Read all case studies again and the study questions from all
the lesson. Extra important
The SMART model is an approach to determining effective organisational objectives
that requires that they be specific, measurable, actionable, reasonable and
S – Specific – objectives need to be clearly defined so that it is easy to understand
what is to be achieved and what is considered successful. If the broad goal of Mr
Daniel is to grow his company, his objectives might be that he will acquire 5 new
clients in his consultation business.
M – Measurable – the exact measure must be stated and the objective must be able
to be measured through some means. Mr Daniel can measure his progress by
measuring the number of new clients he brings on while maintaining his current
A – Actionable – an organisation needs to make sure that its business-unit managers
have enough authority to take action to make sure the goals are achieved. Mr Daniel
can launch a social media campaign and network with local businesses.
R – Reasonable – the goals set must be achievable. Unrealistic goals are a
disincentive for both managers and their employees. Mr. Daniel believes that
additional clients will help his to grow his business and increase his revenue.
T - Timetabled – objectives must have deadlines at which progress towards achieving
them is measured. Mr Daniel aims to achieve his goal in 3 months.
SCENARIO PLANNING – it identifies alternative future scenarios and makes plans to
deal with each of them.
In a fast changing and unpredictable world, there are pressures that the company
faces from different sources.
a) External pressures include regulations imposed by the governments like the
goods and services tax imposed in Australia, complex and changing technologies
like animal cloning, economic uncertainities like the conflicts in the middle east,
costs of investment in capital, labour and other supporting resources like
increasing costs of office locations, scarce natural resources etc b) Internal pressures include need for operating efficiencies through work practice
reforms, new management structures and technologies like virtual teams,
increased workplace diversity, heightened job expectations from a tertiary –
educated workforce and other related managerial challenges.
BENEFITS OF SCENARIO PLANNING
1) Scenario planning improves focus and flexibility – this is essential for successful
individual and group performance in highly competitive and dynamic
environments. An organisation with focus knows the needs of the customer and
knows how to serve them well. An individual with focus knows where he/she
wants to go in their career and is able to maintain that objective when difficulties
arise. An organisation with flexibility is willing to adapt to shifting changes and an
individual with flexibility factors into careers plans the problems of new and
developing situations. Example: the challenges and opportunities presented by
virtual organisations is an example of the impact of external changes on the
2) Scenario planning improves action orientation – it helps individuals and
organisations weather difficult circumstances and stay ahead of the competition.
It helps us take the initiative rather than being reactive to situations by making us
more result oriented (creating a performance-oriented sense of direction),
priority oriented (making sure the most important tasks get first attention),
advantage oriented (ensuring all resources are used to their best advantage) and
change oriented ( anticipating problems and opportunities so that they can be
dealt with in the best way)
3) Scenario planning improves coordination – it creates a hierarchy of aims in which
objectives at each level of work are linked together in a means-end fashion.
Higher level objectives as ends are linked to lower level objectives as the means
for their accomplishment. Example: the corporate level quality objective is to
deliver error free products that satisfy customer needs 100% of the time. This
translates down and for one of the team leaders it is a formal assessment of to
assess the capabilities of machine operators and provide appropriate timing.
4) Scenario planning improves time management – each day the manager is
bombarded with a multitude of tasks and demands in a setting of frequent
interruptions, crisis and unexpected events. Planning helps reduce the confusions
and in turn reduces wastage of time.
5) Scenario planning improves control – when planning is done well, it is easier to
exercise control by measuring performance results and taking action to improve things as necessary. Planning makes this happen because the objectives are
defined along with specific actions to pursue.
TYPES OF PLANS
Short range and long range plans
A rule of thumb is that a short range plan covers one year or less, and intermediate
plan covers between one to two years and a long range plan covers more than three
years. Top management is likely to be involved in setting long range plans and
directions for the organisation as a whole and lower management levels focus more
on intermediate and short range plans that serve the long range objectives. In the
absence of hierarchy of objectives and long range plans, there is always risk that
pressures of daily events might divert attention from important tasks. Also it is found
that due to complexities and uncertainties in today’s world, the long range plans are
becoming shorter and shorter.
