process allows firms to anticipate changing conditions and provide clear direction, though conditions may change too fast for planning.
This document discusses different levels of strategy, including corporate strategy, business strategy, and functional strategy.
Corporate strategy involves top-level decisions about the overall scope and direction of a corporation. It occupies the highest decision-making level. Corporate strategies include stability, expansion, retrenchment, and combinations of those. Expansion strategies involve concentrating resources, diversifying, integrating operations, cooperating with competitors, and internationalization. Retrenchment strategies are turnaround, divestment, and liquidation.
Business strategy details how a firm provides value to customers within a specific industry. Common business strategies are cost leadership, differentiation, focused low cost, focused differentiation, and integrated low cost/differentiation.
Functional
This document discusses the relationship between strategy, leadership, and culture in organizations. It states that strategy provides long-term direction, leadership is key to implementing strategy, and culture is shaped by leaders and embodies the organization's values and practices. Effective strategic leadership requires understanding how to align strategy and culture while empowering others. The founder's leadership style often shapes the initial culture, but this may later constrain the organization if not adapted over time.
Organizational structure defines how tasks are divided and coordinated within a company. It establishes reporting relationships, decision making processes, and the degree of standardization and centralization. Common structures include functional, divisional, matrix, and network forms. Structure is important for facilitating management, encouraging growth and innovation, and optimizing human and technological resources.
Strategy implementation refers to the activities within an organization to execute its strategic plan. This involves translating the chosen strategy into organizational actions to achieve strategic goals. Key aspects of strategy implementation include developing organizational structures, control systems, and culture aligned with the strategy. It also involves assigning tasks and roles to employees to maximize efficiency, quality, and customer satisfaction. Successful strategy implementation depends on factors like organizational structure, resource allocation, leadership styles, and procedures. It is important that implementation responsibilities are shifted to divisional and functional managers who were involved in the strategy formulation process.
Learning Organizations: Strategic ManagementTriune Global
A learning organization is the term given to a company that facilitates the learning of its members and continuously transforms itself. Learning organizations develop as a result of the pressures facing modern organizations and enables them to remain competitive in the business environment.
Organization structure in international businessCitibank N.A.
The document discusses different types of organizational structures used in international business. It describes centralization versus decentralization and the tradeoffs of each. There are five main types of organizational structures covered: functional structure, international division structure, product division structure, geographic (area) division structure, and matrix division structure. Each structure has advantages and disadvantages for coordinating and responding to activities in different markets and geographies.
The document discusses various strategic management concepts including types of strategies, strategic planning process, TOWS matrix, and portfolio analysis. It defines vertical integration, intensive, diversification, and defensive strategies. The strategic planning process includes establishing a mission and objectives, analyzing the situation, formulating and implementing strategies, and controlling performance. The TOWS matrix involves analyzing strengths, weaknesses, opportunities, and threats. Portfolio analysis models like the BCG matrix classify business units as stars, question marks, cash cows, or dogs based on market growth and market share.
This document discusses structural implementation and strategic control in organizations. It defines structural implementation as how tasks and subtasks are arranged to implement strategy. It then describes two main types of organizational structure: vertical and horizontal. Vertical structure focuses on specialization, hierarchy, and efficiency while horizontal structure emphasizes integration, flexibility, and learning. The document also notes that structure should follow strategy for economic efficiency. It outlines several common organizational structures like functional, divisional, strategic business unit, and matrix structures. Finally, it defines strategic control as managing strategic plan formation and execution, and describes different types of strategic control like premise, alert, implementation, and surveillance controls.
This document discusses emerging management issues and challenges, including changing organizational perspectives due to more flexible and temporary jobs, globalization requiring thinking globally and acting locally, quality assurance and continuous productivity improvement, ethics and social responsibility, innovation and change to keep up with new technologies and ideas, managing a diverse workforce, empowering employees, utilizing new technologies, managing relationships with customers, workplace spirituality beyond organized practices, and knowledge management through sharing and refining organizational knowledge. The presentation was given by Vishal Koirala on these topics.
Success of the organization depends on the experience and competence of the officers of the organization. Different forms of organizations are Line, military or scalar organization, functional organization, line and staff organization, committee of organization, project organization, matrix organization and freeform organization.
For more such innovative content on management studies, join WeSchool PGDM-DLP Program: http://bit.ly/ZEcPAc
This document provides an overview of strategic management. It discusses key concepts like business policy, the nature and importance of business policy, limitations of business policy, and the process of formulating business policy. It also describes strategic management in terms of its beginning with a mission statement, preparation of a business portfolio, and periodic re-evaluation. The basic model of strategic management involves environmental scanning, strategy formulation and implementation, evaluation and control, and feedback. Vision, mission, objectives, strategic decision making, global strategic management, the impacts and barriers of globalization are also summarized.
