Common Characteristics of Organizational Design Morgan (2010) defines organizational design as “The process by which managers select and manage aspects of structure and culture so that an organization can control the activities necessary to achieve its goal” (p. 9). The four foundational characteristics in an organization are the: 1) the coordination of effort; 2) common goal or purpose; 3) division of labor; and 4) hierarchy of authority (Schein, 2004; Morgan, 2010). McAuley, Duberley, and Johnson (2007) make the same observations asserting the basic four characteristics are essential for effectively managing organizations (pp. 70-72). Open and Close Systems The open and close systems of organization are two approaches that describe how the systems of operation within an organization are designed to interact with the internal and external environments. The open system of organization approach resembles a biological organism in its complexity and depends on other organisms for survival (Jones, 2010, p. 38). In an open system approach the internal environment encourages collaboration between work groups within the structure and reaches outside of the organizational structure to ancillary support systems for aid to accomplish goals.