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Class 11 Organizations 110409

Class 11 Organizations 110409 - Organizational Theories and...

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Organizational Theories and Models ENG 185A and 285A November 4, 2009 Karen Smith Bogart
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Today Capstone Questions Organizational Models Theories Organizational Capability IBM (2009): “We’ll Work Hard.”
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Organization Complex set of social processes, some of which reproduce behaviors that serve to challenge, undermine, contradict or transform current routines Systems of interrelated social behavior of participants Each participant receives “inducements” from the organization for their contributions: Tangible and Social Continues to contribute as long as rewards > contribution Significance: Ubiquity. Impact on power and status. Effects on personality Impact on performance Tosi, H. L. (2009). Theories of organization . Thousand Oaks, CA: Sage Publications
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Common Features Social structures created by individuals to support the collaborative attainment of goals Organizations must: Define their objectives Induce participants to contribute their capabilities and services Control and coordinate these contributions Obtain and integrate needed resources and materials Select, train, develop, incent and direct participants Deliver valued offerings (services or products) Organizations combine and harmonize work flow elements (e.g. knowledge, technology, equipment, skills, information) with social and human systems (e.g. motivation, roles, leadership/followership) Scott, W.R. and David, G. (2007) Organizations and Organizing. Upper Saddle River, NJ: Pearson/Prentice Hall
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Divergent Features Differences: Size Shape Goals and objectives Constituencies and their demands Public vs. private Environments or Context: Political, regulatory, business Industry structure Dependence/interdependence needs Asset intensity Resource requirements Decision processes Centralization/decentralization of authority Flexibility and adaptability Cultures Scott, W.R. and David, G. (2007) Organizations and Organizing. Upper Saddle River, NJ: Pearson/Prentice Hall
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Porter’s Competitive Forces Suppliers Existing Competitors Buyer New Entrants Substitutions Threat of new entrants barriers to entry economies of scale brand equity Bargaining power of suppliers supplier switching costs degree of differentiation of inputs substitute inputs supplier concentration to firm concentration ratio threat of forward integration Bargaining power of customers buyer concentration to firm concentration ratio bargaining leverage buyer volume buyer price sensitivity Threat of substitute produc buyer propensity to substitute relative price performance of substit buyer switching costs perceived level of product differentia Intensity of competitive riva industry overcapacity exit barriers diversity of competitors informational complexity and asymm brand equity Source: Porter, M. (1980) Competitive Strategy , The Free Press, New York, 1980.
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Organization Technology Physical Structure Culture Social Structure
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