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designing_organizations_-_strategy_structure_and_process_at_the_business_unit_and_enterprise_levels_-_jay_r._galbraith [2016/12/18 13:01] hpsamiosdesigning_organizations_-_strategy_structure_and_process_at_the_business_unit_and_enterprise_levels_-_jay_r._galbraith [2020/06/02 14:22] – external edit 127.0.0.1
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 The discussion then moves on to the Star model itself. "I've described the Star Model, the basis for thinking about organizations and organization design. I briefly described the strategy, the structure, information and decision processes, reward systems, and people practices that make up the design choices that a designer has. For each of these factors, I identified the tools to use in designing the structures and the information and decision processes and so forth. In the area of structure, we looked at the hierarchy of authority, the type of hierarchy, and the distribution of power. On the process dimension, we identified the informal processes, formal business processes, and management processes that an organization designer has available. Reward systems, another lever, consist of compensation, promotion, recognition, and job challenge. Under the people dimension are recruiting, selection, development, and so forth. These are all of the tools that leaders can use in designing their organization." The discussion then moves on to the Star model itself. "I've described the Star Model, the basis for thinking about organizations and organization design. I briefly described the strategy, the structure, information and decision processes, reward systems, and people practices that make up the design choices that a designer has. For each of these factors, I identified the tools to use in designing the structures and the information and decision processes and so forth. In the area of structure, we looked at the hierarchy of authority, the type of hierarchy, and the distribution of power. On the process dimension, we identified the informal processes, formal business processes, and management processes that an organization designer has available. Reward systems, another lever, consist of compensation, promotion, recognition, and job challenge. Under the people dimension are recruiting, selection, development, and so forth. These are all of the tools that leaders can use in designing their organization."
  
-One idea that I found very useful (although suspect I am biased) is "when a company extends its product differentiation strategy to include chips, sensors, and software in its products, it finds itself in the software business too. Part of the organization now has to move at the pace of the software industry. This pace approaches real-time and requires that cross-functional teams operate under the newsroom model."+Throughout the book, there are a series of case studies to show various ideas and approaches. Problem I have with this approach in this case was that the examples almost seemed to be self-serving rather than tools / approaches to use. In other words, you could see how the ideas worked there because of your knowledge of the company but would not necessarily apply the approach in another organization.  
 + 
 +In the end I think I was looking more for an "organizational patterns" book and while this book start out with classification, I didn't see the evolution of tools. Perhaps it is too early for this. 
 + 
 +While I found the book not to be very useful as an overall approach, did find there were a large number of good ideas. For example: 
 + 
 +  * "When a company extends its product differentiation strategy to include chips, sensors, and software in its products, it finds itself in the software business too. Part of the organization now has to move at the pace of the software industry. This pace approaches real-time and requires that cross-functional teams operate under the newsroom model." 
 +  * "All the data must be available to all the parties. In complex organizations, transparency is your friend." 
 +  * "Because of this conservatism, compensation systems are the greatest barriers to change and flexibility. At a time when pay plans need to be approximate, flexible, simple, and valid, they are instead precise, complex, quantitative, nonaligned, out of date, and rigid." 
 +  * "When competitive advantages do not last long, neither do the organizations that execute them." 
 +  * "Attain Real-Time Decision Making: The second organizational challenge is to increase the speed of decision making, often referred to as increasing the clock speed of the organization. A computer has a clock, which synchronizes the speed of the input unit, output unit, arithmetic unit, and memory unit. Historically computer designers have been increasing the clock speed at which the computer operates. Similarly, organizational designers need to increase their organization's clock speed. All of the units participating in advertising, customer management, new product development, and supply chain management have to synchronize around increasing clock speeds. The ultimate target is real time."
  
 {{tag>Book Learning Organization Review}} {{tag>Book Learning Organization Review}}
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