Preface xi
part one
Introduction to Organizations
chapter one
Organizations and Organization
Theory
A Look Inside International Business Machines
Corporation
Organization Theory in Action
Topics 6
Current Challenges
Book Mark l.O: Sacred Cows Make the Best
Burgers: Paradigm-Busting Strategies for
Developing Change-Ready People and
Organizations
Purpose ofThis Chapter
What Is an Organization?
Definition
Importance of Organizations
Organizations as Systems
Open Systems
Chaos Theory
Organizational Subsystems
Dimensions of Organization Design
Structural Dimensions
Contextual Dimensions
In Practice l.l: W.L. Gore & Associates
What Is Organization Theory?
History
The Postmodern Organization Paradigm
Contingency
The New Paradigm Chrysler's New Castle
Plant
Multiple Perspectives of Organization Theory
Rational-Contingency Perspective
Radical-Marxism Perspective
Transaction-Cost Economics Perspective
What Organization Theory Can Do
InPractice 2.2: Xerox
Framework for the Book
Levels of Analysis
Plan of the Book
Plan of Each Chapter
Summary and Interpretation
Chapter One Workbook Measuring Dimensions
of Organizations
Case for Analysis' S-S Technologies Inc. (A)-
Introduction
Case for Analysis: S-S Technologies Inc. (D)--
Organizational Design
part two
The Open System
chapter two
Strategic Management and
Organizational Effectiveness
A Look Inside Marmot Mountain
Top Management Strategic Direction
Organizational Goals
Mission
Operative Goals
Purposes of Goals
Book Mark 2.0: What America Does Right:
Learning from Companies That Put People
First
Summary
Organizational Strategies
Porter's Competitive Strategies
In Practice 2.1: DeltaAirlines
Strategies for Organizational Excellence
The New Paradigm: Springfield
Remanufacturing Corporation
Organizational Effectiveness
Traditional Effectiveness Approaches
Goal Approach
In Practice 2.2: Granite Rock Company 6.1
System Resource Approach
Internal Process Approach
Contemporary Effectiveness Approaches
Stakeholder Approach
In Practice 2.3: SafewayInc. 5
Competing Values Approach
In Practice 2.4: Ford Motor Company
Summary and Interpretation
Chapter Two Workbook: Identifying Company
Goals and Strategies
Case for Analysis: The University Art
bMuseum
Case for Analysis: Quality Circle
Consequence
Chapter Two Workshop: Competing Values and
Organizational Effectiveness
chapter three
The External Environment
A Look Inside AT&T
The Environmental Domain
Task Environment
General Environment
International Context
In Practice 3.1: General Electric
Environmental Uncertainty
Simple-Complex Dimension
Stable-Unstable Dimension
Framework
Adapting to Environmental Uncertainty
Positions and Departments
Book Mark 3.0: Hypercompetition: Managing
the Dynamics of Strategic Maneuvering
Buffering and Boundary Spanning
In Practice 3.2: Characters, Inc.
Differentiation and Integration
Organic Versus Mechanistic Management
Processes
The New Paradigm Arizona Public Service
Company
Institutional Imitation
Planning and Forecasting
Framework for Organizational Responses to
Uncertainty
Resource Dependence
Controlling Environmental Resources
Establishing Interorganizational Linkages
In Practice 3.3: Toshiba
Controlling the Environmental Domain
Organization-Environment Integrative Framework
Summary and Interpretation
Chapter Three Workbook Organizations You
Rely On
CaseforAnalysis: The Paradoxical Twins: Acme
and Omega Electronics
Chapter Three Workshop: The External
Environment
part three
Organization Structure and
Design
chapter four
Manufacturing, Service and
Advanced Information
Technologies
A Look Inside French Rags
Organization-Level Technology
Manufacturing Firms
Book Mark 4.0: Lean Thinking: Banish Waste
and Create Wealth in Your Corporation
In Practice 4.1: Northeast Utilities and Boston
Edison Company
Computer-IntegratedManufacturing
Service Firms
The New Paradigm: Progressive Corp
vDepartmental Technology
Variety
Analyzability
Framework
Department Design
In Practice 4.2: "M*A*S*H" versus "E.R'
Workflow Interdependence Among
Departments
Types
Structural Priority
Structural Implications
In Practice 4.3: Athletic Teams
Advanced Information Technology
Management Implications
Organization Design
In Practice 4.4: Taco Bell
Workplace Culture
impact of Technology on Job Design
Job Design
Sociotechnical Systems
Summary and Interpretauon
Chapter Four Workbook Bistro Technology
Case for Analysis' Acetate Department
chapterfive
Organization Size, Life Cycle and
Dedine
A Look Inside Matsushita Electric
Organization Size: Is Bigger Better?
