6. Made by Max Webber in 1947. He proposed the
bureaucracy as the ideal form of organizations,
this was made as a social protest against the
excesses favoritism and nepotilism back in his
day.
8. Assumption Critics
Assume that the individual who makes
the decision won’t be the one who
implement it.
It takes a rigid as well as a static view
of organizations
Assume that there is only one way to
run an organization
Most theorists view an organization as
a closed system with no interaction
with its environment
Have little concerns on worker
participations, personality, and
leadership style.
Focuses only on the structural
aspects of the organizations
Assume that the ―right‖ organization
would induce effective behavior
among its member
Based on oversimplified and
mechanistic assumptions
9. Represented a disembodied view of organizational life and
added a personal or human element to the study of
organizations.
10. Theory X: believe that the manager
have to control the subordinate
behavior so it can fulfill the
organization standards. Would likely
give punishment and rewards.
Theory Y: believed that the
subordinate were active and
responsible would benefit the
organization. Theory Y manager
more likely to provide more
responsibility and challenges to
subordinate.
11. Believe that organizations that acknowledged and aided the growth of its worker would be more prosper than
those ignored or actively inhibited growth. He also proposed that when an organization inhibit the growth the
worker will react to them in predictable ways (absenteeism, turnover, labor actions, and apathy).
Organization with
more freedom
(e.g. media and
creative agency)
Organization with
more emphasizes
on control (e.g.
assembly line
worker)
12. To sum up
For McGregor and Argyris, the
solution to the organizational
puzzle was to integrate the goals
of individual and organizations.
This approach have
implemented in many
organizations today.
13. Contingency theory or ―it
depends theory‖ believe that the
behavior must be selected to fit
each particular circumstances.
14. Woodward (1958)
Joan Woodward recognized the technology employed in a company or
industry could influence the most effective design for the organization.
Continious-process
organization
Small-batch
organization
Large-batch and
mass production
organization
15. Proposed that the stability of the
environment dictates the most
effective organization. They
discovered that organizations in
stable environment tended to be
more ―mechanistic‖ than those in
unstable environment that tend to
be more ―organic‖.
They also believe that mechanistic and organic
differences exist not only between companies
but also within organization.
Mechanistic organization:
• depended on formal rules and regulations
• Made decision at highest level of organization
• Smaller span of control
Organic organization:
• Larger span of control
• Less formalization of procedure
• Decision making at middle level of the organization
They proposed that if departments can adapt and integrate to changing
external environment, the organization will prosper. In a broader sense,
the same would be true for companies with multinational locations.
16. Key mechanism used for
coordinating it’s people
The context in which the
organization operate
Function and role of it’s people
he believed that organizations have several characteristic, as such :
The extent of centralization or
decentralization in decision
making
17. Mutual adjustments based in
informal communication
Direct supervision
Standardization of work
processes
Standardization of the KSAOs
necessary for the product
Standardization of outputs
Standardization of norms
He believe that as works become more
complex and demanding, coordination shifts
from the more informal and dyadic to the
more formal through standardization.
18. Support Staff
Technostructure
Strategic Apex
Middle Line
Operating Core
He believed that it is the inherent
tensions or interplay between the
importance or prominence of these parts
that creates diversity of configuration that
we see when we look across
organizations.
19. • If decisions were made at the
strategic apex, this would be a highly
centralized organizations
• If decision were spread across the
organization based on expertise and
knowledge, this would be a
decentralized organization
Context
The final organizational characteristics is
the context in which the organization
operates. Context includes things such as
the age or maturity of the organization
operates.
• Vertical decentralizations means delegation of decision-
making authority down the managerial chain
• Horizontal decentralization is more informal and refers to the
willingness of line managers to permit decision making among
non-line managers
20. Mintzberg is the most sophisticated of the contingency theories, it’s also one of the most
appealing, and his theory also makes the point that an organization is embedded in a
larger reality (context, ideology, market challenges, competition, etc.).
