Organizational Structure,

Design, and Information

Technology

Presented by:
Mary Rose Cadungog
ORGANIZATIONAL ORGANIZATIONAL DESIGN
STRUCTURE Work on contingency theory in
The formal arrangement of the generic tradition offers
jobs within the structure guidelines for redesigning
organization structures.
Dimension of Structure

Centralization: the degree to which power and authority

concentrate
Formalization: the extent to which rules and procedures are
formally established
Red Tape: burdensome administrative rules
Complexity: measured in terms of numbers of subunits,
levels, specialization

3
Influences of Structure

◉ Size
◉ Environment
◉ Technology and Tasks
◉ Information Technology
◉ Strategic Choice

4
Mintzberg's Synthesis

Mintzberg synthesized organizational

design literature into five ideal
organizational forms or configurations
that do not exist in the real world but
provide consultants and managers a
framework to understand and design
organizational structures.

5
 Mintzberg’s Synthesis

Mintzberg defined organizational structure as “the sum total of the ways in

which it divides its labor into distinct tasks and then achieves coordination
among them.”
• Each configuration contains six components:
1. Operating core: people directly related to service or product production
2. Strategic apex: serves needs of people who control the organization
3. Middle line: managers who connect the strategic apex with the operating core
4. Technostructure: analysts who design, plan, train the operating core
5. Support staff: specialists who provide support to the organization outside of core activities
6. Ideology: the traditions and beliefs that make the organization unique
 Mintzberg’s Synthesis

The components are The organization’s Design decisions can be

linked by four flows: structure depends on: grouped into:
- Authority - The organization itself - The design of positions
– Its members - The design of superstructure
– Work material
- The design of lateral linkages
– Information – The distribution of power
- The design of a
– The environment
– Decision processes decision-making system
– The technical system through decentralization
 Mintzberg’s Synthesis
Mintzberg used components, flows, work constellations, and coordination mechanisms to define five
configurations:
1. Simple Structure: Entrepreneurial setting; relies on direct supervision from the strategic apex;
new small government agencies

2. Machine Bureaucracy: Large organizations; relies on standardization of work processes by

the technostructure; agencies with political oversight

3. Professional Bureaucracy: The professional services firm; relies on the standardization of

skills and knowledge in the operating core

4. Divisionalized Form: Multidivisional organization; relies on standardization of outputs;

middle-line managers run independent divisions

5. Adhocracy: Project organizations; highly organic structure with little formalization; relies on
mutual adjustment as the key coordinating mechanism within and between these project teams (for
example, NASA)
 Summing Up the Literatures on Structure

◉ Structure is multidimensional.
Both types of organizations vary widely on different structural
dimensions, which are often related to conditions such as size,
It is too simplistic to generalize on the basis of sector (for example, all
public organizations are subject to more red tape).
There is evidence that higher levels of complexity, centralization, and
formalization correspond to public organizations, due mainly to
outside influences and values associated with the democratic
process.
Information Technology and Public Organizations

◉ IT developments supported an evolution from mass

production to mass customization
◉ Computer technology and the internet have also
become more influential in organizational
decision-making processes.
◉ IT undoubtedly provides opportunities for
improvements in the delivery of public services