Tatm 2.1
Tatm 2.1
Tatm 2.1
A The forces that operate to bring about change in organisations can be thought of as winds which are
many and varied - from small summer breezes that merely disturb a few papers, to mighty howling
gales which cause devastation to structures and operations, causing consequent reorientation of
purpose and rebuilding. Sometimes, however, the winds die down to give periods of relative calm,
periods of relative organisational stability. Such a period was the agricultural age, which Goodman
(1995) maintains prevailed in Europe and western societies as a whole until the early 1700s. During
this period, wealth was created in the context of an agriculturally based society influenced mainly by
local markets (both customer and labour) and factors outside people‟s control, such as the weather.
During this time, people could fairly well predict the cycle of activities required to maintain life, even
if that life might be at little more than subsistence level.
B To maintain the meteorological metaphor, stronger winds of change blew to bring in the Industrial
Revolution and the industrial age. Again, according to Goodman, this lasted for a long time, until
around 1945. It was characterised by a series of inventions and innovations that reduced the number of
people needed to work the land and, in turn, provided the means of production of hitherto rarely
obtainable goods; for organisations, supplying these in ever increasing numbers became the aim. To a
large extent, demand and supply were predictable, enabling companies to structure their organisations
along what Burns and Stalker (1966) described as mechanistic lines, that is as systems of strict
hierarchical structures and firm means of control.
C This situation prevailed for some time, with demand still coming mainly from the domestic market
and organisations striving to fill the „supply gap‟. Thus the most disturbing environmental influence on
organisations of this time was the demand for products, which outstripped supply. The saying
attributed to Henry Ford that „You can have any colour of car so long as it is black‟, gives a flavour of
the supply-led state of the market. Apart from any technical difficulties of producing different colours
of car, Ford did not have to worry about customers‟ colour preferences: he could sell all that he made.
Organisations of this period can be regarded as „task-oriented‟, with effort being put into increasing
production through more effective and efficient production processes.
D As time passed, this favourable period for organisations began to decline. In the neo-industrial age,
people became more discriminating in the goods and services they wished to buy and, as technological
advancements brought about increased productivity, supply overtook demand. Companies began,
increasingly, to look abroad for additional markets.
B. Mark these statements T (true) or F (false) according to the information in the text
6. It is generally agreed that changes are taking place more quickly now, and that organisations are
being transformed.
7. One leading economist suggested that by 2020, up to a quarter of employees would be temporary
and half of all employees would be based in the home.
8. To a large extent, demand and supply were predictable, enabling companies to structure their
organisations
9. The most favorite environmental influence on organizations of this time was the demand for
products, which outstripped supply.
10. People became less discerning in the goods and services they wished to buy and, as technological
advancements brought about increased productivity, supply overtook demand.