Pressures for Growth
Large Versus Small
Organization Size and Bureaucracy
What Is Bureaucracy?
The New Paradigm: Carrier Corporation
Bases ofAuthority
Size and Structural Characteristics
Formalization
Decentralization
Complexity
In Practice 5.2; United Parcel Service
Personnel Ratios
Bureaucracy in a Changing World
Organizational Life Cycle
Stages of Life Cycle Development
Book Mark 5.0: The Self-Defeating
Organization: How Smart Companies Can Stop
Outsmarting Themselves
In Practice 5.2' Mothers Against Drunk
Driving
Organizational Characteristics During the Life
Cycle
Organizational Decline and Downsizing
Definition and Causes
A Model of Decline Stages
In Practice 5.3: Mudge, Rose, Guthrie
Alexander & Ferdon
Downsizing Implementation
Summary and Interpretation
ChapterFive Workbook Life Cycle of
Organizations
CaseforAnalysis: Mason & Lynch (A)
Case for Analysis: Mason & Lynch (B)
ChapterFive Workshop: WlNDSOCK, INC
chapter six
Pundamentals of Organization
Structure
A Look Inside Zeneca Agricultural Products 201
Structure and Strategy
Information-Processing Perspective on
Structure
Vertical Information Linkages
Horizontal Information Linkages
In Practice 6.1: General Mills
In Practice 6.2 Hewlett-Packard Terminals
Division
Organization Design Alternatives
Define Work Activities
Reporting Relationships
Departmental Grouping Options
Functional, Divisional, and Geographical
Designs
Functional Structure
In Practice 6.3: Blue Bell Creameries, Inc.
Functional Structure with Horizontal Linkages
In Practice 6.4: Karolinska Hospital
Divisional Structure
Geographical Structure
Hybrid Structure
Characteristics
In Practice 6.5: Sun Petroleum Products
Company
Strengths and Weaknesses
Matrix Structure
Conditions for the Matrix
y Matrix Roles
engths and Weaknesses
In Practice 6.6: Pittsburgh Steel Company
Symptoms of Structural Deficiency
Summary and Interpretation
Chapter Six Workbook: You and Organization
Structure
Case for Analysis: C & C Grocery Stores, Inc
Case for Analysis Aquarius Advertising
Agency
chapter seven
Contemporary Designs for Global
Competition
A Look Inside Ryder Systems, Inc
Global Forces at Work
The New Paradigm: Ciba-Geigy Canada, Ltd
249
New Designs for Domestic Advantage
The Horizontal Corporation
In Practice 7.1; MacMillan Bloedel
Reengineering
Book Mark 7.0: Jumping the Curve: Innovation
and Strategic Choice in an Age of Transition
255
Dynamic Network Design
In Practice 7.2: TopsyTail, Inc.
Organizational Designs for Global Advantage
258
Stages of International Development
International Strategic Alliances
Global Work Teams
International Strategy and Organization Design
Fit
Model for Global Versus Local Opportunities
International Division
Structural Designs for Global Operations
Global Product Division Structure
Global Geographic Division Structure
In Practice 7.3: Dow Chemical
Global Matrix Structure
In Practice 7.4: Asea Brown Boveri (ABB)
266
Transnational Model
Summary and Interpretation
Chapter Seven Workbook: Team Principles
CaseforAnalysis: The London Free Press (Bl)-
Strategic Change
CaseforAnalysis: The London Free Press (B2)-
Strategic Change
Casefor Analysis: Saint-Gobain-Pont-a-
Mousson
ChapterSeven Workshop: The Poster Company
part four
Organization Design
Process
chapter eight
Innovation and Change
A Look Inside 3M
Innovate or Perish:The Strategic Role of
Change
Incremental Versus Radical Change
StrategicTypes of Change
Elements for Successful Change
In Practice 8.1 Rolls-Royce Motor Company
Technology Change
The Ambidextrous Approach
Techniques for EncouragingTechnology Change
In Practice 8.2: Hewlett-Packard
New Products and Services
New Product Success Rate
Reasons for New Product Success
Horizontal Linkage Model
In Practice 8.3: IBM PC Company
Achieving Competitive Advantage with Product
Innovation
Strategy and Structure Change
The Dual-Core Approach
In Practice 8.4: Autodesk, Inc.