Organizational theories are not a simple
tools that, if applied will guarantee
success. Instead, they are
conceptualization of how basic task of
organizing works to get done.
By combining these four components Mintzberg
creates some organizational configurations (e.g.
entrepreneurial organization, professional
organization, innovative organization).
Mintzberg believe that various types of
organization are best served by the specific
forms of coordination, centralization, and role or
function influence.
22. Katz and Kahn (1966)
Katz and Kahn offered a much more
dynamic view of organizations that had
been presented in either classical
organization theory or the more modern
approaches.
Systems theory illustrated that many
forces were in play, both within and
outside of an organization, that helped
explain what actually went on in an
organization.
TRANSFORMATION
OUTPUT
INPUT
24. Discussion of culture and climate involve concepts such as
beliefs, values, perceptions, and feelings. Culture is often
associated with the more cognitive variables such as beliefs
and values, and climate is more commonly associated with
more affective states such as feelings.
25. Climate
Autocratic
Climate
Democratic
Climate
A Brief History of Climate and Culture
is the shared
perception of
employees about their
work entity : an
organization, division,
department, or work
group.
is an organization might
be expected to be highly
structured, with little
opportunity for
individual responsibility
or risk taking at the
lowest levels.
in an organization
would be
characterized as less
structured, with greater
opportunity for
individual
responsibility and risk
In 1939, Lewin, Lippit, and White described various type of organizations in
term of the “climate”.
26. By the 1970s there was an increasing awareness that
climate was not a large enough concept to capture
many of the broader aspects of an organization.
Therefore, the term culture was introduced to refer to
the shared beliefs and values created and
communicated by the managers and leaders of an
organization to employees.
27. When Cultures Clash
In the early years of the 17th century, Dutch immigrants developed sections of the west coast of
Sweden, including the port city of Gothenburg. Gothenburg had no canals, so to make it look
and feel more like “home,” the Dutch dug canals throughout the city.
The U.S. company acquired a much smaller Japanese company and asked some key employees
to move to Tokyo to ease the integration of the two companies. In her first week, she is handed a
schedule of weekend retreats that she will be expected to attend with her Japanese colleagues.
No family members are permitted to accompany her.
The anecdotes above are examples of a clash of cultures. Since there seems to be no recent
effort to unearth the canals dug by the Dutch in Gothenburg, we will focus on the clash of
organizational cultures demonstrated in the U.S acquired company in Japan.
Climate and Culture from the Multicultural Perspective
28. Ashkanasy and Jackson identified four different models under which
multinational companies can operate when confronted with differences in
organizational culture :
Ethnocentrism
Polycentrism
Regiocentrism
Geocentrism
There is no “correct” choice from the four alternatives presented above. The key
point is that multinational corporations must acknowledge the existence of
different cultures represented in different geographic locations.
29. 01
An Application of Culture and Climate : Safety
Establishing a safety culture in an organization is not a simple task. Additionally, there must be a commitment at every
level of the organization. Examples of this cross level commitment would include the following :
Establishing safety committees with members from all levels of the
organization.
Establishing a budget for safety that does not disappear during periods of economic
crisis.
Including safety related behaviors in the evaluation of employee performance at all levels of
the organization.
Establishing high quality leader subordinate relationships that foster open discussion of
safety related issues.
Developing a shared attitude toward self regulation of safety related behavior at all
levels of the organization.
Endorsing the importance of safety training for on the job safe
behavior.
02
03
04
05
06
30. Socialization and the Concept of
Person—Organization (P—O) and
Person—Job (P-J) Fit.
31. Organizational Socialization
Organizational fit is a key concept in organizational change. The premise of organizational change
models is that people and organizations can be changed jointly through various interventions.
Some of these interventions are aimed directly at changes in organizational structure or process,
with little more expected of the individual beyond technical or procedural learning. Other
interventions expect considerably more of the employee in terms of changed, beliefs, values, and
attitudes, as well as increased commitment and motivation.
