December 1997
Organization theory
Chap # 1
Dimension of organization:
Structure dimensions
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Formalization: The Burewala textile mills limited company is highly formalized therefore more rules and regulations are enforced on the employees. The written documentation describes the behavior of the employees.
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Specialization: The specialization is the norm of the company .Every task is divided into separate jobs. The person who is assigned the particular task, he/she is responsible to perform this task.
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Standardization: The Company describes the work contents and then describes how this work will be performed.
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Hierarchy of authority: The Company has vertical structure the authority moves from top to downward. The communication is made through proper channel and cannot be break.
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Complexity: The Company has divided the work activities into the no of department. Every department is responsible to perform their own work.
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Centralization: The company is highly centralized every decision-making is made at the top level.
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Professionalism: The certain education, training and skills are required from the new employees.
System of the Burewala textile mills limited:
Open system:
The company has to interact to the environment i.e. supplies, customers to survive in the market. The company adopts the new changes from the environment and provides the clothes according to the customer need.
Chap#2
Strategic management and organization effectiveness:
Official Goals of BTML:
- The official goals of BTML are to provide quality products to people.
Operatives Goals of BTML:
- To increase market share.
- To increase profitability.
- To increase efficiency and productivity.
- To introduce new products in the market.
Organizational Strategy:
Porter’s strategy: Portor introduced three strategies, which can helps to achieve the organization goals i.e. low-cost leadership, differentiations and focus.
The Burewala textile mills limited adopt the differentiation strategy for achieving its goals. The company provides new variety of clothes in the market to make its product unique in the market and to get competitive edge over their competitors. The
Company targets the customers who are concern with quality as well price.
Miles and snow strategy Typology: He introduces four types of strategy i.e. prospector, defender, analyzer and reactor.
The Burewala textile mills limited uses the analyzer as it is trying to maintain current market and adopts the moderate innovation. The company uses tight control plus flexible culture. The analyzer to balance efficient production of current line of product with the creative development of the new product and line. As this strategy is combination of the prospector and defender.
Organization effectiveness: It is not difficult for the companies to set goal, but thing is how effective the organization is in achieving the goals. The Burewala textile mills limited company sets multiple goals then with the help of the employee and certain rules and regulations on the employees to achieve its goals.
Chap#3
Fundamental of Organization structure:
Chap # 4
Open system design system
Environmental uncertainty in BTML
I
n framework of environmental uncertainty the unstable environmental change and simple environmental complexity is applicable which means high moderate uncertainty. As the business of BTML is making clothes of both male and female which keeps on changing with the passage of time, the elements change frequently and unpredictably, but the external elements are small and they are similar in nature. They are basically in fashion industry the life the fashion is very small.
Management processes in BTML
Mechanistic Structure: The structure of the BTML is mechanistic as more rules and regulations, written works are common in the organization. The characteristics of the mechanistic origination like division of labor, hierarchy of authority rigidly define tasks, knowledge and control of tasks are in the hands of the top organization and communication is vertical are present in it. The management has a traditional view they think that people don’t work without rules and regulations.
Chap # 5
Interorganizational relationship
Organizational Form and Niche: When the new organization enters in the market it has to find niche from the market if it is able to find right niche it becomes successful. Like every new company BTML entered in the market and firstly it finds its niche i.e. garments of men and women and then makes research and development to make it successful in the market.
Strategy for Survival: In order to remain in the market BTML defined it niche and then focus on this niche to make it successful. The BTML adopts generalist strategy as it has wide range of market the garment industry of men and women. It has a competitive edge over their competitors.
Institutionalism: The population ecology assumes that all new organizations appear in the population ecology. After appear in this population ecology or going through all the processes i.e. variation, selection, and retention it becomes institutionalized. It means that it has got favor not only from its suppliers, investors as well as customers about it products. Nowadays its products of cloth are considers unique, attractive and good quality in the market.
Chap # 6
Manufacturing and service Technology
Organizational Manufacturing technology: In organization level BTML uses LARGE-BATCH AND MASS PRODUCTION that is a manufacturing process characterized by long production runs of standardized parts. Output goes into inventory from which orders are fulfilled, because customers do not have special need.
Departmental Technology: The framework of departmental technology is presented by Chales Perrow which has two dimensions i.e. Variety, Analyzability
Departmental technology Framework of BTML:
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Routine Technology: It is characterized by little task variety and use of objective computation procedures. The task is formalized and standardized.
e.g.
The production department includes in it.
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Craft Technology: It is characterized by fairly stable streams of activities but the conversion process is not analyzable or well understood.
e.g.
Designer of the garment.
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Engineering Technologies: It tends to be complex because there is substantial variety in the tasks performed, but activities are performed in standardized way.
e.g.
Accounting and finance departments
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Nonroutine Technology: It has high task variety and the conversion process is not analyzable and well defined.
e.g.
