The Mechanistic Mode of Organisational Structure and Its Efficiencies in the Business Operations - Coursework Example

Organisational Analysis Table of Contents Introduction 3 Nature and Significance of Mechanistic Model in Organisational Structure 4 Taylor’s Principles of Scientific Management 5 Webber’s Ideal Bureaucracy Model 6 Efficiencies and Drawbacks of Mechanistic Structure 8 Advantages of Mechanistic Structure 8 Limitations of Mechanistic Structure 9 Major Challenges Faced by Modern Organisations to Supplement Mechanistic Principles with Fresh Approaches and Ideas 10 Conclusion 13 References 14 Bibliography 18 Introduction In accordance with the increasing pace of the global business environment, it is highly essential for an organisation to develop a well-built structure to effectively operate its various business practices. Moreover, the organisations in the modern business environment seek to incorporate adequate hierarchical structures in order to enhance the level of control its various departments in an efficient manner. An appropriate structure of an organisation is one of the vital factors to attain substantial benefits as it facilitates to maintain an effective coordination among the organisational processes and also enables to accomplish its expected goals (Mansoor & et. al., 2012). The main aim of this essay is to briefly discuss about the mechanistic mode of organisational structure and its efficiencies in the business operations. Moreover, the discussion will also encompass relevant theories along with focusing on efficiencies as well as drawbacks concerning the mechanistic model within the working environment of the organisation. In addition, the discussion will further include the major challenges faced by the modern organisations in terms of supplementing mechanistic principles through incorporating fresh ideas and approaches in order to make the working environment more efficient to achieve desired organisational objectives. Nature and Significance of Mechanistic Model in Organisational Structure An organisational structure is commonly based on either of the two major attributes, i.e. centralisation and decentralisation. Centralised process in decision making can be regarded as one of the fundamental aspects of mechanistic model. The mechanistic structure in the organisation reflects that the decision making process is executed by a specific number of authorised individuals. In contrast, the decentralised structure in the organisation signifies that the decisions are made at all hierarchical levels of the organisation (Massa & Zhang, 2010). Moreover, the decentralised structure also signifies that the members from different levels of the organisation can independently provide ideas or information to develop the existing process of the organisation. Source: (Mansoor & et. al., 2012) From the perspective of mechanistic structure, the model performs a superior role when the organisation possesses stable environment where the workers tend to comply with the decisions made by the top hierarchical members of the organisation. The traditional structure of mechanistic model can be identified to be more complex than organic model due to the reason that the model highly emphasises on complying with definite working procedure, job specialisation, centralised authority as well as accountability. However, at times it becomes quite difficult in the mechanistic structure to maintain effective coordination among the members which tends to hinder organisational interdependent activities to achieve stipulated goals (Michel, 2003). Moreover, the mechanistic model is followed by an organisation when it is operating its business performances under more stable conditions. The nature of mechanistic model is considerably associated with bureaucratic control where a minimum number of higher level individuals make decisions for the organisation’s different processes. In this context, the mechanistic model is often regarded as the bureaucratic structure which involves more centralised nature of adopting changes in the organisational process. The nature of this model also entails formal communication medium where the roles and the responsibilities of the employees are clearly defined in order to achieve organisational objectives. Furthermore, enhancing the level of predictability concerning organisational operations can also be recognised as one of the main reasons to adopt formalised structure by an organisation (Mintzberg, 1980). Taylor’s Principles of Scientific Management According to the observation of Frederick Winslow Taylor’s theory of ‘Principles of Scientific Management’, different difficulties lay with the incorporation of mechanistic structure, which can hinder the practice of organisational control. Contextually, three major reasons restrict the workers to protect their interests to deliberately perform within the organisation. These three reasons can be identified as misleading notion, imperfect systems of management and incompetent rule-of-thumb method (National Humanities Center, 2005) According to Taylor, the mechanistic structure can also be defined as the process where the workers tend to follow the procedures, policies and regulations made by the higher authorised individuals or groups. In this process, the techniques concerning decision making are defined very specifically and the control systems are also emphasised in a well documented structure. The managers of the organisations involving mechanistic structure emphasise on working schedule as the major tool for efficiently accomplishing organisational objectives (National Humanities Center, 2005). Additionally, the nature and significance, the mechanistic structure closely fits with the ideal bureaucratic model developed by Max Webber (Freeman, 1999). Webber’s Ideal Bureaucracy Model Webber’s Ideal Bureaucracy model comprises six major principles that directly reflected to the nature of mechanistic structure. The six major characteristics of Webber’s Ideal Bureaucracy model have been discussed below: Formal Hierarchy of Organisational Structure: The organisational structure is designed with a precise level of each individual where the power is assigned to the position rather