[SOLVED] Help - Management - Rush Hour Essays

For the organizational structure, how is the company currently structuring its operations? What type of structural model best describes what they do: functional, divisional, matrix, virtual, etc.? Is the current structure working for them? Show an organizational chart.

Company-Uber

Sample paper

Organizational Structure, Design and Effectiveness
According to Daft, organizational structure has three basic components which are identifying and allocating groups of individuals into departments, designating formal relationships and includes designing a system for an effective communication, coordination, and integration among all the business activities of an organization.[footnoteRef:1] Thus, not only having a strategic plan with set of objectives but also having an effective organizational structure for implementing necessary plans is equally essential for any organization. Daft has explained various types such as functional, divisional, and geographical structures which are used by many elite companies across the world. Merck operating in more than 250 world locations, has organized its commercial activities using matrix structure for effective domestic and international operations as it needs both vertical and horizontal coordination for overall organizational efficacy. [1: Daft, R.L., & Armstrong, A. (2015). Organization theory and design (3rd ed.). Toronto, ON: Nelson Education.]

Before the acquisition of Schering-Plough in 2009, Merck used to commercially operate in two divisions: Pharmaceutical products, and Vaccines and Infectious diseases.[footnoteRef:2] With the successful acquisition post 2010, Merck began operating in three major divisions until fiscal 2014: Pharmaceutical, Animal Health and Alliances segments of which only pharmaceutical segment is reportable. Merck’s pharmaceutical segment also until October 1, 2014 was inclusive of consumer business unit that developed, manufactured, and marketed over-the-counter, foot care and sun care products.[footnoteRef:3] Having such vast variety of drugs in its basket along with international operations, Merck had always been keen on restructuring in line with their portfolio matching market requirements. After divesting their consumer business on October 1, 2014, Merck’s operations are principally managed on a products basis and are comprised of four operating segments: the Pharmaceutical, Animal Health, Alliances, and Healthcare Services segments since fiscal 2015.[footnoteRef:4] As previously mentioned, Merck is prospective about spinning off their women’s healthcare products, biologics and trusted legacy brands by first half of 2021 into a new company called as Organon & Co[footnoteRef:5] also shows their commitment towards being a purely focused science based organization. Their latest restructuring happened in fiscal 2015 showing that since then their operations are effective and supporting their organizational strategy according to their 2016 annual filings.[footnoteRef:6] It unleashes their focus on extensive research and turning into a pure science-based firm reinstating its global position. All the manufacturing of various business segments is headed by a single top manager, along with the teams spread across all the continents exhibiting the coordination and balance between functional and product matrix. [2: Merck & Co. (n.d.). Merck 2019 Annual Review. Retrieved from: https://s21.q4cdn.com/488056881/files/doc_financials/2019/q4/2019-Form-10-K-Final.pdf] [3: Merck & Co. (n.d.). Merck 2014 Annual Review. Retrieved from: http://s21.q4cdn.com/488056881/files/doc_financials/2014/q4/MERCK_2014_Form_10_K_FINAL_022715.pdf] [4: Merck & Co. (n.d.). Merck 2015 Annual Review. Retrieved from: https://s21.q4cdn.com/488056881/files/doc_financials/2015/annual/MRK_2015_Form_10-K_FINAL_r879.pdf ] [5: Merck & Co. (n.d.). Merck 2019 Annual Review. Retrieved from: https://s21.q4cdn.com/488056881/files/doc_financials/2019/q4/2019-Form-10-K-Final.pdf] [6: Merck & Co. (n.d.) Merck 2016 Annual Review. Retrieved from: https://www.annualreports.com/HostedData/AnnualReportArchive/m/NYSE_MRK_2016.pdf]

