ORGANISATION DESIGN

AND
DEVELOPMENT
- Sharifa AL-toubi - Hewa Mhealdeen
- Annisa Gunawan - Yihe Zhao
- Jannat Rehana - Shilpa Erappa
- Tabish Mujahid - Madhusudan Paul
- Maddi Baba - Qianqian Chang
- Ronghua Chang
CONTENT
Introduction (Definition of Organisation Design & Development)

History of Organisation Design and Development

Key Elements of Organizational Design and Development

Organisation Design and Development theories

Organisation Example

SWOT

SMART

References
INTRODUCTION

Organisation Design definition:

Huczynski and Buchanan (2007) defines organisation design as
organisations are a social arrangement for achieving controlled
performance in pursuit of collective goals. So we have a group of
individuals working together to achieve a particular goal, and the
engagement of the individuals is not indiscriminate but coordinated
in a controlled manner. The engagement then has structure, it has
design.

McNamara (2012) Organizational design is a step-by-step
methodology which identifies dysfunctional aspects of work flow,
procedures, structures and systems, realigns them to fit current
business realities/goals and then develops plans to implement the
new changes. The process focuses on improving both the technical
and people side of the business.


Organisation development definition:

A system-wide process of data collection, diagnosis, action
planning, intervention, and evaluation aimed at enhancing
congruence among organisational structure, process, strategy,
people and culture, developing new and creative organisational
solutions and developing the organisations self-
renewing capacity. It occurs through the collaboration of
organisational members working with a change agent using
behavioural science theory, research and technology. (Michael
Beer)

An organisation cannot exist without interacting with
customers, suppliers, competitors, and other elements of the
external environment. (Daft, 2007)



HISTORY OF ORGANISATION DESIGN AND
DEVELOPMENT
In the first half of the 20
th
century, a variety of
competing approaches to designing complex
organisations evolved including:

Bureaucracies Weber (1864)
Taylor (1911) Scientific Management
Mayo (1945) Human Relations Approach
Trist & Bamforth (1951) Socio-Technological Systems

These basic approaches have continued to develop into a
variety of different organisation structures including:
Functional, Divisional, Matrix and Virtual.

KEY ELEMENTS OF ORGANISATIONAL DESIGN

Work Specialization
Departmentalization
Chain of command
Span of Control
Centralization and Decentralization





KEY ELEMENTS OF ORGANISATION
DEVELOPMENT

Applies to the whole system
Draws upon applied social science
Planned, unplanned and responsive change
Involves both the creation and the subsequent
reinforcement of change.
Encompasses strategy, values, resources,
structure, and the process of change
Emphasizes the development of the organization's
people and the quality of their relationships.
ORGANISATIONS DESIGN THEORY
There are several perspective about management
thinking in organisations design:

Structure: Fayol
Culture: Handy & Mckinsey
Organisations
CLASSIC MANGEMENT THEORY AND STRUCTURE,
HENRI FAYOL
1. Division of work , efficiency.
2. Authority and responsibility, mangers.
3. Discipline, using in different ways.
4. Unity of command ,direct supervisor.
5. Unity of direction , mangers.
6. Subordination of individual interests to the general interest.
7. Remuneration of personnel, equal pay.
8. Centralization, decision making.
9. Scalar chain (line of authority), hierarchy structure.
10. Order, workplace condition.
11. Equity.
12. Stability of tenure of personnel, reduce employees turnover.
13. Initiative, freedom.
14. Enhance team and unity.

Static organisation design models
Mckinesys 7-s developed (waterman et al, 1980)
Dynamic models of organisation design
Weisbords (1976) & burke and Litwins (1992)

ORGANISATION EXAMPLE
THE REORGANISATION/MERGER OF THE COLLEGES OF TECHNOLOGY IN THE SULTANATE OF OMAN
TO CREATE A NEW UNIVERSITY.

