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Organizational processes & structure:
Organizational structure & design
What Is Organizational
Structure?
Key Elements:
• Work specialization
• Departmentalization
• Chain of command
• Span of control
• Centralization and
decentralization
• Formalization
What Determines
Organizational Structure?
À To what degree are tasks subdivided into separate jobs?
Á On what basis will jobs be grouped together?
 To whom do individuals and groups report?
à How many individuals can a manager efficiently and
effectively direct?
Ä Where does decision-making authority lie?
Å To what degree will there be rules and regulations to
direct employees and managers?
Key Design Questions and
Answers for Designing the
Proper Organization Structure
Division of labor:
• Makes efficient use of
employee skills
• Increases employee skills
through repetition
• Specialized training is
more efficient
• Allows use of specialized
equipment
Economies and
Diseconomies of Work
Specialization
Grouping Activities By:
• Function
• Product
• Geography
• Process
• Customer
Narrow Span Drawbacks:
• Expense of additional
layers of management.
• Increased complexity of
vertical communication.
• Encouragement of overly
tight supervision and
discouragement of
employee autonomy.
Concept:
Wider spans of
management increase
organizational efficiency.
Decentralization
The degree to which
decision-making has been
delegated to the lower
levels
Organization Structure: Its
Determinants and
Outcomes
Why Do Structures Differ?
1.Models of Organizational
Behaviour
2. Strategy
The Strategy-Structure
Relationship
3.Technology
Characteristics of routineness (standardized or
customized) in activities:
• Routine technologies are associated with tall,
departmentalized structures and formalization in
organizations.
• Nonroutine technologies are associated with delegated
decision authority.
4. Environment
Key Dimensions:
• Capacity: the degree to
which an environment
can support growth.
• Volatility: the degree of
instability in the
environment.
• Complexity: the degree
of heterogeneity and
concentration among
environmental
elements.
The Three Dimensional
Model of the Environment
Complexity
Volatility
Capacity
Common Organization
Designs
A Simple
Structure:
Jack Gold’s
Men’s Store
Common Organization
Designs
The Bureaucracy
 Strengths
 Functional economies
of scale
 Minimum duplication of
personnel and
equipment
 Enhanced
communication
 Centralized decision
making
 Weaknesses
 Subunit conflicts
with organizational
goals
 Obsessive concern
with rules and
regulations
 Lack of employee
discretion to deal
with problems
The Matrix Structure
Cross-Functional
Coordination
Clear
Accountability
Allocation
of Specialists
Dual Chain
of Command
A
Matrix Organization
Project
Gamma
manager
Production
support
group
Legal
support
group
Accounting
support
group
Engineering
support
group
Project
Beta
manager
Production
support
group
Legal
support
group
Accounting
support
group
Engineering
support
group
Project
Alpha
manager
Production
support
group
Legal
support
group
Accounting
support
group
Engineering
support
group
Production
department
Legal
department
Accounting
department
Engineering
department
Farm Machinery
Division
President
Functional
authority
Project
authority
New Design Options
Concepts:
Provides maximum
flexibility while
concentrating on what
the organization does
best.
Disadvantage is reduced
control over key parts of
the business.
A Virtual Organization
Characteristics:
• Breaks down
departmental barriers.
• Decentralizes decision
making to the team level.
• Requires employees to
be generalists as well as
specialists.
• Creates a “flexible
bureaucracy.”
T-form Concepts:
Eliminate vertical
(hierarchical) and
horizontal (departmental)
internal boundaries.
Breakdown external
barriers to customers and
suppliers.
