Presentation on theme: "Organizational Design, Diagnosis, and Development"— Presentation transcript:
1 Organizational Design, Diagnosis, and Development Session 2Basic Concepts, Models & Effectiveness
2 Basic Concepts, Models & Effectiveness Objectives1. To further consider the role of organizational design in strategic management2. To compare three approaches to organizational design3. To examine criteria for organizational effectiveness
4 Approaches to Organizational Design The emergent processThe rational approachThe constrained approach
5 The Emergent Process of Design Partial controlMultiple participantsDynamic process
6 The Emergent Process External Constraints Changes in Constraints InitialConstraintsChanges inConstraintsSubsequentConstraintsEmergentDesignEmergentDesignInitial PlanThe designerInitial ParticipantsChange in Participants/InterestsSubsequentParticipantsParticipantsT-0T-1
8 Michael Hammer’s 7 Principles Organize around outcomes, (not tasks)Those who use the process should perform itInclude information processing in the work that produces the informationTreat geographically dispersed areas as if the were centralizedLink parallel activities instead of integrating resultsPut the decision point where the work is performed, build control into the processCapture information once and at the source
9 The Constrained Approach External constraints effect the initial designDesign should match environmental demandsThe design effects stakeholdersChanges in constraints effect subsequent designs.
12 Backwards & ForwardsSumming up: We considered the emergent, rational, & constrained approaches to organizational design. And looked at 4 models for measuring effectiveness of the organizationLooking ahead: Next time we dissect the environment of the organization and consider the differences between mechanistic and organic structures.