Large vs Small & organizational life style from Essentials of Organization theory and design.docx

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Large vs Small AND organizational life style from Essentials of Organization theory and designLarge versus smallorganizations feel compelled to grow but how much and how large What size organization is better poised to compete in a global environmentLarge huge resources and economies of scale are needed for many organizations to compete globally Only large organizations can build a massive pipeline in Alaska Only a large corporation like Boeing can afford to build a 747 and only a larger American Airlines can buy itLarge companies also are standardized often mechanistically rune and complex The complexity offers hundreds of functional specialties within the organization to perform complex tasks and to produce complex products Moreover large organizations once established can be a presence that stabilizes the market for years The organization can provide longevity raises and promotionsSmall the competing argument says small is beautiful because the crucial requirement for success ina global economy are responsiveness and flexibility in fastchanging markets While the US economy contains many large organizations research shows that global trade has accelerated smaller organization have become the norm Since the mid1960s most of the thenexisting large businesses have
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