Organizational Design: A Step-by-Step Approach

by Richard M. Burton , Gerardine DeSanctis , Børge Obel

• ISBN13: 9780521617338
• ISBN10: 0521617332
• Format: Paperback
• Copyright: 2006-01-09
• Publisher: Cambridge University Press

Summary

In today's volatile business environment, organizational design is a serious challenge for any manager, whether of a multinational enterprise or a small team. This book sets out a step-by-step approach to designing an organization. All the key aspects of organizational design are covered, including goals, strategy, structure, process, people, coordination and control, and incentives. The text engages with critical issues affecting organisations, such as globalization, worldwide competition, deregulation and ever-new technologies, and contains many helpful features such as end-of-chapter reviews and unique step-by-step diagrams to orientate the reader in the design process. Diagnostic questions help the reader to determine the changes needed in an organization. The action oriented approach of this text helps the reader to assess and re-design the complex organizations of today, and plan for the information-rich organizations of tomorrow.

Author Biography

Richard M. Burton is Professor of Management at the Fuqua School of Business, Duke University Gerardine DeSanctis was Thomas F. Keller Professor of Business Administration at the Fuqua School of Business, Duke University Borge Obel is Professor of Organization and Management and Rector of the Aarhus School of Business, Denmark

Table of Contents

List of figures	x
List of tables	xii
Preface	xiii
An outline of the step-by-step approach	xv
Step 1: Getting started
1 Define the scope of the organization and assess its goals	3	(20)
Introduction: The executive challenge of designing the organization	3	(1)
Overview of this book	4	(2)
The information-processing view	6	(3)
Select an organization for analysis	9	(1)
Define the scope of the organization	9	(2)
Assess the organization's goals	11	(2)
Diagnostic questions	13	(1)
Misfits and balancing competing design dimensions	14	(2)
Summary	16	(1)
Glossary	17	(1)
Where are you in the step-by-step approach?	18	(5)
Step 2: Strategy
2 Strategy	23	(14)
Introduction	23	(2)
Reactor	25	(1)
Defender	26	(2)
Prospector	28	(1)
Analyzer without innovation	29	(1)
Analyzer with innovation	30	(1)
Diagnostic questions	31	(2)
Fit and misfits	33	(2)
Summary	35	(1)
Glossary	35	(2)
3 Environment	37	(20)
Introduction	37	(7)
Calm environment	44	(1)
Varied environment	45	(1)
Locally stormy environment	45	(1)
Turbulent environment	46	(1)
Diagnostic questions	47	(2)
Fit and misfits	49	(2)
Summary	51	(1)
Glossary	51	(1)
Where are you in the step-by-step approach?	52	(5)
Step 3: Structure
4 The configuration and complexity of the firm	57	(25)
Introduction	57	(1)
Configuration	58	(1)
Simple configuration	59	(2)
Functional configuration	61	(2)
Divisional configuration	63	(3)
Matrix configuration	66	(3)
Organizational complexity	69	(1)
Blob	70	(1)
Tall	70	(1)
Flat	71	(1)
Symmetric	72	(1)
Diagnostic questions	73	(2)
Fit and misfits	75	(5)
Summary	80	(1)
Glossary	80	(2)
5 Distributed organizations	82	(27)
Introduction	82	(2)
Structures for spanning geography	84	(2)
Global	86	(1)
International	87	(1)
Multi-domestic	88	(2)
Transnational	90	(1)
Structures for managing knowledge exchange	91	(2)
Ad hoc communications	93	(1)
Informated	94	(1)
Cellular	95	(1)
Network	95	(1)
Diagnostic questions	96	(3)
Fit and misfits	99	(2)
Summary	101	(1)
Glossary	102	(2)
Where are you in the step-by-step approach?	104	(5)
Step 4: Process and people
6 Task design	109	(13)
Introduction	109	(3)
Orderly	112	(1)
Complicated	113	(1)
Fragmented	114	(2)
Knotty	116	(1)
Diagnostic questions	117	(1)
Fit and misfits	118	(2)
Summary	120	(1)
Glossary	121	(1)
7 People	122	(13)
Introduction	122	(3)
Shop	125	(1)
Factory	126	(1)
Laboratory	127	(1)
Office	128	(1)
Diagnostic questions	128	(2)
Fit and misfits	130	(3)
Summary	133	(1)
Glossary	133	(2)
8 Leadership and organizational climate	135	(22)
Introduction	135	(1)
Leadership style	136	(1)
Maestro	137	(1)
Manager	138	(1)
Leader	139	(1)
Producer	139	(1)
Organizational climate	140	(2)
Group	142	(1)
Internal process	143	(1)
Developmental	144	(1)
Rational goal	145	(1)
Diagnostic questions	146	(2)
Fit and misfits	148	(3)
Summary	151	(1)
Glossary	151	(2)
Where are you in the step-by-step approach?	153	(4)
Step 5: Coordination and control
9 Coordination, control, and information systems	157	(25)
Introduction	157	(1)
Coordination and control systems	158	(3)
Family	161	(1)
Machine	162	(1)
Market	163	(1)
Clan or mosaic	164	(2)
Information systems	166	(2)
Event-driven	168	(1)
Data-driven	169	(1)
People-driven	169	(2)
Relationship-driven	171	(1)
Diagnostic questions	172	(3)
Fit and misfits	175	(4)
Summary	179	(1)
Glossary	179	(3)
10 Incentives	182	(21)
Introduction	182	(5)
Personal pay	187	(1)
Skill pay	188	(1)
Bonus-based	189	(2)
Profit sharing	191	(1)
Diagnostic questions	192	(2)
Fit and misfits	194	(3)
Summary	197	(1)
Glossary	197	(2)
Where are you in the step-by-step approach?	199	(4)
Applying the step-by-step approach in a dynamic world
11 Design dynamics: managing change and multi-organizations	203	(22)
Introduction	203	(1)
Where are you in the step-by-step approach?	203	(3)
What should you change first? Make changes within each step	206	(1)
What should you change second? Make changes between steps	207	(1)
Why change? Should we live with some misfits?	207	(1)
What are the benefits of change?	208	(1)
What are the difficulties of change?	208	(4)
Managing misfits over time	212	(3)
Multi-organization: multiple units of analysis	215	(2)
The multi-organization step-by-step approach	217	(2)
Joint venture	219	(1)
Merger	220	(1)
Strategic alliance or partnership	221	(2)
Summary	223	(1)
Glossary	223	(2)
References	225	(4)
Index	229