RATIONALIZATION IN ORGANIZATIONS1 Application of rationalization in leadership power and politics Name Course Professor Date
RATIONALIZATION IN ORGANIZATIONS2 Introduction Rationalization is about reorganizing a company or an organization with an aim to make it more efficient (max weber, 1920). The reorganization could include resizing the company by either expanding or reducing functions, making policy changes and also altering strategies for different products. Rationalization doesn’t focus on one particular area but can be applied in reorganization of various business aspects such as organizational change, culture, services, knowledge and learning, leadership, politics and power among others. An organization should regularly conduct strategic planning and review its purpose, the overall goal and duties of specific people who should conduct certain duties to achieve needed results or to meet the target of the business. Key features of rationalization and how they can be used to improve efficiency Combination Combinations can be used to merge different units which aren’t efficient by themselves or if they are efficient, there are situations that need a change or a combination of the unit with another that’s works best in that situation. Some methods can’t be used throughout the organization due to adverse changes that an organization might undergo through. These varying situations calls for a use of a different method to complement the other one. This ensure that the organization is fully functional regardless of the situation. It eliminates rigidity making sure the best option is optimized to achieve the desired organizational goals. Standardization This involves creating specific procedures that must be followed by an organization. It aims to remove different varieties of options by specifically defining how something should be done or procedures which must be followed. Standardization may include policy making on
RATIONALIZATION IN ORGANIZATIONS3 different issues and also what are product should be like, types of product to be produce or the number of products that can be produced. If something is standardized, there is only one specified way that must be followed to act on it. This improves efficiency through determining the best methods that can be used in particular, thus avoiding careless less or failures when an effective way was already known. It reduces friction between two conflicting ideas or perspectives and hastens decision making. It may reduce wasteful expenditures on particular business process e.g. overproduction when the markets are insufficient or unreliable. Specialization This involves division of labour where work is divided according to the nature of activities involved in that job. Specialization increases efficiency through definitions of roles and responsibility of an individual who has been assigned that job. There is increased productivity due to reduced conflicts of who should be doing what or when it should be done and also
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