Merck over years has been successful in having effective corporate governance in place by implying transparency and value creation as their main values for organizational growth. Hierarchically, it has two basic layers: board of directors and senior executive team after which information flow and sharing is horizontal, vertical, and cross-functional enabling an integrated and connected ecosystem among all the employees. Kenneth C. Frazier, who has been serving as the chairman of the board and as the CEO since December 2011, substantially increased Merck’s spending on R&D over years.[footnoteRef:7] Board members form an integral part of strategic decision-making overseeing all the commercial activities while creating value for their shareholders. There are four committees reporting to the board ensuring proper functioning of the internal processes and reporting designed by the executive team: audit, governance, compensation and benefits, and research committees.[footnoteRef:8] Each of these four committees are led by a leader who ensures their team’s alignment with the by-laws designed and conduct polices. Audit committee checks Merck’s operations through the SEC regulations ensuring the correctness and reliability of their reporting which otherwise is a liable offence. Governance committee discharges duty of evaluating executives and employees’ ability of aligning with laid out company policies while discharging one’s own duty towards company growth. Compensation and benefits committee is solely responsible for allocating performance with incentives and providing extra benefits to the executives depending on the past year’s achievement and forward-looking initiatives. Lastly, research committee ensures transparency avoiding complacency and expedited discovery without safety only for making money. [7: Merck & Co. (n.d.). Company Leadership. Retrieved from: https://www.merck.com/company-overview/leadership/executive-team/] [8: Merck & Co. (n.d.). Company Leadership. Retrieved from: https://www.merck.com/company-overview/leadership/board-of-directors/]

Figure 1: Matrix structure of Merck & Co[footnoteRef:9] [9: Merck & Co. (n.d.). Company Overview. Retrieved from: https://www.merck.com/company-overview/]

Hierarchy, code of conduct, corporate governance, and internal control are the major attributes of an organizational structure directing decision-making and internal processes by evaluating the effectiveness of the organization. While board of directors’ main purpose lies in creating a value for shareholders through business activities, Merck is known for having a wide range and experienced executive team of 11 members who are known to be one of the most effective industry leaders in the pharma sector. Merck’s restructuring policies have been always in line with their strategic initiatives resulting in positive outcomes boosting their global presence. Since fiscal 2016, having such widespread portfolio of products, their matrix structure contributed in their effective functioning over years.[footnoteRef:10] Merck seems to have consistently restructured its operating divisions timely, which made them to spread out under correct leadership and support from both executive team and the board. Therefore, with its robust product portfolio and integrated matrix structure, Merck is efficient in executing its strategic plan boosting its overall performance and increasing market share operating in a complex and extremely regulated industry. [10: Merck & Co. (n.d.) Merck 2016 Annual Review. Retrieved from: https://www.annualreports.com/HostedData/AnnualReportArchive/m/NYSE_MRK_2016.pdf]

CEO &Board ChairmanPresident, Merck Manufacturing Division& EVPPresident, Merck Research Laboratories& EVPPresident, Merck Animal Health Division& EVPChief CommercialOfficer& EVPChief FinancialOfficer & EVPChief PatientOfficer & EVPChief HROfficer & EVPChief MarketingOfficer & EVPChief Info& DigitalOfficer&EVPEVP & General Counsel

Access CourseMate and additional course materials at www.nelsonbrain.com

Register your CourseMate access code (if included with your new textbook)
in the Register area of the NELSONbrain homepage.

Buy a CourseMate access code or search for additional course materials and
study tools by entering your textbook’s ISBN (from the cover) in the search
box at the top of the NELSONbrain homepage. This will take you to the
product page, where you’ll find book-specific online resources.

Go Online and Make the
Grade with CourseMate

CourseMate brings course
concepts to life with interactive
learning, study, and exam
preparation tools that support
the textbook.
CourseMate includes:

• Dynamic Teaching and Learning Tools
Quizzes, flashcards, and other multimedia help you
prepare for class and review for tests.

• An Interactive eBook
Take notes, highlight, search, and interact with
embedded media specific to your textbook.

32208_frontend_ptg01_hires.indd 1 12/08/14 12:48 pm

Copyright 2015 Nelson Education Ltd. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. Due to electronic rights, some third party content may be suppressed from the eBook and/or eChapter(s).
Nelson Education reserves the right to remove additional content at any time if subsequent rights restrictions require it.

