organization
(noun)
A group of people or other legal entities with an explicit purpose and written rules.
Examples of organization in the following topics:
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The Organizational Chart
- An organization chart is a diagram that illustrates the structure of an organization.
- When an organization chart grows too large, it can be split into smaller charts that show only individual departments within the organization.
- Prior to applying for a job or beginning work with an organization, a prospective employee should procure a copy of the organization chart.
- In a matrix structure, the organization is grouped by both product and function.
- Compare the various types of organization charts that describe company structures
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Decentralizing Responsibility
- In decentralized structures, responsibility for decision making is broadly dispersed down to the lower levels of an organization.
- In a centralized organization, decisions are made by top executives on the basis of current policies.
- This type of structure tends to be seen in organizations that run on less rigid policies and wider spans of control among each officer of the organization.
- The wider spans of control also reduce the number of tiers within the organization, giving its structure a flat appearance .
- Decentralized organizations must be mindful of the possibility of running in too many different directions at once.
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The Role of Management in an Organization
- When designing an organization, managers must consider characteristics such as simplicity, flexibility, reliability, economy, and acceptability.
- Because the organization is always changing, the problems of process and design are essentially limitless.
- Using a systems approach, managers view their objectives as moving targets and actively engage in expanding the organization day by day.
- They are responsible for planning and directing the entire organization.
- They devote more time to organizing and directing.
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Management in Different Types of Business: For-Profit, Non-Profit, and Mutual-Benefit
- Managers must adjust their management style to fit the type of organization.
- Management will need to plan, organize, direct and control the business's activities.
- However, the approach managers take will vary based on the type of organization.
- While every organization poses different challenges, effective managers consider the type of organization and adjust their style to fit those circumstances.
- Management styles vary among types of organizations, but they still follow the main steps of planning, organizing, directing, and controlling.
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The Role of the Manager in an Evolving Organization
- Organizational growth is a complex process, particularly in larger organizations with more inertia.
- The manager must organize and plan the change and use leadership skills to inspire employees to embrace it.
- A manager also needs to act as a figurehead of the organization.
- Employees in particular must understand where the organization is headed and what its ultimate goals are.
- A manager-figurehead can come to symbolize the organization as a whole for customers.
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Basic Types of Organizations
- Most organizations fall into one of four types: pyramids/hierarchies, committees/juries, matrix organizations, and ecologies.
- An organization is a social entity with collective goals that is linked to an external environment.
- An organization using a pyramid or hierarchy structure has a leader who is responsible for and makes all the decisions affecting the organization.
- A smaller organization operating in a single region may simply have a functional hierarchy.
- Matrix organizations may be further categorized as one of the following types:
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Schein's Common Elements of an Organization
- From a manager's point of view, operations are made successful by instilling a common purpose to create a coordinated effort across the organization and organizing resources based on tasks and decision making.
- An organization without a clear purpose or mission soon begins to drift and become disorganized.
- Ensuring that the common purpose is effectively communicated across organizations (particularly large organizations with many moving parts) is a central task for managers.
- The common purpose is achieved through the coordinated effort of all individuals and groups within an organization.
- Using division of labor, an organization can parcel out a complex work effort for specialists to perform.
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Why Study Organizational Theory?
- Organizational theory studies organizations to identify how they solve problems and how they maximize efficiency and productivity.
- Organizational theory then uses these patterns to formulate normative theories of how organizations function best.
- Therefore, organizational theory can be used in order to learn the best ways to run an organization or identify organizations that are managed in such a way that they are likely to be successful.
- Correctly applying organizational theory can have several benefits for both the organization and society at large.
- One example of how development in an organization affects the modern era is through factory production.
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Considering the Organizational Life Cycle
- The life cycle of an organization is important to consider when determining its overall design and structure.
- The life cycle of an organization, industry, and/or product can be an important factor in organization design.
- Generally speaking, organizations go through the following stages:
- The Enterprise Life Cycle is a model that underlines the way in which organizations remain relevant.
- Daft first notes that the entrepreneurial (or startup) stage of an organization requires leadership.
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The Mission Statement
- A mission statement defines the fundamental purpose of an organization or enterprise.
- A mission statement defines the purpose of a company or organization.
- It provides a strategic framework by which the organization is expected to abide.
- In a best-case scenario, an organization conducts internal and external assessments relative to the mission statement.
- The internal assessment should focus on how members inside the organization interpret the mission statement.