ORGANIZATIONAL STRUCTURE
ORGANIZATION Clinical laboratory is an organization within an
•A system, made of people who share a common purpose and
perform tasks in service of that purpose.
Though may be composed of different groups of individuals
and may have diff task may have common goals and
objectives – they work for a common purpose. One cannot
be considered an organization if they perform different tasks
and they have different goals and objectives.
•Explains “how the work is divided”.
an organization may be composed of many members. These
members are given responsibilities or assigned with different
tasks which they should perform in an organization.
There should be somebody, a leader who will divide and
assign the work function or responsibilities to the member.
The work should not be done by one person alone but should
be a collaborative effort of all the members of the
organization in pursuit of a common goal.
•Is a set of people coordinating their activity in pursuit of
goals.
SYSTEM
•Is set of interrelated elements (a change in one element
affects the others). There is a domino effect should there be a
change in one of the elements or components of an
organization.
In a restaurant. An error is committed in taking the order of a
customer upon serving the order. Such error will of course
affect the operation of the restaurant.
MISSION
•The purpose for the existence of an organization. It may also
mean the goal or the reasons why an organization was
created.
PURPOSES OF AN ORGANIZATION
•Provides society with products & services
e.g. clinical laboratory - It is an organization that provides
laboratory services. Hospital – medical services. Factory of
candies or restaurant - is also an organization, but this time it
provides the society with products for them to consume or for
consumption.
•Offers employment & economic exchange for members.
The organization can provide jobs to the people of the
Community by hiring them to become part of the organization.
The economic exchange comes in when salary is given to the
members of the organization.
•Gives a framework for a social system
Framework - an outline, a skeleton. This gives or serves as
support to the social system.
organization because:
• It functions as part of the larger health system and
provides specific services that are vital to the overall
mission of providing health care. Of the health system and
that its vital role is to perform laboratory tests, which is
essential in healthcare.
•it functions across health systems, providing specialized
services
Diagnosis and treatment of disease are also another umbrella
of the health system, so the specialized services of the
laboratory, which is to perform laboratory tests, can play a
vital role in the diagnosis. Another part of the clinical lab,
Blood Bank, provides blood to the patients and performs tests
like donor screening and cross matching for blood donation or
blood for blood transfusion to be possible. Now this can be
also an essential part of disease treatment and once again
this diagnosis and treatment is also part of the entire health
system.
ORGANIZATIONAL SYSTEM CHARACTERISTICS
•Holistic & Synergistic with Clearly Defined Boundaries
When we say holistic, it means all inclusive. Synergistic
means collaborative. The members of the organization
should work hand in hand to achieve a common goal, but must
not go beyond the goal that is set and that is defining the
boundaries. All Med techs can be included, but not nurses,
pharmacists and other members of the Allied profession (b
•Purposeful Activity and a Primary Task
The activities which are done by the organization must be
based on its goals and objectives. Then we can say that
that activity is purposeful because it is based on goals and
objectives.
•Hierarchy of Systems
There should be people leading the organization in order to
guide the organization in achieving its goal. Class officers
delegate the task.
•Operates in an Open System
An open system is when, for example, and organizations
policies should be open for criticisms, suggestions, and
revisions, and that it can be changed in order to make these
policies better for the members of the organization
•Seeks a State of Stability & Equilibrium
The organization is running harmoniously and peacefully and
makes the members contented of the organization.
We cannot say that the organization will not encounter any
problems. However, we can say that the organization is stable
when it will go back to its normal state and that is Harmony
after a conflict.
•Self-Regulating
The organization itself is the one that sets the rules, policies
and guidelines for the members of the organization.
 ORGANIZATIONAL STRUCTURE BY OPEN SYSTEM
BURNS & STALKER (1961) An open system interacts with its environment, draws input
from external sources, transforms it into some form of output.
MECHANISTIC STRUCTURE
•For slow change and relative stability So that means an open system changes or makes decision
Because it is stable, the organization runs smoothly and based on the influence of its environment or of external
there is no need for a frequent changing in how it is being factors.
run or how it is being operated.
•Highly structured with direction & communication from
top-down
It is very organized and that the directions and
communications are from top to the bottom of the
Raw materials Employee's work Products and services
organization, so it is highly-structured. Human resources activities Financial results
Capital Technology Management activities Information
•Relies on authority – obedience relationships Information Technology and Human results
operations methods
There is Command Responsibility and that the decisions
made for the organization is always from the top of the Feedback + Environment
could be changes
hierarchy and implemented by into the members of the
organization or those that are on or at the bottom of the Congruence Model (David Nadler) shows a detail of the
hierarchy. It relies on the authority-obedience relationships. elements of an organization as an open system.

