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Organization Environment Interface

A presentation on how the organization is affected by its environment and how the organization works in the changing environment.

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mohul2010
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© Attribution Non-Commercial (BY-NC)
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3K views16 pages

Organization Environment Interface

A presentation on how the organization is affected by its environment and how the organization works in the changing environment.

Uploaded by

mohul2010
Copyright
© Attribution Non-Commercial (BY-NC)
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd
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ORGANIZATION-ENVIRONMENT

INTERFACE

A presentation highlighting the effect of the business


environment in an organization beyond its economic
factors.
Organizational Environment
Operating Environment or
Task Environment
(EXTERNAL
ENVIRONMENT).

All organizations
depend upon the
task environment.

These are the elements beyond


the general environment which
have a specific and direct
bearing on the organization.
Task
TaskEnvironment
Environment
Direct
actio
n

Eleme
nts of
Task
enviro
nment

Indire
ct
actio
n
Elements of an Organizational Environment
overnment Financial Institutions

ecial groups Competitors

External stakeholders

Media
Customers
Empl
oyee
s

Internal
Stakeholders

Sharehol
ders &
Board of
Directors
ENVIRONMENTAL IMPACT ON
ORGANIZATIONS
Burns and Stalker

Lawrence and Lorsch


RIE
EO
S

Duncan model
TH
Mechanistic Organization:
 works in a relatively simple environment
 Tasks are segmented
 Vertical Communication
 Position based authority
 Hierarchical & impersonal controls
 Autocratic , programmed , computational decision making
 High Formalization
 High centralization

Burns and Stalker


• Organic Organization:
 Relatively dynamic , complex & uncertain nature of environment
 Tasks loosely defined
 Lateral communication
 Expertise based authority
 Reciprocal control mechanism
 Participative ,non programmed , judgmental decision making
 Low formalization
 Low centralization

Burns and Stalker


Lawrence and Lorsch :Differentiation-
Integration Theory
 Differentiation-The degree of horizontal
complexity, as well as the diversity of
attitudes, perceptions and interpersonal
orientations among the members.

 Integration-The degree to and manner in


which different organizational units and
departments collaborate to achieve an unity of
sorts.
DUNCAN: A MODEL FOR “RIGHT”
ORGANIZATIONAL STRUCTURE.

 The framework was based on a conceptualization of environmental


uncertainty of two dimensions-

 Environmental Change

 Environmental Complexity
STATEGIES FOR MANAGING ENVIRONMENT
The strategies used by the organization to reduce uncertainty are:
• Domain Choice

• Recruitment

• Vertical Integration

• Buffering
Strategies (continued)…
• Smoothening

• Advertising

• Contracting

• Mergers/Acquisitions/Strategic Alliances

• Lobbying
Conclusion
An illustrated case study of

McDonalds
PRESENTED BY
ANIRBAN PAUL
IPSHITA GHOSH
JAYATI BANERJEE
MOHUL MUKHERJEE

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