16. theories of organization

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OUTPUT #2 ORGANIZATION STRUCTURE Create an organizational structure in Tinago NHS and emphasized on the line of responsibility with a solid line and the line of coordination with a broken line.

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Page 1: 16. theories of organization

OUTPUT #2ORGANIZATION STRUCTURE • Create an organizational structure

in Tinago NHS and emphasized on the line of responsibility with a solid line and the line of coordination with a broken line.

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Three Theories of Organization

• Classical Theory or Bureaucracy

• Neoclassical Theory or Human Relations Movement

• System Theory

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3 Theories of Organizations

Neoclassical TheoryCritique of the 4 structural principles of classical Theory1. Functional2. Scalar 3. Line/Staff4. Span of control

System theory5 parts of an organization1. Individuals2. Formal org.3. Small groups4. Status & Roles5. Physical

setting

Classical Theory4 Basic components to any Organization1. System of

differentiated activities

2. People3. Cooperation

toward a goal4. Authority

Activity No. 1

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Main teachings of the Classical Theory:

1. Basic components: A system of differentiated activities, People, Cooperation toward a goal, Authority.

2. Structural principle: Functional, Scalar (Unity of command), Line/staff, and Span of Control principle.

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Neoclassical Theorists did not agree with classical theorists in many ways e.g.

• Division of labor decreases job meaning

• Value of distinction between line and staff• Span of control is more than a number

• Not only formal authority can influence people

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Components of an Open System

Inputs

Transformation

Outputs

Matter / energy return

Matter / energyMatter / energy

Information Information

Feedback

Environment

Environment

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System Theory

Organizational System is composed of: Individuals, Formal Organization, Small Groups, Status and Role, Physical Setting

All parts in the system are interactive in order to achieve coordinated goals of the system.

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Reorganizing and downsizing

• When environment changes, organizations do too in response.• Job losses, more work less employees, stresses, wider span of control

• Who are affected? Those in the middle line, supporting staffs, and technostructure.

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Structural properties by which the organization to reach its goal.

• Functional principle, divide into units that perform similar function

• Scalar principle (chain of command), unity of command

• Line/staff functions• Span of control, number of

subordinates a manager is responsible for supervising.

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Organizational Structure

Structure: the sum total of ways in which its labor is divided into distinct tasks and then its coordination is achieved among these tasks. Five coordinating mechanisms have been proposed to explain the fundamental ways in which organizations coordinate their work. They are the glue that holds organization together.

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Coordinating Mechanisms

• Mutual adjustment• Direct supervision• Standardization of work processes• Standardization of work output• Standardization of skills and

konwledge

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The Five Basic Parts of an Organization

Strategic apex

Middle line

Operating core

Technostructure Support staff

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Components of Social System1. Roles2. Norms3. Organizational Culture

Social system: the human components of a work organization that influence the behavior of individuals and groups.

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Roles: Expectations of appropriate behavior in a specific position.Aspects of roles: 1) impersonal. 2) Related to task behavior. 3) Difficult to clarify. 4) Produce behavior change. 5) Jobs and Roles are not the same.Role episode: Group expectation, communication about expectation, perceived expectation, actual role behaviorRole differentiation: different roles in the same group.

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Three Informal Components of Social systems

Roles1. Five Aspects

of Roles2. Role Episode3. Role

Differentiation

Norms1. Four

important properties of norms

2. Three-step process for developing & communicating norms

Organizational Culture

1. What is culture?

2. Three key features of an org.’s culture

3. ASA cycle

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Five aspects of roles

• Impersonal• Related to task behavior• Difficult to perceive in the same

way for different persons• Can produce behavior change• Not the same with job, one job can

have several roles

Role: a set of expectations about appropriate behavior in position.

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Role episode

Stage 1 Group expectations for a particular positionsStage 2 Communication about expectationsStage 3 Perceived expectations about roleStage 4 Actual role behavior

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Norms: a set of shared group expectations about appropriate behavior. Norms have several properties

• Shouldness or oughtness• Determine what behavior judged is• Enforce by group

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Overcoming Organizational Resistance to Change

Psychological Ownership1. Self-Enhancement2. Self-Continuity3. Control and efficiency

3 Types of Change1. Self-initiated vs.

imposed change2. Evolutionary vs.

revolutionary change3. Additive vs.

Subtractive

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Effect of psychological ownership or disposition toward change as influenced by type of change

Self-initiated(+)VS

Imposed (-) change

Evolutionary (+)VS

Revolutionary (-) Change

SelfPsychological ownership of the organization

organization

Individual’s disposition toward change of organization

Additive (+)VS

Subtractive (-) change

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Total Quality Management

Employee Involvement

Customer Focus

Statistical Quality Control

Align Business Operation

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Organizational Culture: The way we do things around here. Some defines as artifacts.Org Culture features: 1)

can be traced to its founder. 2) develop out of org. experience with external environment. 3) maintain working relationships among employees.

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BeliefsValues & Norms

Artifacts

Cultural Expression

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Principles of Teamwork

• provide feedback to and accept it from…

• willing, prepare, proclivity to back others…

• viewing that group success depends on their interaction…

• foster interdependence…

• team leadership makes differences..

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Interpersonal Processes in Teams

• Communication

• Conflict• Cohesion• Trust

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Personnel Selection for Team

Establishing team requirements involves identifying and assessing the congruence among members with regard to personality and values.Critical abilities enhancing group performance: gain gr acceptance, increase gr solidarity, be aware of the gr consciousness, share the gr identification, manage others’ impression of him/her.

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Delegation & Empowerment

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Session Learning Objectives: Delegation & Empowerment• Analyze the difference between

delegation and empowerment.• Identify the key principles of

delegation.• Identify the essential elements of

empowerment.

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DefinitionsDelegation:A division of labor~• Assignment of

specific duties or responsibilities to an individual

Empowerment:Instilling a sense of

power~• Granting decision-

making authority, and/or

• Creating opportunities to influence decisions

• Providing ability to make choices

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DELEGATION & EMPOWERMENT

Delegation requires:

• Defined expectations

• Communication• Coaching• Monitoring• Feedback• Trust

Empowerment requires:

• Shared values• Shared power• Defined boundaries• Communication• Feedback• Recognition• Trust

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DELEGATION• PRINCIPLES OF DELEGATION

• Assign duties to the right people• Grant authority to do the job• Minimize yo-yo delegation• Make due date specific• Don’t delegate the critical thing you do

Activity No. 2

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DELEGATIONKnow Your PeopleStages of job development:• Unconscious Incompetent• Conscious Incompetent• Conscious Competent• Unconscious Competent

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DELEGATING1. TELL THEM WHAT TO DO2. SHOW THEM WHAT TO DO3. LET THEM TRY - OBSERVE4. PRAISE PROGRESS5. REPEAT UNTIL COMPETENT6. TRANSFER THE RESPONSIBILITY7. MONITOR PERIODICALLY

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EMPOWERMENTPRINCIPLES OF EMPOWERMENT• Shared Values

• Brainstorm typical situations• Identify your “common sense” solutions• Define “common sense” as values

• The Carver Circle

YES

NO

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CONCERN

INFLUENCE

EMPOWERMENTEXPANDS THE CIRCLE OF

INFLUENCE

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DELEGATION & EMPOWERMENT

CLASS EXERCISE• Best & worst delegation done

to you• Take turns sharing in groups of

4• Report out