Strategic and tactical plans – strategic plans define long term needs and define
action directions for an organisation and tactical plans are developed and used to
implement strategic plans. Top management planning of this scope involves
determining objectives for the organisation and deciding on the actions and resource
allocations to achieve them. A successful cereal company might acquire a clothing
Operational plans – they are short term plans that define activities to implement
a) Production plans - deal with methods and technology needed by people in their
b) Financial plans – deal with money required to support various operations
c) Facilities plans – deals with facilities and work layouts designed to support task
d) Marketing plans – deals with the requirements of selling and distributing goods
e) Human resource plans – deals with recruitment, selection and placement of
people in various jobs.
POLICIES – it is a standing plan that communicates broad guidelines for decisions and
action. Example: typical human resource policies deal with matters like workplace
hiring, terminations, performance appraisals, pay increases and discipline. PROCEDURES – They precisely describe actions that are to be taken in specific
situations. They define the recommended sequence of events needed to accomplish
a task or a set of tasks. Example: The Whistleblowers act clearly outlines procedures
on how information should be disclosed and the protection afforded to those
disclosing the information.
RULES – they indicate what is and what is not acceptable behaviour and often specify
the consequences of breaking them.
BUDGETS – they are single use plans that commit resources to projects or activities.
FIXED BUDGET – allocates resources on the basis of a single estimate of costs. A
manager might have $25000 for equipment purchases in a year.
FLEXIBLE BUDGET – allows allocation of resources to vary along with the different
levels of activity – a manager might have a budget allowance for temporary workers
if production costs exceed a certain volume.
ZERO-BASED BUDGET – it allocates resources to a project or activity as if it were
brand new. ARMS Australia offers assistance to large client organisations by setting
up zero based budgets to track project management and asset management
especially where true cost of breakdowns and maintenance needs to be
PROJECT SCHEDULES -they are single use plans for accomplishing a specific major
PLANNING TOOLS, TECHNIQUES AND PROCESSES
FORECASTING – it is the process of making assumptions about the future. They are
of two types
1) Qualitative forecasting – it uses expert opinions to predict the future
2) Quantitative forecasting – it uses mathematical and statistical analysis of data
banks to predict the future. Time series analysis makes predictions by using
statistical routines such as regression analysis to project past trends into the
The final analysis forecasting always relies on human judgement. Even the results of
quantitative forecasting require human interpretation. Large multinational
companies like Sony, Ford and News Corporation analyse economic and business
forecasts for each region and country. CONTIGENCY PLANNING – it identifies alternative courses of action for use if and
when circumstances change with time. Trigger points must be made to indicate that
the existing plan is no longer desirable and must be reselected and closely
monitored. The more uncertain the planning environment, the more likely the
forecasting becomes incorrect.
#. Scenario planning is a long-term version of contingency planning. In Asia, Acer has
adopted a flexible and dynamic approach to corporate planning because the
uncertainties of the technology market coupled with other concerns with China.
BENCHMARKING – a technique that makes use of external comparisons to better
evaluate the organisation’s current performance and identify possible courses of
action. The purpose of benchmarking is to find out what other people and
organisations are doing and then incorporate the ideas into the organisation.
STAFF PLANNERS – They are employed to coordinate planning for the organisation as
a whole or for one of its major components. They need to be skilled in all steps of the
formal planning process including benchmarking and scenario planning approaches.
A drawback is it might lead to a communication gap between the staff planners and
line managers. The resulting plans may lack relevance or the employees might lack
motivation to implement the plan.
MBO - MANAGEMENT BY OBJECTIVES – it si a process of joint objective setting
between a manager and a staff member. Refer to diagram on pg. 180
The types of objectives that can be mentioned in a MBO contract.
1) Improvement objectives for improving performance in a specific way. Example: to
reduce quality rejects by 10%
2) Personal development objectives pertain to personal growth activities often
those resulting in expanded job knowledge or skills. Example: to learn the latest
version of computer software.
3) Maintenance objectives that formally express intentions to maintain performance
at an existing level.
ADVANTAGES OF MBO – it can focus workers on most important tasks and
objectives, focus managers on areas of support by truly helping employees attain the
agreed – upon objectives, helps in relationship building, encourages self-
management by providing opportunity for participation in decision making. DISADVANTAGES OF MBO – common mistakes to avoid include giving too much
attention to easy objectives, requiring excessive paperwork, and having managers
simply tell the employees the objectives.
