The structure must be appropriate to the organization’s
purpose, technology and the environment in which it exists. It
must be flexible enough to adapt itself easily to new circum-
stances – organization design is a continuous process of modifi-
cation and change, it is never a one-off event. It must also be
recognized that, although the formal organization structure may
define who is responsible for what and the ostensible lines of
communication and control, the way in which it actually oper-
ates will depend on informal networks and other relationships
which have not been defined in the design process and arise
from people’s daily interaction.
THE APPROACH TO ORGANIZATION DESIGN
Organization design aims to clarify roles and relationships so far
as this is possible in fluid conditions. It is also concerned with
giving people the scope and opportunity to use their skills and
abilities to better effect – this is the process of empowerment.
Jobs should be designed to satisfy the requirements of the orga-
nization for productivity, operational efficiency and quality of
product or service. But they must also meet the needs of individ-
uals for interest, challenge and accomplishment. These aims are
interrelated and an important aim of organization and job design
is to integrate the needs of the individual with those of the orga-
nization.
When it comes to designing or modifying the structure a prag-
matic approach is necessary. It is first necessary to understand
the environment, the technology and the existing systems of
social relationships. An organization can then be designed which
is contingent upon the circumstances. There is always some
choice, but designers should try to achieve the best fit they can.
And in making their choice, they should be aware of the struc-
tural, human, process and system factors which will influence
the design, and of the context within which the organization
operates.
Organization design is ultimately a matter of ensuring that the
structure, processes and methods of operation fit the strategic
requirements of the business and its technology within its envi-
ronment. Disruption occurs if internal and external coherence
and con sistency are not achieved. And, as Mintzberg (1981)
suggests: ‘Organiza tions, like individuals, can avoid identity
260 How to be an Even Better Manager