ORGANISATIONAL
CULTURE
It refers to a system of a shared meaning held
by members that distinguishes one
organization from other organizations
Characteristics of Organisational Culture
 Innovation & Risk-Taking
 Attention in detail
 Outcome Orientation
 People Orientation
 Team Orientation
 Aggressiveness
 Stability
CONCEPTS RELATED TO CULTURE
 Dominant Culture
 Subcultures
 Core Values
 Strong Vs Weak Cultures
 Culture Vs Formalization
 Organizational Culture Vs National Culture
EVALUATING CULTURES
Pros (positives):-
 Culture has a boundary-defining role
 It conveys a sense of identity for organisational
members
 It facilitates generation of commitment to
something larger than one’s individual self-interest
 It enhances social system stability
CONS (NEGATIVES):-
 Barrier to change
 Barrier to diversity
 Barrier to acquistions & mergers
CREATING & SUSTAINING CULTURES
Philosphy of
org.’s
founders
Selectio
n
Criteri
a
Top
Management
Socialization
Organizatio
n
Culture
HOW EMPLOYEES LEARN CULTURE
 Stories
 Rituals
 Material Symbols
 Language
MATCHING PEOPLE WITH CULTURES
Low Solidarity High
Socialability
High
Low
Networked Communal
Fragmented Mercenary
Organisational Change
FORCES FOR CHANGE
 Competition
 Nature of the workforce
 Technology
 Economic Shocks
 World Politics
 Social Trends
What can change agents change
What are the change options
Structure
Technology
Physical
Setting
People
RESISTANCE TO CHANGE
Individual Resistance
Individual
Resistance
Habit
Security
Economic
Factors
Fear of the
Unknown
Selective Information
Processing
Organisational
Resistance
Threat to Established
Resource Allocations Structural
Inertia
Threat to
Established
Power
Relationships
Limited
Focus of
change
Group Inertia
Threat to
Expertise
Overcoming Resistance to Change
Education & Communication
Participation
Facilitation & Support
Negotiation
Manipulation & Co-optation
Coercion
Approaches to Managing Organizational
Change
Lewin’s Three- Step Model
Unfreezing
Movement
Refreezing
Unfreezing the Status Quo
Time
Driving
Forces
Restraining
Forces
Desired
State
Status
Quo
ACTION RESEARCH
A change process based on systematic collection of
data and then selection of a change action based on
what the analyzed data indicate
Process of Action Research
Diagnosis
Analysis
Feedback
Action
Evaluation
Managing Change
For managing change, five questions need to be
answered:-
 Do people believe change is possible?
 If change is possible, how long will it take to bring it
about
 Is resistance to change greater in some cultures than
in others
 Does culture influence how change efforts will be
implemented
 Do successful idea champions do things differently in
different cultures
5/11/2021 49
STRESS
MANAGEMENT
5/11/2021 50
WHAT IS STRESS?
Stress
1. A specific response
by the body to a
stimulus, as fear or
pain, that disturbs or
interferes with the
normal physiological
equilibrium.
2. Physical, mental, or
emotional strain or
tension.
5/11/2021 51
Stress is not in our
environment…
…it is what we
perceive in our
mind and body.
5/11/2021 52
TYPES OF STRESS
Distress
Eu-Stress
5/11/2021 53
 Distress: Stress from
bad sources
 Difficult work
environment
 Overwhelming
sights and sounds
 Threat of personal
injury
5/11/2021 54
 Eustress: Good Stress
 Getting into college
 Winning the lottery
5/11/2021 55
POSITIVE / NEGATIVE
Stress in and of itself is neither
positive nor negative.
It is our perception of that
stimulus which determines
whether a situation is stressful.
Some event that is exciting and
pleasurable to one person may
be painfully stressful to another.
5/11/2021 56
3
Basic Stages
of Stress ARE:
ALARM
RESISTANCE
EXHAUSTION
5/11/2021 57
ALARM
 The body’s initial
physical reaction for
fight or flight.
5/11/2021 58
RESISTANCE
The body tries to cope and adapt to
the continued stress and begins the
process of repairing any damage
caused by the stress.
If the stress can be overcome the
body repairs the damage and the
physical signs disappear.
Resistance to stress is increased
each time it’s dealt with leaving us
stronger than before.
5/11/2021 59
EXHAUSTIO
N
If there is no relief from the stress,
the body and mind cannot repair
the damage.
This can result in emotional,
mental, and physical problems.
5/11/2021 60
Model of Stress
Potential
Sources
Individual Differences Consequences
Environmental
Factors
Organizational
Factors
Individual
Factors
Individual
Differences
Perception
Job Experience
Social Support
Locus of Control
Experienced
Stress
Physiologi
cal
Psychologica
l
Behavioural
5/11/2021 61
Normal Response to Our Environment
5/11/2021 62
 starting college
 tests
 changing jobs
 deaths
 breakups in
relationships
 financial
hardships
Common Stressful Events
5/11/2021 63
Busy modern life
 Studying for exams
 Handling
emergencies
 balance
responsibilities
5/11/2021 64
STRESS SYMPTOMS
Work related stress has a way of creeping into our lives, sometimes
without our even realizing it. Some of the symptoms are minor, while
others are more serious and even hazardous to your health. You may
be stressed out if you…
Have a hard time making decisions
Have trouble meeting important
deadlines
Experience feelings of fatigue or
sleepiness even with enough sleep
Have low self-esteem
Feel that there just aren’t enough hours
in the day to get the job done
Tend to criticize and be argumentative
Experience moodiness or depression
Are forgetful
5/11/2021 65
STRESS SYMPTOMS II
Get the constant feeling that something is
wrong or missing
Have a change in appetite so that you eat
more or less than usual
Find yourself smoking, drinking, or using
drugs to cope with your job
Experience rapid, irregular heartbeats or
heart pounding
Get muscle aches, headaches, or
migraines
Have high blood pressure
5/11/2021 66
MIND OVER
MANAGEMENT
 Our goal is not to eliminate stress
but to learn how to manage it.
