Which Factors Does The Registered Nurse Consider In The Decision To Delegate Process?

Considering the Environment

Considerations of the external environment—including uncertainty, contest, and resource—are key in determining organizational design.

Learning Objectives

Identify the inherent complexities in the external environment that influence the blueprint of an system'southward construction

Primal Takeaways

Key Points

• Organizational design is dictated by a variety of factors, including the size of the company, the diversity of the organization 's operations, and the surround in which it operates.
• According to several theories, considerations of the external environment are a key aspect of organizational design. These considerations include how organizations cope with conditions of uncertainty, procure external resources, and compete with other organizations.
• A visitor in a highly uncertain environment must prioritize adaptability over a more rigid and functional strategy. In dissimilarity, a company in a mature market with express variability and uncertainty should pursue more than construction.
• A visitor with a low-toll strategy relative to its competition may benefit from a more than simplistic and fixed structural approach to operations, while a company pursuing differentiation must prioritize flexibility and a more than diversified structure.

Key Terms

• strategy: A plan of activeness intended to accomplish a specific goal.
• differentiation: A strategy focused on creating a unique product for a particular population.

Overview

Organizational design is dictated by a variety of factors, including the size of the company, the multifariousness of the organization's operations, and the surroundings in which it operates. Considerations of the external environment are a fundamental aspect of organizational design. The surroundings in which an organisation operates can exist defined from a number of different angles, each of which generates different structural and design strategies to remain competitive.

Complexity

Complexity theory postulates that organizations must adapt to uncertainty in their environments. The complication theory treats organizations and firms as collections of strategies and structures that collaborate to achieve the highest efficiency within a given environment. Therefore, companies in a highly uncertain environment must prioritize adaptability over a more rigid and functional strategy. Alternatively, a stock-still and specific approach to organizational design will capture more value in a mature market, where variability and uncertainty are limited.

Resource Dependence

Another perspective on organizational design is resource dependence theory—the study of how external resource affect the behavior of the organization. Procuring external resources is important in both the strategic and tactical management of any company. Resource-dependence theory explores the implications regarding the optimal divisional structure of organizations, recruitment of board members and employees, product strategies, contract construction, external organizational links, and many other aspects of organizational strategy.

Contest

Another environmental cistron that shapes organization design is competition. College levels of contest require unlike organizational structures to offset competitors' advantages while emphasizing the company'due south ain strengths. A visitor that demonstrates forcefulness in differentiation relative to the competition benefits from implementing a bounded or matrix strategy, which in plow allows the visitor to manage a wide diversity of demographic-specific products or services. Alternatively, a company that demonstrates a low-cost strength (producing products cheaper than the contest) benefits from employing a structural or bureaucratic strategy to streamline operations.

Identifying External Factors

In considering organizational design relative to the surroundings, managers may find it helpful to employ two specific frameworks to place external factors and internal strengths and weaknesses:

• SWOT analysis : In this particular model, a visitor's strengths and weaknesses are assessed in the context of the opportunities and threats in the business environment. A SWOT analysis enables a company to place the platonic structure to maximize its internal strengths while capturing external opportunities and avoiding threats.
• Porter's v-forces assay: This analysis identifies factors of the industry's competitive environs that may essentially influence a company'southward strategic design. The v forces include ability of buyers, power of suppliers, rivalry (competition), substitutes , and barriers to entry (how hard it is for new firms to enter the industry). Understanding these varying forces gives the company an idea of how adjustable or fixed the organizational structure should be to capture value.

Porter'southward five-forces model: Porter's five-forces analysis identifies five environmental factors that tin influence a company's strategic design: power of buyers, power of suppliers, competition, substitutes, and barriers to entry.

Smaller, more agile companies tend to thrive amend in uncertain or constantly changing markets, while larger, more structured companies role best in consistent, predictable environments. Understanding these tools and frameworks alongside the varying external forces that human activity upon a business volition allow companies to make strategic organizational decisions that optimize their competitive strength.