Richard L. Daft
V A N D E R B I L T U N I V E R S I T Y

Ann Armstrong
R O T M A N S C H O O L O F M A N A G E M E N T ,

U N I V E R S I T Y O F T O R O N T O

Organization Theory and Design
T H I R D C A N A D I A N E D I T I O N

This is an electronic version of the print textbook. Due to electronic rights restrictions, some third party content may be suppressed. The
publisher reserves the right to remove content from this title at any time if subsequent rights restrictions require it. For valuable information
on pricing, previous editions, changes to current editions, and alternate formats, please visit www.nelson.com to search by ISBN#, author,

title, or keyword for materials in your areas of interest.

Vice President,
Editorial Higher Education:
Anne Williams

Executive Editor:
Jackie Wood

Marketing Manager:
Dave Stratton

Developmental Editor:
Rachel Eagen

Photo Researcher:
Christine Elliott

Permissions Coordinator:
Christine Elliott

Content Production
Manager:
Christine Gilbert

Production Service:
MPS Limited

Copy Editor:
Karen Rolfe

Proofreader:
MPS Limited

Indexer:
Shan Young

Design Director:
Ken Phipps

Managing Designer:
Franca Amore

Interior Design:
Sharon Lucas

Cover Design:
Sharon Lucas

Cover Image:
Melissa McKinnon

Compositor:
MPS Limited

Organization Theory and Design, Third Canadian Edition

by Richard L. Daft and Ann Armstrong

Adapted from Organization
Theory and Design, Eleventh
Edition, by Richard L. Daft,
published by South-Western,
Cengage Learning.
Copyright © 2013 by South-
Western, Cengage Learning.

Printed and bound in the United
States of America
1 2 3 4 17 16 15 14

For more information contact
Nelson Education Ltd.,
1120 Birchmount Road, Toronto,
Ontario, M1K 5G4. Or you can visit
our Internet site at
http://www.nelson.com

Statistics Canada information is used
with the permission of Statistics
Canada. Users are forbidden to copy
this material and/or redisseminate
the data, in an original or modified
form, for commercial purposes,
without the expressed permissions
of Statistics Canada. Information on
the availability of the wide range of
data from Statistics Canada can be
obtained from Statistics Canada’s
Regional Offices, its World Wide
Web site at , and its toll-free access
number 1-800-263-1136.

All RIgHTS RESERVED. No part of
this work covered by the copyright
herein may be reproduced,
transcribed, or used in any form or
by any means—graphic, electronic,
or mechanical, including
photocopying, recording, taping,
Web distribution, or information
storage and retrieval systems—
without the written permission of
the publisher.

For permission to use material
from this text or product, submit
all requests online at
www.cengage.com/permissions.
Further questions about
permissions can be emailed to
[email protected]

Every effort has been made to
trace ownership of all copyrighted
material and to secure permission
from copyright holders. In the
event of any question arising as
to the use of any material, we will
be pleased to make the necessary
corrections in future printings.

library and Archives Canada
Cataloguing in Publication

Daft, Richard L., author

Organization theory and design/
Richard L. Daft, Vanderbilt
University, Ann Armstrong,
Rotman School of Management,
University of Toronto.—Third
Canadian edition.

Includes bibliographical references
and indexes.
ISBN 978-0-17-653220-8 (bound)

1. Organization. 2. Organizational
sociology—Case studies.
3. Organizational sociology—
Textbooks. I. Armstrong, Ann,
1951–, author II. Title.

HD58.8.D33 2014 658.4
C2014-902150-X

ISBN-13: 978-0-17-653220-8
ISBN-10: 0-17-653220-X

10%

WCN: 02-200-201

In loving memory of my mother (1918–2000),
over whom death has no dominion.

vNEL

Richard L. Daft, Ph.D., is the Brownlee O. Currey, Jr., Professor of Management in the
Owen Graduate School of Management at Vanderbilt University. Professor Daft spe-
cializes in the study of organizational theory and leadership. Professor Daft is a Fellow
of the Academy of Management and has served on the editorial boards of Academy of
Management Journal, Administrative Science Quarterly, and Journal of Management
Education. He was the Associate Editor-in-Chief of Organization Science and served
for three years as Associate Editor of Administrative Science Quarterly.

