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    Chapter 1

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    lemisha99

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    © All Rights Reserved
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    Chapter 1

    Uploaded by

    lemisha99
    2 views6 pages

    Original Title

    CHAPTER 1

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    © © All Rights Reserved

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    Copyright:

    © All Rights Reserved
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    Download as pptx, pdf, or txt
    2 views6 pages

    Chapter 1

    Uploaded by

    lemisha99

    Copyright:

    © All Rights Reserved
    Download as PPTX, PDF, TXT or read online from Scribd
    Download as pptx, pdf, or txt
    of 6

    CHAPTER 1:- ORGANIZATIONS AND ORGANIZATION

    THEORY

    CHAPTER 1:- ORGANIZATIONS AND ORGANIZATION THEORY

    Learning Outcomes
    By the end of this topic, you should be able to:
    Define what an organization is.
    Explain the dimensions of organizational design.
    Discuss the evolution of organizational theory and design.
    Describe organizational configuration and its role in organizational success.
    Differentiate between efficient performance and the learning organization.
    1.1. Organization theory in action

    • Organization theory helps us explain what happened in the past, as well


    as what may happen in the future, so that we can manage organizations
    more effectively.
    • Organization theory concepts apply to all types of organizations in all
    industries.
    • Organization theory and design concerned with
    What organization looks like in its invironment.
    What strategic and structural changes are needed.
    How should internal conflict and coordination between work units be
    managed? And etc
    1.2. What is an organization?
    • Organization refers to a collection of people who are involved in pursuing
    defined objectives or goal. It is a social system .
    • An organization is not a building or a set of policies and procedures.
    • Organizations exist to do the following:
    • Bring together resources to achieve desired goals and outcomes
    • Produce goods and services efficiently
    • Facilitate innovation
    • Use modern manufacturing and information technologies
    • Adapt to and influence a changing environment
    • Create value for owners, customers, and employees
    1.3. Dimensions of organization design:
    structural and conceptual.
    1.Structural Dimensions.
    It provide labels to describe the internal characteristics of an organization.
    A;Formalization
    IT includes procedures, job descriptions, regulations, and policy manuals
    B; Specialization. It referred to as the division of labor.If specialization is extensive, each
    employee performs only a narrow range of tasks. If specialization is low, employees perform a
    wide range of tasks in their jobs.
    C; Hierarchy of authority is related to span of control. When spans of control are narrow, the
    hierarchy tends to be tall. When spans of control are wide, thehierarchy of authority will be
    shorter.
    D; Centralization. authority to make a decision. When decision making is kept at the top
    level, the organization is centralized. When decisions are delegated to lower organizational
    levels, it is decentralized
    E; Professionalism is the level of formal education and training of employees.
    F; Personnel ratios is the ralaion o people to the organization
    2.Contextual dimensions
    represent both the organization and the environment.

    A;Size Size can be measured for the organization as a whole or for specific components.
    B; Organizational technology It concerns how the organization actually produces the products and
    services it provides
    C; Environment it includes all elements outside of the organization.

    D; Goals and Strategy. Goals and strategies define the scope of operations and the relationship
    with employees, customers, and competitors.
    E; organization’s culture is the underlying set of key values, beliefs, understandings, and norms shared by
    employees. An organization’s culture is unwritten.

    contextual and structural dimensions discussed here are interdependent


    Performance and Effectiveness Outcomes
    • The whole point of understanding structural and contextual dimensions is to
    design the organization in such a way as to achieve high performance and
    effectiveess.
    • Efficiency refers to the amount of resources used to achieve the
    organization’s goals. It is based on the quantity of raw materials, money, and
    employees necessary to produce a given level of output.
    • Effectiveness is a broader term, meaning the degree to which an
    organization achieves its goals. To be effective, organizations need clear, focused goals and
    appropriate strategies for achieving them.

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