UGBA 105 Sections 102,104,106Slide 2Slide 3Slide 4Slide 5Slide 6UGBA 105UGBA 105Sections 102,104,106Sections 102,104,106Congruence model reviewedCongruence model reviewedAll problems involve one or more disconnects, or All problems involve one or more disconnects, or incongruenciesincongruencies, , between 4 major components of organizations:between 4 major components of organizations:In turn, solutions involve the analytic - and creative - achievement of congruence. Input Environment(Competition, change)Resources(munificence)History (age, conditions at founding) OutputSystemsUnitIndividualInformal Org(culture, politics leadership, networks)Tasks (technologies, work flows)People(ability, skills, motivation, biases)Formal Org (job titles, depts, reporting hierarchy, IT & HR systems) The Congruence ModelThe Congruence ModelStrategy (diversification innovation)Principal OB LeversPrincipal OB Levers Managers can solve problems by Managers can solve problems by changing the organization in the changing the organization in the following ways:following ways:–Tasks or work Tasks or work –Formal organizationFormal organization–Informal organizationInformal organization–PeoplePeopleBut But notnot in isolation in isolationMust pay attention to core tasks, Must pay attention to core tasks, goals, strategy and environmentgoals, strategy and environmentThus, the congruence or “fit” Thus, the congruence or “fit” hypothesis:hypothesis: The degree to which the strategy, work, The degree to which the strategy, work, people, structure, and culture are people, structure, and culture are smoothly aligned will determine the smoothly aligned will determine the organization’s ability to compete and organization’s ability to compete and succeed.succeed.Getting Past Symptoms: Getting Past Symptoms: Discerning Root CausesDiscerning Root CausesWhat are the fundamental causes What are the fundamental causes of the performance gap?of the performance gap?GapWhy?Why?Why ?We’re not getting new product outLack of coordination devicesInter-unit conflictConflicting reward schemesSolutionsSolutions DefinitionDefinition: a solution to a : a solution to a problem (a performance gap) is a problem (a performance gap) is a change to the organization that change to the organization that removes one or more causes of removes one or more causes of the problem without creating new the problem without creating new and larger/more serious problems.and larger/more serious
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