S.1.6 Org. Design & the digital Transformation Flashcards
Digitalization
a sociotechnical process of applying digitizing techniques to broader social and institutional contexts.
Contingency theory
sees all organizations as having to deal with contingencies that will shape the organization’s design as it adapts to them.
Mechanistic organizations
keynote is machine-like predictability and efficiency achieved by tightly prescribing job designs that employees have little or no part in creating.
Organic organizations
are flexible and innovative, facing continuous and turbulent changes in markets, customer preferences, technologies and regulations. Decision-making processes are decentralized and organization design flatter.
Characteristics of an agile organizational design
- Flexible work teams
- Flat hierarchies
- Informal and direct communication
- Transparency/“openness”
Agile as an organizational design
- Adaptive instead of predictive
- Iterative instead of “waterfall”
- Code instead of documentation
Open innovation:
the use of purposive inflows and outflows of knowledge to accelerate internal innovation, and expand the markets for external use of innovation,
respectively.
Organizational design in distributed innovation systems
Principle 1: Interface Design
-Interfaces enable communication between heterogeneous elements while maintaining their differences
-Steering via interface’s inherent “affordances”
Principle 2: Design of Architectures of Participation
- “Open participation” approach
-Chance for contributions increased by breaking down complex tasks:
-modular (decomposed into small sub-problems)
-granular (every input matters)
Principle 3: Design of Evaluative Infrastructures
-Creation of visibilities (e.g., reputation, trust)
-Selections based on post-hoc evaluations instead of pre-given criteria
Isomorphism:
a similarity in form, referring to a situation in which organizational designs and practices in different organizations are nonetheless similar.
Institutional theory
focuses on how organization designs and practices become cultural capital through a coercive, mimetic or normative isomorphism that hastens their adoption elsewhere.
Rationalized myths
are beliefs and practices that organizations adopt as being efficient and effective, thus granting legitimacy.
Embeddedness
is the recognition that economic action is grounded in social relations.
M-form organizations
have a hub of central services linked to spokes with profit centres that are usually specialized in terms of either products or regions.
In matrix organizations
reporting relationships are grid-like rather than traditionally hierarchical. Employees report to both a functional and a product manager.
A network
can be understood as a long-term relationship between organizations that share resources to achieve common goals through negotiated actions.