But the “change” in the match between the individual and the organization can come much
earlier, at the point at which a new employee enters the organization. The process by which a new
employee becomes aware of the values and procedures of the organization is called socialization.
32. Recruitment as Socialization
The first stage at which socialization might occur is in recruitment and selection. Researchers
have studied the role of attraction and fit in socialization process in some detail. Among other
things, they have found the following :
Applicants are attracted to organizations that have cultural characteristics
compatible with the applicant’s personality. From a cross-cultural
perspective, individuals prefer organization that are compitable with their
own national culture.
Organizations invest considerable effort in attracting and selecting
applicants who appear to have values compatible with the culture
of the organization.
01
02
33. Organizations often attempt to lure attractive applicants by presenting
favorable but inaccurate information about their culture, information
intended to signal to the applicant a good fit.
03
Interviewers make initial estimates of applicants with respect to the person-
organization fir and make recommendations for hiring or further assesment
based on those initial estimates.
04
34. Applicants are more interested in the fit between their own values and the culture of the
recruiting organization than they are in the fit between their own demographic characteristics
(e.g., age, gender, race) and the characteristics of the representatives of organization.
05
The positive reputation of a firm increases the attractiveness of the film and, in turn, both the
number and the quality of applicants. A firm’s positive status also translates into higher-level
performance, as one would expect if the quality of the applicant pool, and thus the quality of
hires, is improved by the public reputation.
06
Applicants high on conscientiousness prefer to work for larger firms; applicants high on
openness to experience prefer to work for multinational companies.
07
35. Orientation as Socialization
Greenberg (2002) suggested that there are three stages of socialization:
A popular technique for providing practical
information about a prospective job is called a realistic job
preview (RJP), which can include task information as well as
information about the context of the work (Phillips, 1988).
RJP views provide excellent oppurtunities for anticipatory
socialization.
In the encounter stage, new employees learn work procedures as well as the
network of social relations in which the position is embedded.
Finally, the metamorphosis stage, the individual is accepted as a fully-functioning
work group member.
36. Positive Consequences of Socialization
Cooper-Thomas and Anderson identify several discrete indicators or categories to use as indicators of
socialization success. Among them are following :
Role Performance Extra-role Performance Social Cohesion Internal Stability External Representation
What is unique about the approach of Cooper-Thomas and Anderson (2006) is this: They propose that every one
of these newcomer behaviors is the direct result of modeling the behavior of peers and supervisors. They are not
proposing that this modeling be used instead of selection, training, motivation, or leadership but rather that
organizational socialization can either enhance or mute the positive effect of those other HR practices. Regardless
of whether it is the grim side or the bright side of the socialization process, it is clear that the process itself—the
first weeks or months of employment—can have a substantial effect on both individual and organizational success.
37. Socialization and National Culture
Bauer, Morrison, and Callister (1998) suggested that collectivist cultures would be more likely to socialize
newcomers as a group rather than as individuals and that newcomers from cultures high in uncertainty avoidance
would be more active in seeking socialization information than those from cultures low in uncertainty avoidance.
Bauer and colleagues (2007) found that successful newcomer socialization reduced uncertainty for these new
employees. This suggests that socialization may be more important in cultures high in uncertainty avoidance
than those low in uncertainty avoidance.
As both Bauer and her colleagues suggest, it is likely that cultural influences weigh heavily on the socialization
process.
This issue are particularly important for expatriate employees who may have become accustomed to one
type of socialization process in their home culture and encounter a very different one in the host country. In
such circumstances, the expatriate is particularly vulnerable to misinterpretations of the socialization process.
Regardless of whether the socialization process involves a newcomer to a domestic position or an expatriate,
the goal of socialization is to improve the fit between the individual and the organization, the job, or both.