 Begin with educating yourself.
 Remember:
“ Knowledge is power!”
 The ability to control a matter lies
in understanding it.
5/11/2021 67
5 EASY WAYS TO ADDRESS
S T R e s s s s………………….z z z z z z z z z z z z z z z
Take deep breaths
Take a walk; escape
from your environment
Say no to what you
don’t have time for or
what isn’t interesting
Leave work early (or at
least on time)
Relax your demands on
yourself a bit; most of
us expect to much
5/11/2021 68
5 MORE WAYS TO
ADDRESS STRESS
Let yourself ask questions, and communicate
with co-workers.
Do unpleasant tasks in the morning to get them
over with.
Simplify things whenever possible. Look at large,
overwhelming projects as a series of steps you
complete one at a time.
Let yourself laugh, especially when you feel
grumpiest.
Live in the present—don’t spend time worrying
about how much better things were in the past or
what might happens in the future. Most people
who are able to manage stress have perfected
the art of living in the now.
5/11/2021 69
Strategies to Manage Stress
in Your Life
 Simplify Your Life
 Ask for help
 Practice Time Management
 Minimize Alcohol Use
 Humor--Take Time to Play
 Relaxation Techniques
 Get Counseling If Needed
EMOTIONAL INTELLIGENCE IN
CONTEMPORARY BUSINESS
EMOTION
How a person feels about something
TYPES OF EMOTIONS
POSITIVE EMOTIONS Love/Affection
Happiness/Joy
Surprise
NEGATIVE EMOTIONS Fear
Sadness
Anger
Disgust
Shame
Event
Emotion
Thoughts justifying
emotions, Worrying,
Remembering the
emotions…
INTELLIGENCE
"The ability to learn new things,
recall information, think
rationally, apply knowledge and
solve problems."
The Theory of Multiple Intelligences
Howard Gardner (1995)
Language 7
intelligences
Logical-mathematical + 2
Spatial relations Naturalistic
Bodily-kinesthetic Existential
Musical
Interpersonal
Intrapersonal
EMOTIONAL INTELLIGENCE
SELF-CONTROL OVER ONE’S
EMOTIONAL LIFE
A TRUST AND GOODWILL
TOWARDS OTHERS TO A
DEGREE THAT ALLOWS
SUCCESSFUL INTERACTION
Emotional intelligence is the
ability to know and manage
oneself along with an awareness
and ability to manage one’s
relationships with others.
Emotional Intelligence
Emotional Intelligence
Attitude is the primary measure of
emotional intelligence
Gratitude Optimism
Adaptability
Self-awareness
GOLEMAN’S DIMENSIONS OF
EMOTIONAL INTELLIGENCE
SELF-AWARENESS
Emotional Awareness: recognizing one's emotions
and their effect
Accurate Self-assessment: knowing one's strengths
& limits
Self-confidence: A strong sense of one's self-worth
and capabilities
SELF-REGULATION
Self-control: Keeping disruptive emotions and
impulses in check
Trustworthiness: Maintaining standards of honesty
and integrity
Conscientiousness: Taking responsibility for personal
performance
Adaptability: Flexibility in handling change
Innovation: Being comfortable with novel ideas,
approaches & new information
MOTIVATION
Achievement drive: Striving to improve or meet a
standard of excellence
Commitment: Aligning with the goals of the group or
organization
Initiative: Readiness to act on opportunities
Optimism: Persistence in pursuing goals despite
obstacles and setbacks
Personal Competence
Social competence
EMPATHY
Understanding others: sensing others' feelings and perspectives,
taking an active interest in their concerns
Developing others: Sensing others development needs and
bolstering their abilities
Service orientation: Anticipating, recognizing, and meeting
customers' needs
Leveraging diversity: Cultivating opportunities through different
kinds of people
Political Awareness: Reading a group's emotional currents and
power relationships
SOCIAL SKILLS
Influence: Wielding effective tactics for persuasion
Communication: Listening openly and sending convincing
messages
Conflict management: Negotiating and resolving disagreements
Leadership: Inspiring and guiding individuals and groups
Change Catalyst: Initiating or managing change
Building bonds: Nurturing instrumental relationships
Collaboration and cooperation: Working with others toward shared
goals
Team capabilities: creating group synergy in pursuing collective
goals
Acknowledging your
strengths and weaknesses
without judgment is a key
sign of emotional intelligence

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Unit 4 ob