Research & development department
Framework for department technology BTML
Low Variety High
Low
Analyzability
High
Workflow Interdependent among Departments: There are three types of interdependent among departments i.e. pooled interdependent, sequential and reciprocal
In BTML the sequential interdependent is performed as the product of one department becomes the input of the other department therefore all the process is high dependent if problem lies in first department and it is not detected the problem will absorb by all process, therefore care should be made in each process.
Chap# 7
Information technology in BTML
The Company does not use IT fully in all positions it does not Transaction Processing System, Data warehousing, Data mining however it has intranet in the department with which in formation can be shared among department. However Company is trying to adopt the new changes in IT field, but it will take time it to get familiar with IT and fully use it. The company doesn’t use Management Information System, Decision Supporting System and Executive Information System in business level. No E-commerce in the BTML is currently used, but there is need to use this facility.
Cha # 8
Organization Size, Life cycle and Control
Organization Life Cycle
BTML at life Cycle Stage: There are four stages of life cycle i.e. Entrepreneurial, Collectivity, Formalization and Elaboration. BTML comes under the stage of Elaborative as it was established 47 years ago and it made great progress in that period that it becomes leader in the market.
Bureaucracy in BTML: The structure of the BTML is highly bureaucratic, as there are rules and regulations to perform the work activities, divisor of labor, hierarchy of authority, and written communication and records proves it to bureaucratic. The decision-making is centralized.
Dynamic Control System: If we apply dynamic control the BTML will be using Bureaucracy Control as already been stated that their area strict rules and regulations divisor of labor, hierarchy of authority, and written communication and records proves it to bureaucratic.
Chap # 9
Organization culture and ethical value
BTML employee are very productive when new employee get job in Burewala textile mills limited ,company arrange meeting for introduction with old employee , some time company arrange tea party, with tea party collaboration between employee arise, in non program making with the help of other employee . Burewala textile mills limited give the first preferences to their customer, after the customer company gives the consideration to our employee.
Organization design and culture
Culture of Burewala textile mills limited is bureaucratic. The company has a culture that support a methodical approach to doing business establish policies and rule as a way to achieve the goal personal involvement is very low in company
Every decision is made on the base of codified rule, and decision is made top-level management, and gives to low level to implement it.
Source of ethical value in organization:
Some time no of new employee and external environment influence the culture of the company such as Government impose duties on the business of the company, for making the culture, the company assign the work to the committee, is responsible in making decision, in this committee top manager of different department include and making decision according to the need of company.]
Whistle blowing:
In this company every person arise his voice against the company rule
Chap#10
Innovation and changes
BTML adopts the changes through incremental process. In this system company uses existing system and current management to improve its product. BTML deals with the woman and man clothes, so the changes in the product is necessary to compete the other company in the market
The Ambidextorces Approach
The overall structure of BTML is mechanistic but for Technology , Company adopts the ambidextorces approach .BTML behave in organic way, when the situation calls for the innovation of new idea and uses the mechanistic structure, to uses and implement it.
New product success:
Success rate of BTML is very high as compare to other competitors in the market; people demand the clothes of the BTML and give the preference as compare to others. The BTML better understand the needs of their customer and paid much more attention
Strategies and structure changes:
The technical department of BTML, when involve in changes, give the empowerment to the lower level employee and administrative department of BTML with the tight control, implement these changes.
Culture changes:
When BTML adopts new changes with environment, when BTML give training to new employees, tell about the norm and value of company ,and learn to employees , how to uses the new technologies.
Chap # 11
Decision making process
Now a days the environment is very complex, large no f competitors in the market, management have not better information for decision making so, BTML manager often involve in non programmed decision. In comparative environment the decision must be made very quickly, time pressure, a large number of internal and external factor effecting in decision-making. Due to the shortage of time, mangers of BTML cannot evaluate every alternative so, the mangers of company use3s the bounded rational decision making approach and some time made on their own experience
Cargine decision-making model:
BTML uses the cargine decision-making model for achieving the goals.
When the problems arise BTML manager solve the problem with mutual agreement and accepts satisfactory rather than fulfill the standard. in the comparative environment time for decision making is very short so, BTML solve the problems very quickly , in program decisions follow the rules and regulation and in non programmed decisions, with bargaining and on personal experience try to solve the problems.
Chap#12
Conflict, power, and politics
Chart
Formal position:
Above chart show that top management have the certain responsibility and rights . Top management set the goals and give to lower level staff for achieve such goals.
Resources Top mangers give recourses to every department according to their needs.
Information control
BTML gives the first preference to clients, collect the information from environment to fulfill the needs of clients and necessary for the decision making .company through internal networking also exchange information between different departments.
Horizontal recourse of power
In this chart some parreal level show that people involve in communication, which is very good for company to quickly achieve its goals
Dependency
Various departments depend on each other to complete its goals e.g. sales department, for sales of goods depend on production department.
