Organization - Effectiveness & Development Flashcards
organizational Development (OD)
Uses planned change interventions to improve efficiency and effectiveness.
Organizational Theories
McKinsey 7S Framework or Burke Litwin Performance and Change Model:
The major orgz elements that must be aligned with strategy include:
- Leadership
- Values
- Structure
- Systems
- Culture
*Everything is connected–if you change something somewhere it will affect something else
Major Orgz Elements
Structure: the way the orgz separates and connects its pieces
Systems: the policies that guide behavior and work, the processes, and the technology & tools used
Culture: the set of beliefs, attitudes, values shared by members of the orgz and passed onto new members
Values: principles that the orgz and its leaders have explicitly selected as a guide for decisions and actions
Leadership: the model of behavior that leaders set for the rest of the orgz
Proactive Interventions
Proactive OED interventions identify and correct potential problems before they begin affecting performance. They can also prepare to take advantage of anticipated opportunities.
*Prepare in advance
Remedial Interventions
Remedial interventions make changes that bring an orgz back on course toward its strategic goals.
Ex: during economic downturns, and orgz can adopt a ‘do more with less’ but this short term benefit might inflict long term problems on the orgz.
- Diminished capacity, capability, and agility
- Misaligned orgz
- Broken work processes
- Declining workforce engagement
Characteristics of Effective OED Interventions
- Strategically aligned
- Collaboration
- Supported by top mgmt
- Producing sustainable results
- Supporting continuous improvement
- Using common tools (metrics)
- Using common language
- Flexibility
- Multiple perspectives
Why OED Interventions Fail
- Leadership does not get invovled
- The wrong messengers are used: pick the best managers for the message
- Communication is too sudden or too late
- Communication is not alinged with orgz realities: message should be honest
- Poor planning
- Reluctant to take reasonable risk
- Too much change for the available resources
Organizational Interventions are required when an orgz:
- Is failing to meet its strategic objectives because its structure is inefficient and or ineffective.
- Has changed its competitive strategies and needs to develop new skills and traits.
Organizational design refers to elements that support an Organizations’ functioning, including:
- The orgz mission and vision and strategies it is pursuing
- The way decisions are made
- The way information is communicated
- The processes used to perform work and how those processes are managed
- The systems used to align the orgz needs with the resources required to fill those needs
Work Specialization
Work Specialization refers to the degree to which tasks are performed as separate jobs.
While work specialization could be seen as increasing efficiency, it can also result in boredom and lack of quality.
*Show how a job effects the bottom line
Decision Making Authority
This principle describes how decisions are made within the orgz
*Centralized v. Decentralized
Layers of Hierarchy
The hierarchical layers of an orgz range from the CEO to the EE in a function–how long it takes to get something approved.
- Span of control: the # of EEs who report to a supervisor
- Chain of command: the line of authority within an orgz
Formalization
Refers to the extent to which rules, policies, and procedures govern the behavior of EEs in the orgz
Mechanistic and Organic Orgz
A mechanistic orgz tends to be highly specialized, hierarchical, and formal, while in an organic orgz job boundaries are less distinct and there are fewer levels of decision makers and a more flexible approach to structures and rules.
What is Departmentalization
It refers to the way an orgz groups its jobs and aligns efforts. Four common structures are:
Functional, Product, Geographic, Matrix