People and Culture Change
Reengineering and Horizontal Organization
Total Quality Management
Organizational Development
OD Culture Change Interventions
The New Paradigm: U.S. Agriculture
Department's Animal and Plant Health
Inspection Service
Strategies for Implementing Change
Leadership for Change
Barriers to Change
Book Mark 8.0: Real Change Leaders: HowYou
Can Create Growth and High Performance at
Your Company
Techniques for Implementation
Summary and Interpretation
Chapter Eight Workbook: Innovation Climate
316
Case forAnalysis. The Bay Kitchener
chapter nine
Information Technology and
Organizational Control
A Look Inside KPMG Peat Marwick
Information Requirements
Information Amount and Richness
Information Technology and the Organization
New Organization Structures and Infonnation
Technology
In Practice 9.1: Nu-Skin International
Infonnation Technology Evolution
A Model for Designing Information Support
Systems
The New Paradigm: Information on Demand-
The Intranet
In Practice 9.2' Ingersoll Milling Machine Co
Strategic Advantage of Information Technology
Low-Cost Leadership
Differentiation
In Practice 9.3' Schneider National
Strategic Control
Major Control Approaches
Market Control
In Practice 9.4: Imperial Oil Limited
Bureaucratic Control
In Practice 9.5: Cypress Semiconductor
Corporation
Clan Control
In Practice 9.6: Metallic, Inc.
Contingency Control Model
Supervisory Control Strategies
Balancing Empowerment and Control
Book Mark 9.0: Levers of Control: How
Managers Use Innovative Control Systems to
Drive Strategic Renewal
Summary and Interpretation
Chapter Nine Workbook Control Mechanisms
360
Case for Analysis Sunflower Incorporated
chapter ten
Organizational Culture and Ethical
Values
A Look Inside Southwest Airlines
Organizational Culture
What Is Culture?
Emergence and Purpose of Culture
Interpreting Culture
Culture Strength and Adaptation
Book Mark lO.O: Built to Last: Successful Habits
of Visionary Companies
In Practice lO.l: Rhone-Poulenc, Inc
Creating the Culture
Strategy and Culture
The Adaptability/Entrepreneurial Culture
The Mission Culture
The Clan Culture
The Bureaucratic Culture
Ethical Values in Organizations
Sources of Ethical Values in Organizations
Personal Ethics
Organizational Culture
Organizational Systems
External Stakeholders
The New Paradigm: Starbucks Coffee
How Leaders Shape Culture and Ethics
Value Based Leadership
In Practice 10.2: Herman Miller
Formal Structure and Systems
In Practice 10.3: Texas Instruments
Summary and Interpretation
Chapter Ten Workbook: Shop 'til You Drop:
Corporate Culture in the Retail World
CaseforAnalysis: Dinner for Four (A)
Case for Analysis: Dinner for Four (B)
Case for Analysis: Implementing Strategic
Change
Chapter Ten Workshop: The Power of
Ethics
part five
Managing Dynamic Processes
chapter eleven
Dedsion-Making Processes
A Look Inside Intel Corporation
Definitions
Individual Decision Making
Rational Approach
In Practice ll.l: Alberta Manufacturing
Bounded Rationality Perspective
Book Mark ll.O: The Dynamic
Decisionmaker
In Practice 22.2; Paramount Pictures
Corporation
Organizational Decision Making
Management Science Approach
In Practice 22.3; Urgences Sante
Carnegie Model
In Practice 22.4; Greyhound Lines, Inc
Incremental Decision Process Model
In Practice 22.5; Gillette Company
Integrating the Incremental Process and Carnegie
Models
Garbage Can Model
In Practice 22.6; Casablanca
Contingency Decision-Making Framework
424
Goal Consensus
Technical Knowledge
Contingency Framework
Special Decision Circumstances
High-Velocity Environments
Decision Mistakes and Learning
Escalating Commitment
Summary and Interpretation
Chapter Eleven Workbook Decision
Styles
Case for Analysis: Equal Employment
Reaction
Case for Analysls: The Dilemma ofAliesha State
College: Competence Versus Need
chapter twelve
Power and Politics
A Look Inside United States Information
Agency
Individual Versus Organizational Power
Power Versus Authority
Vertical Power
Power Sources for Top Management
In Practice 22.2; Time Warner
Power Sources for Middle Managers
Power Sources for Lower-Level Participants
The Trend Toward Empowerment
Reasons for Empowerment
In Practice 72.2; Chrysler Corporation
Elements of Empowerment
The New Paradigm: Reflexite Corporation
Empowerment Applications
The Empowerment Process
Horizontal Power
Book Mark 12.0; The Age of Participation:
New Governance for the Workplace and the
World
Strategic Contingencies
Power Sources
In Practice 22.3; University of lllinois
In Practice 22.4; Crystal Manufacturing
Political Processes in Organizations
Definition
Rational Choice Versus Political Behavior
In Practice 22.5; Britt Technologies, Inc
Domains of Political Activity
Process Framework
Using Power and Political Influence
Tactics for Increasing the Power Base
Political Tactics for Using Power
In Practice 12.6; Halifax Business
Machines
Summary and Interpretation
Chapter Twelve Workbook: Power of Lower-
Level Participants
Case for Analysis: Dual Lines ofAuthority
Case for Analysis- Pierre Dux
chapter thirteen
Interdepartmental Relations and
Conflict
A Look Inside Techno Projecl
What Is Intergroup Conflict?
