DEPARTMENT OF BUSINESS ADMINISTRATION BA5201 ORGANIZATION AND MANAGEMENT FALL 2018 TERM PROJECT Prepared by: Ekin BERKYÜREK | 1537604 Mevlüt Aycan AŞIKOĞLU | 1938174 Umutcan Sümeyye YÜKSEL | 2395226 Instructor: Assist. Prof. Dr. Çağrı TOPAL TABLE OF CONTENTS 1. Describe the organization in general. What are its boundaries inputs, processes, and outputs? ......................................................................................................................................................... 3 2. Describe the types of differentiation and degree of centralization, degree of formalization, span of control at different levels, standardization of organizational processes, and whether the organization has a mechanistic or organic design. ............... 5 3. What are the official goals or mission of the organization? What are its operating or operative goals? From the strategies of differentiation, low-cost, prospector, defender, analyzer, and reactor, which one is used by the organization and why? .............................. 6 4. What design is used, functional, output, matrix, horizontal/team, virtual network, or hybrid? ........................................................................................................................................................... 7 5. Describe the task (industry, raw materials, market, human resources, and international context) and general (government, nature, culture, economy, technology, and financial resources) environments of the organization. ..................................................... 7 6. What adaptation and control strategies does the organization use to handle environmental uncertainty? .................................................................................................................. 8 7. Which core technology is used in the organization?................................................................. 9 8. Describe the life cycle of the organization.................................................................................... 9 9. What are the general indicators and manifestations of the organization’s culture? . 10 10. Which decision making model best explains the organizational decision process, rational or bounded rational or garbage can? ............................................................................. 10 11. What sources of power do you observe in the organization?............................................ 10 12. Based on your findings, what changes do you suggest would benefit this organization? How would these changes help this organization to improve? .................. 11 2 1. Describe the organization in general. What are its boundaries inputs, processes, and outputs? Middle East Technical University was established on 15 November 1956 with a vision of a leading international university that transforms its region and the world. Currently, METU has 28000+ students, 5 faculties offering 43 undergraduate degree programs and 5 graduate schools offering 107 masters and 69 Ph.D. programs offered at METU Ankara Campus. Majority of METU undergraduate students received from the top 1% of 2,000,000+ applicants annually taking the National University Entrance Examination. We have chosen METU Publicity Office (for domestic prospective students) as for our Management Science Project Study. METU Publicity Office is operating under Institutional Relations Office along with GISAM, Public Relations Director, Press Relations, Career Planning Center, ADIMODTÜ, ODTÜDEN and Alumni Relations which all are directed by Rector’s Consultant Assoc. Prof. Dr. Y. Eren Kalay Publicity Office’s main task is performing publicity activities for recruiting students for both Ankara Campus and for Northern Cyprus Campus alongside with other marketing and communications activities. Figure 1. Position of Publicity Office in University's Organizational Structure 3 In autumn and spring semesters, METU Publicity Office organizes campus tours and presentations for the prospective students. Around 1500 high schools apply for the campus tours and presentations. METU Publicity Office selects around 500-600 high schools and organizes campus tours and presentations for them. In addition, Publicity Office organizes 2 publicity fairs in the campus which are visited by more than 20000 students and parents. In the summer semester, Publicity Office organizes METU Info Days and talk to students and parents on a oneto-one basis. Publicity Office also assists other offices related to institutional relations office such as ADIMODTÜ and GISAM in terms of communication and marketing. Prospective international students and exchange students are not in the scope of the Publicity Office. It is hard to measure the performance indicators at this kind of service since university enrollment is affected by too many variables, but surveys are applied regularly to the high schools. Also, the enrollment rate in the top 100, top 500 and top 1000 students are counted as a key performance indicator. It is assumed by the office that, the campus tours and presentations during the spring and autumn semesters are very important for the students as they increase the students’ likelihood of visiting the campus in the summer semester when they apply for the university. Campus tours and presentations for the prospective student groups are consisting of more than %70 of the total workload. The office operates with 4 full-time specialists and almost 30 part-time university students as guides. Guides are from different departments; different genders and they have different experience levels. There are also skill differences among guides in terms of public speaking. Guides have to attend their classes and exams since they are all bachelor’s degree students. Since METU is a huge university; campus tours are being made with the high school buses, guides taking the bus and showing around using a microphone. After the campus tour, university presentation is being made in a lecture hall. A campus tour lasts approximately 30 minutes and university presentation takes 1 hour. Usually, a campus tour continues with a 4 presentation and a Q&A session, but due to time limitations of the high schools, there can be only campus tours without any presentation. Since Q&A may take longer time than predicted, the office treats each program as two hours. In an ideal program, a guide is assigned to each school bus and for the presentation at least 2 guides are assigned; 1 male and 1 female student, 1 engineering/natural sciences/architecture student and 1 social/administrative sciences student. The office tries to assign experienced and highly skilled guides to the important high school whose students are more likely to enroll to the university. The office decides on the importance of the high schools based on how many students are enrolled in the last 5 years and TEOG points of the high schools. 