Ase on organizational structure - Case Study Example

? Change and Culture Case Study I Introduction The following is a discussion on organization of a middle healthcare organization that has emerged with a previous competitor. In this discussion, the paper attempts to establish the impact of sale on the culture of the new combined organization, evaluate strategies to ensure unity amongst the employees, as well as describing the organization in terms of systems and shapes. Different aspects will be discussed under systems and shapes such as goal recognition and statement, review of organizational environment, structure of the organization to accomplish the goals, as well as determination of authority relationships. Moreover, the paper will also attempt to identify the type of the new organization. Impact of Sale on Culture of New Organization Every organization in the contemporary environment experiences competition. With increased competition, many organizations are employing different strategies in order to make them acquire competitive advantage that will enable them stay in the market and business. There are different ways of acquiring competitive advantage such as employing a different pricing strategies, invention and innovation, employing exceptional staff, and mergers and acquisitions. Development of a combined organization will involve the idea of merger and acquisition as a management strategy in achieving competitive advantage (Cummings & Worley, 2006). The combined healthcare organization will have increased sales, which is likely to boost the morale of the employees. With increased moral, the new combined healthcare organization is likely to have more sales through customer satisfaction. Therefore, increased sales within the combined healthcare organization are likely to cause a shift in culture where there will be enhanced customer satisfaction from the previously recorded high sales volume. Ensuring Unity amongst Combined Staff Combining firms or organizations may be challenging especially in respect to unity of employees. Nonetheless, there are different strategies that such an organization can employ in order to keep organization’s employees together. According to Hesselbein and Goldsmith (2009), an organization may create unity through creating strategic unity. The new combined healthcare organization will therefore employ three strategic units to ensure unity amongst the employees. These strategic unities include intellectual agenda, behavioral agenda, and process agenda. The intellectual agenda will ensure that employees from top to both have common strategy hence working together towards achieving the same. Behavioral agenda on the other hand will ensure that there is a strategy shaping employees’ behavior to a common code of conduct (Griffin & Moorhead, 2011). Lastly, through the process agenda, it will be easier for the healthcare organization to have a clear purpose and activities in which every employee will be expected to adhere to while in the firm. All the processes in the organization will be aligned to the firm’s strategy. In this case, the strategic unity package will ensure that employees work together to provide quality healthcare without taking a competitive stance. Organizational Structure The organizational structure will contain amongst other things, goal recognition and statement, organizational environmental review, structure, and authority of relationship. The following is a discussion of each of the aspects of organizational structure. Goal Recognition and Statement Goals recognition and statements within organization create vistas and rooms for employee performance towards a specific direction. Goals and statements ensure that an organization moves to a specific direction (Yaeger & Sorensen, 2009). What’s more, goals and statements provide a basis of creating organizational strategies aimed at achieving identified goals and statements. The new combined organization will therefore create a goal and statement to provide direction as well as basis of developing strategies. The goal of the new combined organization will be: To be a leading provider of high quality healthcare services affordable to every human whilst also focusing on enhancing holistic life through creating awareness and educating the surrounding community on various aspects of preventing diseases. This goal statement will provide an opportunity to the new combined organization to come up with strategies aimed at fulfilling the objective. What’s more, every stakeholder will work towards attaining the above objective. Organizational Environment Review There is need to identify the opportunities and threats provided by the environment as a result of the combination. Such opportunities and threats will arise from political, economical, socio-cultural, technological, environmental, and legal factors affecting operations of the business (Cummings & Worley, 2006). For instance, due to combination the new healthcare organization will have bigger prospects in terms of market share as well as capital to increase investments. Identification of opportunities and threats in the business environment will enable the middle-sized health organization to come up with effective ways and strategies of utilizing their strengths to take advantage of the same in a bid to achieving the goals of the organization (Harigopal, 2006). Therefore, reviewing of the environmental factors (political, economical, socio-cultural, technological, economical, and legal) will enable the healthcare organization to identify opportunities and threats hence developing strategies to deal with the same. Structure needed for accomplishing Goal The new combined healthcare organization must have a new structure that conforms to the developed goal. One of the forms of structures within the newly formed healthcare organization through combination will be degree of centralization (Yaeger & Sorensen, 2009). Despite the fact that management of the new combined healthcare organization will be centralized, there will be need to have a flexible unity of command as explained under the hierarchy of authority. Degree of centralization will therefore involve particular aspects of decision making while most of the operational activities will be under specific employees (Cummings & Worley, 2006). On a different perspective to ensure efficiency and effectiveness within the healthcare organization there will be departmentalization (Harigopal, 2006). The basis of departmentation will be the different functionalities. For instance, there will be finance and accounting department in-charge of finances, purchases and supplies department responsible for purchasing or required equipment, human resource department, which will be responsible for creating the required personnel, and operations department mandated with responsibility of ensuring that all the operations in the healthcare organization are as planned. On the other hand, there will be application of committee. The committee will comprise of various representatives from different stakeholders. For instance, the healthcare organization will rely on committee developed from community representatives, employee representatives, and management representatives as well. These representatives will ensure smooth running of the organization (Harigopal, 2006). The management therefore will involve all stakeholders. On the other hand, through the organizational chart developed later on, there will be a chain or responsibility and how various forms of employees will carry out their duties. The hierarchy of authority and unit of command define the line and staff relationship that is likely to be experienced within the new combined healthcare organization. Authority of Relationships and Organizational Chart Authority of relationships within the organization will be determined by the hierarchy of authority as well as chain or command. Hierarchy of authority describes the organizational power structure. The organizational power structure involves the amount of authority in various levels of management and how it increases with increasing level of management (Yaeger & Sorensen, 2009). The person at the top of the hierarchy has the ultimate power of making decisions within the healthcare organization (Harigopal, 2006). Chain of command on the other hand refers to a formal line of authority, responsibility, and communication. Whereas hierarchy of authority describes who is more powerful, chain of command will describe how each level of management and employee will relate. Chain of command will describe which employee reports or is responsible to which employee in a bid to attaining sanity and harmonious operations within the organization. In order to have proper hierarchy of author and chain of command, there is serious need to have an effective organizational chart. The following chart gives a representation of the organization chart for the new combined healthcare organization. The above is a representation of the organization chart where all the employees will be reporting to their respective directors who in turn will report to their respective vice presidents. All the vice presidents report to the Vice President, Operations Manager, who reports directly to the President. The president is answerable to the Board of Directors. References Cummings, T. & Worley, C. (2006). Organization development & change. Mason, OH: South-Western Cengage Griffin, R. & Moorhead, G. (2011). Organizational Behavior: Managing People and Organizations. Mason, OH: South-Western Cengage Harigopal, K. (2006). Management of organizational change: leveraging transformation. India: Response Books. Hesselbein, F. & Goldsmith, M. (2009). The organization of the future 2: visions, strategies, and insights on managing in a new era. San Francisco, CA: Leader to Leader Institute. Yaeger, T. & Sorensen, P. (2009). Strategic organization development: managing change for success. New York, NY: IAP Read More