Organization Theory and Design

Lecture starts with factor that effects the organization to carry the changes in organization. There are many factors that affect the organization but the top of list factors are technology, structure, strategy, and culture. When structural changes are being made in an organization, power issues can be face in job. Change of culture is very tough to deal with as people make a culture and it is difficult to change the behaviors and attitudes of these people instantly.

If an organization is going to bring a new change in the company, organizational design must be aligned with those of strategy, and structure etc. The students were asked to share views whether organic design is best suited for change initiation or mechanistic, and whether mechanistic design is best appropriate for the change implementation or organic. Rana Fahad and Hina Ali were selected as two parties that had prove to other class mates regarding their views on the initiation and implementation. Rana Fahad was of the view that in order to start a change and for its implementation, in both the cases organically designed organization is more appropriate as it shows elasticity to better survive with the external environment. Hina Ali was of the view that organic design is more best suited for initiating a change in an organization whereas mechanistic design is better for its implementation as it has got defined rules and procedures to be implemented as planned. So, the conclusion was made at the end that if an organization really wants to start a change in a dynamic and cross-functional way, organic design is the best as it shows elasticity and people come up with different thoughts and ideas whereas mechanistic designed organization is more towards the implementation of that idea as it depict clearly defined rules, regulations, procedure, tasks, evaluation criterion etc. So, the mix of both designs would be used for the initiation and implementation respectively.

Rationale decisions are being in an organization on the basis of all relevant options, information, future prospects, and its causes. Decision making process includes various steps that depict efficient & effective decisions. It follows monitoring of decision environment, define decision problem, specify decision objectives, diagnose the problem, alternate solutions, evaluation of that alternatives, choose best alternate, and finally implement the chosen alternative. Class Activity also done in class to check decision preference and decision ability.