This document provides an overview of strategic management concepts including definitions of strategy, the strategic management process, and frameworks for strategic analysis. It defines strategy as a plan to achieve organizational goals. The strategic management process involves setting strategic intent through vision and mission, formulating strategy by analyzing the external and internal environment, implementing strategy, and evaluating performance. Frameworks explained include the levels of strategy (corporate, business, functional), McKinsey's 7S model analyzing seven internal elements, and forms of corporate strategies like growth, stability, and retrenchment.
The document discusses organizational structure and design. It defines organizational structure as the hierarchy of people and departments in an organization and how information flows. Structure is important as it ensures efficient operations and defines roles and responsibilities. There are different types of structures like functional, line, and matrix. Key components of structure include work specification, departmentalization, chain of command, span of control, and centralization vs decentralization. Structure influences behavior, relationships, and goal-oriented work. Proper structure is important for good performance while poor structure makes it impossible.
This document summarizes key points from a chapter on cooperative strategy. It discusses three main types of strategic alliances - joint ventures, equity alliances, and non-equity alliances. Firms use strategic alliances to gain access to new resources and markets, reduce costs and risks, and respond to competition. The chapter also covers business-level cooperative strategies like vertical and horizontal alliances used to improve performance in product markets, as well as corporate-level strategies for diversification.
This document discusses different types of organizational structures. It defines organizational structure as the framework for how managerial and operating tasks are arranged. The main organizational structures covered are: line structure, which focuses on vertical authority; functional structure, which divides the organization by specialty areas; line and staff structure, which combines line managers and specialist staff; matrix structure, with dual lines of authority for functional areas and projects; and committee structure, where decisions are made by groups. Each structure is defined and its advantages and disadvantages are outlined.
Organizational life cycle:
Organizational Birth,
Population Ecology Model of Organizational Birth, The Institutional Theory of Organizational Growth, Greiner’s Model of Organizational Growth,
Organizational Decline and Death,
Weitzel and Jonsson’s Model of Organizational Decline
This document summarizes key concepts in strategic management including:
1) Strategic management involves formulating and implementing strategies to achieve organizational goals and gain a competitive advantage.
2) Grand strategies include growth, stability, and retrenchment while global strategies include globalization, multinational, and transnational approaches.
3) Strategy formulation occurs at the corporate, business unit, and functional levels and involves analyzing strengths, weaknesses, opportunities, and threats.
4) Implementing strategies requires changes to organizational structure, leadership, culture, and information systems.
Key concepts in Organizational Development Organizational Change and Develop...manumelwin
Organization change is the process of learning and behaving differently, in order to achieve new and better outcomes, by reordering the system structures that drive behavior.
This document discusses strategies and organization structures. It defines strategy and describes corporate-level and business-level strategies. Corporate strategies like diversification affect organization design, requiring coordination or monitoring. Business strategies like cost leadership necessitate efficiency and control. The document also describes mechanistic and organic structures. A mechanistic structure is centralized and specialized, while an organic structure is decentralized and flexible. The best structure depends on the situation according to contingency theory.
The document discusses different expansion strategies that businesses can pursue. It describes concentration strategy, which involves broadening market share and increasing profits through improving existing products and introducing new products. Concentration focuses on deepening expertise within the current business and provides predictability but risks organizational inertia if overused. Other strategies mentioned include integration, diversification, internationalization, and cooperation.
The document summarizes several models of the strategic management process:
- David's model involves strategy formulation, implementation, and evaluation.
- Glueck's model includes strategic elements, analysis/diagnosis, choice, implementation, and evaluation.
- Schendel and Hofer's model incorporates planning, control, goal formulation, analysis, strategy formulation/evaluation, implementation, and strategic control.
Relationship between strategic formulation and implementationNARENDRA KUMAR
Strategic management involves identifying strategies to achieve competitive advantage and better performance. It includes strategy formulation and implementation. Strategy formulation is the process of choosing actions to realize organizational goals through evaluating the environment, setting objectives and targets. The six main steps of formulation are setting objectives, evaluation, target setting, performance analysis, and strategy choice. Strategy implementation translates strategies into actions through developing an effective organizational structure, policies, leadership and rewards to efficiently execute strategic plans. Both formulation and implementation are important for organizational success.