PARTICIPATORY PLANNING – it includes people who would be affected by plans
and/or whose help is needed to implement them. It includes a level of strategic
planning. The more aware all levels are of strategic plans and the more involved they
are in helping establish them, the greater the commitment throughout the
organisation to their accomplishment. Example: Sustainable Futures Australia works
with the local government and regional communities to genuinely facilitate
participative planning, working on implementation of plans for policy and
governance applications. Refer to diagram on pg. 181 for formal planning process.
CONTROLLING – it is the process of measuring performance and taking action to
ensure desired results.
RATIONALE FOR CONTROLLING –
1) Control is aimed at ensuring that plans are fulfilled and that performance targets
2) It also ensures that performance is consistent. Controlling requires accurate and
timely flows of information on the key operational variables and outcomes.
3) It ensures that people comply with organisational policies and procedures.
Example: Xerox in the US is a company that is in need of control mechanisms
because it was reporting higher levels of profit that the actual amounts.
CYBERNETIC CONTROL SYSTEM – it is a system where the control system is self-
contained in its performance-monitoring and correction capabilities. Organisations
do not use this form of control system which is used in thermostats.
STEPS IN THE CONTROLLING PROCESS
1) Establish objectives and standards – the control process starts with planning
when the performance objectives and standards for measuring them are set. The
focus of planning should be to describe critical results that will make a substantial
difference in the success of an organisation. Example: Mr Daniel wants to get five
new clients for his consultation business and he gives himself three months to do
this. There are two types of standards common to the controlling process. a) Output standards – they measure performance results in terms of quantity,
quality, cost or time. Eg. Percentage error rate, dollar deviations from
b) Input standards – they measure work efforts that go into a performance task.
Eg. Efficiency in use of resources, work attendance.
2) Measure actual performance – the goal is to accurately measure performance
results and they need to be accurate enough to spot significant differences
between what is taking place and what needs to be taking place. This can be done
quantitatively by analysing statistical data collected by employees or qualitatively
by observing employees at work. At the end of three months, Mr Daniel would
need to check his customer database to see how many new clients he has
attracted and whether he has lost current clients.
3) Compare results with objectives and standards – it can be expressed by
Need for action = Desired performance – Actual performance.
A historical comparison uses past performance as a benchmark for evaluating
current performance. A relative comparison uses performance achievements of
other people, units or organisation as the standard and an engineering comparison
uses engineered standards that are set scientifically through such methods as time
and motion studies. Benchmarking is a popular technique that makes use of external
comparisons to better evaluate the organisation’s current performance and identify
possible courses of action. Mr Daniel will need to compare the number of new clients
he has attracted and the number of clients he set out to attract in the first place.
4) Take corrective action – the control equation indicates that the greater the
difference between actual and desired performance, the greater the need for
MANAGEMENT BY EXCEPTION – the practice of giving priority attention to situations
which show the greatest need for action. This approach saves time, energy and other
resources, while allowing all efforts to be concentrated on areas of greatest need.
Under this approach, there are two types of exception that can occur.
a) Problem situation – in which actual performance is below standard. Corrective
action is required to restore performance to desired level.
b) Opportunity situation – in which actual performance is above standard. Action
should be taken to continue this higher level of accomplishment in the future. AFTER-ACTION REVIEW – it formally examines results to identify lessons learned in a
completed project or special operation. It is an integral part of the organisation’s
continuous improvement process because it makes review a part of the
organisational culture and it encourages people involved to take responsibility for
their performance and accomplishments. Staff could be asked questions about the
objectives, the actual outcomes, the lessons learned and suggestions on how future
projects might be best managed.
TYPES OF CONTROL
FEEDFORWARD CONTROLS – they are also called preliminary controls and are
accomplished before a work activity begins, at the inputs stage. They ensure that
objectives are clear, proper directions are given and resources are available to
accomplish the given task. They are preventive in nature and designed to eliminate
potential problems later in the process. Eg. McDonalds requires its suppliers to
produce the buns to exact specifications covering everything from texture to
colour.it works hard to find local suppliers that can offer dependable quality.
CONCURRENT CONTROLS – they are also called steering controls and focus on what
happens during the work process. They monitor ongoing operations and activities to
make sure things are being done according to the plan. They allow corrective actions
to be taken before task is complete to reduce waste in the form of unacceptable
products. Shift leaders at McDonalds intervene immediately when something is not
done the right way to correct things on the spot. Detailed instruction manuals also
steer workers in the right directions.
