Chapter two l.jpg
This presentation is the property of its rightful owner.
Sponsored Links
1 / 13

Chapter Two PowerPoint PPT Presentation


  • 137 Views
  • Uploaded on
  • Presentation posted in: General

Chapter Two. Strategy, Organization Design, and Effectiveness. ©2000 South-Western College Publishing Cincinnati, Ohio Daft, Organization Theory and Design 7/e. 2-. Top Management Role in Organization Direction, Design, and Effectiveness. External Environment. Organization Design.

Download Presentation

Chapter Two

An Image/Link below is provided (as is) to download presentation

Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author.While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server.


- - - - - - - - - - - - - - - - - - - - - - - - - - E N D - - - - - - - - - - - - - - - - - - - - - - - - - -

Presentation Transcript


Chapter two l.jpg

Chapter Two

Strategy, Organization Design,

and Effectiveness

©2000

South-Western College Publishing

Cincinnati, Ohio

Daft, Organization Theory and Design 7/e

2-


Top management role in organization direction design and effectiveness l.jpg

Top Management Role in Organization Direction, Design, and Effectiveness

External Environment

Organization

Design

Opportunities

Threats

Uncertainty

Resource Availability

Structural Form –

learning vs.

efficiency

Information and

control systems

Production

technology

Human resource

policies,

incentives

Organizational

culture

Interorganizational

linkages

Effectiveness

Outcomes

Strategic Management

Resources

Efficiency

Goal attainment

Stakeholders

Competing values

Define

mission,

official

goals

Select

operational

goals,

collaborative

strategies

CEO, Top

Management

Team

Internal Environment

Strengths

Weaknesses

Distinctive competence

Leadership Style

Past Performance

©2000

South-Western College Publishing

Cincinnati, Ohio

Daft, Organization Theory and Design 7/e

Source: Adapted from Arie Y. Lewin and Carroll U. Stephens,

“Individual Properties of the CEO as Determinants of Organization

Design,” unpublished manuscript, Duke University, 1990; and Arie Y. Lewin

and Carroll U. Stephens, “CEO Attributes as Determinants of Organization Design:

An integrated Model,” Organization Studies 15, no. 2 (1994): 183-212


Goal type and purpose l.jpg

Goal Type and Purpose

Type of Goals

Purpose of Goals

Official Goals, mission: Legitimacy

Operative goals:Employee direction and motivation

Decision guidelines

Standard of performance

©2000

South-Western College Publishing

Cincinnati, Ohio

Daft, Organization Theory and Design 7/e


Porter s competitive strategies l.jpg

Porter’s Competitive Strategies

©2000

South-Western College Publishing

Cincinnati, Ohio

Daft, Organization Theory and Design 7/e


Miles and snow s strategy typology l.jpg

Miles and Snow’sStrategy Typology

  • Prospector

    • Learning orientation; flexible, fluid, decentralized structure

    • Strong capability in research

    • Values creativity, risk-taking, and innovation

  • Defender

    • Efficiency orientation; centralized authority and tight cost control

    • Emphasis on production efficiency, low overhead

      • Close supervision; little employee empowerment

Source: Based on Michael Treacy and Fred Wiersema,

“How Market Leaders Keep Their Edge,” Fortune February 6,

1995, 88-98; Michael Hitt, R. Duane Ireland, and Robert E. Hoskisson,

Strategic Management (St. Paul, Minn.: West, 1995), 100-113; and

Raymond E. Miles, Charles c. Snow, Alan D. Meyer, and Henry L.

Coleman, Jr., “Organizational Strategy, Structure, and Process,”

Academy of Management Review 3 (1978), 546-562

©2000

South-Western College Publishing

Cincinnati, Ohio

Daft, Organization Theory and Design 7/e


Miles and snow s strategy typology cont d l.jpg

Miles and Snow’sStrategy Typology (cont’d)

  • Analyzer

    • Balances efficiency and learning; tight cost control with flexibility and adaptability

    • Efficient production for stable product lines; emphasis on creativity, research, risk-taking for innovation

  • Reactor

    • No clear organizational approach; design characteristics may shift abruptly depending on current needs

Source: Based on Michael Treacy and Fred Wiersema,

“How Market Leaders Keep Their Edge,” Fortune February 6,

1995, 88-98; Michael Hitt, R. Duane Ireland, and Robert E. Hoskisson,

Strategic Management (St. Paul, Minn.: West, 1995), 100-113; and

Raymond E. Miles, Charles c. Snow, Alan D. Meyer, and Henry L.