International marketing refers to marketing activities that cross national borders. It involves identifying foreign markets, selecting market entry strategies, and developing marketing mixes tailored to compete abroad. The main approaches are exporting, joint ventures, and foreign direct investment like assembly or manufacturing plants. Effective international marketing requires understanding differences in cultures, laws, and economies between countries while maintaining a consistent global brand. It presents new opportunities but also challenges of adapting to varied international consumer behaviors and business environments.
More companies are expanding globally due to factors like economies of scale, technology changes, and competitive forces. There are various strategies for international expansion including alliances through licensing, joint ventures, or consortia. Organizations must design structures that fit their international strategies which could include international divisions, global product/geographic divisions, or matrix structures. Coordinating globally presents challenges due to cultural differences in areas like power distance and uncertainty avoidance that influence national approaches. The transnational model promotes an integrated network where subsidiaries help initiate strategies for the whole organization.
2. IB UNIT 4 - The organisation of International Business.pptxShudhanshuBhatt1
This document discusses organizational architecture, which refers to the complete structure and design of a firm. It includes five subparts: organizational structure, control systems, incentives, processes, and organizational culture. The three dimensions of organizational structure are discussed: vertical differentiation, horizontal differentiation, and integrated mechanisms. Different types of organizational structures are explained for firms operating internationally, including functional structure, product divisional structure, international divisional structure, worldwide product divisional structure, and worldwide area structure. The need for coordination between subunits and different formal and informal integrating mechanisms are also summarized.
Organizations of international business-International businessNgoc Anh
Unilever originally had a decentralized structure from the 1950s-1970s with autonomous national subsidiaries. This allowed for localization but by the 1980s caused issues like duplication and high costs. In the 1990s, Unilever introduced business groups to reduce costs but this failed to address localization. In the 2000s, Unilever shifted to a structure with regional product divisions to balance global scale and local responsiveness needed to compete in detergents and food.
This document discusses structural implementation and strategic control in organizations. It defines structural implementation as how tasks and subtasks are arranged to implement strategy. It then describes two main types of organizational structure: vertical and horizontal. Vertical structure focuses on specialization, hierarchy, and efficiency while horizontal structure emphasizes integration, flexibility, and learning. The document also notes that structure should follow strategy for economic efficiency. It outlines several common organizational structures like functional, divisional, strategic business unit, and matrix structures. Finally, it defines strategic control as managing strategic plan formation and execution, and describes different types of strategic control like premise, alert, implementation, and surveillance controls.
This document discusses emerging management issues and challenges, including changing organizational perspectives due to more flexible and temporary jobs, globalization requiring thinking globally and acting locally, quality assurance and continuous productivity improvement, ethics and social responsibility, innovation and change to keep up with new technologies and ideas, managing a diverse workforce, empowering employees, utilizing new technologies, managing relationships with customers, workplace spirituality beyond organized practices, and knowledge management through sharing and refining organizational knowledge. The presentation was given by Vishal Koirala on these topics.
Success of the organization depends on the experience and competence of the officers of the organization. Different forms of organizations are Line, military or scalar organization, functional organization, line and staff organization, committee of organization, project organization, matrix organization and freeform organization.
For more such innovative content on management studies, join WeSchool PGDM-DLP Program: http://bit.ly/ZEcPAc
This document provides an overview of strategic management. It discusses key concepts like business policy, the nature and importance of business policy, limitations of business policy, and the process of formulating business policy. It also describes strategic management in terms of its beginning with a mission statement, preparation of a business portfolio, and periodic re-evaluation. The basic model of strategic management involves environmental scanning, strategy formulation and implementation, evaluation and control, and feedback. Vision, mission, objectives, strategic decision making, global strategic management, the impacts and barriers of globalization are also summarized.
This document provides an overview of strategic management concepts including definitions of strategy, the strategic management process, and frameworks for strategic analysis. It defines strategy as a plan to achieve organizational goals. The strategic management process involves setting strategic intent through vision and mission, formulating strategy by analyzing the external and internal environment, implementing strategy, and evaluating performance. Frameworks explained include the levels of strategy (corporate, business, functional), McKinsey's 7S model analyzing seven internal elements, and forms of corporate strategies like growth, stability, and retrenchment.
The document discusses organizational structure and design. It defines organizational structure as the hierarchy of people and departments in an organization and how information flows. Structure is important as it ensures efficient operations and defines roles and responsibilities. There are different types of structures like functional, line, and matrix. Key components of structure include work specification, departmentalization, chain of command, span of control, and centralization vs decentralization. Structure influences behavior, relationships, and goal-oriented work. Proper structure is important for good performance while poor structure makes it impossible.