38. Models of Socialization and Person
— Organization Fit
Some research suggests that person organization (P—O) fit—the fit between the person
and the organization—may be at least as important, if not more so, than the fit between the
individual and the specific job (P—J fit), particularly for outcomes such as organizational
commitment and intentions to leave the organization.
P—O fit may have several different meanings. Fit might mean the match between the
personality of the applicant and the personality of the organization, between the values of the
applicant and the values of the organization, or, more concretely, between what the person
needs from an organization and what specific organization can deliver.
If the P—O fit was good, then a proactive employee would be more satisfied than one
who was not.
39. Schneider’s Attraction—Selection—Attrition Model
Schneider’s view of organizations was that
“people make the place”, rather than the
organization molding or shaping people. He
called his model the attraction-selection-
attrition (ASA) model; simply put, organizations
attempt to attract particular types of people.
The attraction phase is accomplished first trough
recruiting efforts. After a promising candidate has
been attracted and assumes the status of an applicant,
the selection phase of the model begins. Through
various assesment and selection mechanism (e.g.,
testing, interviews, recommedantions), offer are made
to those candidates who still look promising.
40. Then attrition phase kick in. As the poor fit become obvious, the new employee, the organization,
or both engage in actions that result in the individual leaving. Some of these actions are direct: The
employee simply resigns to take another job or the organization terminates the individual. Others are
indirect: The employee may be marginalized and given trivial tasks, or left out of important meetings,
or excluded from key teams until he or she gets the massage and leaves. Or the individual may be given
increasingly difficult and conflicting tasks until his or her performance seems below average.
The most dramatic of these implications is that attempts to change the culture of an organization are
more likely to be accomplished by replacing key internal employees with external hires rather than by
keeping the same employees and trying to do an organizational change intervention on them.
This might be effective in the short term, it could be less effective in the long run because the
organization would have selected out any diversity in ways of thinking, values, attitudes, and maybe even
abilities and skills.
41. Organizational Change
Unfreezing, in which
individuals become
aware of values and
beliefs they hold.
1
Changing, in which
individuals adopt
new values, beliefs,
and attitudes.
2
Refreezing, which
is the stabilization
of the new attitudes
and values.
Organizational change theory has used the same anchor for over 60 years.
Kurt Lewin (1951) proposed the unfreeze–change–refreeze model, involving
three stages in the process
of changing an organization:
3
Various OD techniques are directed at facilitating one or more of
those stages.
42. —for example, a merger or acquisition is not going well, there is a loss of
market share or consumer confidence, or a new competitor threatens. As a
result, most people now think of organizational change as event‐driven,
prompted by an external circumstance that requires a revolution or
transformation in culture, process, or vision.
Weick and Quinn (1999) acknowledged that some events require immediate
attention (and abrupt change), but they are pessimistic about the success of
attempts at such episodic change. Instead, they have suggested that the
most successful program of change is likely to be one of continuous rather
than episodic change. They make a compelling argument, and we will base
our discussion of the concept of change on their thoughts.
Today, most organizational change initiatives are driven by a problem of some
kind rather than by a need for organizational self‐examination
43. Episodic Change
Episodic change can be characterized as
infrequent, discontinuous, and intentional.
We often hear that an organization has
embarked on a plan to ―reinvent‖ itself. This
would be an intentional plan to replace
what it has with something new.
Weick and Quinn (1999) described the type
of organization that most commonly
embraces episodic change as having the
following characteristics:
Tight interconnections between
subunits.
Efficiency as a core value.
A concern with adapting to current
events in the environment.
Strong organizational cultures and
subcultures.
A greater involvement in imitation than
innovation as a motivation for change.
44. Episodic change is embraced because it is focused, time‐urgent, and minimizes
feelings of uncertainty. Organizations that choose the episodic model aspire to a
state of equilibrium. When it is reached, they tighten connections between
departments even further, establish procedures that will ensure stability, and
ignore environmental signals that suggest further change and adaptation. The
result is decreased effectiveness, increasing pressures for change, and entry into
the next ―revolutionary‖ period.