Because Company Size

The size and operational scale of a company is of import to consider when identifying the ideal organization structure.

Learning Objectives

Explain how the size of a company helps make up one's mind the organizational structure that optimizes operational efficiency and managerial chapters

Key Takeaways

Cardinal Points

• Company size plays a substantial role in determining the ideal structure of the company: the larger the company, the greater need for increased complexity and divisions to achieve synergy.
• Companies may adopt whatsoever of six organizational structures based on visitor size and variety in telescopic of operations: pre-bureaucratic, bureaucratic, post-bureaucratic, functional, divisional, and matrix.
• Smaller companies function best with pre-bureaucratic or mail service-bureaucratic structures. Pre-bureaucratic structures are inherently adjustable and flexible and therefore peculiarly effective for pocket-sized companies aspiring to expand.
• Larger companies ordinarily attain college efficiency through functional, bureaucratic, bounded, and matrix structures (depending on the scale, scope, and complication of operations).
• Understanding the varying pros and cons of each construction will help companies to program their organization design and structure in a way that optimizes resources and allows for growth.

Cardinal Terms

• economies of calibration: Processes in which an increment in quantity volition upshot in a decrease in average cost of production (per unit).
• Homogeneous: Having a compatible makeup; having the same composition throughout.
• economies of scope: Strategies of incorporating a wider variety of products or services to capture value through the ways in which they collaborate or overlap.

Company Size and Organizational Structure

Organizational design tin be defined narrowly as the strategic process of shaping the system'south structure and roles to create or optimize competitive capabilities in a given market. This definition underscores why it is important for companies to identify the factors of the organization that determine its ideal structure—nearly specifically the size, telescopic, and operational initiatives of the visitor.

Company size plays a particularly of import role in determining an arrangement'southward ideal construction: the larger the company, the greater the need for increased complication and divisions to achieve synergy. The organizational construction should be designed in means that specifically optimize the effort and input compared to output. Larger companies with a wider range of operational initiatives require careful structural considerations to attain this optimization.

Types of Organizational Structure

Companies may adopt one of six organizational structures based upon visitor size and diversity of scope of operations.

Pre-bureaucratic

Ideal for smaller companies, the pre-bureaucratic structure deliberately lacks standardized tasks and strategic partition of responsibility. Instead, this is an active framework aimed at leveraging employees in any and all roles to optimize competitiveness.

Bureaucratic

A bureaucratic framework functions well in big corporations with relatively complex operational initiatives. This structure is rigid and mechanical, with strict subordination to ensure consistency across varying business units.

Post-bureaucratic

This structure is a combination of bureaucratic and pre-bureaucratic, where individual contribution and control are coupled with authorisation and structure. In this construction, consensus is the driving force behind decision making and dominance. Postal service-bureaucratic structure is better suited to smaller or medium-sized organizations (such equally nonprofits or community organizations) where the importance of the decisions made outweighs the importance of efficiency.

Functional

A functional structure focuses on developing highly efficient and specific divisions which perform specialized tasks. This structure works well for large organizations pursuing economies of calibration, usually through production of a large quantity of homogeneous goods at the lowest possible toll and highest possible speed. The downside of this structure is that each division is more often than not autonomous, with limited advice across business concern functions.

Divisional

A divisional construction is also a framework all-time leveraged by larger companies; instead of economies of scale, however, they are in pursuit of economies of scope. Economies of scope simply means a high variance in production or service. As a result, different divisions volition handle different products or geographic locations/markets. For example, Disney may take a division for Boob tube shows, a division for movies, a sectionalisation for theme parks, and a segmentation for merchandise.

Matrix

A matrix structure is used past the largest companies with the highest level of complexity. This structure combines functional and bounded concepts to create a product-specific and division-specific organisation. In the Disney example, the theme park division would also comprise a functional structure inside it (i.e., theme park accounting, theme park sales, theme park client service, etc.).

