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Applied Organizational Theory

Applied Organizational Theory. Introduction. How to Form a Framework for Analyzing Orgs?. Question we will be seeking to answer this semester. What Are the Main Org Drivers in the US?. Subsidiary question. Five Interrelated Revolutions in the US. Globalization

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Applied Organizational Theory

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  1. Applied Organizational Theory Introduction

  2. How to Form a Framework for Analyzing Orgs? Question we will be seeking to answer this semester

  3. What Are the Main Org Drivers in the US? Subsidiary question

  4. Five Interrelated Revolutions in the US • Globalization • Technology, especially computers • Organizational Restructuring • Empowerment of Workers • Information Economy

  5. Globalization through International Trade EXPORTS PLUS IMPORTS AS A SHARE OF U.S. GROSS DOMESTIC PRODUCT

  6. Trade Explodes Exports as a share of GDP for 49 Countries Source: Business Week, Aug. 31, 1998, p. 66.

  7. Globalization and OT • Question: • How does the global revolution impact the effectiveness and success of organizations?

  8. Globalization and OT • Answer: • Instead of being insular, organizations are competing globally. • Productivity is measured in global, rather than national, terms. • Complexity of design of organizationss increases dramatically.

  9. Technology and OT • Question: • How does the technological revolution impact the effectiveness and success of organizations?

  10. High-Tech Growth Soars Annual Growth Rate over Previous 3 years Source: Business Week, Aug. 31, 1998, p. 66.

  11. Tech Prices Keep Falling Annual Change in Prices over Previous 3 Years Source: Business Week, Aug. 31, 1998, p. 67.

  12. Technology and OT • Answer: • Increases skill (education, experience, knowledge) requirements • Increases organizational complexity • Increases productivity

  13. Organizational Restructuring

  14. Restructuring and OT From the Hierarchical to the Flat Org Executives Upper Managers Middle Managers Execs and Upper Managers Lower-Level Managers First Line Managers Middle Managers Workers Workers

  15. Restructuring and OT • Question: • How does organizational restructuring impact OT?

  16. Restructuring and OT • Answer: • Restructuring is OT! • Increases skill (education, experience, knowledge) requirements • Increases responsibility • Increases productivity

  17. Empowerment of Workers

  18. Empowerment and OT • Questions • Why empower employees? • How are employees being empowered?

  19. Empowerment and OT • Answers • Why empower employees? • Only practical way to implement restructuring • How are employees being empowered? • Job enlargement • Various types of teams

  20. Empowerment and OT • Net Result of Empowerment • Increases skill (education, experience, knowledge) requirements • Increases responsibility • Increases productivity

  21. Information Technology

  22. The Technology Revolution US Shipments of PC’s in Millions Source: The Economist, Jun. 13, 1998, p. 20.

  23. Information Tech and OT • Question: • How does information technology impact the org?

  24. Information Tech and OT • Answer: • Increases skill (education, experience, knowledge) requirements • Increases productivity

  25. The Beginning

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