Vance Conyers
Organizational Theory 360A
28 September 2012
Organization structure is “The formal system of task and authority relationships that control how people coordinate their actions and use resources to achieve goals”. (Jones 8) The structure that an organization forms can determine its ultimate success of failure. It sets the foundation for how the organization will function, make decisions, and respond to change. The two types of structures an organization can use are mechanic and organic. Mechanistic and organic structures both have advantages and disadvantages, and neither one is a perfect solution. Depending on the product, tasks to create the product, and people to create the product, make the decision very challenging. In most cases, elements of both types are implemented to ensure a successful business. The executive management is responsible for formulating the right mix in order to achieve success. They use organizational design to process information to select the best options. Every aspect of this decision will play out from how much power middle managers have, to the scope of responsibility direct supervisors encompass. The type of organization directly affects the culture and moral of employees. Implementation of the wrong type or mix of structure can cause mismanagement of resources (both human and physical), a toxic culture, and ultimately a failed institution. The mechanistic structure thrives in a stable and relatively unpredictable environment. Mechanistic structures are based on predictability and accountability. The candy making industry is a stable environment, due to the automated processes and requiring the same resources for multiple products. The decision-making in this type of structure is centralized. The stable environment will keep the need for complex decision making low. Top management holds most of the power at their level and information flows down
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