OTD L1

Question 1

Definition of Organization Theory

Answer 1

The discipline that studies the structure and design of organizations

Question 2

Organizational Change

Answer 2

occurs when a company makes a transition from its current state to some desired future state.

Question 3

Managing organizational change

Answer 3

process of planning and implementing changes in organizations in such a way as to min. employee resistance and cost to the org. while max. the effectiveness of the change effort.

Question 4

Historical development phases of Organizational Theory

Answer 4

Prehistory, Modern, Symbolic, Postmodern

Question 5

When was prehistory?

Answer 5

1900-1950s

Question 6

When was modern?

Answer 6

1960s-1970s

Question 7

When was Symbolic?

Answer 7

1980s

Question 8

When was Postmodern?

Answer 8

1990s

Question 9

Which historical development phases contribute to the present?

Answer 9

Modern, Symbolic and Postmodern

Question 10

Modernist paradigm

Answer 10

• Organizations are means to an end
• Organizations are founded primarily for the performance of collective tasks
• Scientific, objectivist approach

Question 11

Symbolic-interpretive perspective

Answer 11

• Focus on behavior and social relations where meaning is constructed
• people construct meaning and act accordingly (enactment)
• Relativistic, context dependent approach

Question 12

Postmodernist perspective

Answer 12

• Power and control issues: critical theory

- Pocus on micro-text

Question 13

Modernism has which approach?

Answer 13

Contingency approach

Question 14

What does the contingency theory say about organizations?

Answer 14

The dimensions of social structure will depend on the relationship btw. the environment and its strategy, technology, size, etc.

Question 15

In Modernism:

What is the goal orientation of sub-units based on?

Answer 15

On the environment that affects them the most.

Question 16

In Modernism:

What is the time orientation of sub-groups dependent on?

Answer 16

On the immediacy of feedback from their actions.

Question 17

In Modernism:

Which groups have more formal structures?

Answer 17

Groups that are organized to perform simpler, more certain tasks (e.g. production groups)

R&D has more uncertain tasks

Question 18

In Modernism:

Which companies are best equipped to adapt to environmental change?

Answer 18

With a high sub-unit differentiation and high integration between sub-units.

Question 19

Steps of rational decision-making in organizations

Answer 19

1. Assumption:
   purpose pre-exists
   purpose guides behavior
   unified purpose for the whole organization
2. Search process for alternatives is costless and large number of alternatives are considered
3. Consequences of alternatives are fully anticipated
4. Choice of alternatives that max. goal achievement = decision

Question 20

Decision-making under bounded rationality

Answer 20

Satisficing: people pick first satisfactory alternative
Search: is problemistic, as it is triggered by performance below aspirations
Rule following: experience is captured in rules. This makes search local and innovation incremental.

–> disagreement on achieved results

Question 21

Political model of decision-making

Answer 21

• diverse interest groups
• actions are taken not alternatives
• decision reflects power distribution

Question 22

What does Symbolic paradigm state?

Answer 22

• the most important processes that constitute organizations are the enacted product of socially shared beliefs (culture, status, authority)