Introduction

to Organization

1-1

What is an Organization?
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1-2

Importance of
Organizations

1-3

Thomson Learning
2004

1-4

Organization Chart Illustrating the Hierarchy of Authority

for a Community Job Training Program

Board of
Directors
Advisory
Committee

Executive
Committee

Level 1

Executive
Director
Assistant Executive Director
for Community Service

Level 2
Level 3

Assistant Executive Director

for Human Services

Director

Director

Director

Director

Director

Director

Director

Economic Dev.

Reg. Planning

Housing

Criminal Justice

Finance

AAA

CETA

Public
Info
Coord.

Level 4
Level 5

Secretary

Housing
Coord.

Alcohol
Account.
Coord.

Records
Clerk

Secretary

Asst. Director
Finance

Program Contract
Spec.
Fiscal
AAA
Manager

Adm. Asst

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2004

Payroll Clerk

Lead
Counsel

Program
Planner
AAA

Secretary

CETA
Intake
&
Orient

CETA
Couns.
Devs.
Title II
ABC

CETA
Couns.
Devs.
Youth
IV

MIS Specialist

Lead
Counsel
CETA
Couns.
Devs.
Title II D CETA
&VI&VII Planner

Staff Clerk

1-5

Adm. Asst.

Performance
and
Effective Outcomes

1-6

1-7

The Evolution of
Organization Theory and
Design

Thomson Learning
2004

1-8

Historical Perspectives

1-9

s
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K
One things
other things

depends

on

For organization to be
effective, there must be
goodness of fit between
structure and
various
contingency factors.
Thomson Learning
2004

1-10

How organization are

figured ? Five Basic Parts of
an Organization
Top
Management

Technical
Support

Middle
Management

Administrative
Support

Technical Core
Source: Based on Henry Mintzberg, The Structuring of Organizations (Englewood Cliffs, N. J.: Prentice-Hall, 1979) 215-297;
and Henry Mintzberg, Organization Design: Fashion or Fit? Harvard Business Review 59 (Jan. Feb. 1981): 103-116.
Thomson Learning
2004

1-11

How organization are

figured ? Five Basic Parts of
an Organization

Thomson Learning
2004

1-12

Classification :
Two Organization Design
Approaches
Natural System Design

Mechanical System Design

Horizontal
Structure

Vertical
Structure

Routine
Tasks

Formal
Systems

Rigid
Culture

Organizational Change
in the Service of
Performance

Empowered
Roles

Shared
Information

Competitive
Strategy

Stable Environment
Efficient Performance

Adaptive
Culture

Collaborative
Strategy

Turbulent Environment
Learning Organization

Source: Adapted from David K. Hurst, Crisis and Renewal: Meeting the Challenge of Organizational Change (Boston, Mass.: Harvard Business School)

Thomson Learning
2004

1-13

An Open System
and Its Subsystems
Environment
Transformation

Raw Materials
People
Information
resources
Financial
resources

Input

Subsystems

Boundary
Spanning

Output

Products
and
Services

Process
Production,
Maintenance,
Adaptation,
Management
Thomson Learning
2004

Boundary
Spanning

1-14

Characteristics of Three
Organizations

TECHNOLOGY
SIZE (#employees)

Manufacturing
6,000
Thomson Learning
2004

Retailing
250,000

Government
Service
35
1-15

Workbook
Activity

Organizational Dimensions
High Formalization

1-4

5-6

7 - 10

Low Formalization

High Specialization

1-4

5-6

7 - 10

Low Specialization

Tall Hierarchy

1-4

5-6

7 - 10

Flat Hierarchy

Product Technology

1-4

5-6

7 - 10

Service Technology

Stable Environment

1-4

5-6

7 - 10

Unstable Environment

Strong Culture

1-4

5-6

7 - 10

Weak Culture

High Professionalism

1-4

5-6

7 - 10

Low Professionalism

Well-Defined Goals

1-4

5-6

7 - 10

Poorly-Defined Goals

Small Size

1-4

5-6

7 - 10

Large Size

Modern

1-4

5-6

7 - 10

Postmodern

Thomson Learning
2004

1-16

Workbook
Activity

Xerox
Use

for 1959-1990, Use

for 1990-present

High Formalization

1-4

5-6

7 - 10

Low Formalization

High Specialization

1-4

5-6

7 - 10

Low Specialization

Tall Hierarchy

1-4

5-6

7 - 10

Flat Hierarchy

Product Technology

1-4

5-6

7 - 10

Service Technology

Stable Environment

1-4

5-6

7 - 10

Unstable Environment

Strong Culture

1-4

5-6

7 - 10

Weak Culture

High Professionalism

1-4

5-6

7 - 10

Low Professionalism

Well-Defined Goals

1-4

5-6

7 - 10

Goals Not Defined

Small Size

1-4

5-6

7 - 10

Large Size

Modern

1-4

5-6

7 - 10

Postmodern

Thomson Learning
2004

1-17