than providing authority to the person holding that position (Visionary Publications, Inc., n.d.). Management by Rule: The management within the bureaucratic structured organisations tends to follow the specific rules and regulations that are mentioned by the organisation’s hierarchical members. A bureaucratic organisation highly focuses on the written procedures rather than on taking initiatives to develop those regulatory guidelines to improve business efficiency (Visionary Publications, Inc., n.d.). Promoting Functional Speciality: Bureaucratic organisations seek to promote functional specialism within the working environment where the individuals of the organisations are known only by their designation or position rather than being respected for their skills and knowledge (Visionary Publications, Inc., n.d.). In-Focused Mission: The organisations utilising the bureaucracy structure highly seek to focus on the organisations’ respective missions i.e. whether it is focused on earning higher revenue or gaining substantial stakeholders’ interest or streamlining higher productivity as compared to the other organisations (Visionary Publications, Inc., n.d.). Impersonality: Impersonality has also been observed in the model which emphasises on treating all employees equally within the workplace rather than valuing higher skilled or experienced persons of the organisation (Visionary Publications, Inc., n.d.). Employment through the Technical Capabilities of the Individual: The bureaucratic structured organisations tend to engage people who have substantial capabilities to increase the productivity of the organisation through obtaining adequate training and development programmes (Visionary Publications, Inc., n.d.). Efficiencies and Drawbacks of Mechanistic Structure Advantages of Mechanistic Structure The major advantages of mechanistic structure can be observed in circumstances when the firm seeks to maximise its operational efficiencies. This structure provides significant benefits to centralised and formalised organisations to achieve higher profits and to gain a number of stakeholders along with minimising its operational cost. Mechanistic structure is apparently advantageous when the organisational environment is in a stable position. The structure can be regarded as one of the effective models for the large organisations which are performing their business operations in the market within a stable environment (Gitman & McDaniel, 2008). In this context, McDonald’s, the fast-food giant, can be considered as one of the biggest examples of bureaucratic structured organisation where the employees tend to follow the operational guidelines developed by the management which facilitates them to remain focused on the organisational mission and objectives (Web Books Publishing, n.d.). An effective practice of mechanistic structure tends to facilitate an organisation to develop inefficient operational processes, poor conditions of the workplace as well as ineffective communication processes between the operational level and managerial level employees. Moreover, when an organisation faces different complexities within the operational activities and the workforce is also unable to achieve their respective goals, in this scenario an effective mechanistic model can be beneficial. This is because the mechanistic structure emphasises on organisational control through a centralised and formalised way where the communication is likely to pursue in a formal way and employees of the organisation are provided with particular job descriptions defining their roles as well as responsibilities which further ensures to improve the performances of each individual (Gitman & McDaniel, 2008). For instance, McDonald’s, one of the major dominant players in the global fast-food chain industry, possesses bureaucratic structure through which it directs its range of workers with a clear and adequate communication process with regard to their respective roles and responsibilities (Web Books Publishing, n.d.). Limitations of Mechanistic Structure Rigid and sluggish aspects of mechanistic structure can be considered as the major limitations which may radically affect the organisational performance. The mechanistic structure involves rigidity which limits the scope of changes or development within the organisational process to achieve competitive advantage in the market. Moreover, the nature of inflexibility in the mechanistic structure may also cause to reduce productivity and performance of the workforce within the business process (Bombaci, n.d.). The mechanistic perspective in the organisational control directly focuses on the overall outcome of the organisational process rather than considering the work environment, working culture as well as the level of capability of the employees within the organisational process. Thus, the facet of underestimating working environment as well as working culture can also be a major constraint for the organisation to maintain significant growth in the long-run (Morgan, 2006). Major Challenges Faced by Modern Organisations to Supplement Mechanistic Principles with Fresh Approaches and Ideas According to the various observations, it has been identified that the large organisations possess higher amount of complexities than medium and small firms. Consequently, the performance goals of those organisations can only be accomplished through effectively maintaining an effective organisational structure. Therefore, a bureaucratic mechanistic model in the organisational structure can be beneficial for the organisation to efficiently perform various activities thus achieving desired goals (Hall, 2006). However, in various cases it has further been identified that the modern organisations possessing centralised or formalised structure have to face major challenges concerning mechanistic model in their organisational structure. Therefore, the major challenges faced by the modern organisations in terms of practicing a mechanistic organisational structure can be characterised into different aspects, which have been discussed below: Communication Challenge The communication channels in the mechanistic structure tend to involve vertical dimension where the