Chapter 14, Module 1: Conceptual and theoretical foundations of organizations. Flashcards
Definition of Organization
A organizaiton is a group of people who have common goals and who follow a set of operating procedures to develop products and services.
How is worked organized? Two paradigms
- Taylorism
- Sociotechnical systems
Definition Taylorism
Taylorism is the name of the first ‘grand theory’about the organization of work, that offically is called scientific management (1911).
- Its main objective is to imporve labor productivity by reorganizing the division of labor.
- Optimizing production by reorgnizing how people work.
Characteristics of Taylorism
- Taylor rejected the notion that manufacturing could only be performed by craft production methods (manual labor).
- According to Taylor, these production methods were highly inefficient and could benefit when the execution of work is divided.
- Instead of one person doing everything, a large collection of people do something.
Definition organization structure
The organizational structure refers to the formal way that an organziations is designed in terms of:
- division of labor (who does what)
- delegation of authority (who reports to whom - control)
- span of control (how many does one dirrectly control).
which are key characteristics that define how the organization operates.
Key conceps of Organizational structure
- Division of labor (who does what)
- Specialization/departementalizaition (who does what where - grouping)
- Centralization (who decides what and where).
- Formalization (how are processes standardized).
- Span of Control (how many subordinates are supervised by a supervisor).
- Hierarchy (who reports to whom). ——
- Structure (how is the organization organized on these aspects)
- Organizational chart (diagram of an organization’s structure).
Division of Labor
Work is seperated and divided;
- Thinking is seperated from execution
- Regulation/control is seperated from execution
- Execution is divided into sub-tasks (task is simple and repetitive)
Span of control
A concept that descirbes the number of positions or people reporting to a signle individual - the width - in an organization. A narrow span means tight leadership (supervision) and many managerial layers. Wider span means loose leadership (support) and few managerial layers.
Centralization
Means that the decision-making power is concerntrated within a group in the organization.
Decentralization
The decision-making power is distributed across the organization so more peole can decide.
Formalization
is the extend in which protocols are in place.
Classical organization theory
“Scientific Managment”is a universal approach, where the management solely supervises and the employees are expeted to execute simple tasks. Is based on the following principles;
- Seperating thinking form doing
- Seperating control and execution
- Division of work in sub-tasks
The human relations theory
Adds a personal or human element to the study of organizations. Considers the interrelationship between an organization’s requriemetns and the characteristics of its members.
Theory X
Theory developed by McGregor to describe managers wo belief subordinates must be controled to meet organizational ends.
Theory Y
Developed by McGrogor to describe managers who believe subordinates are motivated to meet goals in the absence of organizational controls.
Sociothenical systems
The second ‘grand theory’about the organization of work, which is a strong propagandist of an minimal division of labor. In organizing work, the integration of autonomy and performance is put central.
