Organizations and OT or Macro OB BA 152

What is Organization Theory? n Another, different way of thinking about organizations

Micro Levels of Analysis Individuals as individuals Groups/Teams of individuals Topics in Organizational Behavior (BA 150)

Macro Levels of Analysis Organizations of groups/teams Groups of organizations/environment Topics in BA 152

Levels of Interest in Organizations Environment Groups/Teams Divisions Individuals Organizations Industries/Communities of Organizations

Levels of Interest in Organizations for BA 152 Environment Divisions Organizations Industries/Communities of Organizations

Problems in the KFBS Parking Deck n Performance Problem – – Too many people parking illegally in the KFBS Parking Deck because the gate is not in use. Those with permits can’t find places to park. Faculty park illegally to get to their classes on time and end up with a ticket. Whose fault is this? Who is not doing their job? Why?

Problems in the KFBS Parking Deck n Who is to blame? A micro view – – – n Parking monitors? KFBS Administrative staff? MBA staff? One. Card staff? Faculty? Perhaps, but consider. . .

Macro issues and the KFBS Parking Deck n A macro view might blame – – – n University structure? University systems? University technology? How do you solve this problem? – – Fire the people? Change the structure/system?

Macro issues and other organizational problems n USA Men’s Olympic Basketball Team – – Why has the team played so poorly? Who should we blame? How was the team selected? What might be a macro explanation for the problems they have been having?

Macro issues and other organizational problems n Enron and Arthur Andersen? – – – Was this Ken Lay’s fault? Was it a function of systems and structures in place (or that should have been in place) at the two organizations? Was it a function of the cultures in place in the two organizations?

What is Organization Theory? Another, different way of thinking about organizations n Where does it come from? n – – – Scientific management (Frederick Taylor) Administrative principles (Henry Fayol) Bureaucracy (Max Weber)

Organization Theory Where Is It Now? n Rational-Contingency Perspective – – Focuses on Efficiency & Status Quo Contingency Model n There is no one right way to build an organization. n But, some ways ARE better than others. – Congruency Model n The importance of “fit” among important organizational characteristics n But the perspective may be changing. . .

Changing Paradigms Mechanical Model Characteristics Newton Galileo Descartes Machines Clocks Natural Model Scientific leaders Einstein Quantum physics Chaos, complexity theory Central Metaphors Organisms Ecologies Optimum design Strategic Objectives Adaptation Consistency in Continuous Improvement operation Classical music Cultural Expressions Blues and jazz Renaissance painting Postmodern art Command control Leadership Implications Autonomy for employees Articulation of vision (From the Wall Street Journal)

Changing Paradigms Mechanical Model Characteristics Land, energy, material Sources of Values Economies of scale Hierarchies Division of Labor Natural Model Information, knowledge Management Objective Unity of purpose Structure Self-organizing teams Organizing Principles Synthesis of minds Producers Sources of Economic Authority Consumers Capital Principal Economic Constraint Creativity (From the Wall Street Journal)

Next Time: Strategies and Organizational Design