Professional Documents
Culture Documents
Designing Organizations: Prepared by Humaira Iftikhar
Designing Organizations: Prepared by Humaira Iftikhar
Designing Organizations: Prepared by Humaira Iftikhar
Shared
-vision
-misson
-values
Traditional Organizational Theories
Classical Theory
Humanistic Theory
System Theory
Contingency Theory
Choas Theory
Complexity Theory
1.Classical Theory
The classical approach to Organizations focuses almost on the structure of the formal
organization.
The main premise is efficiency through design.
Dividing the work reduces the number of tasks, increase efficiency & improve the Organization’s
product.
Economically beneficial.
Organizational structure
Organizational structure describe the arrangement of the work group.
It can be formal or informal
May be centralized or decentralized
Varies from simple to complex
Chain of command
The chain of command is the hierarchy of authority and responsibility within the
Organization.
Athourity:
The right or power of supervisor to direct activity.
Responsibility:
The obligation to attain objectives or perform certain objectives.
Cont……..
Chaos theory suggest that drive to create permanent Organizational structure doomed to fail.
The Organizational structure should be based on creative and flexible format that can be quickly
adjusted and changed as the Organization’s realities shift.
BECAUSE
Organizations are living, self-organizing systems that are complex and self-adaptive
AND
The life cycle of an organization is fully dependent on its adaptability and response to changes in its
environment.
6.Complexity Theory
Complexity theory originated when scientist noted that random events interfered with
expectations
Patient’s condition change in instant; necessary staff are not available; equipment fails,all
without warning.
Weaknesses;
Functional Structure have several weaknesses;
Coordination across functions is poor
When an organization grows ,it topically organizes both self-contained units and functional
units; the result is a hybrid Organization.
It provide simultaneous:
Coordination within product divisions,
Can improve association between Corporate and service or product goals,
Foster adaptation to the environment while still maintaining efficiency.
Weaknesses:
Conflict between top administration and managers.
3.Matrix Structure
Matrix Structure is unique and complex; it integrates both product and functional
Structures into one overlapping Structure.
Different manager are responsible for function and product.
Matrix is appropriate in a highly uncertain environment that changes frequently.
Weaknesses:
Dual authority is frustrating and confusing .
Excellent interpersonal skills are required from the managers .
A matrix Organization is time consuming due to frequent meetings.
4.Parallel Structure
It is the result of complex relationship that exist between the formal authority of the
health care Organization and the authorityof its medical staff.
GOVERNING BODY
Strengths:
Potential for repid change in a changing environment.
Client setisfection is high .
Coordination across function occurs easily (nursing, dietary,formacy)
Service goals receive priority.
Weaknesses:
DupLication of resources (such ads for new positions)
Coordination across service categories is difficult (oncology, cardiology and the burn unit)
Shared gvernance
Organizations are further divided by settings in which they deliver care.These include;
Primary care
Acute care
Home health care
Long term care
Complex healthcare arrangements
Horizontal integration;
Arrangements between or among organizations that provide the same or similar services.
Vertical integration;
An arrangement between or among dissimilar but related organizations.
3.Diversification
POS consider to be an HMO_PPO hybrid.Enrollees may use the network of managed care
providers to go out side the network as they wish.(additional cost in co-payments)
5.Accountable care organization
Consists of a group of health care provider that provide care to a specified group of
patients.
More flexible than a HMO because consumers are free to choose providers from outside
the network.
Organizational Environment and Culture