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A Language for Organization Design: Part II

Author

Listed:
  • H. I. Ansoff

    (Vanderbilt University)

  • R. G. Brandenburg

    (State University of New York, Buffalo)

Abstract

This paper develops a language for designing the structure of a purposive organization so as to maximize organizational performance potential for achieving given objectives. Four categories of performance attributes are specified, each contributing to the particular objectives an organization pursues in seeking maximum return from the resources it employs: -- steady-state efficiency, -- operating responsiveness, -- strategic responsiveness, -- structural responsiveness. A fifth category, decision and information quality criteria, further contributes to organizational success. These five types of criteria, combined with tests of economic and human resource feasibility, are used to select and tailor one of several basic organizational forms to meet the particular needs of a firm. Basic organizational forms, observable in business practice, analyzed with respect to the above performance attributes, include: centralized functional form, decentralized divisional form, project management form, innovative form. Several variations on these forms, which have been used in business, are listed along with conditions for the applicability of each, reflecting the need for individual firms to adapt basic structures to suit their distinctive requirements. Major steps in the logic of the overall design process are specified.

Suggested Citation

  • H. I. Ansoff & R. G. Brandenburg, 1971. "A Language for Organization Design: Part II," Management Science, INFORMS, vol. 17(12), pages 717-731, August.
    • Handle: RePEc:inm:ormnsc:v:17:y:1971:i:12:p:b717-b731
    DOI: 10.1287/mnsc.17.12.B717
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    Cited by:

    1. Giovanni. Gavetti & Daniel A. Levinthal, 2004. "50th Anniversay Article: The Strategy Field from the Perspective of Management Science: Divergent Strands and Possible Integration," Management Science, INFORMS, vol. 50(10), pages 1309-1318, October.
    2. Schweinsberg, Andrea, 2004. "Organisatorische Flexibilität als Antwort auf die Globalisierung," Arbeitspapiere 46, University of Münster, Institute for Cooperatives.
    3. Chanson, Guillaume & Quélin, Bertrand V., 2013. "Decentralization and contracting out: A new pattern for internal and external boundaries of the firm," European Management Journal, Elsevier, vol. 31(6), pages 602-612.
    4. Pat-Anthony Federico & Paul W. Figliozzi, 1981. "Computer Simulation of Social Systems," Sociological Methods & Research, , vol. 9(4), pages 513-533, May.

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