Controlled by Ministry of Man Power.
Change in structure, system and process.
Organisation design


ORGANISATION DEVELOPMENT
SYSTEM THINKING THEORY (ORG. EXAMPLE)
Hard HRM (COLLEGE) Soft HRM (UNIVERSITY)
Treats employees simple resource. Treats employees as the most
important resource.
Focused on HRM of workforce needs
and business needs.
Focused HRM of employees needs.
Short term planning. Long term planning.
Minimal communication Strong and regular communication
Pay enough to recruitment and staff. Competitive structure pay.
Little empowerment delegation. More empowerment.
Appraisal focused on judgement. Appraisal focused on training.
Taller organisational structure. Flatter organisational structure.
Autocratic leaderships. Democratic leaderships.
SWOT ANALYSIS
Strengths:

Good reputation
Good partnership with
other companies (e.g.
PDO and Shell)
Location



Weaknesses:

Lack of student support.
High and unequal
workload within staffs.
Limited of resources for
faculty and staff
development

Opportunities:

Opportunity for
collaboration on strategic
plan formulation.
Growth potential
atrac international students.

Threats:

Development of another
university.
Reporting perceived as a ritual
and meaningless


SMART
Specific:
Build up the trust between the management and the academic staff
Improving the communication flow between staff and management
Improving working practices and conditions

Measurable:
If budgets are controlled within the new University then the processes should become more
transparent and more trusted by employees.

Achievable:
An agreement between administrative and academic staff about the difference between
their roles and responsibilities.
The shorter chains of command and communication should make decision making quicker.
employees will be higher education professionals and are more likely to share similar ideas about
organisational goals and the ways in which these should be achieved.

Relevant:
Improve the work efficiency of the academic staff.
Less pluralist and more unitary because most employees will be higher educational professionals
and are more likely to share similar ideas about organisational goals and the ways in which these
should be achieved

Time:
Getting employees involved in the planning and design of the new organisational
structures and work processes
Allow management to use the expertise and experience of the employees who know how to do
their jobs better than their managers do.
REFERENCE
Beer, M. (1980). Organization change and development: a system view. Santa Monica, CA : Good year
Burke, W, weisbords , litwins (1982) Organization development : Principles and practices. Boston, MA: Little Brown

Connor, G., McFadden, M., & McLean Ian. (2012). Organisational Design. CIPD. [online]. Available from
<http://www.cipd.co.uk NR/rdonlyres/8C5DA6D7-99B5-41F2-859A-E2DF80539C5C 0/978184398132_sc.pdf> [2012]

DAFT, R. (2007) Understanding the Theory and Design of Organisations. Mason, OH: Thomson South Western.

HUCZYNSKI, A. and BUCHANAN, D. (2007) Organisational Behaviour. 6thedn. Harlow: Prentice Hall.

MCNAMARA, C. (2012). Basic definition of organisation Available from
<http://managementhelp.org/organizations/definition.htm#anchor424230> [2012].

Oasis. (n.d). Organisational development: The oasis approach: A human relations perspective for the 21
st
century. [online]
Available from <http://www.oasishumanrelations.org.uk/wp-content/uploads/OD-Oasis-Approach.pdf> [n.d]


REFERENCE
Taylor, F. W. (1911). The principles of scientific management. New York: Norton.

Thomas, K. W. & Kilmann, R. H. (1974, 2007). Thomas- Kilmann Conflict Mode Instrument. Mountain View, CA: CPP, Inc.

Qualcomm. (n.d). Key elements of organisational design. [online]. Available from
< http://www.emaytrix.com/mgmt307/section2.php> [n.d]

Trist, E. & Bamforth, W. (1951). Some Social and Psychological Consequences of the Long Wall Method of Coal-Getting, n:
Human Relations,

Waterman, R. Jr., Peters, T. and Phillips, J.R. (1980) "Structure Is Not Organisation" in Business Horizons, Vol. 23(3), pp.1426.

Weber, Max, (1864-1920), Theory of social and economic organization, New York, Oxford University Press, 1947