ACCA SBL Syllabus H. Innovation, Performance Excellence & Change Management - Contingency Theory for Structure - Notes 8 / 9
Structure should be the one best suited to its size, complexity and strategies
Mechanistic | Organic |
---|---|
Authority delegated through formal structure | Network control structure |
Manager power depends on their position in the hierarchy | Individuals decision making is due to their knowledge and skills |
Bureaucratic | Free flow of information |
Vertical communication | More horizontal communication |
Specialised jobs | Contributions to a common task is the job |
Tasks governed by superiors | Advice rather than orders given |
This was created by Burns & Stalker
In B&S’s research not one structure was found to be better than another, however they did notice that it’s ‘horses for courses’ e.g. A stable market suits a mechanistic structure and vice-versa
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Syllabus H. Innovation, Performance Excellence & Change Management
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Syllabus H. Innovation, Performance Excellence & Change Management
H1. Enabling Success: Organising