Introduction to Organisation Theory

1
Introduction to Organisation Theory

• Dave Elliman

2
Definition

• An organization is a social arrangement which
  pursues collective goals, which controls its own
  performance, and which has a boundary separating
  it from its environment.

3
Why do we need organisations?

• Because the job is too big to do it on your own.
• So organisations are about working together with
  other people to achieve some goal

4
Organisational Theory

• Why do organisations have the structure they do?
• Mechanisms of coordination and control
• Hierarchical, matrix, network.
• Mechanisms of communication
• Formalisation vs flexibility
• Mechanisms for motivation

5
Organisational Structures

• Hierarchical or pyramid
• Authoritarian, bureaucratic
• Democracies or committees
• May waste a lot of time deciding
• Matrix organisations
• Control may be confused
• Ecologies
• Loose but competitive structure of individuals
  and groups. Individuals may be under a lot of
  stress, duplication of work and lack of
  communication.

6
Decision making

• Authoritarian Command and control
• Democratic Consensual
• Competitive Conflict winners and losers
• Distributed Made by appropriate individual with
  implicitly delegated authority.
• Chaotic ill defined, reactive, confused.

7
Communication

• Hierarchical
• Formal channels
• Compartmentalised
• Flexible

8
Is there one best structure?

• Large organisations will tend to have a mix of
  these structures.
• What kind of organisation is this University?
• Is the organisation appropriate to the goals?

9
What is an organisation for?

• It is useful to set out the goals
• How are these goals achieved?
• Is the organisation structured so as to deliver
  the goals effectively and economically?
• What is important in making an organisation work
  well?
• Is there one best design of an organisation?

10
Some principles

• Organisations need to be designed to suit their
  goals
• The organisation should be able to adapt rapidly
  to changing goals and new technology and
  opportunities
• Staff need to be well motivated and a good fit to
  the tasks they are given.
• Hierarchical because I say so no longer
  appropriate

11
Designing the organisation

• Boundary with outside world
• What is the interface?
• How are inputs translated to outputs?
• The organisation as a machine what bits and
  pieces are needed and how do they fit together.
• What facilities are needed? How much capital
  investment?

12
Organisation design

• Who decides?
• How are decisions made ?
• How are decisions communicated and enforced?
• Who does what and when and how is this checked?
• What communication structures are needed?

13
Digital Business Communications

• How can this help produce an effective
  organisation
• Rapid communication
• Rapid access to information
• Knowledge collection and retention
• Support of collaborative work
• Support of remote collaboration

14
I went to some talks

• By IBM
• By Vodafone

15
A Case Study

• Legentis Ltd

16
Finance

• How much will it cost?
• Does it make an acceptable return?
• Or will the government pay?

17
General Principles

• Some top-down direction needed
• People work best in fairly small teams where they
  have control over their own work and an input
  into decisions that affect them.
• Hygiene factors important quality of work
  environment.
• Flexible and open communication structures will
  usually be appropriate.

18
More principles

• Data stored in one place and one place only
  (backed up and secure)
• Applications share this data
• Data collected once and only once
• Bureaucracy (paperwork) is the minimum necessary
  to the task
• Trust people and monitor in an unobtrusive way

19
More principles

• Communicate clearly and simply
• Welcome, thank and praise (where due)
• Make it clear who is responsible for what
• Support, train but let people use their
  initiative
• For a group structure so that everyone is in a
  small team which has considerable autonomy.

20
More principles

• Improve the process continually and by listening
  to those who carry it out.
• Give people the chance to reach their potential
  and to aspire to progress in the organisation.
• Let people have as much autonomy and freedom as
  is consistent with the organisations needs.

21
Have clear principles and values

• Not political correctness The real thing!
• Encourage appropriate risk-taking and dont
  hammer people for a mistake.
• Take a firm line on bullying and verbal or
  physical abuse.
• Listen to people and give them the best chance
  but with firm and clear limits.

22
(No Transcript)