•There is centralized decision making, strict division of CLOSED SYSTEM

labor, & insistence on loyalty and conformity to policy & A self-contained system and does not exchange data with
procedures (RIGID)
any outside system and that it cannot be influenced by the
Members follow the policies and procedures for the
external factors.
harmonious system of the organization, so this is a rigid
type of organizational structure. COMPARISON OF OPEN AND CLOSED
ORGANIZATIONAL STRUCTURES
ORGANIC STRUCTURE
•Preferred in an environment of high change Closed Open
•Facilitates flexibility & adaptation & encourages a wide Independent
Leadership Collaborative
sharing of responsibility superior-
style Collegial basis
subordinate basis
This type of organizational structure has low degree of
formality and stability also low degree of specialization At the level where
Decision Hierarchically
the problem & the
and standardization since. There is no fixed duty or making determined
information reside
responsibility.

May be separate
Authority &
Located together with multiple
Responsibility
accountability

Eliminate/Remove Manage
Conflict
-process, policy, person -chances are still given
Performance Hierarchical or Self-Review /
MECHANISTIC ORGANIC Appraisal External Body Self-Appraisal
▪ Rigid hierarchical relationships ▪ Collaboration (both
Negotiate work
▪ Fixed duties - ranks vertical and horizontal) Distribution Allocate jobs to
among
▪ Many rules ▪ Adaptable duties Of Work people
Groups
▪ Formalized communication ▪ Few rules
channels (forwarded to ▪ Informal communication Thinking Sequential & Multiple frames
immediate head or superior) ▪ Decentralized decision Mode logical Of Reference
▪ Centralized decision authority authority Coherent and rational
-leaders only -other members Hierarchy Control of
Power Base
▪ Taller structures ▪ Flatter structures or Status Uncertainty
Managing At the system
Within the system
Area boundary
 OTHER TYPES OF STRUCTURE TALL
Is an organizational structure with many levels of hierarchy.
FORMAL ORGANIZATION
• formal structures, policies, procedures for performing the FLAT
work. Is an organizational structure with a limited number of levels
• Write formal excuse letters (documents), sick leave form of hierarchy (e.g. leader, manager, member)

INFORMAL ORGANIZATION Tall Flat

• culture & informal rules & understanding about how the Span of Control Narrow Wide
system works. More time is
• Understand the situation of the employee. taken to make Speed of
decisions in a tall decision making
structure since high in flat
Structure
FORMAL & INFORMAL GROUP CHARACTERISTICS there are many structures due to
levels of the wide span of
Traits Formal Informal personnel to control
consider
Leaders Appointed -qualifications Charisma
Costly since Low, relatively,
Recruitment Costs there are more compared to a
Followers Personal attraction
incentives (Nanamian sya regardless) layers of staff tall structure
(salary or benefits) Limited
Profit or Opportunity for opportunities are
Purpose Peer motives Opportunity promotion is high
social goals available for
(saka position)
Shared promotion
opinion of Organizationally Social norms &
How things driven mores CONGRUENCE MODEL
Should be (Objectives/Goals are set) (Customs) • Is a diagnostic tool for organizations that evaluates how
done well the various elements within these organizations work
Performance together; offer a systematic way to avoid conflicts.
& Job & task • Based on the principle that a team or organization can only
Issue-focused succeed when the work, the people who do it, the
Commitment standards
expectations organizational structure, and the culture all "fit" together.
Organizational
Rewards & CONGRUENCE MODEL
Sanctions Peer pressure
Punishment
Policies

Introduce the strategy!

Is there a clear shared

understanding of the vision?
Are leaders equipped to
engage the organization in
the new strategy?

Elements of the Model:

