HUMA 1745 Lecture 34: HUMA 1745 Lecture 34 Notes
1 May 2018
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HUMA 1745 Lecture 34 Notes – Organizational Designs and Employee Behaviour
Introduction
• A dynamic environment with a high degree of unpredictable change makes it difficult for
management to make accurate predictions.
• Because information technology changes at such a rapid pace, for instance, more
ogaizatios’ evioets ae eoig volatile.
• Finally, complexity is the degree of heterogeneity and concentration among
environmental elements.
• Simple environments—like the tobacco industry, where the methods of production,
opetitive ad egulatoy pessues, ad the like have’t haged i uite soe
time—are homogeneous and concentrated.
• Environments characterized by heterogeneity and dispersion—like the broadband
industry—are complex and diverse, with numerous competitors.
• Exhibit 13-7 summarizes our definition of the environment along its three dimensions.
• The arrows in this figure are meant to indicate movement toward higher uncertainty.
• Organizations that operate in environments characterized as scarce, dynamic.
• Complex faces the greatest degree of uncertainty because they have high
unpredictability, little room for error, and a diverse set of elements in the environment
to monitor constantly.
• Given this three-dimensional definition of environment, we can offer some general
conclusions about environmental uncertainty and structural arrangements.
• The more scarce, dynamic, and complex the environment, the more organic a structure
should be.
• The more abundant, stable, and simple the environment, the more mechanistic a
structure should be.
• We opeed y iplyig that a ogaizatio’s stutue a have sigifiat effets o
its members.
• What might those effects be?
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