Organization design is the process of constructing and arranging an organization’s structure, processes, systems, practices, and rewards programs as a means to achieve its purpose and goals. To design an organization requires wide knowledge on a diverse range of concepts, research, and approaches on economics, information technology, logistics, management, and psychology. It also involves analysis of available designs and frameworks derived from existing organizations, and redesigning these to effectually meet the prerequisites of the organization. An organization design is created on the belief that employees have the genuine desire to contribute to the overall objectives of the organization that they…

There are numerous frameworks that allows to structure an organization.  However, to design an organization is quiet different because there is no such thing as a design blueprint that anyone can simply follow without taking necessary steps to ensure that the design structure will work for a particular organization.  Blueprint Designs even makes it more complicated knowing that the design is ineffective, this will lead the organization to serious consequences which may ultimately result in business failure. Fortunately, there are four guiding principles that will assist employers in making an organization design. These principles, if followed correctly, will bring a…

An organization design is an ongoing challenge for every manager because it constantly struggles to protect the organization and keep it competitive, despite the unstable economy and the ever-changing nature of any business. However, a remarkable facet of an effectual design is that its process is, in the simplest sense, a set of cascading tasks that allows managers to go through step-by-step methods in a clear and straightforward manner. It begins with the corporate level and goes down to departmental levels. Basically, a design is an ongoing challenge yet because of how it is created, the process is not as…

The basic systems model used in organizations is one that takes input, creates a transformation through a series of internal processes, and produces an output. However, whilst the different models being used today are still built around this fundamental concept, there have already been variations made to meet the needs of the organizations in the 21st century. This article discusses the four most commonly used models in organizations. Galbraith’s Star Model of Organizational Design The Star Model serves as the basis from which an organization creates design choices. It has five categories of design policies that can be controlled by…

Every organization exists for a purpose, and while it is the top managers who will decide how the organization can achieve its mission and vision, the operative goals are the key to its success. Therefore, there should be strategies that focus on giving employees a sense of direction and motivation, and there should be standards of performance. Strategies include a number of techniques and the organization design should specifically suit the organization’s competitive approach in order for it to contribute significantly to effectiveness. Hierarchical Systems Majority of today’s organizations are designed bureaucratically, which means that there is hierarchy between authority…

Culture is both a dynamic phenomenon and the norms that guide and restrict behavior. It creates a powerful driving force in organizational situations, and is considered influential to its success. In any scenario wherein there needs to be a group effort, teamwork, and collaboration between individuals and groups of individuals, such as that evident in business operations, there are always different types of people with different culture, and when the organization cannot find means by which to make them understand and accept the differences, and be able to create common grounds, that is, create an organizational culture, it will be…

Over the years, there have been several definitions of organizational learning. One such definition is that it is the process of being able to detect and correct errors, with people in the organization acting as the agents who learn through various activities. Another definition states that there are four aspects associated with organizational learning, and these are: knowledge acquisition, distribution of information, interpretation of information, and the use of organizational memory. Lastly, organizational learning has also been defined as similar to that of having one stimulus and getting several effects, a pattern of many “means and ends” relationships. But fundamentally,…

Organizing Staff is an organization is a more complex type of administrative organization that puts the power of command to the line executives (or line managers) however it does have its share of benefits that will help any organization to fully utilize their people’s potentials. To organize staff, appointing supervisors and specialists attached to the line authority is required. Features of Staff Organization There are two types of staff: staff assistants and staff supervisors. Staff assistants include personal assistants and secretaries, while staff supervisors include quality controllers and operation control managers, among others. When organizing staff, there needs to be…

An organizational chart, otherwise referred to as org chart, is a diagram that illustrates the structure of an organization. It clearly shows the rank and relationships of the employees, and help keep the work operations organized. Depending on the size of the company, a chart may comprise of numerous lines, arrows, and boxes, or it may consist of only a few. Because relationships within a company often change, charts should be flexible and simple, so that they can be changed easily. Importance of Organizational Chart Organizational charts are considered important and vital in allowing the members of the company to…

The life cycle of an organization proposes that over a certain period of time, for-profit companies move through a predictable sequence of development. Life cycles have been the subject of extensive study over the years and these are linked to organizational growth and development studies. It has been found that organizations are similar to living beings because they have a pattern of developmental stages and are impacted largely by the circumstances of the internal and external environments. There are many frameworks used to determine the life cycle of an organization. However, the most basic, which others have based their framework…

It is common for organizations to realize later on that the design they have created does not seem to provide a positive impact to their purpose, or is not able to keep up with the changes. Either way, they need to make certain adjustments in their current design framework in order to thrive. This process is known as organization redesign. Importance of Organization Redesign The restructuring of an organization has become a necessity and at the same time, a powerful business strategy. It is critical to the success of a business because of how dynamic the environment is. With so…

The concept of organizational change management applies to organization changes such as mission change, restructuring operations, application of new technologies, major collaborations, and mergers. This kind of change in the organization requires a fundamental and radical reorientation of how the organization functions and operates. This happens when there is a provocation of external driving force such as economic crisis, fund cuts, new markets, and major increase in demand. The occurrence of organizational change has not slowed down over the last decade and will continue to increase as more and more innovations in technology have been used to drive change within…