2. Describe the types of differentiation and degree of centralization, degree of formalization, span of control at different levels, standardization of organizational processes, and whether the organization has a mechanistic or organic design. We can state that the publicity office has a highly horizontal type of differentiation, full-time specialists usually have independent responsibilities, but they usually work together on nonroutine projects or big events. In publicity office, one full-time specialist is responsible for graphic design, another one is responsible from METU NCC, another one is responsible for general communications, another one is responsible from prospective students and campus tours but for they example work together for redesigning of a web page or a publicity fair which is visited by 20000 students. There is no supervisor other than Rector’s consultant Doç.Dr.Y.Eren Kalay who is rarely involved in micro-planning. Spatial differentiation can also be observed as well, since the publicity office is responsible from domestic marketing for both Ankara and Northern Cyprus Campus, twice in a month there are coordination meeting with the METU Cyprus Campus’ marketing team. Apart from full-time administrative staff, there are 30 student 5 guides which are responsible for phone answering, data analysis on excel, making campus tours and university presentations. Since there is a high turnover rate for the student guides, a lot of standardization and formalization can be observed. There are written guides and how-to manuals for almost every task that a student is responsible for, moreover since more high schools apply for the campus tours than the office can handle there are formulations for the acceptance of the high school’s applications including TEOG minimum points of the high school and students that came from applicant high school in the last 5 years. On the other hand, the presentations are highly personalized and unique, there are certain PowerPoint slides, but each guide can add some slides and personalize the presentation. There are certain routes for the campus tours but guides somewhat have the autonomy for the information that they will present. Therefore, the design is mechanistic for the administrative tasks but due to its changing and adaptation needing characteristics tasks related to campus tours and presentations to have an organic design. 3. What are the official goals or mission of the organization? What are its operating or operative goals? From the strategies of differentiation, low-cost, prospector, defender, analyzer, and reactor, which one is used by the organization and why? Publicity office is a service organization whose main official goal is attracting elite prospective students to Middle East Technical University. Operative goals are making quality presentations and campus tours for a lot of elite schools as well as recruiting and educating quality human resources. METU Publicity Office is using prospector strategy, it is having new scholarship programs for attracting top-ranked students, free summer schools for prospective students, adapting to use social media such as Snapchat and Instagram when necessary. Although it is a well-known public university, METU is having a competitive marketing strategy putting a lot of time/money and effort to attracting the best students. 6 4. What design is used, functional, output, matrix, horizontal/team, virtual network, or hybrid? Mainly, horizontal/team design is used at the organization, core work process is well defined in line with the goal of the organization “attracting successful and hardworking prospective students to the Middle East Technical University”. Therefore, every functional activity is made in line with this goal, employee empowerment and flexibility are seen at the organization with a highly collaborative culture. The organization members, especially part-time guides think themselves as part of a team, they often collaborate by volunteering for others’ responsibilities when needed. 5. Describe the task (industry, raw materials, market, human resources, and international context) and general (government, nature, culture, economy, technology, and financial resources) environments of the organization. Both task environment and general environment in the higher education industry is highly complex and unstable. In the task environment; high schools’ campus tour applications are not known beforehand, this is making special planning (laboratory visit, presentation by a faculty member) nearly impossible for the schools that have high importance for the organization. There is a high turnover rate in the human resources environment, the organization works with student guides who are enrolled in METU. Guides have a very high turnover rate in their first years since workload is high, they might have other interest such as student club activities or sports teams. Apart from these, a student guide can only work for four years maximum then they graduate. The general environment is also highly unstable and contingent, METU Publicity Office is actually a government office; they are supposed to employ public servants but since the university gives more importance than other administrative units, full-time staff are either research assistants or they use exceptional positions from METU TECHNOPOLIS and METU NCC. Additionally, 7 financial resources are determined by the government and there is high scrutiny over the spending activities from Audit Court, unlike organization’s privately-owned competitors. Moreover, the general Turkish economic situation has a direct effect in organization’s performance indicators. When the economy is going worse, parents tend to send their sons and daughters to public universities rather than private ones and they tend to stay where they live rather than changing the city for higher education. This affects positively for METU’s main campus and negatively for the Northern Cyprus Campus. The political situation, rule of law and freedom level in the society may affect students to go abroad for higher education. 