Professor Daft has authored or co-authored 12 books, including Manage-
ment (Cengage/South-Western, 2010), The Leadership Experience (Cengage/South-
Western, 2008), and What to Study: Generating and Developing Research Questions
(Sage, 1982). He also published Fusion Leadership: Unlocking the Subtle Forces That
Change People and Organizations (Berrett-Koehler, 2000, with Robert Lengel). He
has authored dozens of scholarly articles, papers, and chapters. His work has been
published in Administrative Science Quarterly, Academy of Management Journal,
Academy of Management Review, Organizational Dynamics, Strategic Management
Journal, Journal of Management, Accounting Organizations and Society, Manage-
ment Science, MIS Quarterly, California Management Review, and Organizational
Behavior Teaching Review. Professor Daft has been awarded several government
research grants to pursue studies of organization design, organizational innovation
and change, strategy implementation, and organizational information processing.

Professor Daft is also an active teacher and consultant. He has taught man-
agement, leadership, organizational change, organizational theory, and organiza-
tional behaviour. He has been involved in management development and consulting
for many companies and government organizations, including Allstate Insurance,
American Banking Association, Bell Canada, Bridgestone, National Transportation
Research Board, NL Baroid, Nortel, TVA, Pratt & Whitney, State Farm Insurance,
Tenneco, Tennessee Emergency Pediatric Services, the United States Air Force, the
United States Army, J. C. Bradford & Co., Central Parking System, USAA, United
Methodist Church, Entergy Sales and Service, Bristol-Myers Squibb, First American
National Bank, and the Vanderbilt University Medical Center.

Ann Armstrong, Ph.D., has been an instructor at the Rotman School of Management
for the past 17 years. She was the Director of the Social Enterprise Initiative, where
she was responsible for increasing the School’s involvement in the nonprofit/social
enterprise sectors through curriculum design, research, and community engagement.
Now Ann teaches environmental and social innovation in the Rotman Commerce
program as well as organizational behaviour in the B.A.Sc. Engineering program.
Ann also teaches change management in the Executive Development Program as
well as in the MBiotech and Innovation Programs at the University of Toronto at

About the Authors

NEL

vi About the Authors

Mississauga. Ann is currently working on a SSHRC–supported research project that
looks at the social economy of Ontario and, in particular, social businesses.

She has written articles on a broad range of subjects, from diversity in the
nonprofit sector to case studies on green social enterprises. Ann has co-authored a
textbook on Canada’s social economy with Drs. Jack Quarter and Laurie Mook.
With Joan Condie, Ann adapted Nelson and Quick’s ORGB for the Canadian
market; the textbook is now in its second Canadian edition.

Ann earned her Ph.D. in organizational behaviour from the University of
Toronto. She has received several teaching awards, including the Gilmour Award
and the Annual Rotman Teaching Award in both the MBA and BCom programs.
In addition, she sits on several not-for-profit boards and consults on organization
design and change for clients in the nonprofit and social enterprise sectors.

NEL viiNEL

Brief Contents

Preface xvii

Part 1: Introduction to Organizations 1
1. Organizations and Organization Theory 2

Part 2: Organizational Purpose and Structural Design 49
2. Strategy, Organizational Design, and Effectiveness 50

3. Fundamentals of Organizational Structure 90

Part 3: Open-System Design Elements 137
4. The External Environment 138

5. Interorganizational Relationships 178

6. Designing Organizations for the International Environment 212

Part 4: Internal Design Elements 249
7. Manufacturing and Service Technologies 250

8. Organization Size, Life Cycle, and Decline 290

Part 5: Managing Dynamic Processes 327
9. Organizational Culture and Ethical Values 328

