In this assignment I have been asked to detail, analyse and show understanding on how an organisation works. I will do this by looking at the structures and cultures of organisations from a general point of view with relevant examples to business. I have also been asked to explain the relevance of business ethics in organisations and in society, I will do this by explaining the principles of ethics, how it became prominent and how it is relevant today. A firm’s internal design elements-its structure and its culture-may influence system design as well as system success.
For example, systems that share data across departmental boundaries raise special design and implementation concerns and are especially vulnerable to user resistance due to loss of flexibility. Structure ; Culture overview Organisational structure refers to formal aspects of organisational functioning, such as the division of labour, hierarchical authority, and job descriptions. Structure typically includes whether the firm is centralized or decentralized, whether it use s a divisional, functional, matrix, or networked organisation, its reporting relationships, and its reward structure.
Culture refers to the shared values, basic assumptions, and behaviours of organisational members. Elements of culture include whether the organisation values individuality or teamwork, whether bigger is better, and whether risk taking, such as that commonly associated with IT innovations, is rewarded or reproached. Organisational Structures The structure of an organisation should enable it to achieve its objectives. Structures should not always be static they should be flexible in order to adapt to change within the external environment. Structure is the skeleton of the organisation.
It sets out the framework of roles, titles, functions and relationships through which an organisation is run. Factors that influence organisational structures Internal Government policy Flat and Hierarchical structures A fundamental issue of an organisational structure is the span of control this is determined by the number of employees reporting to management. In a flat structure there is a wide span of control.
There are few levels of control and consequently managers have greater responsibility for a larger number of staff. The main benefits of a flat structure are that middle managers are eliminated allowing the organisation to share information easier and work effectively together rather than in separate units. This also could save money on duplication of functions In contrast a hierarchical organisation have a more complicated narrower structure of control. This structure is a traditional management style that is still common today, with lines of supervises and managers to the top.
Communications, duties, changes and people all channel through line managers somewhere in the structure. This management structure can slow down decision-making and flow of information. Hierarchal structures usually are centralised organisations commonly found in the public sector. These are bureaucratic like the police forces that need these structures to remain consistent and fair all over the country. Flat structures often are decentralised organisations, where information speed is quick, flat structures tend to be less formal and less bureaucratic.
A way of identifying structures that are common and correct to their environment is to classify them organic or mechanistic. The authors Burns ; Stalker gave these labels to organisations at separate ends of a continuum and in most cases companies fall in between these extremes. A mechanistic organisation is one that encourages rules and procedures that often have a high level of bureaucracy. On analysis they are known for red tape, time wasting, repetition, slow internal communication and expensive to run.