FEEDBACK CONTROLS – they are also called postaction controls and take place after
work is completed. They focus on quality end of results rather than inputs and
activities. It provides useful information for improving things in the future.
McDonald’s employees never know when the corporate evaluator may stop in to
sample food and service. However when this does happen, the evaluator provides
feedback for improvement.
INTERNAL CONTROLS – it allows motivated employees to exercise self-discipline in
fulfilling job expectations. It takes places when people are motivated to do their job
and are given the chance to do so. It happens when employees have a clear sense of
organisational mission, they know their performance objectives, and they have the
resources necessary and are trusted to do their jobs well.
EXTERNAL CONTROLS – this occurs through direct supervision or administrative
systems such as rules and procedures. a) Bureaucratic control – it influences behaviour through authority, policies,
procedures, job descriptions, budgets and day-to-day supervision. Organisations
generally have policies for sexual harassment to make sure employees are
treated with respect.
b) Clan control – it influences behaviour through norms and expectations set by the
organisational culture. It is observed in the way school children talk, dress and
behave in schools among their peer groups
c) Market control – it is the influence of market competition on the behaviour of
organisations and their members. When an organisation receives positive
publicity for the use of renewable energy sources, the competitors are likely to
ORGANISATIONAL CONTROL SYSTEMS
REMUNERATION AND BENEFITS – it’s as simple as if the remuneration is attractive
and competitive, employers get the right people for the job, costs are reduced and
productivity is boosted over the long term. If the remuneration is unattractive and
uncompetitive, it is hard to retain highly competent workers and the less capable the
workforce, the greater the reliance on external controls to achieve desired levels of
performance. When properly implemented, pay-for-performance and other related
plans serve as control systems. It is used in more individualistic countries like
Australia, UK and USA. Fringe benefits also affect the organisation’s ability to recruit
and retain a qualified workforce. Since fringe benefits are expensive, organisations
are encouraging choice of benefits catering to diverse needs.
EMPLOYEE DISCIPLINE SYSTEMS – absenteeism, tardiness, and sloppy work can lead
to extremes like falsifying records, sexual harassment, and embezzlement. Discipline
is the act of influencing behaviour through reprimands. Progressive discipline ties
reprimands to the severity and frequency of the employee’s infractions. The
progressive discipline guidelines of an university can state “the level of disciplinary
action shall increase with the level of severity of behaviour engaged in and based on
whether conduct is of a repetitive nature’. The goal is to achieve compliance with
least extreme reprimand as possible but this can lead to adverse manager-worker
relationships, poor attitudes from people who can’t seem to change and increase in
severity of problem if managers wait too long before action.
INFORMATION AND FINANCIAL CONTROLS – at minimum, managers should be able
to understand and assess financial information for control purposes. Liquidity is the
ability to generate cash to pay bills, leverage is the ability to earn more cash than
cost of debt, asset management is the ability to use resources efficiently and operate at minimum cost and profitability is the ability to earn revenues greater than costs.
Large companies like Luxottica need to be able to control cash flows to be able to
open businesses in 38 markets. Budgets are also widely used in planning and control.
They are single-use pans that commit resources to activities, projects or programs.
OPERATIONS MANAGEMENT AND CONTROL
PURCHASING CONTROL – the cost of materials in production are increasing
drastically. To leverage buying power, more organisations are centralising purchasing
to allow buying in volume. They are committing to a small number of suppliers with
whom they can negotiate special contracts, gain quality assurances and get preferred
service. Nowadays, parts suppliers keep their warehouses in customer facilities. The
customer provides the spave and the supplier does the rest. This helps in lowering
purchasing costs and ensures more sales volume.
INVENTORY CONTROL – the goal is to make sure that inventory is is just the right size
to meet performance needs, thus minimising costs. Economic order quantity (EOQ)
involves ordering a fixed number of items every time the inventory falls below a
certain point. Just-in-time (JIT) systems try to reduce costs and improve work-flow by
scheduling materials to arrive at a workstation or facility just in time to be used. This
minimises carrying costs as almost no inventory is maintained.
QUALITY CONTROL – this responsibility applies to all aspects of operations, from the
selection of raw materials and supplies to the last task performed to deliver the
finished good or service. This means to take samples of work and measure their
quality. Unacceptable results will require investigation and corrective action will be
taken to bring operations back to standard. General Electric’s quality performance
tolerates no more than 3.4 defects per million.