10. Innovation and Change 368

11. Decision-Making Processes 408

12. Conflict, Power, and Politics 452

Integrative Cases 490
1.0 IKEA: Scandinavian Style 491

2.0 The Hospital for Sick Children (SickKids®) 495

3.0 Costco: Join the Club 502

4.0 “Ramrod” Stockwell 505

5.0 Make Green Delicious: Sustainability at Jamie Kennedy Kitchens 508

6.0 The Donor Services Department 523

7.0 The War of the Woods: A Forestry Giant Seeks Peace 527

8.0 Chiquita in Colombia 538

9.0 Genocide in Rwanda: Leadership, Ethics and Organizational “Failure” in a Post-Colonial Context 542

10.0 The International Career Opportunity: From Dream to Nightmare in Eight Weeks 553

References 561

Glossary 609

Name Index 619

Organization Index 629

Subject Index 633

ixNEL

Contents

NEL

Preface xvii

Part 1: Introduction to Organizations 1

Chapter 1: Organizations and
Organization Theory 2

A Look Inside: Air Canada 3

Organization Theory in Action 5

You & Design: Evolution of Style 5

Topics, 6

The Evolution of Organization Theory and Design 7

Historical Perspectives, 7
● Current Challenges, 9

Leading by Design: The Rolling Stones 11

Purpose of This Chapter, 13

What is an Organization? 13

Definition, 14 ● Types of Organizations, 14
● Importance of Organizations, 16

Book Mark 1.0: The Company: A Short History of a
Revolutionary Idea 17

Perspectives on Organizations 18

Open Systems, 19 ● Organizational
Configuration, 20

Dimensions of Organizational Design 22

Contextual Dimensions, 24

In Practice: EllisDon, MOCCA, Tim Hortons 25

Performance and Effectiveness Outcomes, 26

In Practice: Mackenzie Valley Natural Gas Pipeline
Project (The Pipeline Project). 28

Contemporary Organizational Design, 29
● Efficient Performance versus the Learning
Organization, 31

In Practice: Evergreen and the Brick Works 33

Framework for the Book 34

Levels of Analysis, 34 ● Plan of the Book, 36
● Plan of Each Chapter, 36

Summary and Interpretation 37

Chapter 1 Workbook: Measuring Dimensions of
Organizations 39

Case for Analysis: Teleflex Canada: A Culture
of Innovation 40

Part 2: Organizational Purpose and Structural Design 49

Chapter 2: Strategy, Organizational
Design, and Effectiveness 50

A Look Inside: Tim Hortons 51

Purpose of This Chapter, 52

You & Design: Your Strategy/Performance Strength 53

The Role of Strategic Direction in
Organizational Design 54

Organizational Purpose 56

NEL

x Contents

Mission, 56 ● Operative Goals, 57

Leading by Design: Four Seasons 59

The Importance of Goals, 60

A Framework for Selecting Strategy and Design 61

Porter’s Competitive Strategies, 62

In Practice: WestJet Airlines Limited (WestJet) 63

Miles and Snow’s Strategy Typology, 64

In Practice: Volvo Car Corporation (Volvo) 65

Book Mark 2.0: Good Strategy Bad Strategy: The
Difference and Why It Matters 66

How Strategies Affect Organizational
Design, 67 ● Other Factors Affecting
Organizational Design, 68

Assessing Organizational Effectiveness 70

Contingency Effectiveness Approaches 70

Resource-based Approach, 71
● Internal-Process Approach, 72
● Goal Approach, 73

In Practice: Loblaw 74

An Integrated Effectiveness Model, 75
● The Balanced Scorecard, 78

New Directions 80

Summary and Interpretation 81

Chapter 2 Workbook: Identifying Company
Goals and Strategies 82
Case for Analysis: Jones Soda* 83
Case for Analysis: “I want there to be!”:
Apple Inc.’s Foxconn Test 86

Chapter 2 Workshop: Competing Values 89

Chapter 3: Fundamentals of
Organizational Structure 90

A Look Inside: Desjardins Group (Desjardins) 91

Purpose of This Chapter, 92

You & Design: The Pleasure/Pain of Working on a
Team 93

Organizational Structure 93

Information-Processing Perspective on Structure 94

Vertical Information Linkages, 95

Book Mark 3.0: The Future of Management 96
Horizontal Information Linkages, 97

In Practice: Imagination Limited (Imagination) 100

In Practice: Ford Motor Company (Ford) 101

Organizational Design Alternatives 102

Required Work Activities, 102 ● Reporting
Relationships, 102 ● Departmental
Grouping Options, 103

