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Key Concepts of Organizational Design

In: Business and Management

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Key Concepts of Organizational Design
Rosalind Patterson MMPBL550
August 30, 2010
Professor Josey Crisostomo
Key Concepts of Organizational Design Given the importance of organizational design, why is it so often the blame for inefficiency and ineffectiveness? The reason is because good organizational design helps communications, productivity, and innovation. Organizational design is the process of aligning an organization’s structure with its mission. This means looking at the relationship between tasks, workflow, responsibility and authority, and making sure all these support the objectives of the business (www.mindtools.com). In this paper we will explore the importance of organizational design choices, the advantages and disadvantages of various organizational structures, assess the relationship between strategy, structure, and process in organizations, and analyze the relationship between organizational design and decision-making processes.
Importance of Organizational Design Choices Hiring talented people is not enough to ensure the success of an organization. The best and brightest employees will not be able to do their best work in a poorly designed workplace. Consequently, poor organizational design is one of the leading causes of low employee morale and productivity (www.leadership-and-motivation-training.com). Effective organizational design creates a culture of commitment. The employees fully understand their accountabilities, authorities, and the goals of the business and see themselves as having a significant impact on the success of the organization (www.leadership-and-motivation-training.com). Organizational design is not new. It has been referred to as high performance work systems, total quality management, re-engineering, and participative management to name a few. However, the name one applies to…...

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