PROJECT MANAGEMENT AND CONTROL – project management is the responsibility
for overall planning, supervision and control of projects.
GANTT CHARTS – developed by Henry Gantt, an industrial engineer, it provides a
visual overview of what needs to be done on a project. This facilitates control by
allowing progress checks to be made at different time intervals. One of the biggest
problems of projects, delay in early activities creating problems for later ones, is
avoided using Gantt charts by sometimes planning contingencies. Products use
complex charts due to their complexity. Refer page 200 if you want to draw.
CPM/PERT TECHNIQUES - project planning based on CPM/PERT uses a network
chart. The charts are developed by breaking a project into small sub-activities that each have clear beginning and end points. These points become nodes in the charts
and arrows between the nodes will indicate the order in which things will be
completed. The full diagram shows all the interrelationships that must be
coordinated during the entire project. The pathway with the longest completion time
from start to finish is called the critical path and represents the shortest possible
time in which the entire project can be completed. This technique helps managers to
track and control activities, making sure the right sequences happen on time,
assuming everything goes according to plan. Refer page 200 if you want to draw.
BALANCE SCORECARD – it tallies organisational performance in financial, customer
service, internal process and innovation and learning areas. If an organisation has a
clear vision and mission, the following question can help develop the scorecard.
a) Financial performance – How we should appear to the shareholders to improve
financially? Sample goals include survive, succeed and prosper and can be
measured by cash flow, sales growth and operating income.
b) Customer satisfaction – How should we appear to the customers, to achieve our
vision? Sample goals include new products and responsive supply and can be
measured by percentage sale from new products, percentage on-time deliveries.
c) Internal process improvement – what internal processes must we improve to
satisfy the customers and shareholders? Sample goals include design productivity
and manufacturing excellence and it can be measured by cycle times and
d) Innovation and learning – how can we sustain our ability to change and improve
to satisfy our vision? Sample goals include technology leadership and time to
market and can be measured by time to develop new technologies and time to
introduce new product versus competitors.
MBO - MANAGEMENT BY OBJECTIVES – it is a process of joint objective setting
between a manager and a staff member. Many of Australasia’s large and medium-
sized organisations use some form of MBO systems.
ADVANTAGES OF MBO – it can focus workers on most important tasks and
objectives, focus managers on areas of support by truly helping employees attain the
agreed – upon objectives, helps in relationship building, encourages self-
management by providing opportunity for participation in decision making. They are
beginning to reflect a more team or group perspective especially towards
accountability and decision making. DISADVANTAGES OF MBO – common mistakes to avoid include giving too much
attention to easy objectives, requiring excessive paperwork, and having managers
simply tell the employees the objectives. It also focuses on a most individualistic
approach which is not acceptable in most Asian countries and even in indigenous
organisations in Australia.
ORGANISING – it is the process of assigning tasks, allocating resources and arranging
activities to implement plans.
ORGANISATION STRUCTURE – it is a system of tasks, workflows, reporting
relationships and communication links. Any structure should provide task
assignments through division of labour and coordination for performance results.
Structure must be dealt with in a contingency fashion. As environments and
situations change, the structure should be able to change too. Chaotic systems, such
as revolutions and resistance, create new configurations of decision making and
a) FORMAL STRUCTURE - it represents the way an organisation is intended to
function. An organisation chart describes the arrangement of work positions
within an organisation.
b) INFORMAL STRUCTURE – it is a set of unofficial relationships among an
organisation’s members. The lines of informal structure would cut across levels
and move from side of side
1) Employees gain access to interpersonal networks of emotional support and
friendship that satisfy important social needs.
2) They benefit task performance by being in personal contact with others who can
help them get things done when necessary.
1) They can lead to increase in rumours being spread.
2) Inaccurate messages might be carried around the organisation
3) The employees might breed resistance to change and can also divert work efforts
from important objectives.