Functional, Divisional, and Geographical
Designs 104

Functional Structure, 104 ● Functional
Structure with Horizontal Linkages, 105

In Practice: Mountain Equipment Co-op (MEC) 105

Divisional Structure, 105

In Practice: Microsoft Corporation (Microsoft) 107

Geographical Structure, 109

Leading by Design: Médecins sans Frontières (MSF) 110

Matrix Structure 111

Conditions for the Matrix, 112 ● Strengths
and Weaknesses, 114

In Practice: Englander Steel 115

Horizontal Structure 117

Characteristics, 118

In Practice: Chemainus Sawmill (Chemainus) 119

Strengths and Weaknesses, 120

Virtual Network Structure 121

How the Structure Works, 121 ● Strengths
and Weaknesses, 122

Hybrid Structures 123

Applications of Structural Design 124

Structural Alignment, 125

In Practice: The Canadian Inquisition (The Inquisition) 126

Symptoms of Structural Deficiency, 127

New Directions 127

Summary and Interpretation 128

Chapter 3 Workbook: You and Organizational
Structure 130
Case for Analysis: Aquarius Advertising Agency 131
Case for Analysis: Eva’s Phoenix Print Shop 134

NEL

Contents xi

xiNEL

Part 3: Open-System Design Elements 137

Chapter 4: The External Environment 138

A Look Inside: Nokia 139

You & Design: Mind and Environment 140

Purpose of This Chapter, 141

The Environmental Domain 141

Task Environment, 142

In Practice: Kraft Foods (Kraft) 144

General Environment, 144
● International Context, 146

In Practice: Ogilvy & Mather 146

Environmental Uncertainty 147

Simple–Complex Dimension, 148
● Stable–Unstable Dimension, 148

Book Mark 4.0: Confronting Reality:
Doing What Matters to Get Things Right 149

Framework, 150

Adapting to Environmental Uncertainty 152

Positions and Departments, 152 ● Buffering
and Boundary Spanning, 152

In Practice: Joe Fresh Style 154

Differentiation and Integration, 154
● Organic Versus Mechanistic Management
Processes, 156 ● Planning, Forecasting, and
Responsiveness, 157

Leading by Design: Manitoba Telecom Services (MTS) 158

Framework for Organizational Responses
to Uncertainty 158

Resource Dependence 160

Controlling Environmental Resources 160

Establishing Interorganizational
Linkages, 161

In Practice: TSX Group and Montréal Exchange 161

Controlling the Environmental Domain, 163

In Practice: Walmart 164

Organization–Environment Integrative
Framework, 165

Summary and Interpretation 166

Chapter 4 Workbook: Organizations You Rely On 168

Case for Analysis: The Paradoxical Twins:
Acme and Omega Electronics 169
Case for Analysis: Vancity: Doing Good, Doing Well 171

Chapter 5: Interorganizational
Relationships 178

A Look Inside: Toyota Motor Corporation (Toyota) 179

Purpose of This Chapter, 180

You & Design: Personal Networking 181

Organizational Ecosystems 181

Is Competition Dead?, 182

In Practice: Google 183

The Changing Role of Management, 184
● Interorganizational Framework, 184

Resource Dependence 185

Resource Strategies, 186 ● Power
Strategies, 186

Collaborative Networks 187

Why Collaboration?, 187 ● From
Adversaries to Partners, 188

Book Mark 5.0: Managing Strategic Relationships:
The Key to Business Success 190
In Practice: Bombardier 190

Population Ecology 191

Organizational Form and Niche, 192
● Process of Ecological Change, 193

Leading by Design: Shazam—It’s Magic! 194

Strategies for Survival, 195

In Practice: Apotex 196

Institutionalism 196

In Practice: Walmart 198

The Institutional View and Organizational
Design, 199 ● Institutional Similarity, 199