information flows to the subordinates through the supervisory level of individuals. This type of communication process can generate negative impacts among the workers to efficiently perform their respective tasks. In the context of modern business scenario, the top hierarchical level executives at times tend to provide information through informal ways which may encourage the employees to be more loyal towards the organisation (Mansoor & et. al., 2012). Creativity and Innovation Challenge Accordingly, the increasing competition in the global business environment, the modern organisations tend to highly focus on creativity and innovation which can lead them to achieve competitive advantage in the global platform. Therefore, the organisations in the present day context prefer to use less formalised or centralised organisational structure as the formalised structure hinders organisational creativity and innovation. The formalised structure necessitates maintaining traditional form of business process rather than adopting changes or improvements in the organisational process. Therefore, it affects on the scope of creativity and innovation for the organisations in order to achieve competitive position within the business market (Lam, 2011). For instance, Apple Inc., one of the leading technological brands, has achieved rapid organisational growth due to its continuous innovation process. The organisation possesses greater flexibility in its operations which facilitates each individual to provide fresh ideas and information in order to develop the processes of its different business operations. Organisational Control Challenge Maintaining appropriate organisational control is one of the major challenging aspects for the organisations possessing formalised or mechanistic structure. The higher level of formalised structure within the organisation may further hinder the overall performances of the organisation. According to the present day context, due to the increasing pace of globalisation, the organisations require to function in complex business environments amid difficulties and uncertainties regarding their operational activities Therefore, the practice of formalised structure and its associated rigid decision making process can make it quite hard for the organisation to rapidly make necessary changes in order to deal with various uncertainties and complexities. With this concern, the organic structure can be beneficial for the organisation in order to adopt changes according to the level of complexities or threats from the market competitors (Mansoor & et. al., 2012). Moreover, in order to effectively control the overall performance of the organisation, it is highly important for it to minimise formalisation within the organisational structure. Conclusion From the perspective of present competitive business scenario, it can be witnessed that the organisations are highly focused on structuring their business processes in order to attain competitive position. Moreover, the organisations seek to efficiently regulate their organisational functionalities in order to effectively control and manage their business processes which may facilitate them to be more competitive in the global market. According to the present day context, taking greater control of the organisation’s internal and external environments can be observed as one of the primary functions for the modern day management in order to attain long-term sustainability in the business market. Therefore, the organisations need incorporate a structure which usually demonstrates a low degree of hierarchical authority as well as higher level of employee participation which can beneficial for the organisation to efficiently manage its overall business activities. Decentralised structure and organic organisational model can be quite effective for modern organisations to ensure enhanced level of employee involvement in the decision making process which can result in generation of fresh ideas and approaches in a convenient way. References Bombaci, S. A., No Date. Management Structures. Types of Management Structure. [Online] Available at: http://www.hkiaat.org/images/uploads/articles/Management.pdf [Accessed January 19, 2013]. Freeman, R., M., 1999. Correctional Organization and Management: Public Policy Challenges, Behavior, and Structure. Elsevier. Gitman, L. J. & McDaniel, C., 2008. The Future of Business: The Essentials. Cengage Learning, Hall, R. H., 2006. The Concept of Bureaucracy: An Empirical Assessment. The American Journal of Sociology, Vol. 69, No. 1, pp. 32-40. Lam, A., 2011. Innovative Organizations: Structure, Learning and Adaptation. Organizational Structure and Innovation. [Online] Available at: http://final.dime-eu.org/files/Lam_Plenary.pdf [Accessed January 19, 2013]. Mansoor, N. & et. al., 2012. Organizational Structure as Determinant of Organizational Performance: Uncovering Essential Facets of Organic and Mechanistic Structure. American Journal of Scientific Research, Iss. 55, pp. 48-55. Massa, M. & Zhang, L., 2010. 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[Online] Available at: http://www.bustingbureaucracy.com/excerpts/weber.htm [Accessed January 19, 2013]. Web Books Publishing, No Date. Organisational Structure. Two Configurations: Mechanistic and Organic Structures. [Online] Available at: http://www.web-books.com/eLibrary/NC/B0/B58/044MB58.html [Accessed January 19, 2013]. Zammuto, R. F., 1982. Assessing Organizational Effectiveness: Systems Change, Adaptation, and Strategy. SUNY Press. Bibliography Clayton, B. & Fisher, T., No Date. Assessing the Impact of Cultures and Structures on Organisational Capability. Summary of Issues Identified in the Literature. [Online] Available at: http://www.aare.edu.au/06pap/cla06513.pdf [Accessed January 19, 2013]. Oxford University Press, No Date. Part One: Understanding Changes. Building and Developing Competitive Change. [Online] Available at: http://www.oup.com/uk/orc/bin/9780199214884/grieves_ch01.pdf [Accessed January 19, 2013]. Sine, W. D. & et. al., 2005. Revisiting Burns and Stalker: Formal Structure and New Venture Performance in Emerging Economic Sectors. Academy of Management Journal, Vol. 49, No. 1, pp. 121–132. Read More