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This document discusses various organizational structures and interventions for restructuring organizations, including functional, divisional, matrix, process-based, customer-centric, and network structures. It also covers downsizing, reengineering, employee involvement approaches like quality circles and total quality management, and work design approaches like engineering, motivational, and sociotechnical systems. The key aspects of different structures and interventions are defined, along with considerations, features, and steps for successful implementation.
This document discusses various organizational structures and interventions for restructuring organizations, including functional, divisional, matrix, process-based, customer-centric, and network structures. It also covers downsizing, reengineering, employee involvement approaches like quality circles and total quality management, and work design approaches like engineering, motivational, and sociotechnical systems. The key aspects of different structures and interventions are defined, along with considerations, features, and steps for successful implementation.
This document discusses various organizational structures and interventions for restructuring organizations, including functional, divisional, matrix, process-based, customer-centric, and network structures. It also covers downsizing, reengineering, employee involvement approaches like quality circles and total quality management, and work design approaches like engineering, motivational, and sociotechnical systems. The key aspects of different structures and interventions are defined, along with considerations, features, and steps for successful implementation.
STRUCTURAL DESIGN -Organization structure describes how the overall work
of the organization is divided into subunits and how these subunits are coordinated for task completion. The Functional Structure -The most widely used organizational structure in the world today is the basic functional structure. The Divisional Structure - The divisional structure represents a fundamentally different way of organizing. Also known as a product or self-contained unit structure. The Matrix Structure- Some OD practitioners have focused on maximizing the strengths and minimizing the weaknesses of both the functional and the divisional structures, and this effort has resulted in the matrix structure. The Process Structure -A radically new logic for structuring organizations is to form multidisciplinary teams around processes, such as product development, order fulfillment, sales generation and customer support. Process-based structures emphasize lateral rather than vertical relationships Processes drive structure- Process-based structures are organized around the three to five key processes that define the work of the organization. Work adds value- To increase efficiency, Process-based simplified by eliminating nonessential tasks and reducing structures simplify and enrich work Processes. Teams are fundamental - Teams are the key organizing feature in a process-based structure. Customers define performance-The primary goal of any team in a process-based structure is customer satisfaction. Customers define performance - appraisal system focus on measuring team performance against customer satisfaction and other goals, and then provide real recognition for achievement. Teams are tightly linked to suppliers and customers- Through designated members, teams have timely and direct relationships with vendors and customers to understand and respond to emerging concerns. The Customer-centric Structure centric structure focuses subunit on the creation of solutions and closely related to the process-based structure, the customer the satisfaction of key customers or customer group. The Network Structure -A network structure manages the diverse, complex and dynamic relationships among multiple organizations or units. Specializing in a particular business function or task. Vertical disaggregation. This refers to the breaking up of the organization's business functions, such as production, marketing, and distribution, into separate organizations performing specialized work. Brokers. Networks often are managed by broker organizations or process orchestrators "that locate and assemble member organizations. Coordinating mechanisms. Network organizations generally are not controlled by hierarchical arrangements or plans. DOWNSIZING -Downsizing refers to interventions aimed at reducing the size of the organization. Application Stages Successful downsizing interventions tend to proceed by the following steps: 1. Clarify the Organization Strategy. As a first step, organization leaders specify corporate and business strategy and communicate clearly how downsizing relates to it. 2. Assess Downsizing Options and Make Relevant Choices. Once the strategy is clear, the full range of downsizing options can be identified and assessed. 3. Implement the Changes. This stage involves implementing methods for reducing the size of the organization. 4. Address the Needs of Survivors and Those Who Leave. Most downsizing eventually involves reduction in the size of the workforce, and it is important to support not only employees who remain with the organization but also those who leave. 5. Follow Through with Growth Plans. This final stage of downsizing involves implementing an organization renewal and growth process. Failure to move quickly to implement. REENGINEERING- The final restructuring intervention is reengineering-the fundamental rethinking and radical redesign of business processes to achieve dramatic improvements in performance. EMPLOYEE INVOLVEMENT Employee involvement is the current label used to describe e a set of practices and philosophies that started with the quality-of- work-life movement in the late 1950s.. Power This element of EI includes providing people with enough authority to make work-related decisions covering various issues such as work methods, task assignments performance outcomes, customer service and employee selection. Information Timely access to relevant information is vital to making effective decisions. Knowledge and skills Employee involvement contributes to organizational effectiveness only to the extent that employees have the requisite skills and knowledge to make good decisions. Rewards Because people generally do those things for which they are recognized, rewards can have a powerful effect on getting people involved in the organization. Parallel Structures -Parallel structures involve members in resolving and defined complex problems and build adaptability into bureaucratic organizations.
COOPERATIOVE UNION-MANAGEMENT AND QUALITY CIRCLES
PROGRAMS Define the purpose and scope Form a steering committee Communication with organization members Create forums for employee solving Address the problem and issues Implement and evaluate the changes Total Quality Management -Total quality management (TQM)is a more comprehensive approach to employee involvement. Also known as "continuous process improvement, ""continuous quality, ""learn”, and "six sigma" Features of High-involvement Organizations -High-involvement organizations are designed with features congruent with one another. Flat, lean organization structures Job designs Open information system Career system Selectin Training Reward systems Personnel policies Physical layouts WORK DESIGN Approaches to Work Design 1. The Engineering Approach -The oldest and most prevalent approach to designing work is based on engineering concepts and methods. 2. The Motivational Approach -The motivational approach to work design views the effectiveness of organizational activities primarily as a function of member needs and satisfaction, and seeks to improve employee performance and satisfaction by enriching jobs. 3. The Sociotechnical Systems Approach -The sociotechnical systems (STS) approach is currently the most extensive body of scientific and applied work underlying employee involvement and innovative work designs.