This document summarizes key points from a chapter on cooperative strategy. It discusses three main types of strategic alliances - joint ventures, equity alliances, and non-equity alliances. Firms use strategic alliances to gain access to new resources and markets, reduce costs and risks, and respond to competition. The chapter also covers business-level cooperative strategies like vertical and horizontal alliances used to improve performance in product markets, as well as corporate-level strategies for diversification.
This document discusses different types of organizational structures. It defines organizational structure as the framework for how managerial and operating tasks are arranged. The main organizational structures covered are: line structure, which focuses on vertical authority; functional structure, which divides the organization by specialty areas; line and staff structure, which combines line managers and specialist staff; matrix structure, with dual lines of authority for functional areas and projects; and committee structure, where decisions are made by groups. Each structure is defined and its advantages and disadvantages are outlined.
Organizational life cycle:
Organizational Birth,
Population Ecology Model of Organizational Birth, The Institutional Theory of Organizational Growth, Greiner’s Model of Organizational Growth,
Organizational Decline and Death,
Weitzel and Jonsson’s Model of Organizational Decline
This document summarizes key concepts in strategic management including:
1) Strategic management involves formulating and implementing strategies to achieve organizational goals and gain a competitive advantage.
2) Grand strategies include growth, stability, and retrenchment while global strategies include globalization, multinational, and transnational approaches.
3) Strategy formulation occurs at the corporate, business unit, and functional levels and involves analyzing strengths, weaknesses, opportunities, and threats.
4) Implementing strategies requires changes to organizational structure, leadership, culture, and information systems.
Key concepts in Organizational Development Organizational Change and Develop...manumelwin
Organization change is the process of learning and behaving differently, in order to achieve new and better outcomes, by reordering the system structures that drive behavior.
This document discusses strategies and organization structures. It defines strategy and describes corporate-level and business-level strategies. Corporate strategies like diversification affect organization design, requiring coordination or monitoring. Business strategies like cost leadership necessitate efficiency and control. The document also describes mechanistic and organic structures. A mechanistic structure is centralized and specialized, while an organic structure is decentralized and flexible. The best structure depends on the situation according to contingency theory.
The document discusses different expansion strategies that businesses can pursue. It describes concentration strategy, which involves broadening market share and increasing profits through improving existing products and introducing new products. Concentration focuses on deepening expertise within the current business and provides predictability but risks organizational inertia if overused. Other strategies mentioned include integration, diversification, internationalization, and cooperation.
The document summarizes several models of the strategic management process:
- David's model involves strategy formulation, implementation, and evaluation.
- Glueck's model includes strategic elements, analysis/diagnosis, choice, implementation, and evaluation.
- Schendel and Hofer's model incorporates planning, control, goal formulation, analysis, strategy formulation/evaluation, implementation, and strategic control.
Relationship between strategic formulation and implementationNARENDRA KUMAR
Strategic management involves identifying strategies to achieve competitive advantage and better performance. It includes strategy formulation and implementation. Strategy formulation is the process of choosing actions to realize organizational goals through evaluating the environment, setting objectives and targets. The six main steps of formulation are setting objectives, evaluation, target setting, performance analysis, and strategy choice. Strategy implementation translates strategies into actions through developing an effective organizational structure, policies, leadership and rewards to efficiently execute strategic plans. Both formulation and implementation are important for organizational success.
International marketing refers to marketing activities that cross national borders. It involves identifying foreign markets, selecting market entry strategies, and developing marketing mixes tailored to compete abroad. The main approaches are exporting, joint ventures, and foreign direct investment like assembly or manufacturing plants. Effective international marketing requires understanding differences in cultures, laws, and economies between countries while maintaining a consistent global brand. It presents new opportunities but also challenges of adapting to varied international consumer behaviors and business environments.
More companies are expanding globally due to factors like economies of scale, technology changes, and competitive forces. There are various strategies for international expansion including alliances through licensing, joint ventures, or consortia. Organizations must design structures that fit their international strategies which could include international divisions, global product/geographic divisions, or matrix structures. Coordinating globally presents challenges due to cultural differences in areas like power distance and uncertainty avoidance that influence national approaches. The transnational model promotes an integrated network where subsidiaries help initiate strategies for the whole organization.
2. IB UNIT 4 - The organisation of International Business.pptxShudhanshuBhatt1
This document discusses organizational architecture, which refers to the complete structure and design of a firm. It includes five subparts: organizational structure, control systems, incentives, processes, and organizational culture. The three dimensions of organizational structure are discussed: vertical differentiation, horizontal differentiation, and integrated mechanisms. Different types of organizational structures are explained for firms operating internationally, including functional structure, product divisional structure, international divisional structure, worldwide product divisional structure, and worldwide area structure. The need for coordination between subunits and different formal and informal integrating mechanisms are also summarized.