6. What adaptation and control strategies does the organization use to handle environmental uncertainty? The organization tries to handle environmental uncertainty by planning and forecasting, especially using trend analysis. By looking at historical data, it is seen that the important high schools are visiting the university in the similar periods of the year. Using these trend analyses, the organization tries to minimize the uncertainty, it organizes the presentation halls and places that will be visited in advance and sometimes the publicity office calls the high schools and ask if they are planning to visit the campus proactively. For the METU NCC, the publicity office makes suggestions for the price and quota by using forecasting and trend analysis. METU Publicity Office also handles environmental uncertainty by focusing on a niche market and domain selection. Even if they do not make any PR/Advertising/publicity activities; there will be no vacant quota for the prospective students although the supply side will be determined by the government. So the publicity office is not just in the student market anymore, it is functioning in a niche market “best students market”. As key performance indicator, they take the enrollment rate of top 1000, top 500 and top 100 students in the university entrance exam. In the 8 last two years, after this niche market selection and focus on only to the best students; enrollment rate of the top-ranked students got higher. 7. Which core technology is used in the organization? The organization is basically a service organization, it uses service as a core technology. The performance is intangible, and it is by nature labor intensive. Since the core task of the publicity office to organize campus tours and giving presentations to the prospective students, simultaneous production and consumption are observed. Human resources of the organization have high interpersonal skills, and there is a low level of automation along with flexible workflow. 8. Describe the life cycle of the organization. In its life cycle, Middle East Technical University as a whole is in the elaboration stage; it is extremely large and bureaucratic, the university’s reputation is extremely important. It has a wellknown culture and heritage and the administration is very resistant to change. For example; some new privately-owned universities are establishing new departments with fancy names; spending a lot of money in marketing and making collaborations with other European and American universities while Middle East Technical University is making its every move after detailed analysis and sometimes deciding extremely slow. On the other hand, the publicity office has its somewhat autonomy and act with more agility than the university as a whole. Therefore, we think the publicity office is in collectivity stage. It has rapid change, flexibility and increasing financial and administrative autonomy for the last six years. 9 9. What are the general indicators and manifestations of the organization’s culture? The organization has rituals and ceremonies such as welcome parties and ice breaker games as well as farewell dinners. In these ceremonies, more experienced member often tells stories and funny incidents. In addition, the organization has a special language, abbreviations are usually used for defining routine tasks, for example, Campus Tour is referred to KT, and General Presentation is referred to GT. The organization shares a common hoody and a jersey for special events such as prospective student fairs and summer camps. 10. Which decision making model best explains the organizational decision process, rational or bounded rational or garbage can? Since there is a lot of imperfect information and uncertainty, decision making for complex problems are best explained by the bounded rational model. The organization tries to interfere in human decisions, therefore most of the time intuitive decisions are being made, mostly based on previous experience. Some decisions are best explained by Carnegie model, especially decisions that have to be taken with METU Northern Cyprus Campus needs a coalition and bargaining. The organization has satisficing solutions most of the time. 11. What sources of power do you observe in the organization? The organization is officially part of a state university, therefore, there are rational and legal sources of power. Expert power can be observed specifically by the graphic designers and computer engineers, on the topics related to their expertise regardless of their hierarchical positions these experts have the almost exclusive discretive power over these topics. 10 12. Based on your findings, what changes do you suggest would benefit this organization? How would these changes help this organization to improve? The major problem with the organization is having integration with the METU NCC and try to produce communication and marketing activities for both campuses, but neither the student market nor the product is the same. Although this integration comes with more financial autonomy, it does not increase efficiency or productivity and it does not create economies of scale. Instead, it creates a necessity of weekly coordination meeting, coalitions in the decisionmaking process which results in an ambiguity in goals. Rituals and ceremonies serve well for the organizational culture and they are in line with the organic design of the organization. Certain team building activities may increase the collaborative culture of the organization. Adaptation strategies are well defined and accurately performed. 11