Page 107 - DMGT520_ORGANIZATION_CHANGE_AND_DEVELOPMENT

Organization Change and Development

Notes 7.4 Principles of Organization Structure

Modem organizational structures have evolved from several organisational theories, which
have identified certain principles as basic to any organisation.

Specialisation

Specialisation facilitates division of work into units for efficient performance. According to the
classical approach, work can be performed much better if it is divided into components and
people are encouraged to specialize by components. Work can be specialized both horizontally
and vertically (Anderson, 1988). Vertical Specialisation in a research organisation refers to
different kinds of work at different levels, such as project leader, scientist, researcher, field staff,
etc. Horizontally, work is divided into departments like genetics, plant pathology,
administration, accounts, etc.
Specialisation enables application of specialized knowledge which betters quality of work and
improves organisational efficiency. At the same time, it can also influence fundamental work
attitudes, relationships and communication. This may make coordination difficult and obstruct
the functioning of the organisation. There are four main causal factors which could unfavorably
affect attitudes and work styles. These are differences in:
 Goal orientation
 Time orientation

 Inter-personal orientation, and
 The formality of structure (Lawrence and Lorsch, 1967).

Coordination

Coordination refers to integrating the objectives and activities of specialized departments to
realize broad strategic objectives of the organisation. It includes two basic decisions pertaining
to:
 Which units or groups should be placed together; and
 The patterns of relationships, information networks and communication (Anderson, 1988).
In agricultural research institutions, where most of the research is multi-disciplinary but involves
Specialisation, coordination. Of different activities important to achieve strategic objectives.
Efficient coordination can also help in resolving conflict sand disputes between scientists in a
research organisation.
Hierarchy facilitates vertical coordination of various departments and their activities.
Organisational theorists have over the years developed several principles relating to the hierarchy
of authority for coordinating various activities. Some of the important principles are discussed
below.

Unity of Command

Every person in an organisation should be responsible to one superior and receive orders from
that person only. Fail (1949) considered this to be the most important principle for efficient
working and increased productivity in an organisation.

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