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This book synthesizes the existing quantitative evidence on organizational design, bringing together the growing stream of theoretical work on the economics of firms' organization and available empirical findings produced by qualitative work in management, business history and organizational sociology.
Business firms around the world are experimenting with new organizational designs, changing their formal architectures, their routines and processes, and their corporate cultures as they seek to improve their current performance and their growth prospects. In the process they are changing the scope of their business operations, redrawing their organization charts, redefining the allocation of decision-making authority and responsibility, revamping the mechanisms for motivating and rewarding people, reconsidering which activities to conduct in-house and which to out-source, redesigning their information systems, and seeking to alter the shared beliefs, values and norms that their people hold. In this book, John Roberts argues that there are predictable, necessary relationships among these changes that will improve performance and growth. The organizations that are successful will establish patterns of fit among the elements of their organizational designs, their competitive strategies and the external environment in which they operate and will go about this in a holistic manner. The Modern Firm develops powerful conceptual frameworks for analyzing the interrelations between organizational design features, competitive strategy and the business environment. Written in a non-technical language, the book is nevertheless based on rigorous modeling and draws on numerous examples from eighteenth century fur trading companies to such modern firms such as BP and Nokia. Finally the book explores why these developments are happening now, pointing to the increase in global competition and changes in technology. Written by one of the world's leading economists and experts on business strategy and organization, The Modern Firm provides new insights into the changes going on in business today and will be of interest to academics, students and managers alike.
(E-book available via MyiLibrary) In even the most market-oriented economies, most economic transactions occur not in markets but inside managed organizations, particularly business firms. Organizational economics seeks to understand the nature and workings of such organizations and their impact on economic performance. The Handbook of Organizational Economics surveys the major theories, evidence, and methods used in the field. It displays the breadth of topics in organizational economics, including the roles of individuals and groups in organizations, organizational structures and processes, the boundaries of the firm, contracts between and within firms, and more.
Business firms around the world are experimenting with new organizational designs, changing their formal architectures, their routines and processes, and their corporate cultures as they seek to improve their current performance and their growth prospects. In the process they are changing the scope of their business operations, redrawing their organization charts, redefining the allocation of decision-making authority and responsibility, revamping the mechanisms for motivating and rewarding people, reconsidering which activities to conduct in-house and which to out-source, redesigning their information systems, and seeking to alter the shared beliefs, values and norms that their people hold. In this book, John Roberts argues that there are predictable, necessary relationships among these changes that will improve performance and growth. The organizations that are successful will establish patterns of fit among the elements of their organizational designs, their competitive strategies and the external environment in which they operate and will go about this in a holistic manner. The Modern Firm develops powerful conceptual frameworks for analyzing the interrelations between organizational design features, competitive strategy and the business environment. Written in a non-technical language, the book is nevertheless based on rigorous modeling and draws on numerous examples from eighteenth century fur trading companies to such modern firms such as BP and Nokia. Finally the book explores why these developments are happening now, pointing to the increase in global competition and changes in technology. Written by one of the world's leading economists and experts on business strategy and organization, The Modern Firm provides new insights into the changes going on in business today and will be of interest to academics, students and managers alike.
The first in the readers' series called Resources for the Knowledge-Based Economy, Knowledge Management and Organizational Design is a unique compilation of articles and book excerpts that describe how the management of an organization shapes the levels of knowledge transfer, innovation and learning. The collection draws on fifty years of management thinking and presents key issues facing knowledge-intensive organizations. The selections are concise, clearly written and present a rich framework of examples drawn from real management experience. Arranged thematically, the chapters discuss decision-making, organization structure, innovation, strategic alliances, managing knowledge workers and power relations. Represented in this volume are the ideas of influential academics including the late economist Frederick Hayek and French sociologist Michael Crozier, as well as world-renowned management thinkers such as Harvard Business School Professor Rosabeth Moss Kanter and Charles Handy.
A well-designed organization is an effective organization. Decisions about organization design determine the shape and form of the organization – not only the reporting structure and authority relations, but also the number and size of sub-units and the interfaces between the sub-units. Indirectly, such decisions affect individual productivity as well as the organization’s ability to attain strategic goals. Organization Design equips the reader with advanced tools and frameworks, based on both research and practical experience, for understanding and re-designing organisations. Particular emphasis is placed on how one can improve effectiveness by simplifying complex roles, processes, and structures. This updated second edition includes a new chapter about traditional organizational forms, and is complemented by a companion website. Students will find thorough conceptual explanations combined with case studies from different industries. This textbook will be essential reading for students, scholars, and practitioners.
A unique set of complementary hands-on tools for learning about and applying a deeper and practical theory for diagnosis and design. This edition has been significantly updated and rewritten to make it easier to read.
A clear, step-by-step approach to designing an organization in today's volatile business world.
Getting strategies and structures right for changing market conditions and successfully matching strategies and structures with each other, are crucial. This volume reviews and develops the extensive literature in the areas of business policy and organizational behaviour, taking the subject further by breaking down boundaries between subject areas within management studies; by adopting a dynamic approach to organizational issues; and by synthesizing the disparate, often confusing research findings in this area into a general theoretical approach which can be assimilated by managers faced with the problems of the real world.
The design of an organization--the accountability system that defines roles, rights, and responsibilities throughout the firm--has a direct impact on the performance of every employee. Yet, few leaders devote focused attention to how this design is chosen, implemented, and adjusted over time. Robert Simons argues that by viewing design as a powerful and proactive management lever--rather than an inevitable outcome of corporate evolution--leaders can maximize productivity across every level of the organization. Levers of Organization Design presents a new design theory based on four key yet often underrated categories: customer definition, critical performance variables, creative tension, and commitment to mission. Building from these core areas, Simons lays out a step-by-step process leaders can follow to create structures and accountability systems that positively influence how people do their work, where they focus their attention, and how their activities can be aligned to contribute to overall strategic goals. He also introduces four levers of organizational design--unit configuration, diagnostic control systems, interactive networks, and responsibility to others--that leaders can manipulate to improve overall organizational efficiency and effectiveness vastly. For anyone accountable for measuring and managing performance, this book shows how good design can become an organization's roadmap to success. Robert Simons is the Charles M. Williams Professor of Business Administration in the accounting & control area at Harvard Business School.