Organizations of international business-International businessNgoc Anh
Unilever originally had a decentralized structure from the 1950s-1970s with autonomous national subsidiaries. This allowed for localization but by the 1980s caused issues like duplication and high costs. In the 1990s, Unilever introduced business groups to reduce costs but this failed to address localization. In the 2000s, Unilever shifted to a structure with regional product divisions to balance global scale and local responsiveness needed to compete in detergents and food.
The document discusses organizational structures and control systems for international business. It describes centralized vs decentralized structures and covers functional, divisional, product-based, and matrix structures. It also discusses global business planning, organizing, information, and control systems. The key aspects are integrating international business operations and choosing an organizational structure that implements strategy and balances centralized vs decentralized decision-making.
The document discusses different aspects of organizational structures, processes, and relationships. It provides an overview of various structural designs like functional, multidivisional, matrix, and transnational structures. It also discusses control processes, planning processes, cultural processes, and performance targets that organizations use. Additionally, it covers the importance of relationships between different units, centers, and strategic alliances networks that are crucial for organizational success. The key idea is that formal structures and processes need to be aligned with informal relationships and processes into coherent configurations for an organization to operate effectively.
The document discusses various topics related to organizational structure design, including:
1. It outlines 10 common types of organizational structures - line, line and staff, functional, committee, matrix, virtual, cellular, team-based, boundaryless, and inverted pyramid.
2. For each structure, it discusses the key characteristics, merits and demerits.
3. Additional concepts covered include formal vs informal organization, departmentalization methods, centralized vs decentralized authority, and organic vs mechanistic structures.
4. The document provides a comprehensive overview of important structural design considerations for organizing people and tasks within an organization.
The document discusses organizational structure and its key elements. It describes how organizational structure formally divides and groups job tasks and responsibilities. The key elements of organizational structure discussed are work specialization, departmentalization, chain of command, span of control, and centralization/decentralization. The document also discusses how factors like strategy, organizational size, technology, and environment influence the design of organizational structure.
CMQ/OE Certification Prep. Course - Part 1- Chapter 01| Video # 01EngHosamAbdAlGaleil
Define and describe organizational designs (e.g., matrix, flat, and parallel) and the effect that a hierarchical management structure can have on an organization.
Click the QR code to watch the video
For more videos, contact us on Whatsapp: 002-01226354671
CMQ/OE Certification Prep. Course - Part 1- Chapter 01| Video # 01EngHosamAbdAlGaleil
Define and describe organizational designs (e.g., matrix, flat, and parallel) and the effect that a hierarchical management structure can have on an organization.
Click the QR code to watch the video
For more videos, contact us on Whatsapp: 002-01226354671
Define and describe organizational designs (e.g., matrix, flat, and parallel) and the effect that a hierarchical management structure can have on an organization.
* Click the QR code to watch the video
* For more videos, contact us on Whatsapp: 002-01226354671
This document discusses factors that influence goal congruence between individuals and organizations. It describes informal factors like external social norms, organizational culture, management style, and informal communication channels. Formal control systems involve rules, budgets, and performance evaluations. The document also outlines different types of organizational structures like functional, business unit, and implications for control system design. Controller functions are defined as designing control systems, financial reporting, performance analysis, internal audits, and developing accounting personnel. The controller's dual reporting relationship to business units and corporate is also discussed.
1. The document discusses various factors that impact organizational structure for global companies, including degree of international operations, products, market size, human resources, and goals.
2. There are different types of organizational structures including product, geographic, functional, market, and matrix structures. Product structure groups divisions by product while geographic structure groups them by region.
3. The document also covers considerations for controlling a global organization through developing standards, measuring performance, analyzing deviations, and effective communication systems.
1. The document discusses various factors that impact organizational structure for global companies such as degree of international operations, products, market size, and human resources.
2. It describes different types of organizational structures including product, geographic, functional, market, and matrix structures and notes their advantages and disadvantages.
3. The document also covers how companies can control global organizations through developing standards, measuring performance, analyzing deviations, and effective communication systems.
Chapter 3Organizing the Workplace[These slides .docxwalterl4
*
Chapter 3
Organizing the Workplace
[These slides are intended to be used in conjunction with Health Care Management by Donald J. Lombardi and John R. Schermerhorn, Jr. with Brian Kramer (the Text). Please refer to the Text for a more complete explanation of the materials covered herein and for all source material references.]