Summary and Interpretation 201

Chapter 5 Workbook: Management Fads 203

Case for Analysis: Apple 204
Case for Analysis: Hugh Russel, Inc. 207
Chapter 5 Workshop: Ugli Orange Case 210

NEL

xii Contents

Chapter 6: Designing Organizations
for the International Environment 212

A Look Inside: Alcan 213

You & Design: Are You Ready to Fill an
International Role? 213

Purpose of This Chapter, 215

Entering the Global Arena 215

Motivations for Global Expansion, 216
● Globalization Issues, 218 ● Stages of
International Development, 218
● Global Expansion Through International
Strategic Alliances, 220

In Practice: The BRANDAID Project (BRANDAID) 221

Designing Structure to Fit Global Strategy 221

Model for Global Versus Local
Opportunities, 222 ● International
Division, 224 ● Global Product Structure, 225
● Global Geographic Structure, 225

In Practice: McCain Foods Limited (McCain) 227

Global Matrix Structure, 227

Leading by Design: Asea Brown Boveri Ltd. (ABB) 228

Building Global Capabilities 229

The Global Organizational Challenge, 229

In Practice: Impact Hub 231

Global Coordination Mechanisms, 232

Cultural Differences in Coordination and Control 234

National Value Systems, 234
● Three National Approaches to
Coordination and Control, 237

Book Mark 6.0: Why Mexicans Don’t Drink Molson:
Rescuing Canadian Business from the Suds of Global
Obscurity 237
The Transnational Model of Organization 239

Summary and Interpretation 242

Chapter 6 Workbook: Appreciating
Cultural Differences 244
Case for Analysis: Ivanhoe Mines 244
Case for Analysis: The “Pianistic Other” in Shenzhen 246
Chapter 6 Workshop: Working Abroad 248

NEL

Part 4: Internal Design Elements 249

Chapter 7: Manufacturing and Service
Technologies 250

A Look Inside: Manitobah Mukluks 251

You & Design: Manufacturing versus Service 252

Purpose of This Chapter, 253

Core Organization Manufacturing Technology 254

Manufacturing Firms, 254

In Practice: Maple Leaf Foods Inc. (Maple Leaf) 256

Strategy, Technology, and Performance, 257

In Practice: Doepker Industries (Doepker) 257

Contemporary Applications 258

In Practice: Eyecandy Signs Inc. (Eyecandy) 258

Book Mark 7.0: Inviting Disaster: Lessons from
the Edge of Technology 259

Flexible Manufacturing Systems, 259
● Lean Manufacturing, 261

In Practice: Sealy 262

In Practice: Garrison Guitars (Garrison) 263

Leading by Design: Dell Computer 264

Performance and Structural Implications, 265

Core Organization Service Technology 267

Service Firms, 267

In Practice: Home Depot 268

Designing the Service Organization, 269

In Practice: Pret a Manger (Pret) 270

Noncore Departmental Technology 272

Variety, 272 ● Analyzability, 272
● Framework, 273

Department Design 275

In Practice: Aravind Eye Hospital (Aravind) 277

Workflow Interdependence among Departments 277

Types, 277 ● Structural Priority, 280
● Structural Implications, 280

In Practice: Sports Teams 281

Impact of Technology on Job Design 281

Job Design, 282 ● Sociotechnical
Systems, 283

In Practice: General Electric at Bromont,
Québec (Bromont) 284

Summary and Interpretation 285

NEL

Contents xiii

Chapter 7 Workbook: Bistro Technology 287

Case for Analysis: Metropolitan College 288

Chapter 8: Organization Size,
Life Cycle, and Decline 290

A Look Inside: Interpol 291

You & Design: What Size Organization for You? 292

Purpose of This Chapter, 293

Organization Size: Is Bigger Better? 293

Pressures for Growth, 293 ● Dilemmas of
Large Size, 294

Book Mark 8.0: Small Giants: Companies That
Choose to Be Great Instead of Big 297
Organizational Life Cycle 298

