You are on page 1of 17

Presented by : Group 2

Hard Ss: Easier to change than their counterparts Softer Ss:Harder to change & typically take longer to do so All the 7 Ss are interconnected There is no assumption that one S has more impact on Effectiveness than any other S

The ways in which competitive advantage can be obtained. Actions an organization takes to achieve sustainable advantage over the competition Method of creating unique value For Instance: Low Cost Strategy, Product differentiation

1. 2. 3. 4.

The basic grouping of activities and reporting relationships into organizational sub units. Mechanism by which activities of members of organization are coordinated. Represents how the company is organized to execute strategy 4 Basic Structures: Functional Divisional Matrix Network

An individual is placed in charge of each function or major activity Works well when organization is small & stable

1. 1. 2.

Diverse functions grouped into divisions,which maybe organized by Product,Geography or Market segment Each division contains all the necessary functions Advantages: Quick reaction time Disadvantages Loses economies of Scale Coordination across divisions can be difficult and costly

Both Functional & Divisional Structures are implemented together Organizations get the advantage of both functional expertise & Divisional Autonomy Conflict & Ambiguity because roles and powers may not be clearly defined.

Consists of small semi autonomous groups Is fluidly adaptable and can reconfigure itself in times of change Boundaries between organization & environment are porous

Formal ,Informal processes and procedures use to manage the organization For instance: Management Control Systems, Information Systems Profound effectiveness on organization because they focus the attention of managers Cross functional Team

Organization's approach to recruitment ,selection & competencies Organizational Effectiveness is determined by who the people are and how the organization develops them

Distinctive competencies that reside in an organization Core competency of the company should be determined Skills represent both opportunities and constraints: opportunities when applied to new markets;constraints:when new and different set of skills are required

Leadership style of top management & overall Operating style of Organization Style impacts the norms people follow Captures how work is actually done in an organization

Small set of ideas that give purpose and meaning to the organizations work Highlights what is truly important to an organization Provides stability amid shifting set of internal & external dynamics

Determines factors that effect organizational effectiveness & performance To diagnose problems in an organization & analyze the degree of fit between each S For Instance :Does the structure fit the strategy the firm is pursuing? Proposing and evaluating plans for changes in an organization

Organizations Effectiveness is directly dependent on the alignment Alignment means each S is consistent with and reinforces the other S Poorly Aligned S:Organization will exhibit problems & perform below its potential Also the organizations should be aligned with their external environment To improve organizational effectiveness: Identify areas of misalignment and explore ideas for correcting the same.

Thank You

You might also like