4) People who are out of informal groups might feel less part of group activities and
might lead to decrease in satisfaction. 5) Staff might consciously or unconsciously exclude new workers from the informal
DIFFERENT ORGANISATIONAL STRUCTURES
The different structures are divided on the basis of a concept called
departmentalisation which is the process of grouping together people and jobs into
1) FUNCTIONAL STRUCTURES – they group together people with similar skills to
perform similar tasks. Example: a senior management team might have functions
of marketing, finance, production and human resources. Under the functional
structure, manufacturing problems will be dealt by the production director and
employee problems will be dealt with by human resources director and so on.
a) Economies of scale due to the efficient use of resources.
b) Task assignments consistent with expertise and training
c) High-quality technical problem solving
d) In-depth training and skill development within functions
e) Clear career paths within functions
a) Difficult in pinpointing responsibilities for problems like timeliness, innovation,
cost containment etc.
b) The functional chimney problem which refers to lack of communication,
coordination and problem solving across functions. A sense of cooperation and
common purpose vanishes.
c) When problems take place in another unit, they are referred up to higher levels
of management without being solved in the same level.
Example: the former chairman of Jaguar blamed many of the quality problems on
excessive compartmentalisation as the different departments were not
2) DIVISIONAL STRUCTURES – it groups together people working on the same
product, in the same area with similar customers or involved with the same
processes. They are common in complex organisations selling multiple
differentiated products, pursue diversified strategies and/or operate in various
and different competitive environments.
a) More flexibility in dealing with environmental changes b) Improved coordination across functional departments
c) Clear points of responsibility for product or service delivery
d) Expertise focused on specific customers, products and regions
e) Greater ease in changing size by adding or deleting divisions.
a) It reduces economies of scale and increases costs due to duplication of
resources and efforts across divisions
b) They create unhealthy rivalries as divisions compete for resources and
c) The emphasis on division needs and goals take attention away from the
organisation’s goals as a whole.
PRODUCT STRUCTURES – they group together jobs and people working on a single
product or service. They clearly identify costs, profits, problems and successes in a
market area with a central point of accountability. Example: In recent years
companies like Apple and Intel have moved away from these structures.
GEOGRAPHICAL STRUCTURES – they group together people and jobs performed in
the same location. They are typically used when entire products and services need to
be differentiated across different regions. Example: French-based global resort and
tourism operator, Club Med, puts its operations into five major areas ranging in the
different continents of the world. The development of internet based
communications has further promoted this type of structure.
CUSTOMER STRUCTURES – they group people and jobs that serve the same
customers or clients. The appeal is to serve different customers with special needs.
Example: BHP Billiton is designed around customer sector groups that focus on
customers rather than operations.
PROCESS STRUCTURES – they group jobs and activities that are part of the same
processes. Example: when a customer orders a product from a catalogue, the
process of order fulfilment takes the order from point of initiation by the customer
to the point of fulfilment by a delivered order.
3) MATRIX STRUCTURES – it combines functional and divisional approaches to
emphasise project or program teams. It is achieved by using permanent cross-
functional teams to integrate functional expertise, in support of a clear divisional
focus on a product, project or program. It is used in diverse settings like the
manufacturing and service industries, professional fields and even not-for-profit industries.
a) Better interfunctional cooperation in operations and problem solving.
b) Increased flexibility in making alterations to operations to meet changing
c) Better customer service as there is always a program, product or project
manager capable to answer questions.
d) Better performance accountability for all managers.
e) Improved decision making as problem solving takes place at team level where
all the information is available
f) Improved strategic management as top managers are freed from unnecessary
a) There is a chance for power struggles as functional supervisors and team
leaders will coincide will exercising authority
b) It can create task confusion and conflicts in work priorities.
c) It can also become time consuming due of increased participation
d) Strong team loyalty can lead to lost focus on larger organisational goals.
ORGANISATIONAL DESIGN – it is the process of creating structures that best serve a
company’s mission and objectives. The main purpose is to create alignment between
supporting structures and situational challenges. It is a problem solving activity and
must be approached in a contingency fashion.
1) BUREACRATIC DESIGN – a bureaucracy is defined as a form of organisation based
on logic, order and the legitimate use of formal authority. It focuses more on a
mechanistic approach used when the environment is stable.
FEATURES – clear division of labour, strict hierarchy of authority, formal rules and
procedures and promotion based on competency.
EXAMPLE - A local KFC restaurant is a relatively small operation, and it operates like
the other franchise chains according to the rules formed by corporate management.
Service personnel work in systematic and disciplined ways but problems quickly arise
when the customers’ orders something that is not on the menu or get bored of the
2) ADAPTIVE DESIGNS – they are designs using the least amount of bureaucratic
features and encourage worker empowerment and teamwork. They are built on trusting that people will do the right things with their own initiatives. They free
capable people from unne