Copyright by John Wiley and Sons, 2006
*Organizing is the process of arranging people and other resources to work together to accomplish a goal.Organization structure refers to the system of tasks, workflow, reporting relationships, and communication channels that link the diverse parts of an organization. Restructuring is the process of changing an organization’s structure in an attempt to improve performance.
Common Organizational Structures
*
Organizing and
Management Functions
*
Formal and Informal Structures
The formal structure is the intended or official structure of an organization. An organization chart is a diagram that identifies key positions, job titles, lines of authority, and communication within an organization. An organizational chart may reveal the following about an organization:the division of worksupervisory relationshipscommunication channelsmajor subunitslevels of managementThe informal structure is the unofficial but often critical working relationships among organizational members, regardless of formal titles and relationships.
*Functional structure refers to an organizational strategy in which people with similar skills and performing similar tasks are grouped together. The major advantages of a functional structure include:efficient use of resources within and between functional areasconsistent and appropriate task assignments based on expertise and training within each functional areahigh-quality technical problem-solving;in-depth training and skill development within functionsclear career paths within functions.Some disadvantages include:creation of functional chimneysreliance on upper managementconfusion and responsibility-shifting
Functional Structures
*
Divisional StructureDivisional structures group together people who provide the same services, work within the same processes, serve similar audiences, or are located in the same area or geographical region.Potential advantages include:More flexibility in responding to environmental changesImproved coordination across functional departmentsClearer points of responsibility for delivery of services or productsExpertise focused on specific patients or customers, products, and regionsGreater ease in changing size by adding or deleting divisions.Potential disadvantages include:RedundancyInternal competitionTunnel vision
*Matrix structure combines elements of both the functional and divisional structures, using permanent cross-functional teams to integrate functional expertise with divisional focus. Potential advantages include:more interfunctional cooperation in operationsincreased flexibility in meeting chan.
Organizational Structures (on the basis of functions & Divisions) Deepika Malhotra
Organizational structures can be based on functions, divisions, products, geography or markets. The key factors that influence organizational design include size, environment, strategy, technology, history, customers, processes, people, and geography. An organization's structure must support its strategy and arrange resources efficiently. Common structures include functional, divisional, geographic, market, and hybrid forms. The structure should be designed based on contingencies to maximize organizational effectiveness.
This document discusses various topics related to organizing in modern organizations, including:
- Traditional organizational structures like functional, divisional, and matrix structures.
- Contemporary adaptive structures like boundaryless organizations, virtual organizations, and learning organizations.
- Trends like teleworking, flexible work, and global organizations that allow organizations to adapt to changing needs.
- Key elements of organizing like work specialization, departmentalization, chain of command and factors that influence organizational design choices.
Five factors affecting organizational design.pptarunsvhec
Five key factors influence organizational design: strategy, environment, technology, size/life cycle, and culture. There are also five principles of organizational design: specialization, coordination, knowledge/competence, control/commitment, and innovation/adaptation. Together, the factors and principles determine how responsibilities are allocated within an organization to encourage specialist skills, coordination between units, positioning tasks with those most knowledgeable, balancing control and commitment, and enabling flexibility to adapt to changes.
Organization structure in international businessMandeep Raj
The document discusses different types of organizational structures used in international business. It describes vertical differentiation as determining centralization vs decentralization of decision-making. Centralization means decisions are made at headquarters level while decentralization means local subsidiaries make decisions. Horizontally, structures are designed based on functions, products, geographic regions, or a matrix. Functional structure groups by business functions. Divisional structures group by international business, products, or geographic regions. The matrix structure combines functional and divisional forms to balance global integration with local responsiveness.
This document discusses various concepts related to organizing and organizational structure. It defines organizing as the deployment of organizational resources to achieve strategic goals through the division of labor and coordination of tasks. There are two fundamental concepts of organizing: differentiation, where units specialize in different tasks, and integration, where the units are coordinated. The document compares mechanistic and organic structures and discusses factors like span of control, tall vs flat structures, and different types of departmentalization including functional, product, geographic, and matrix designs. It also covers elements of organizational design such as hierarchy, authority, responsibility, accountability, centralization/decentralization, and delegation.
The document discusses organizational structure, defining it as how tasks are divided and coordinated within an organization. It identifies three core dimensions of organizational structure: complexity, formalization, and centralization. Complexity refers to the degree of differentiation, formalization to the standardization of jobs, and centralization to where decision-making power is concentrated. The document also covers functional, divisional, matrix, and project organizational structures.
