Organization and context

9 important questions on Organization and context

Three aspects can be distinguished in strategic management; content, process and context. What is the definition of context?

whether content and/or process is affected by variance in the focal firm, industry or environment.

What is the concept of Mintzberg (1979) regarding organization and context?

There is no "one best way" to think about organizational structure, it more depends on several factors (size of organization, technology, etc). This is known as the contingency theory. Contingencies mean that there is variance in the salience of organizational attributes / elements. Only contingency is nog enough, aspects should be brought together --> configuration approach.

What are the four aspects of the configuration approach?

- organizational parts (operating core, middle management, top management, staff, techno structure)
- coordinating mechanisms (mutual adjustments, direct dupervision, standardization of work processes, standardization of output, standardization of skills and standardization of norms)
- Organization design parameters (divide labor for tasks efficient and achieve coordination)
- situational factors (age, size, etc)
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What is the concept of Miles, Snow, Meyer and Coleman (1977) regarding organizational context?

Strategies arise from how firms adres problems. This is an adaption or match with strategy, structure and process.

Which three kind of problems do Miles et al (1977) address regarding organizational context?

1. entrepreneurial problems
2. engineering problem
3. administrative problem

Which 4 solutions are there to solve the problems Miles et al (1977) address regarding organizational context?

1. defender (stable approach, one technology, hierarchical)
2. prospector (opposite to defender, exploiting new products and markets, decentralized)
3. analyzers (in between defender and prospector, stable and flexible, matrix structure
4. reactors (no clear strategy, no changes, bad choice)

What are differences between the view of Mintzberg (1979) and Miles (1977) on organization and context?

Mintzberg sees contingency as a theoretical basis for configuration. Miles sees adaption as a theoretical basis for configuration.

What are the two characteristics of internationalization according to Prahalad and Doz (1987)?

integration and responsiveness (centralized vs decentralized)

These variables are proxies for relationship
- subsidiary vs HQ
- subsidiary vs subsidiary

Which three types of strategy result from the internationalization strategy according to Prahalad and Doz (1987)?

- international strategy (high need for integration, standardized products)
- multifocal strategy (strategy of most international companies, in-between integration and responsiveness (automotive, banks))
- multi domestic strategy (local responsiveness (food, clothing))

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