Elements of Organizational Design

An organization does not simply appear on its own; in fact, organizations are contrived social systems that are created by like-minded groups of persons in order to pursue and hopefully achieve a stated goal or purpose.  This latest CMS Working Paper describes the elements of organizational design, which is concerned with the factors and issues that must be considered, and the rules and processes that must be implemented, with respect to the design, development, implementation and maintenance of a successful and effective organization.  Organizational design is more than simply organizational structure – the boxes and lines that are normally found on a traditional organization chart – and extends outward to include a variety of other factors including information and reward systems; management and decision making processes; organizational culture, including mission, vision, values and norms; strategy, including the goals or purposes for which the organization exists; and the human resources who will do the work necessary for the organization to operate, survive and thrive.  The creativity involved in the design process has led some to refer to the field as “organizational architecture”.

Written by agutterman

Founding Director of the Sustainable Entrepreneurship Project

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