Strategic Organizational Design

Structure becomes more hard to modify as companies evolve; for this reason, agreement which specific structure will function best within a given company environment is an important early pace for the management team. Smaller companies role best equally pre-bureaucratic or post-bureaucratic; the inherent adaptability and flexibility of the pre-bureaucratic construction is peculiarly constructive for small-scale companies aspiring to expand. Larger companies, on the other hand, achieve higher efficiency through functional, bureaucratic, bounded, and matrix structures (depending on the scale, scope, and complexity of operations).

McDonald's fast-food restaurants departmentalize varying elements of their operation to optimize efficiency. This structure is divisional, meaning each specific visitor performance is segmented (for instance, operations, finance/bookkeeping, marketing, etc.).

Considering Applied science

Applied science impacts organizational design and productivity by enhancing the efficiency of communication and resource menstruum.

Learning Objectives

Recognize the intrinsic structural value of the e'er-evolving technological environment

Key Takeaways

Key Points

• Organizations employ technological tools to enhance productivity and to initiate new and more efficient structural designs for the organization. These uses of technology become potential sources of economic value and competitive advantage.
• An example of an organizational structure emerging from newer technological trends is what some have chosen the "virtual organization," which connects a network of organizations via the internet.
• A network structure is another kind of organizational structure that is heavily reliant upon technology for communication.
• More traditional organizational structures likewise benefit greatly from the advance of applied science. Managers can communicate and delegate much more effectively through using technologies such as electronic mail, calendars, online presentations, and other virtual tools.

Key Terms

• supply concatenation: A organisation of organizations, people, applied science, activities, information, and resources involved in moving a production or service from the supplier to the customer.
• network: Any interconnected group or system.

Organizational pattern tin be defined narrowly as the strategic process of shaping an system's structure and roles to create or optimize capabilities for contest in a given market place.

Technology is an important factor to consider in organizational design. Modern organizations tin can exist treated as complex and adaptive systems that include a mix of human and technological interactions. Organizations tin can utilize technological tools to enhance productivity and to initiate new and more efficient structural designs for the arrangement, thereby adding potential sources of economic value and competitive advantage.

Technology: Engineering has opened doors to incorporating new and avant-garde forms of organizational blueprint. This is most notably seen through rapid global communications and the ability to constantly and economically be in contact.

Technological Organizational Structures

An example of an organizational construction that has emerged from newer technological trends is what some have chosen the "virtual organization," which connects a network of organizations via the internet. Over the internet, an organization with a pocket-sized core can still operate globally as a market leader in its niche. This tin dramatically reduce costs and overhead, remove the necessity for an expensive office building, and enable modest, dynamic teams to travel and comport work wherever they are needed.

A similar organizational pattern that is heavily reliant upon technological capabilities is the network structure. While the network structure existed prior to recent technologies (i.eastward., affordable communications via internet, cell phones, etc.), the existence of complex telecommunications networks and logistics technologies has greatly increased the viability of this structure.

Engineering and Traditional Structures

Technology can also affect other longstanding elements of an arrangement. For example, information systems allow managers to take a much more analytic view of their businesses than before the advent of such systems. Managers tin communicate and delegate much more effectively through using technologies such as e-mail, calendars, online presentations, and other virtual tools.

Engineering science has also impacted supply concatenation management —the management of a network of interconnected businesses involved in the provision of product and service packages required by the terminate customers in a supply chain. Supply chain management now has the chapters to track, forecast, predict, and refine the outbound logistics, contributing to a wide variety of logistical advantages (such as minimizing costs from warehousing, fuel, negative environmental impacts, or packaging).

Engineering simplifies the procedure of managing reports, collecting communications, and keeping in touch, enabling direction in more formal structures to take on more workers. Increases in technology have essentially allowed organizations to scale upward their companies through more than effective and efficient teams.

Considering the Organizational Life Cycle

The life bicycle of an organization is important to consider when determining its overall design and construction.

