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ORGANISATION AND MANAGEMENT

ORGANISATION AND MANAGEMENT

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ORGANISATION AND MANAGEMENT

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  1. ORGANISATIONAND MANAGEMENT M. Ingham

  2. Organisational structure • OS is a firm’s • Design: Formal role configuration • Procedures • Governance • Control mechanisms • Authority • Decision-making S D Organisation C

  3. Organizational design • Relate units and create organizational contexts propitious to the achievement of organizational objectives and activities • creativity, effectiveness and efficiency

  4. Central dimensions • Key concepts • differentiation and integration • specialization and coordination

  5. CENTRAL DIMENSIONS SPECIALISATION DIFFERENTIATION INTEGRATION COORDINATION

  6. Key Elements • How to organize the value activities (value chain) • integration or de-integration • network

  7. Organizational design • Determinants • industry, strategy, technology, production process,… • size, growth, product range and activities • cultures (national and corporate) • preferences (power) and managerial styles • ...

  8. How do companies grow Revolutions Size ? large ? Evolutions collaboration red tape coordination control delegation autonomy direction leadership creativity s y 1 2 3 4 5 Age

  9. How companies Grow and Change large High-growth Industry Medium-growth Industry Low-growth Industry Evolutions , Revolutions small young mature Greiner:1998

  10. THE CONTINUUM STRATEGIC OPTIONS INTEGRATION SPECIALISATION DIVERSIFICATION HOLDING SOLAR FUNCTIONAL MATRIX DIVISIONAL SIMPLE SOPHISTICATED RELATED CONGLOMERATE PROJECT ORGANISATIONAL DESIGN

  11. Types of structures • “Simple and solar” • One leader ( founder or small team)) coordinating the activities and functions • No formal hierarchy and informal communication

  12. Simple- Sun SALES CEO Leader-entrepreneur PRODUCTION

  13. Functional (Simple and Pure) • One product line, one distribution channel • Integrated production process • Integrated Flow RD PROD MARKETING

  14. Functional simple

  15. Functional 2 • One dominant line with some secondary products • Dominant channel • Larger size • Hierarchical with vertical levels

  16. Functional 2

  17. Divisional • Diversified activities and product lines • Different markets • Different production processes • ...

  18. Divisions (1)

  19. Divisions 2

  20. MATRIX

  21. PROJECT • “Ad hoc”structure; permanent or not permanent teams • RD, MF, MKT MKT PROD RD

  22. Innovation Project R&D Manufacturing Marketing Sequential: linear Man Mark R&D Overlapping

  23. NETWORKS CORE ACTIVITIES

  24. ORGANISATION

  25. THE « ORGANISATIONAL DIAMOND » DIRECTION EFFICIENCY COOPERATION PROFICIENCY COMPETITION INNOVATION CONCENTRATION Mintzberg,

  26. ORGANISATION: TOWARDS CONFIGURATIONS ENTREPRENEURIAL IDEOLOGICAL PROFESSIONAL MACHINE POLITICAL DIVERSIFIED ADHOCRACY Mintzberg,

  27. STRATEGY-ORGANISATION

  28. How do companies grow: strategic options PRODUCT LINES PRESENT NEW MARKETS SPECIALISATION EXPANSION RELATED DIVERSIFICATION PRESENT EXPANSION INTERNATIONALISATION RELATED DIVERSIFICATION UNRELATED (CONGLOMERAL) DIVERSIFICATION INTEGRATION NEW

  29. How do companies grow: strategic options and organisational design PRODUCT LINES PRESENT NEW MARKETS DIVISIONAL (related) FUNCTIONAL PRESENT CONGLOMERAL MULTIDOMESTIC ( PURE) SEGM GEO FUNCTIONAL II with Geo subsidiaries NEW