Coleman, Jr., “Organizational Strategy, Structure, and Process,”

Academy of Management Review 3 (1978), 546-562

©2000

South-Western College Publishing

Cincinnati, Ohio

Daft, Organization Theory and Design 7/e


Contingency factors affecting organization design l.jpg

Strategy

Culture

Size/

Life Cycle

Environment

Contingency FactorsAffecting Organization Design

Technology

Organizational Structure and Design

The right mix of design characteristics fit the contingency factors

©2000

South-Western College Publishing

Cincinnati, Ohio

Daft, Organization Theory and Design 7/e


Contingency approaches to the measurement of organizational effectiveness l.jpg

Contingency Approaches to the Measurement of Organizational Effectiveness

External Environment

Organization

Internal

activities

and

processes

Resource

Inputs

Product and

Service

Outputs

System

resource

approach

Internal

process

approach

Goal

approach

©2000

South-Western College Publishing

Cincinnati, Ohio

Daft, Organization Theory and Design 7/e


Reported goals of u s corporations l.jpg

Reported Goalsof U.S. Corporations

Goal% Corporations

Profitability89

Growth82

Market Share66

Social Responsibility65

Employee welfare62

Product quality and service60

Research and development54

Diversification51

Efficiency50

Financial stability49

Resource conservation39

Management development35

©2000

South-Western College Publishing

Cincinnati, Ohio

Daft, Organization Theory and Design 7/e

Source: Adapted from Y. K. Shetty, “New Look at Corporate Goals,”

California Management Review 22, no. 2 (1979), pp. 71-19.


Four models of effectiveness values l.jpg

Four Models ofEffectiveness Values

STRUCTURE

Flexibility

Human Relations Model

Goal values: human resource

development

Subgoals: cohesion, morale, training

Open Systems Model

Goal values: growth,

resource acquisition

Subgoals: flexibility, readiness,

external evaluation

F

O

C

U

S

External

Internal

Internal Process Model

Goal values: stability, equilibrium

Subgoals: information management,

communication

Rational Goal Model

Goal values: productivity, efficiency,

profit

Subgoals: planning, goal setting

Control

Adapted from Robert E. Quinn and John Rohrbaugh,

“A Spatial Model of Effectiveness Criteria: Toward a

Competing Values Approach to Organizational Analysis,”

Management Science 29 (1983): 363-377; and Robert E. Quinn

and Kim Cameron, “Organizational Life Cycles and Shifting

Criteria of Effectiveness: Some Preliminary Evidence,”

Management Science 29 (1983): 33-51.

©2000

South-Western College Publishing

Cincinnati, Ohio

Daft, Organization Theory and Design 7/e


Effectiveness values for two organizations l.jpg

ORGANIZATION

A

ORGANIZATION

B

Effectiveness Valuesfor Two Organizations

STRUCTURE

FLEXIBILITY

Human Relations

Model

Open Systems

Model

F

O

C

U

S

INTERNAL

EXTERNAL

Internal Process

Model

Rational Goal

Model

CONTROL

©2000

South-Western College Publishing

Cincinnati, Ohio

Daft, Organization Theory and Design 7/e


Identifying company goals and strategies l.jpg

Workbook

Activity

Identifying CompanyGoals and Strategies

©2000

South-Western College Publishing

Cincinnati, Ohio

Daft, Organization Theory and Design 7/e


Competing values and organizational effectiveness l.jpg

Workshop

Activity

Competing Values andOrganizational Effectiveness

©2000

South-Western College Publishing

Cincinnati, Ohio

Daft, Organization Theory and Design 7/e


  • Login