Episodic change is usually slow because it is so large in scope. In addition, it is
seldom completed before another revolution is required, which organizations tend to
shy away from until things get “bad”. Most employees who have been through an
episodic change remember it vividly because it was very stressful and disruptive.
45. This means that the organization most likely to adopt episodic change is in
a state of inertia, sometimes just catching its organizational breath from the
last episodic change.
Weick and Quinn acknowledged that episodic change is likely to remain a
popular choice among organizations as a model for change. However, another
approach that organizational leaders often consider is continuous change.
46. Continuous Change
Organizations most likely to be engaged in
continuous change attach authority to tasks
rather than to positions and shift that
authority as tasks change.
Another characteristic of the continuous
change environment is the short time gap
between the identification of a needed
change and the execution of that change
(Moorman & Miner, 1998).
continuous change describes a process
that is “ongoing, evolving, and
cumulative”. It is much less likely to be
intentional and more likely to be
improvised. It is characterized as ―small
continuous adjustments, created
simultaneously across units, [that]
cumulate and create substantial change‖
(Weick & Quinn, 1999, p. 375).
47. Because continuous change appears to result in smaller changes than the
more revolutionary episodic change, it is tempting to conclude that
continuous changes are less important or have less impact. But the
cumulative effect of these changes produces results.
Lewin’s (1951) unfreeze–change–refreeze model does not hold up well
for the process of continuous change. Instead, the model needs to be
freeze rebalance–unfreeze, almost the opposite of the episodic
sequence.
48. Weick and Quinn (1999) employed the metaphor
of Newtonian physics to contrast episodic and
continuous change. Bodies in motion tend to
remain in motion. Thus, the first step in the
continuous change model is freezing in order to
stop the motion—to stop changing and examine
patterns of change to understand what is
happening (Argyris, 1990).
49. Weick and Quinn (1999) employed the metaphor
of Newtonian physics to contrast episodic and
continuous change. Bodies in motion tend to
remain in motion. Thus, the first step in the
continuous change model is freezing in order to
stop the motion—to stop changing and examine
patterns of change to understand what is
happening (Argyris, 1990).
50. Resistance to Change
1
2
3
4
The barriers to organizational change are substantial and reside in both individuals and
organizations. From the perspective of the individual, these barriers would include the
following (Greenberg, 2002):
Economic fear. Change as a threat to job securit.
Fear of the unknown. The need to make changes in established
patterns of organizational and task behavior.
Fear of altered social relationships. The possibility of
changed co‐workers.
Organizational barriers to change are equally formidable and would
include the following:
1 Structural inertia. Jobs are created with stability in mind; thus it takes considerable effort to change job descriptions,
duties, reporting relationships, and so forth.
2 Work group inertia. Strong norms exist for performing jobs in certain ways. These norms are often codified in written
work procedures and labor–management agreements.
3 Threats to power balance. If the centrality of certain work units changes, power over scarce resources is likely to
shift as well.
Prior unsuccessful change efforts. Organizations that have experienced past failures at change will encounter greater
caution among organizational members with respect to new initiatives for change.
51. 1. Gain the support of the most powerful individuals in the organization.
2. Educate the workforce with an eye toward reducing their individual fears.
3. Get employees meaningfully involved in the change initiative.
4. Provide feedback for change efforts and rewards for successful change at
regular intervals.
5. After a successful change, shift the focus from episodic to continual change,
thus reducing future barriers to change.
If the organization has lost the trust of its members, change will be more
difficult and resistance, higher.
is it possible to overcome resistance to change? The answer is yes, but it
requires some planning. Nadler (1987) suggested the following steps:
52. Total quality management (TQM) is a cooperative form of doing business that relies on the talents and
capabilities of both labor and management to continually improve quality and productivity using work teams.
