08 - Foundations of Organization Structure...

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Foundations of Organization Structure Industrial/organizational psychology 10-27-08 Organizational structures should .... address ***Which Organizational Structure Works Best?*** * Decision-Timeliness & Quality of * Customer Responsiveness - people want answers quickly and hopefully they will be right. *Time to Market Beat Competition - we only have so much time from the time the product its completely to go to market and when we give it to market. THe window of opportunity. Some companies wait too long. * Response to Competitive Pressure: * Flexible, Adaptable, Nimble - flexible enough to change, adjust to environment, may need to downsize the organization, * Results, profitability, market share, cost effectivity * The CHANGING World/ Environment - the organizational challenge today is to keep up with the world changes in the economy. (Housing sales was up for the first time) Change Change is "everywhere" today both in business and enow business organization. * Change i "scary", "messy" requires *Business environment Forces of Change: 1. Workforce 2. World Politics 3. Social trends - structure, traditional family changes things we used to do. Ex: things we do to help families out. 4. Technology 5. economic shocks Major Business Changes - Downsizing - Reengineering - Mergers & Acquisition - clash between companies. ex: conservative vs. liberal. clash of cultures - Total Quality Management (TQM)- process scenarios Business Corporations NOT Recognize the
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Did not do very well - general motors- late 1970s and 1980s -IBM - Eastman Kodak - Sears - Xerox Corporation- first company to slide down and come back up - K-Mart CHANGE AGENTS - What they Can Change? - Attitudes - try to get everyone in a more positive thing, a good leader can help them change - Corporate Philosophy- - Organizational Structure - Spans of Control - how many VP's does the president have reporting to him. Increase # of VP's reporting and it will speed up the communication system.
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