Professional Documents
Culture Documents
So far
Developments in society Developments in economy Companies as drivers of change The existence/size/limits of companies:
To do
Company structure (
Basic Concepts
Organizational Structure: The formal configuration between individuals and groups with respect to the allocation of tasks, responsibilities, and authorities within organizations. Organizational Chart: A diagram representing the connections between the various departments within an organization: a graphic representation of organizational design.
Structure Concepts I
Hierarchy of Authority: A configuration of the reporting relationships within organizations; that is, who reports to whom. Division of Labor: The process of dividing the many tasks performed within an organization into specialized jobs. Span of Control: The number of subordinates in an organization who are supervised by an individual manager.
As todays organizations restructure, the middle layers of organizational hierarchies tend to get removed. The result is a flatter organizational structure, which puts managers closer to the issues about which they have to make decisions.
Division of Labor
Structure Concepts II
Line Positions: Positions in organizations in which people can make decisions related to doing its basic work. Staff Positions: Positions in organizations in which people make recommendations to others but who are not themselves involved in making decisions concerning the organizations day-to-day operations. Decentralization: The extent to which authority and decision making are spread throughout all levels of an organization rather than being reserved exclusively for top management (centralization).
Decentralization
Departmentalization
The process of breaking up organizations into coherent units. Functional Organization: The type of departmentalization based on the activities or functions performed (e.g., sales, finance). Product Organization: The type of departmentalization based on the products (or product lines) produced. Matrix Organization: The type of departmentalization in which a product or project form is superimposed on a functional form.
Functional Organization
Product Organization
Matrix Organization
Organizational Design
The process of coordinating the structural elements of an organization in the most appropriate manner. Approaches include
Classical and Neoclassical Approaches The Contingency Approach Mintzbergs Framework The Boundaryless Organization
This approach assumes that managers need to have close control over their subordinates and calls for designing organizations with tall hierarchies and a narrow span of control.
This approach assumes that managers do not have to carefully monitor their subordinates and calls for designing organizations with flat hierarchies and a wide span of control.
Typology (
Morgan
Machines Organism Brains Culture Political systems Psychic prisons Flux & transformation Instruments of domination
The machine
The organism
Henry Mintzberg
Mintzbergs Framework
Mintzberg claims that organizations are composed of five basic elements, or groups of individuals, any of which may predominate in an organization. The element that predominates will determine the most effective design in that situation.
4.
5.
Coordination
Mutual adjustment Direct supervision Standardisation of work processes Standardisation of work outputs Standardisation of skills Standardisation of norms
Simple structure
Machine bureaucracy
Professional bureaucracy
Divisional form
Adhocracy
Mintzberg: A Summary
Boundaryless Organization
An organization in which chains of command are eliminated, spans of control are unlimited, and rigid departments give way to empowered teams. Modular Organization: An organization that surrounds itself by a network of other organizations to which it regularly outsources noncore functions. Virtual Organization: A highly flexible, temporary organization formed by a group of companies that join forces to exploit a specific opportunity. Affiliate Networks: Satellite organizations affiliated with core companies that have helped them develop.
Boundaryless Organization
Modular Organization
Virtual Organization
Strategic Alliances
Mutual Service Consortia: A type of strategic alliance in which two similar companies from the same or similar industries pool their resources to receive a benefit that would be too difficult or expensive for either to obtain alone. Value-Chain Partnerships: Strategic alliances between companies in different industries that have complementary capabilities. Joint Ventures: Strategic alliances in which several companies work together to fulfill opportunities that require the capabilities of one another.
Culture
Political systems
Instruments of domination
The multinational
Strategy
2007 Wolters-Noordhoff
SWOT
Structure Conduct Performance Resource Based View
Structure-Conduct-Performance model
(Porter, 1980, 1985)
2007 Wolters-Noordhoff
Question
Are there industry characteristics (based on the five forces model) which explain the use of the Internet as a channel?
Existing rivalry
Strategies
Relative resource costs Lower Relative resource-produced value Lower Parity Higher
+ 0
+ +
Parity
Higher
Question
Mention examples of companies that use the Internet to create a competitive advantage
2007 Wolters-Noordhoff
2007 Wolters-Noordhoff
2007 Wolters-Noordhoff
(1965)
New
Product development
MARKET
New
Market development
Diversification
Strategy (2)
Horizontal integration
Forward vertical integration Backward vertical integration
Business
Impact
ICT
Business Strategy
ICT Strategy
Organizational infrastructure
Alignment
Alignmentmodel Venkatraman & Henderson Strategic Alignment: levering Information Technology for Transforming Organisations IBM Systems journal, 32 (1) 1993, p 4-16
1. 2. 3. 4.