Organization theory and design: Lecture 16

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Organization theory and design: Lecture 16

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Organization theory and design: Lecture 16 provides students with content about: framework; departmental design; routine technologies; engineering technologies; craft technologies; non routine technologies; workflow interdependence among departments;... Please refer to the lesson for details!

16 Framework Uses Two Elements: Variety: – Task variety, frequency of unexpected and novel events that occur in the conversion process, if they are high Variety is high Analyzability: – – – – When the process is analyzable, the work can be reduced to mechanical steps and participants can follow a set pattern to solve problems The reference for solutions is SOPs, manuals, text books, etc Not so if the problem has low analyzability Here the reference for solution is much less explicit and lies in implicit or tacit transfer of knowledge which is built through accumulated experiences Framework High Analyzability /Low Variety – Routine Technologies: • sales, clerical, drafting, auditing High Analyzability /High Variety – Engineering technologies: • legal, engineering, accounting Low Analyzability /Low Variety – Craft: • performing arts, trades, general management, college teaching Low Analyzability /High Variety – Non Routine: • strategic planning, social science research, applied research, university teaching Departmental Design Routine Technologies High formalization High centralization Little training or experience Wide span of control Vertical, written communication Overall design - Mechanistic Departmental Design Engineering Technologies Moderate formalization Moderate centralization Formal training Moderate span of control Written and verbal communication Overall design - towards Mechanistic Departmental Design Craft Technologies • Moderate formalization • Moderate centralization • Work experience • Moderate to wide span • Horizontal, verbal communication • Overall design - towards Organic Departmental Design Non Routine Technologies • Low formalization • Low centralization • Training plus experience • Moderate to narrow span • Horizontal communication, meetings • Overall design - Organic Workflow Interdependence Among Departments • Interdependence means the extent to which departments depend on each other for resources or materials to accomplish their tasks • Low interdependence means that departments can their work independently with consultation, interaction, or exchange of materials • High interdependence means departments must constantly exchange resources Types of Interdependence Pooled: • It is the lowest form of interdependence, work does not flow between units, example of relationships in a Divisional structure, a fast food chain having many branches is also an example Departments should use standardized rules and SOPs so that activities across departments are standardized Types of Interdependence Sequential: • The serial form of interdependence, with parts produced in one department become inputs to another department, this is higher level of interdependence than pooled, because departments exchange resources and depend upon others to perform well, greater need for horizontal mechanisms such as integrators or task forces, since this interdependence implies a one-way flow of materials, extensive planning and scheduling are generally needed Types of Interdependence Reciprocal: • Highest level of interdependence, output of operation A is the input to operation B, and the output of operation B is the input back again to operation A, hospital is an excellent example, a patient may move back and forth between X ray, Surgery and Physiotherapy as needed, a firm developing new products is another example, intense coordination would be required between design, engineering, manufacturing, and marketing, a coordinated horizontal structure is required, daily face-to-face interaction between managers, teamwork are required 10 Relationships Among Interdependence of Team Play Cricket Interdependence Pooled Football Basketball Sequential Reciprocal Physical dispersion of players High Medium Low Coordination Rules Game plan Adjustment Key management challenges Develop skills Prepare & execute game plan Influence flow of the game 11 Impact of Technology on Job Design Job Design: • the assigned goals and tasks to be accomplished by the employees, changes in job design can influence motivation and performance of the employees • for example, consider a job which is boring, management can introduce job rotation to reduce boredom • research indicates that mass production technologies tend to produce job simplification (variety of tasks reduced) • more advanced technologies tend to cause job enrichment • advanced technologies can also contribute to job enlargement (expansion of the different tasks performed by an employee) 12 Sociotechnical Systems • This approach recognizes the interaction of technical and human needs in effective job design • Social system includes all human elements – individual and team behavior, culture, management practices, and degree of communication openness • Technical system refers to the type of production technology, the level of interdependence, the complexity of tasks • The goal of this approach is to design the organization for joint optimization, which means that an organization functions best only when the social and technical systems are designed to fit the needs of one another 13 ... having many branches is also an example Departments should use standardized rules and SOPs so that activities across departments are standardized Types of Interdependence Sequential: • The serial... Impact of Technology on Job Design Job Design: • the assigned goals and tasks to be accomplished by the employees, changes in job design can influence motivation and performance of the employees •... interaction of technical and human needs in effective job design • Social system includes all human elements – individual and team behavior, culture, management practices, and degree of communication

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