chapter
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4
The organisation – structure and culture
contents
1
2
3
4
What determines organisational form?
Organisational structure
What is organisational culture?
5
6
Creating and sustaining culture
Organisational culture and national culture The importance of culture
learning outcomes
As organisations seek to compete in ever-changing environments, they need to adapt and develop to take advantage of new opportunities. To do this effectively means more than knowing which ‘levers’ to pull or which structural form to take. It also requires a deep understanding of what makes the organisation work – its culture. But what choices are available concerning structure and culture? What is culture? How is it created? How can it be changed?
After reading and understanding the contents of the chapter, considering some of the Case
Examples and Test Your Knowledge questions, you should be able to:
Ⅲ
Ⅲ
Ⅲ
Ⅲ
Ⅲ
Understand the significance of organisational structure.
Describe a range of structural forms.
Define organisational culture.
Understand the nature and importance of organisational culture.
Understand the relationship between organisational and international cultures.
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CORPORATE MANAGEMENT
1 What determines organisational form?
The culture and structure of an organisation (its form) develop over time and in response to a complex set of factors. Handy (1993) has identified a number of key influences that are likely to play an important role in the development of any corporate culture.These include:
(a)
(b)
(c)
(d)
(e)
(f )
(g)
history; primary function and technology; goals and objectives; size; location; management and staffing; and the environment.
Robbins (2007) identifies:
(a) strategy;
(b) size; and
(c) technology and the