In Practice: The Grackle Coffee Company (Grackle) 298

Stages of Life-Cycle Development, 298

In Practice: Nike 301

Organizational Characteristics During the
Life Cycle, 302

Organizational Bureaucracy and Control 304

What Is Bureaucracy?, 304

In Practice: United Parcel Service (UPS) 306

Size and Structural Control, 306

Bureaucracy in a Changing World 308

Organizing Temporary Systems for
Flexibility and Innovation, 308 ● Other
Approaches to Reducing Bureaucracy, 309

Leading by Design: The Salvation Army 310

Organizational Control Strategies 311

Bureaucratic Control, 311

In Practice: Shizugawa Elementary School Evacuation
Centre and Toyota Motors 312

Market Control, 313

In Practice: Imperial Oil Limited 313

Clan Control, 314

In Practice: Labatt Brewing Company Limited
(Labatts) 315

Organizational Decline and Downsizing 315

Definition and Causes, 316 ● A Model of
Decline Stages, 317

In Practice: T. Eaton Company Limited (Eaton’s) 318

Downsizing Implementation, 319

In Practice: Dofasco (now ArcelorMittal Dofasco) 320

Summary and Interpretation 320

Chapter 8 Workbook: Control Mechanisms 322

Case for Analysis: Daily Grind Coffee Inc. 323

Case for Analysis: I Love Rewards Inc. 324

NEL

Part 5: Managing Dynamic Processes 327

Chapter 9: Organizational Culture
and Ethical Values 328

A Look Inside: Birks & Mayors Inc. (Birks) 329

Purpose of This Chapter, 329

You & Design: Organization Culture Preference 330

Organizational Culture 330

What Is Culture?, 332 ● Emergence and
Purpose of Culture, 333

In Practice: Zappos.com (Zappos) 333

Interpreting Culture, 334

Organizational Design and Culture 337

The Adaptability Culture, 337
● The Mission Culture, 338

In Practice: Sandvine 338

The Clan Culture, 339

In Practice: Mountain Equipment Co-op (MEC) 339

The Bureaucratic Culture, 340 ● A Culture
of Discipline, 340 ● Culture Strength and
Organizational Subcultures, 341

Organizational Culture, Learning,
and Performance 342

Leading by Design: WestJet Airlines Ltd. (WestJet) 343

In Practice: Lululemon athletica inc. (Lululemon) 344

Ethical Values and Social Responsibility 345

Sources of Individual Ethical Principles, 346
● Managerial Ethics and Social
Responsibility, 347

Book Mark 9.0: The Corporation: The Pathological
Pursuit of Profit and Power 347

Does It Pay to Be Good?, 349

Sources of Ethical Values in Organizations 350

Personal Ethics, 351 ● Organizational
Culture, 351 ● External Stakeholders, 352

How Leaders Shape Culture and Ethics 353

NEL

xiv Contents

In Practice: Harvard Business School (HBS) 353

Values-based Leadership, 354 ● Formal
Structure and Systems, 355

In Practice: TELUS 358

Organizational Culture and Ethics in a Global
Environment 358

Summary and Interpretation 360

Chapter 9 Workbook: Shop ’Til You Drop:
Organizational …

Why Choose Us

100% non-plagiarized Papers
24/7 /365 Service Available
Affordable Prices
Any Paper, Urgency, and Subject
Will complete your papers in 6 hours
On-time Delivery
Money-back and Privacy guarantees
Unlimited Amendments upon request
Satisfaction guarantee

How it Works

Click on the “Place Order” tab at the top menu or “Order Now” icon at the bottom and a new page will appear with an order form to be filled.
Fill in your paper’s requirements in the "PAPER DETAILS" section.
Fill in your paper’s academic level, deadline, and the required number of pages from the drop-down menus.
Click “CREATE ACCOUNT & SIGN IN” to enter your registration details and get an account with us for record-keeping and then, click on “PROCEED TO CHECKOUT” at the bottom of the page.
From there, the payment sections will show, follow the guided payment process and your order will be available for our writing team to work on it.

[SOLVED] Help – Management

Why Choose Us

How it Works

Recent Posts

Recent Comments