14: Organizational Structure and Change
- Page ID
- 34453
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\(\newcommand{\avec}{\mathbf a}\) \(\newcommand{\bvec}{\mathbf b}\) \(\newcommand{\cvec}{\mathbf c}\) \(\newcommand{\dvec}{\mathbf d}\) \(\newcommand{\dtil}{\widetilde{\mathbf d}}\) \(\newcommand{\evec}{\mathbf e}\) \(\newcommand{\fvec}{\mathbf f}\) \(\newcommand{\nvec}{\mathbf n}\) \(\newcommand{\pvec}{\mathbf p}\) \(\newcommand{\qvec}{\mathbf q}\) \(\newcommand{\svec}{\mathbf s}\) \(\newcommand{\tvec}{\mathbf t}\) \(\newcommand{\uvec}{\mathbf u}\) \(\newcommand{\vvec}{\mathbf v}\) \(\newcommand{\wvec}{\mathbf w}\) \(\newcommand{\xvec}{\mathbf x}\) \(\newcommand{\yvec}{\mathbf y}\) \(\newcommand{\zvec}{\mathbf z}\) \(\newcommand{\rvec}{\mathbf r}\) \(\newcommand{\mvec}{\mathbf m}\) \(\newcommand{\zerovec}{\mathbf 0}\) \(\newcommand{\onevec}{\mathbf 1}\) \(\newcommand{\real}{\mathbb R}\) \(\newcommand{\twovec}[2]{\left[\begin{array}{r}#1 \\ #2 \end{array}\right]}\) \(\newcommand{\ctwovec}[2]{\left[\begin{array}{c}#1 \\ #2 \end{array}\right]}\) \(\newcommand{\threevec}[3]{\left[\begin{array}{r}#1 \\ #2 \\ #3 \end{array}\right]}\) \(\newcommand{\cthreevec}[3]{\left[\begin{array}{c}#1 \\ #2 \\ #3 \end{array}\right]}\) \(\newcommand{\fourvec}[4]{\left[\begin{array}{r}#1 \\ #2 \\ #3 \\ #4 \end{array}\right]}\) \(\newcommand{\cfourvec}[4]{\left[\begin{array}{c}#1 \\ #2 \\ #3 \\ #4 \end{array}\right]}\) \(\newcommand{\fivevec}[5]{\left[\begin{array}{r}#1 \\ #2 \\ #3 \\ #4 \\ #5 \\ \end{array}\right]}\) \(\newcommand{\cfivevec}[5]{\left[\begin{array}{c}#1 \\ #2 \\ #3 \\ #4 \\ #5 \\ \end{array}\right]}\) \(\newcommand{\mattwo}[4]{\left[\begin{array}{rr}#1 \amp #2 \\ #3 \amp #4 \\ \end{array}\right]}\) \(\newcommand{\laspan}[1]{\text{Span}\{#1\}}\) \(\newcommand{\bcal}{\cal B}\) \(\newcommand{\ccal}{\cal C}\) \(\newcommand{\scal}{\cal S}\) \(\newcommand{\wcal}{\cal W}\) \(\newcommand{\ecal}{\cal E}\) \(\newcommand{\coords}[2]{\left\{#1\right\}_{#2}}\) \(\newcommand{\gray}[1]{\color{gray}{#1}}\) \(\newcommand{\lgray}[1]{\color{lightgray}{#1}}\) \(\newcommand{\rank}{\operatorname{rank}}\) \(\newcommand{\row}{\text{Row}}\) \(\newcommand{\col}{\text{Col}}\) \(\renewcommand{\row}{\text{Row}}\) \(\newcommand{\nul}{\text{Nul}}\) \(\newcommand{\var}{\text{Var}}\) \(\newcommand{\corr}{\text{corr}}\) \(\newcommand{\len}[1]{\left|#1\right|}\) \(\newcommand{\bbar}{\overline{\bvec}}\) \(\newcommand{\bhat}{\widehat{\bvec}}\) \(\newcommand{\bperp}{\bvec^\perp}\) \(\newcommand{\xhat}{\widehat{\xvec}}\) \(\newcommand{\vhat}{\widehat{\vvec}}\) \(\newcommand{\uhat}{\widehat{\uvec}}\) \(\newcommand{\what}{\widehat{\wvec}}\) \(\newcommand{\Sighat}{\widehat{\Sigma}}\) \(\newcommand{\lt}{<}\) \(\newcommand{\gt}{>}\) \(\newcommand{\amp}{&}\) \(\definecolor{fillinmathshade}{gray}{0.9}\)- 14.1: Organizational Structure: The Case of Toyota
- This page outlines Toyota Motor Corporation's rise as a leading automotive manufacturer and its challenges, including a significant crisis from recalls due to unintended acceleration that affected its quality reputation. Despite strong profits during the 2009 recession, the company's efficiency-focused production system faced difficulties during rapid growth, resulting in slow issue responses.
- 14.2: Organizational Structure
- This page explores organizational structure elements, including centralization, formalization, and hierarchy, and their impact on employee behavior and attitudes. It contrasts mechanistic and organic structures, highlights the advantages of divisional and functional structures, and discusses matrix structures' complexities. Effective communication, record-keeping, and adaptability are emphasized in boundaryless and learning organizations.
- 14.3: Organizational Change
- This page discusses organizational change, driven by factors such as technology and globalization, highlighting employee resistance stemming from fear and habitual disruptions. It emphasizes understanding resistance's roots to enhance change strategies. Key frameworks include Kurt Lewin's three-stage model and Kotter's eight-stage process, advocating for employee support, clear communication, and participation in planning.
- 14.4: The Role of Ethics and National Culture
- This page discusses the relationship between company structure and ethical behavior, highlighting how rigid hierarchies can hinder moral development. It emphasizes that organizational changes, especially layoffs, challenge ethical practices, particularly regarding employee treatment and communication.
- 14.5: Changing for Good: The Case of Hanna Andersson Corporation
- Hanna Andersson Corporation, established in 1983, specializes in European-style children's clothing and has evolved from a mail-order business to an online and retail enterprise with 29 stores, earning over $100 million annually. The company prioritizes employee welfare, offering benefits such as childcare reimbursement.
- 14.6: Conclusion
- This page discusses different organizational structures, their benefits and challenges, and the resistance faced during change due to company culture. It emphasizes the importance of involving employees and using opinion leaders to ease transitions. Ethical considerations in layoffs during significant changes like mergers are highlighted, and the need for ongoing support for employees post-transition is stressed to ensure the new system's success.
- 14.7: Exercises
- This page discusses a manager's ethical dilemma about whether to inform employees of a potential merger risking job losses, weighing the duty to communicate against the risk of disrupting negotiations. It also mentions a proposed shift to a matrix structure, emphasizing preparations needed and possible resistance, complemented by a role play exercise and discussion on change management.