Rather than concentrating on the volume of production, TQM focuses on quality and customer demands and
expectations. "using work teams" in the definition above, emphasized that on creating an environment that
will support innovation, creativity, and risk taking to meet customer demands [using] participative problem
solving, involving managers, employees, and customers (Noe, Hollenbeck, Gerhart, & Wright, 2000).
TQM approach proposes a unique way to organize productive effort by emphasizing team-based behavior
directed toward improving quality. It should come as no surprise that TQM systems are more easily
implemented in collectivist rather than individualistic cultures. The heavy emphasis on worker participation
should enhance the satisfaction, motivation, and commitment of employees. In practice, however, the
"decision" opportunities are often just elaborate opportunities for suggesting improvements, with no real
opportunity for making decisions. As a result, employees can become disenchanted with the promise of
participation.
Examples of Large-Scale Organizational Change
Initiatives
Total Quality Management
53. Companies that adopt Six Sigma systems train their employees and
man agers in methods of statistical analysis, project management,
and design and problem solving. The Six Sigma philosophy has clear
implications for the way that workers and managers interact. Most
organizations that have adopted Six Sigma systems claim to see
enhanced profitability because of the dual contributions of lower
rejection/rework rates and lower production costs that result from
"doing it right the first time."
Like TQM methods, Six Sigma systems emphasize the value of
making changes before defects or errors occur rather than
depending on postproduction or process inspections to uncover
defects. Nevertheless, these programs represent dramatic
organizational interventions.
Six Sigma System
54. Lean Production Manufacturing
Lean production method focuses on reduction of waste in
form: overproduction, lengthy waiting times for materials,
excessive transportation costs, unnecessary stock, and
defective product that must be reworked or scrapped.
Central to the reduction of this waste is a process known as
just-in-time (JIT) production, which depends on the detailed
tracking of materials and production so that the materials and
human resources necessary for production arrive just in time.
Lean manufacturing also depends on the elimination of
defects and waste in a manner similar to TQM. This is
accomplished by urging (and sometimes requiring)
production workers to be actively engaged in procedures to
identify process improvements.
55. Training and self-education
Organizational redesign
Motivation
Performance appraisal
Self-appraisal and feedback
Job rotation
Bonuses on the organizational and group/team level
Thurley (1982) suggested that for lean production methods to be
successful, the following personnel mechanisms must provide
support:
That is a daunting list of supporting mechanisms, and it
paints a very demanding picture for the worker.
59. Some observers have criticized lean manufacturing for making "workers feel obliged
to contribute to the performance of the organization and to identify with its
competitive success“. Delbridge and 'Turnbull (1992) went so far as to propose that any
success that lean manufacturing enjoys exists because "teamwork represents
management by compliance, quality consciousness results in management through
blame, and flexibility leads to management by stress“.
From the perspective of stress, it is easy to see how the demands of these new
schemes might easily overwhelm resources, particularly when the employee is at the
mercy of suppliers, customers, and even fellow workers. Parker (2003) studied
workers in a vehicle assembly plant for three years and found that virtually all indicators
pointed to a negative affect of the lean manufacturing model on workers, and it
appeared to be particularly stressful for assembly-line workers. In any case, lean
manufacturing requires a human resource management (HRM) system distinct from
one implied by TQM or any of the other initiatives. Organizational initiatives such as
lean manufacturing often require a radical redesign of HRM systems in order to be
successful.
60. They are strategic. They focus on the mission of the
business and place great emphasis on client and
customer satisfaction.
They are team centered. They concentrate on the
efforts of individuals working in concert rather than
single contributors.
They are statistical. They make use of sophisticated
methods of data collection and analysis and feed those
data back to members as a way of guiding behavior.
They are participatory. They engage members in the
process of improving the quality of products.
They are quality focused. They concentrate on
improving the quality of product and process as a way
of increasing market share and decreasing costs.
Emerging Commonalities among
Organizational Interventions