ORGANIZATIOINAL

STRUCTURE AND
PROCESS Prepared By:
Name:
Kumar Aditya
Priyanka Srivastava
Roll No-
140018
140028
Shikha 140036

ASSIGNED BY: Prof.Sayan Banerjee

INSTRUCTIONS FOR USE
 EXTERNALITY: When there is an economic transaction between the two parties and its effect will be on the other party.

 SOCIAL STRATIFICATION: Where there would be a socially unequal distribution of demographic characteristics.

 BUREAUCRACY- MAX WEBER

INDUSTRIALIZATION PROCESS

Pre Industrialization Post Industrialization

• No Customization
• Customized product • More efficient
• Less efficient • Hierarchy was developed
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 DIMENSION OF FORMAL STRUCTURE

Formalization ▰ Centralization ▰ Complexity

 Horizontal Complexity
Formalization  Vertical Complexity
 Spatial Complexity
1. Rule observation i) Functional
 Extent to which any kind of deviation from the job ii) Manufacturing
iii) Standardized
1. Job codification
 Details pertaining to do job .
 More job details are defined, and the more the organisation is formally graded
Centralization
1. Frequency of Participation in decision making process
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2. Level of autonomy granted to an individual by their superior to do their job
 Director
Marketing Finance Production
department department department

Figure: Horizontal complexity Figure: Vertical Complexity

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 Types of Organization

Mechanistic Organization Organic Organization

Mechanistic structures strengths

 They are stable

 Employees specialize at what they do best

 There is clear accountability for the work getting done

Organic structures strengths:

 Unstable environment

 Higher Flexibility
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
 Extrinsic Factors in Organization

Size
 Correlate size with the no. of job heads

Technology

 Related with sequence of activities which is related to the organization

 TYPES of Task Independence:-

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Uncertainty factors-

X Y X
Y
 Knowledge of means and end

The extent to which we know that by doing “x” we will reach “y”

 Variability in Input

Variability in input increases as technology complexity rises

When work is more certain, “x” work results in “Y”

The uncertainty factor will be higher when there is a blurred relationship between “x” and 7
“y”.
 Relation between organic and mechanistic
structures

ORGANIC MECHANIST
Gray
IC ORGANIC
ORGANIC

PROJECT Champion
 Integrate the organization's organistic
and mechanistic phases
Cross-functional team
 Coordination between the two organisations must
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be found by the cross-sectional team.
Different types of organization

1) Multi-national corporation
 MNC businesses have diversified portfolios based on their respective nations

 MNCs used to cater to the locals according to their needs

2) Global organization
 Not much bifurcation is needed from the customer irrespective of the country

 Demand tends to be the same throughout the world

 Per capita cost of production is less in the global sector

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Sequence of activities :-
UPSTREAM(Organic Structure) DOWNSTREAM(Mechanistic Structure)

 The flow will be basically from upstream to downstream

(Modified Version)

Definition- Bringing something fresh to the organisation

Mechanistic in nature

Impetus- strategy wise thinking

Organic in nature

Implementation-executing the large scale manufacturing of the item

Mechanistic in nature
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 Technological Innovation

Exploitative Explorative
Exploitative

 New features are added to an existing product.

Explorative

 New discoveries and innovations appe

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“ ▰THANKYO
U