Facilitator and Course Coordinator:

Vinayshil Gautam PhD, FRAS(London)

(Founder Director IIM K; Leader Consulting Team IIM S)
A Al_Sager Chair Professor and First Head,
Management Department, IIT D
Chairman, DKIF

Organizations are all pervasive

Family-First Organization
Place of work Another Organization

Organizations are required as needs

cannot be satisfied by individuals
Need for goods & services
Sociological needs

Means to wrest power and exert influence

on others
Requires designing organization structure
in such a manner that:

Objectives are achieved

Jobs are well defined
Information flow is smooth
Coordination and control can be performed
Eg :- Employee organizations

Specific purpose-documented or verbal

Organizational members
Hierarchies of Authority and Accountability
Operate at some state at all times
Strategies required if moving from chaotic

conditions to healthy conditions

Part of macro environment consisting of society,

competitors, vendors, financial institutions
Have a Value system
Structure
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organization

Structure

Anatomy

Processes

Physiology

Behavioral

Psychology

Right Hierarchy
What should be span of
control
Designing of line and staff
functions
Nature of Management
Information System
Work Methods
Job Definition
Performance Appraisal
methods

Centralized or Decentralized
Decision making
Patterns of Communication
Top to bottom
Bottom to top
Across horizontal levels

Way of Coordination
Control Mechanism to be
adopted

Nature of affiliation of
Human Beings
How members are motivated
or demotivated
Influence through inter
personal affiliations & group
formations
Nuances of leadership
Most Uncertain and
unpredictable aspect of
organizations

OD refers to coping strategies or

interventions which enable the organizations
to consciously move from chaotic conditions
to those which promote healthy operations to
achieve organizational effectiveness. It
includes:

Design Interventions
Technology Assessment
Management by objectives
Diversification and growth Strategies
Training and Development

10

Rightsizing is managements
reduction in their organizations use
of human and/or capital resources to
correct misalignment and improve
performance when organization
decline and environment decline are
present.

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ORGANIZATION DECLINE
-GENERATED BY
MISMANAGEMENT

Requires Structural
arrangements/changes in:

Standardization
Formalization
Centralization
Structural differentiation

ENVIRONMENT DECLINECAUSED BY CHANGES IN

COMPETITIVE ENVIRONMENT

Requires strategies
directed at an
organizations domain:
Changes in breadth of

products
Changes in markets

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I. Structural and Domain retrenchment

II. Structural Retrenchment and Domain
Reorientation
III. Structural Reorientation and Domain
Retrenchment
IV. Structural and Domain Reorientation
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DOMAIN RETRENCHMENT

STRUCTURAL
RETRENCHMENT

Breaks current
portfolio of
products/markets

Increases separation
between performance
of work and its
evaluation

Increases horizontal
differentiation

Span is reduced &

layers of authority are
added
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STRUCTURAL
RETRENCHMENT

Increase vertical
differentiation

Decreased
formalization and
standardization

DOMAIN REORIENTATION

Identify defensible
core of products or
markets

Increase effort within

that domain

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STRUCTURAL
REORIENTATION

White collar layoffs

Direct employment
cuts
Layers of authority are
eliminated

DOMAIN RETRENCHMENT

Elaboration of
products & markets
thru horizontal
differentiation to
pinpoint troubled
domains

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STRUCTURAL
REORIENTATION

Decreases in
standardization

Decreases in
formalization

DOMAIN REORIENTATION

Decrease in horizontal
and vertical
differentiation

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