Learning Objectives

Draw the way in which life cycles influence an arrangement'due south overall design and structure

Primal Takeaways

Primal Points

• From an organizational perspective, the " life cycle " tin refer to diverse factors such as the age of the organization, the maturation of a particular production or process, or the maturation of the broader industry.
• In organizational ecology, the idea of historic period dependence is used to examine how an organization's risk of mortality relates to its age. Richard L. Daft outlines unlike patterns of age dependence in his four stages model.
• The idea of the Enterprise Life Bike in enterprise architecture argues for a life cycle concept as an overarching design strategy —a dynamic, iterative process of changing the enterprise over time past incorporating, maintaining, and disposing of new and existing elements of the enterprise.
• Companies must sympathise clearly where they are in their life cycle and what influence this volition have on their optimal organizational construction.

Primal Terms

• life cycle: The useful life of a product or organization; the developmental history of an private, group or entity.
• assessment: An appraisal or evaluation.
• strategy: A plan of action intended to reach a specific goal.

Organization design tin can be divers narrowly every bit the strategic process of shaping organizational construction and roles to create or optimize capabilities for competition in a given market. The life bicycle of an organization, industry, and/or product can exist an important gene in system design.

The life cycle of a business organisation: Organizations must always be striving to sustain their position in a given competitive environment. This frequently requires structural evolution and rapid iterations in the feedback loop of disruption, growth, refinement, and renewal.

Overview of the Life Bike

From an organizational perspective, "life cycle" can refer to various factors such as the age of the organization itself, the maturation of a item product or process, or the maturation of the broader industry. In organizational ecology, the idea of age dependence is used to examine how an arrangement's risk of mortality relates to the age of that organization. Mostly speaking, organizations go through the following stages:

1. Birth
2. Growth
3. Maturity
4. Reject
5. Death

The Enterprise Life Cycle

The Enterprise Life Cycle is a model that underlines the way in which organizations remain relevant. The Enterprise Life Cycle is the dynamic, iterative process of changing an enterprise over time by incorporating new concern processes, technologies, and capabilities, also as maintaining, using, and disposing of existing elements of the enterprise.

Richard L. Daft'southward Iv Stages

Richard Fifty. Daft theorized 4 stages of the organizational life cycle, each with disquisitional transitions:

1. Entrepreneurial stage → Crunch: Need for leadership
2. Collectivity stage → Crunch: Need for delegation
3. Formalization stage → Crisis: Too much red tape
4. Elaboration stage → Crisis: Need for revitalization

Structural Implications of the Life Cycle

The life cycle of an organization is important to consider when making decisions about the organization's structure and blueprint. Richard L. Daft'south model underlines critical problems inside each stage of an arrangement's life cycle that tin often be solved through intelligent structural design.

Daft start notes that the entrepreneurial (or startup) phase of an organization requires leadership. In this situation, decision-making must be enabled and bureaucracy should exist minimized. This lends itself well to pre-bureaucratic stuctures in which everyone involved is empowered to take the reins and employ their creativity and innovation.

In the collectivity phase, momentum has been created and expansion is required. This is where functional or divisional strategies may begin to sally, enabling managers to build teams and delegate tasks.

Companies proceed to aggrandize in the formalization stage, requiring increased bureaucracy and more than levels of authority to approve a given decision. In this stage they grow large enough to adjust functional, divisional, or even matrix structures in lodge to produce at calibration. Organizations in this phase must be careful not to fall too strongly into rigid structures that inhibit or disrupt efficiency, communication, or decision-making.

The Enterprise Life Cycle comes strongly into play in the elaboration stage. During this stage the organization must retain its relevance in the industry through reinforcing competitive advantages and/or creating new products to fill changing consumer needs. This requires a groovy bargain of organized creativity and exploration of new markets, which may justify team or divisional structures within the broader organizational structure. Such structures let pocket-sized teams to experiment and react rapidly as they try new entrepreneurial strategies while the larger system maintains operative efficiency in established markets.

Source: https://courses.lumenlearning.com/boundless-management/chapter/factors-to-consider-in-organizational-design/

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