Industrial Tech SW: Category Renewal and CreationChristian Dahlen
Every industrial revolution has created a new set of categories and a new set of players.
Multiple new technologies have emerged, but Samsara and C3.ai are only two companies which have gone public so far.
Manufacturing startups constitute the largest pipeline share of unicorns and IPO candidates in the SF Bay Area, and software startups dominate in Germany.
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Taurus Zodiac Sign: Unveiling the Traits, Dates, and Horoscope Insights of th...my Pandit
Dive into the steadfast world of the Taurus Zodiac Sign. Discover the grounded, stable, and logical nature of Taurus individuals, and explore their key personality traits, important dates, and horoscope insights. Learn how the determination and patience of the Taurus sign make them the rock-steady achievers and anchors of the zodiac.
LA HUG - Video Testimonials with Chynna Morgan - June 2024Lital Barkan
Have you ever heard that user-generated content or video testimonials can take your brand to the next level? We will explore how you can effectively use video testimonials to leverage and boost your sales, content strategy, and increase your CRM data.🤯
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Organization Architecture
1.
2. Nukhba Jurri 13024854-098
Organization Architecture
MaryamNazir 13024854-073
Types of structures
Sonia Noreen 13024854-084
Control System And Incentive
MariumShabbir 13024854-083
Processes, organizational Culture & People
3. If we talk about the Organization of international business then we refers to
organization architecture
Now lets define organization architecture :
“The totality of a firm’s organization, including formal organization structure,
control systems and incentives, processes, organizational culture, and people”
To be the most profitable, firms need to be sure:
the different elements of the organizational architecture are internally consistent.
the organizational architecture matches or fits the strategy of the firm.
the strategy and architecture of the firm are consistent with each other, and
consistent with competitive conditions.
5. 1. Organization structure
o Department
o Division
o Region make organization
o The location of decision-making responsibilities
2. Control system & Incentives
o Measure performance of subunit
o Judgments about how well managers are running those subunits.
o Incentives are the devices used to reward appropriate managerial behavior
3.Process, Organization culture & People
o Processes are the manner in which decisions are made & work performed.
o Refers to the norms and value shared among the employees of
organization.
o Organization architecture also made by people.
7. “Department, division ,region make organization
the location of decision-making responsibilities”
Further Organization structure have 3 dimension
a) Integrating Mechanism
b) Vertical Differentiation
c) Horizontal Differentiation
8. a. Integrating Mechanism
It can be define as coordination between subunits of organization.
( lowest co-ordination localization strategy)
( Highest co-ordination Transnational
strategy)
9. Formal :
1. Direct contact.
2. Liasion Roles.
3. Teams
4. Matrix structures
Informal
1. Knowledge network
2. All information collected in one place.
10. (2) Vertical Differentiation
It enables the managers to locate the location of decision making.
It has two type:
Centralized Decision Making
“The decision making is done by only top management”
Advantages:
Facilitates coordination
Ensure decisions consistent with organization’s objectives
Gives top-level managers the means to bring about organizational
change
Avoids duplication of activities
11. Decentralized Decision Making
“Decision making power is distributed in different levels of management”
Advantages:
Relieves the burden of centralized decision-making
Motivate individuals
Permits greater flexibility
Can result in better decisions
can increase control
It can be worthwhile to centralize some decisions and decentralize others
12. (3) Horizontal Differentiation:
“Horizontal differentiation is concerned with how
the firm decides to divide itself into sub-units”
“It describes the division of organization”
The decision is usually based on:
function
type of business
geographical area
13. 1. Functional structure
2. Product divisional structure
3. International division structure
4. World Wide Product Division Structure
5. World Wide Area Structure
6. Global Matrix Structure
14. “A functional organization is a type of organizational structure in
which the organization is divided into smaller groups based on
specialize functional areas”
One product
One head quarter
One country
Small firm
15. The divisional structure is a type of organizational
structure that groups each organizational function into a
division.
More then one product .
One headquarter
Local country
Small & Large firm
16. When firms internationally expand production is known as
international divisional structure.
More then product ( local production)
Head quarter
(domestic and international)
Each product with own functional structure.
Sometimes conflicts raise .
17.
18. Highly diversified firm adapt this structure.
More then one products
Local and international production.
Every subunits has its own functional structure.
Advantages:
Value creation coordination with other units.
Realized cost economy and location economies.
Transfer core competencies.
Not locally responsive.
19.
20. Low diversification and a domestic structure based on
function
Divides geographic areas
Decentralizes operational authority
local responsiveness
Consistent with a localization strategy
22. A matrix organizational structure is a company structure in
which the reporting relationships are set up as a grid, or matrix,.
