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Organization Is A Social Group Which Distributes Tasks For A Collective Goal

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Objectives:

1. Discuss the nature of organizational environments


2. Identify the components of the general, task, and internal environment and discuss their
impact on organizations
3. Identify and describe basic kinds of organization-environment relationships
4. Discuss organizational effectiveness

Organization is:
1. A group of persons with a common objective (neoclassical);
2. A structured process in which individual for objectives (hicks);
3. A set of interlocked activities under unified control

Organization is a social group which distributes tasks for a


collective goal

Organization exist to:


 Bring together resources;
 Produce goods and services;
 Facilitate innovation;
 Adapt to and influence a changing environment;
 Create value;
 Accommodate ongoing challenges

Types of organizations:
 Governmental vs non-governmental;
 Commercial vs non-commercial;
 Budgetary vs off-budget;
 Public vs private

Why do some organizations belong to the public sector?


 To ensure everyone has access to basic services;
 To avoid wasteful competition and enjoy benefits of economies of scale;
 To protect citizens;
 To reduce unemployment

Private sector
1. Sole proprietorship
2. Corporation
3. Partnership

Partnerships:
 General
 Limited
 Limited by ability
Dimensions of an organization
Structural – tools for organization’s internal features description;
Contextual- characterize an organization in general.

Structural dimensions:
 Formalization
 Specialization
 Hierarchy of authority
 Centralization
 Professionalism
 Personnel ratio

Contextual dimensions:
 Size;
 Organizational technology;
 Goals and strategy;
 Organization’s culture;
 Environment

Traditional organization:
 Stability and fixed organization
 Work time is fixed; constant work tasks
 Focus on tasks
 Oriented on an individual
 Relative identity
 Focus on individual decision-making
 Focus on organization’s norms, values

New organization:
 Dynamism and flexible structure;
 Work time is not fixed; time work assingments
 Focus on skills development
 Focus on a group
 Variety of stuff
 Focus on active participation in decision-making process
 Focus on clients’ needs

System is an interrelated set of elements functioning as a whole

Four basic elements of organizational system:


1. Inputs;
2. Transformation process;
3. Outputs;
4. Feedback
7 S model (T. Peters and R. Waterman)
 Strategy
 Structure
 Systems
 Shared values
 Skills
 Style
 Staff

Organizational environment is a set of forces surrounding an organization that have the


potential to affect the way it operates and its access to success.

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