1. Work
2.Values & Behavior (Culture)
• Guided by goals 3. Organization and Structure
4. People and Skills
• Vision, Values, & Strategy • Pride & Motivation
• ReportingStructure • Political Environment
• Processes& Systems • Information Flow “GOODNESS OF FIT” among 4 components of the
• Performance • Teamwork operating organization based on the Congruence
Management Model.
Dynamic processes of accommodation between person
and environment (MOST IMPORTANT ELEMENTS;
INFLUENCE EACH OTHER)
People change
Change environment
Quitting
High congruence-balanced; people change
Low congruence-environment/people are changed
RELATIONSHIPS
(People, Work, Organization)
1. PEOPLE-FORMAL ORGANIZATION
• Individual needs are met by the organization.
• Individuals are clear on organizational expectations and
individual system goals are aligned.
• Have an understanding on the organizational expectations
and individual system goals, so this tool has conformity.
2. PEOPLE-WORK
• Individual needs are met by the work.
• Individuals are prepared with skills & knowledge for the work.
3. PEOPLE-INFORMAL ORGANIZATION
• Individual needs are met by the informal organization.
• The informal organization makes use of individual resources.
4. WORK-FORMAL ORGANIZATION
• Organization arrangements support the task.
• The organization motivates behavior that is consistent with
expected performance.
5. WORK-INFORMAL ORGANIZATION
• The informal organization helps or hinders the performance
of the work.
6. FORMAL-INFORMAL ORGANIZATION
• The elements of the informal organization are consistent with
the formal organization.
FACTORS INFLUENCING THE DESIGN AND
STRUCTURE OF THE ORGANIZATION:
• Organizational goals & strategic location
Design and structure of the organization must be based on
the reasons why you have created the organization. What
are the objectives, the goals of creating the organization?
And strategic location as to where the organization will be is
also one of the factors that needs to be considered next.
• Technologic capabilities, including information
Job crafting technology
Everything nowadays involve the use of different products of
technology, so this is very important factor to consider also.
• Size (the lab subsystem and the larger health system)
• Environment (serve the client/patient needs)
• Leadership style, member behaviors, & organization
culture
STRUCTURAL MODELS
• They illustrate the range from mechanistic to organic
networks.
• Although these models are not exclusive, they help us
understand how the work is divided and how work efforts
are coordinated.
A. Functional
•Is the departmentalization by common skills and work tasks
(acddg to function)
•Is hierarchical and, in the extreme, rigidly bureaucratic.
•Specialized units report in an upward chain of command and
there is clear understanding of responsibility & authority.
•Disadvantage: communication among groups can be
compromised with departments acting as silos (storage)
and focused on only their areas of responsibility. There is a
possibility that coordination between departments may
become competitive and unresponsive (compromised).
B. Divisional or Self-Contained Unit Structure
• Is the departmentalization by common product, program
or geographical location.
• There is a need to coordinate well resources toward a
common goal.
• Good communication plans & sharing of information
maximize efficiency.
• DISADVANTAGE: possible duplication of resources &
expertise.
 Geographical
Location E. Network
Products
• Refers to the independent departments providing functions
for a central core breaker.
• Consists of specialized units, either internal or external to
the organization, that are linked together by informal or
formal agreements.
Advantages • Can take a variety of forms because they run from the
• Senior Management Time Freed Up customer/patient back & not from the top down.
• Greater Local Knowledge
• Motivation through greater decision powers
• Greater Understanding
• Speed

Disadvantages
• Duplication of Service Cost
• Lack of Specialization - if divided to geographical division
• Extra Processing – if divided to geographical division
• Coordination more Difficult

C. Matrix
• Is a complex combination of functional & divisional.
• It takes advantage of skills & function.
• Promotes skill diversification (cross training) & efficiency
No hierarchy, equal in terms of power and responsibility.
in sharing human resources
• DISADVANTAGE: roles & reporting structures can be
AUTHORITY
confusing & ambiguous • Empowerment (POWER)
• Should be coterminous with responsibility
A UNIT IS UNDER
2 DIVISIONS Roles & Types of Authority:
•Line authority
•Staff authority
•Functional authority

TYPES OF AUTHORITY

1. LINE AUTHORITY

D. Team
• Is departmentalization by teams of people brought together
to accomplish specific tasks

Takes 2 forms in a hospital-based laboratory

Coordinates teams •Within the confines in the department itself (laboratory),

CORE
authority takes the straight-line route from administration to
department head to supervisor to the staff.

•Within the hospital, straight-line authority flows from

SUPPORT
administration through nursing to other departments. This is
because on a night shift, the administration is not present and
is represented by a house supervisor that assumes the
responsibility.

E.g. Free-standing (Head of lab -> Lab manager -> Staff)

2. STAFF AUTHORITY 4. Flat
•Exercised through staff departments Faster communication. No hierarchy. Speedy exchange of
•those areas that provide services in an indirect fashion. information. Cost reduction. More than one manager. May
•LINE AUTHORITY STILL, but damo lang branches. hinder the growth of the organization. this structure is limited
Ex. Safety officer, quality assurance officer only to small organizations such as partnerships,
cooperatives, and private limited companies.
STAFF STAFF STAFF STAFF *Matrix structure?

5. Networks
initially this structure is limited only to small organizations such
as partnerships. Direct communication across unit and firm
boundaries enhances the speed of the decision.

3. FUNCTIONAL AUTHORITY
•Is best illustrated by the relationship of physicians with the
laboratory and hospital.
•Despite being outside the formal organizational structure of
the hospital, and having no direct supervisory control over its
employees, doctors have the power to enforce their directives
within the context of a clearly defined span of authority.

Line authority is the authority of Chief over

Line Head of
a manager over his immediate
Authority lab over
subordinates. staff.
Head of
When the work of line managers lab over
Staff
increases, staff officers are supervisors
Authority over dept.
appointed to help them. heads
Similar to line authority, but it is
Functional exercised over a person who is Physician
over the
Authority not the immediate subordinate of lab
a manager.

21ST ORGANIZATIONAL TRENDS

1. Globalization
Companies today want to expand their operations globally
seen. In response to this globalization, they wanted to Accreditation
render services or produce products that are globally
competitive.
2. Diversity
Workforce is more heterogeneous in the 21st century.
Having a diverse people in your organization is a good way
of enhancing performance in a workplace.
May sometimes be a source of conflict because of the
varied styles of interacting, addressing, presentation and
physical appearance.

3. Flexibility
A flexible organization is the one in which organization,
systems, processes and the people are able to respond
differently to different situations. Allow the employees to
decide on their schedule. Paying your employees according
to their skills.