Chapter 8 - Chapter 8 System-based organizing Designing...

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Chapter 8 – System-based organizing Designing organizations and the environment Lawrence and Lorsch Model o Subsystems of an organization differ in respect to three elements: The rate at which sub-environments change Relative information they have about their environments Feedback they receive from the environment o Differentiation: Structuring organizational units to meet specific environmental requirements Hiring employees with the necessary skills and aptitudes Similar, but different than departmentalization o Integration Bringing together differentiated units in pursuit of organizational goals More difficult task than differentiation – requires bridging gaps between employees with differing backgrounds and expertise Thompson Model o Technical core Is the most directly concerned with production of goods or services To be efficient, this core must be in a stable environment Protecting the core from the environment. Leaving the outside to interact with
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