Horizontal Conflict
Vertical Conflict
The Nature of Intergroup Conflict
In Practice 13.1: PATCO
Types of Changes
Model of Intergroup Conflict
Interdepartmental Conflict
Contextual and Organizational Factors
tn Practice 73.2: Lantech
Attributes of Interdepartmental Relationships
The New Paradigm GE Plastics/Borg-Warner
In Practice 13.3: The Triad Project
The Cooperative Model of Organization
Book Mark 13.0: The We-Force in Management:
How to Build and Sustain Cooperation
In Practice 13.4: Fastbuck, Incorporated
Benefits from Cooperation
In Practice 13.5: General Electric
Losses from Conflict
Techniques for Managing Conflict Among
Groups
In Practice 13.6: Canadian-Atlantic
Vertical Conflict
Sources of Worker-Management Conflict
505
Resolution ofWorker-Management Conflict
507
Collective Bargaining
Cooperative Approaches
In Practice 13.7: SSl Services, Inc
Summary and Interpretation
Chapter Thirteen Workbook: How Do You
Handle Conflict?
Case for Analysis: Cherie Cosmetics Limited
Elegante Divi? on
part six
Strategy and Structure for the
Future
chapter fourteen
Interorganizational Relationships
A Look Inside Chrysler Corporation
Organizational Ecosystems
Is Competition Dead?
The Changing Role of Management
Book Mark 14.0: The Boundaryless
Organization: Breaking the Chains of
Organizational Structure
Interorganizational Framework
Resource Dependence
Resource Strategies
Power Strategies
Collaborative Networks
International Origins
In Practice 14.l: Mitsubishi
From Adversaries to Partners
In Practice 14.2 Empire Equipment Company
The New Paradigm: Volkswagen
Population Ecology
Organizational Form and Niche
Process of Change
Strategies for Survival
In Practice 14.3: Sun Microsystems, Inc
Institutionalism
Institutional Isomorphism
Summary and Interpretation
Chapter Fourteen Workbook Management
Fads
Case for Analysis. Hugh Russel Inc.
Chapter Fourteen Workshop' Ugli Orange Case
chapter fifteen
Toward the Learning Organization
ALook Inside Kalahari Bushmen
Organizational Design Configurations
Strategy Formulation and Implementation
Organizational Form and Design
The Effective Organization
The Learning Organization
Why Create Learning Capability?
Mindful Leadership
Empowered Employees
Emergent Strategy
Strong Culture
Shared Information
Horizontal Structure
Book Mark 75.0; Open-Book Management:
The Coming Business Revolution
In Practice 15.1: Chaparral Steel
Organizational Transformation and Leadership
571
Corporate Transformation
In Practice 15.2: Navistar International
Corporation
Transformational Leadership
In Practice 75.3: Corsair Communications
Inc.
The Impact ofTop-Management.Teams and
Turnover
Top-Management Teams
Succession and Adaptation
Succession and Performance
Summary and Interpretation
Chapter Fifteen Workbook: Creating a Learning
Organization
Case for Analysis: W. L. Gore & Associates,
Inc.
Integrative Cases
l.O Victoria Heavy Equipment Limited
eton Manufacturing (A)
eton Manufacturing (B)
Corporation of lllinois
r Enterprises
nal Bank of San Francisco
udubon Zoo, 1993
ood Terminal (A)
oodTerminal (B)
x
Name Index
Subject Index
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