The primary consideration in designing an organization is organizationstrategy.
Strategy
and Organization Design
The primary consideration in
designing an organization is
organizationstrategy.Awelldevelopeddesignenhancestheaccomplishment of strategic
objectives, and these strategic objectives should be carefully selected to
ensure successful organizational performance. Organization structure
facilitates organizing the work, goals, relationship and decisions of an
organization in such a way that people can perform to the best of their
abilities. Thus the ultimate goal of organization design is to facilitate
performance. A poorly conceived design can prevent high performance. In a
well-managed organization, the connection among strategy, design and
performance is strong.
Researchers have pointed out that
an organization’s existing design also affects its strategy. For example, the
design places power in the hands of a certain group of people, so there is a
tendency among the members of this group to formulate strategies that preserve
the status quo. It is not necessary to figure out whether strategy or design
came first, or which has more impact, but it is critical to acknowledge the
strong reciprocal relationship that exists between strategy and design.
Tags : Management Concepts & Organisational Behaviour - Emerging Trends In Corporate Structure
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