February 3, 2015

Effective Organizing and Organizational Culture - Review Notes



Some mistakes in organizing


Failure to plan properly

Failure to clarify relationships

Failure to delegate authority

Failure to balance delegation

Confusion of lines of authority with lines of communication

Granting authority without exacting responsibility

Responsibility without authority

Careless application of the Staff Device

Misuse of Functional Authority

Multiple Subordination

Misuse of Service Departments

Over Organization



Organization is a network of decision, communication and activity centers for coordinating efforts toward group and enterprise goals. To work effectively, an organization structure must be be understood and principles of making organizations work must be put into practice

Design of Effective Organizations


Design of Effective Organization depends on the objectives and goals of the organization.

Developing the Ideal Organization

Modification for the Human Factor

A plan of ideal organization will help in maintaining the actual organization whenever changes occur in personnel.

Avoiding Organizational Inflexibility


Signs of inflexibility
Reasons for reorganization
Need for Readjustment and Change

Organizations should continuously change in response to changes in customer needs and wants. An organization should not be allowed to become inflexible.

Avoiding Conflict by Clarification


Organization Charts
Position Descriptions
Need to Define Relationships
Goal Definition

Assuring Understanding of Organizing


Teaching the Nature of Organizing
Many organization plans fail because organization members do not understand them. The description of the organization plan in terms of organizational philosophy, programs, organization chart and an outline of job descriptions all help in making people understand it. In addition managers have to explain and teach the members through individual coaching, staff help or special meetings etc.

Recognizing the Importance of Informal Organization


Promoting An Appropriate Organization Culture

Culture is the general pattern of behavior, shared beliefs, and values that members have in common. Value can be defined as a fairly permanent belief about what is appropriate and what is not that guides the actions and behavior of employees in fulfilling the organization's aims. Values can be thought of as forming as ideology that permeates everyday decisions.

Changing a culture may take a long time, up to five to ten years. It demands changing values, symbols, myths and behavior. It may require, first understanding the old culture, then identifying a subculture in the organization that is appropriate and rewarding those living this appropriate culture. In other words, the new culture one wishes to bring in starts as a subculture. Espoused values need to be reinforced through rewards and incentives, ceremonials, stories, and symbolic actions.





Updated 3 Feb 2015, 6 Jan 2015, 12 Dec 2011

MBA Core Management Knowledge - One Year Revision Schedule

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