Employees have dual reporting relationships generally to both a
functional manager and a product manager.
23. Advantages:
Remove limitation of World wide area structure &
worlds wide product structure.
Differentiate product line and area vise
Disadvantages:
Result in conflict between areas and product divisions
Finger pointing.
24.
25. A firm’s leaders major task to ensure that the action of
subunits are consistent with the firm’s overall strategy
and financial objectives
This is achieved through control and incentive system
Evaluate the performance of Organization and how
effect on the control system
26. Definition:
“Control helps to check the errors and to take the
corrective action so that deviation from standards are
minimized and stated goals of the organization are
achieved in a desired manner.”
27. There are four main type of control system:
1. Personal Control:
Direct control the subordinates
Mostly use in the small firms
2. Bureaucratic Control:
This system through set the rules regulation that
directs the action of subunits
The most important bureaucratic control are budget
and capital sending rules
28. 3.Output Control:
Setting goals for subunits and achieve them.
Output more receive then control system more good
Control system is achieved by comparing actual
performance against targets and intervening
selectively to take corrective action
4.Cultural Controls:
Norms , values, custom play major role for increase the
performance
Firms with strong culture have less need for other forms of
control
29. Incentive are the devices used to reward behavior
Tie performance for output control => reward
Incentives depend on employer and nature of work
Co-operation and co-ordination increase between
manger and subordinates
Different nation and different culture use different
devices
30. The key of understanding the relationship between
international strategy, control systems and incentive
systems is performance ambiguity which exist that
subunits poor performance are not clear.
Performance ambiguity is mostly subunits
performance depend on the other subunits
performance
31. Processes:
“Processes can be define as the manner in which
decisions are made and work is performed”
Sometimes processes used across national boundaries as
well as organizational boundaries.
Can be develop anywhere within a firm’s global
operational network.
Integrating mechanisms can help firms leverage processes
Formal => Exchange Ideas Helps in Leverage processes.
Informal => Efficient working
32. Culture refers to a systems of values and norms that are
shared among people
Organizations have their own values and norms that
employees are encouraged to follow.
Organizational culture tends to change very slowly.
33. Organizational culture comes from:
Founders and important leaders of Organization.
National social culture.
The history of organization.
Decisions made in past.
34. Organizational culture can be maintained through:
Hiring on merit base
Promotional practices
Reward strategies
Socialization processes
Formal ways (training programs)
Informal ways(friendly Advices)
Communication strategies
35. When organization moves into international market it faces
hurdles like different language, norms and beliefs, tastes and
preferences etc.
If the organization does not align itself with the prevailing culture
then it cannot attain benefits of expansion.
“Strong” culture:
Not always good
May not lead to high performance
Could be beneficial at one point, but not at another
“Adaptive” cultures
Companies with adaptive cultures have the highest
performance.
Flexible to decision making.
36. The interrelationship between the four basic strategies
1. Localization
2. International
3. Global standardization +organization architecture
4. Transnational
37. Combination of Strategy, Structure, and Control Systems
Strategies Interdependency Performance
Ambiguity
Control
Localization
Strategy
(locally responsive
Pressure high)
Low
[local production & sale in
international]
Low
[easily identify factors of
error]
Low
[subunit manager understand
better then headquarter
management]
International
Strategy
(Both pressure low)
Medium
[ subunit management
tell the needs and
demand of that area]
Medium
[nor easy not difficult to
identify factors of error
cause of low pressures]
Medium
[headquarter mgt & subunit mgt
both take decisions]
Global Standard
Strategy
(cost reduction pressure
high)
High
[to achieve cost eco firm
need to coordinate with
subunits]
High
[difficult to identify factors
of error ]
High
[headquarter mgt control the
subunits]
Transnational
strategy
(Both pressure are high)
Very high
[-Value addition from one
country
-locally responsiveness from
Very high
[so difficult to identify
factors of error]
Very high
[mgt should control al subunits]
38. For a firm to succeed, two conditions must be met:
i. The firm’s strategy must be consistent with the
environment and place in which the firm operates.
ii. The firm’s organization architecture must be consistent
with its strategy.
39. INERTIA:
“Property by which a thing continues its existing
condition”
Organizations are difficult to change
Sources of inertia include:
The existing distribution of power and influence
The current culture
Senior managers’ preconceptions about the appropriate business
model.
40. Management should take necessary actions to chose
structure of organization to enhance its positive effects.
Alliance the strategies with organizational structure and
their requirement