First readings
Strategy has to be decided by managers first, when start up
However strategy needs to be taking consideration of environment
Up to pair with the organisation structure and strategy
Not explicit, but in the beginning it is needed
Decision making is crucial when doing strategy rather than intuition
However, it is risky to make a strategy for the future and extrapolate the past
Strategy formation should be simple and informal
Should be unique and come from a process of creative design
Separate strategy formulation and implementation
1. Closed Rational Organizations and Bureaucratic, Control-Oriented
Management (1900-1930):
● Organizations were seen as closed, rational systems focused on
internal interactions and organizational control.
● Effectiveness was achieved through setting specific goals, formalizing
rules and roles, and monitoring conformance.
● Bureaucratic control, based on Weber, Taylor, and Simon's ideas,
emphasized stable behavior and hierarchical authority.
2. Natural Systems and Management Emphasis on Engaging Participants
(1930s-1950s):
● The natural system perspective viewed organizations as social
collectivities focused on survival.
● Management shifted from command and control to engaging the
hearts and minds of participants.
● The human relations perspective highlighted the importance of
informal relations, motivation, and teamwork.
3. Open Systems and Management's Function as Leader and Enabler (1960s
onwards):
● The open system perspective emphasized the interaction between
organizations and their external environment.
● Organizations needed to become more flexible and adaptive in
complex and changing environments.
● Management's role shifted to being leaders who engage employees,
customers, and stakeholders, and promote creativity and innovation.
4. Dealing with Conflicting and Multiple Models: The Emergence of a
Contingency Perspective (1980s onwards):
● Different organizational models emerged, emphasizing various aspects
of effectiveness.
● Organizational design and management needed to consider
flexibility/adaptability vs. control/stability, internal vs. external
orientation, and means vs. ends.
● Effectiveness depended on finding the right balance among these
attributes based on organizational objectives and the situation.
Planning is seen as a statement of intentions and directions, while organizing
focuses on structuring activities, assigning roles, establishing accountability, and
creating detailed rules and systems for communication and decision-making
The key variables that determine organization structures are purpose/goals,
people, tasks, technology, culture, and the external environment.
Organizational culture is not something that can be easily changed or imposed. It
evolves over time and is deeply embedded in the organization's systems, practices,
and interactions.
Understanding and managing organizational culture is crucial for effective
leadership, employee satisfaction, and the overall success of the organization. It
requires a continuous effort to assess, nurture, and align the culture with the
organization's strategic goals and the needs of its employees and stakeholders.
The advantages of a product-based structure include the ability to facilitate
diversification and adapt to technological changes by grouping specialized expertise
and equipment together.
However, a potential disadvantage is that individual product managers may prioritize
their own product groups at the expense of other parts of the company.
concepts of centralization and decentralization. Centralization refers to the dispersal
of authority to commit an organization's resources, while decentralization involves
diffusing authority throughout the structure. Highly decentralized organizations
distribute authority widely across all levels, while highly centralized organizations
concentrate authority in a small group of senior managers.
Decentralization has several advantages, including preventing top-management
overload, speeding up operational decisions, allowing flexibility in local decisionmaking, focusing attention on important cost and profit centers, and contributing to
staff motivation and initiative. However, certain functions, such as planning,
research, finance, and personnel, are often less decentralized to maintain
consistency and standards.
Service authority is advisory in nature and seen as authority without responsibility.
functional authority derives from the staff function and is exercised by managers of
specialist functions.
The concepts of authority, responsibility, and power are also relevant in
understanding organizational relationships. Authority refers to legitimate power
granted from the top and can be delegated. Responsibility is the obligation to
perform certain functions on behalf of the organization and is commonly referred to
as accountability. Responsibility cannot be delegated. Power, on the other hand, is
the ability to implement actions, regardless of formal authority or responsibility. It is
important to differentiate power from authority and responsibility, as power can be
misused and may not necessarily align with organizational interests.
The reasons for delegation are discussed, including practical reasons like relieving
senior managers of less important tasks, making decisions closer to the point of
impact, and facilitating staff development and motivation. Idealistic reasons for
delegation include individual growth, staff morale, and job enrichment.
The authors emphasize that organizational culture plays a crucial role in shaping
the strategic direction, structure, and decision-making processes of an
organization.
They assert that the alignment between culture and strategy is essential for
organizational success
They highlight that a supportive and flexible culture can promote greater autonomy
and empowerment, leading to flatter structures and more decentralized decisionmaking.
In conclusion, the article highlights the significance of organizational culture in
shaping strategy, structure, and decision-making within an organization. It
emphasizes the need for organizations to actively manage and align their culture
with their strategic objectives to foster a supportive and effective work environment.
The authors begin by defining organizational culture and its components,
highlighting its influence on employee behavior, attitudes, and performance. They
stress that culture is a shared system of values, beliefs, and assumptions that guide
the actions of individuals within an organization.
Fit between culture and strategy highlights the importance of aligning cultural values
with the strategic objectives of the organization. When there is a strong fit, culture
supports and reinforces the desired strategic actions, facilitating their successful
implementation.
the authors assert that culture matters when certain contingencies are met, such as
the strength of cultural norms, consensus among members, alignment with the
environment, and fit with the strategy. Understanding these contingencies can help
organizations leverage culture as a powerful tool for shaping behavior and achieving
strategic goals.
, leaders and managers have distinct personalities, with leaders agitating for change
and new approaches while managers advocate stability and the status quo.
The Lewin, Lippitt, and White studies identify three basic leadership styles: autocratic
(directive and controlling), democratic (collaborative and interactive), and laissezfaire (hands-off approach).
Fiedler's theory classifies leaders as either task-oriented or relationship-oriented
based on their primary need gratification.
Overall, these theories and models provide guidance on how leaders can adapt their
behavior and approach to fit the situation and followers, aiming for better alignment
and effectiveness.
The selling style is used when a follower is unable but willing and confident, involving
high task and relationship behavior. The participating style is used when a follower is
able but seems unwilling or insecure, emphasizing high relationship but low task
behavior. Finally, the delegating style is used when a follower is able and willing,
requiring low task and relationship behavior
leaders who exhibited task, relationship, and change behaviors were found to be the
most effective.
the passage explores the impact of different leadership styles, including charismatic
and authentic leadership
The emerging issues in leadership include emotional intelligence, trust, gender and
leadership, and servant leadership
1. Women managers excel in positions that require strong interpersonal skills.
The glass cliff phenomenon refers to the trend of placing more women in
difficult leadership situations, which is influenced by the challenges women
face in attaining leadership positions and perceived decision-making
capabilities.
the postheroic perspective challenges the traditional notion of leadership by shifting
the focus from individual leaders to a collective understanding of leadership. It
recognizes that leadership is not solely attributed to individuals in formal positions
but emerges through interactions and collaborations among group members.
Shared leadership: Shared leadership refers to the distribution of leadership
responsibilities and authority among multiple individuals within a team or
organization.
Shared leadership has been associated with various benefits, such as increased
innovation and creativity, higher team performance and satisfaction, improved
problem-solving and decision-making, enhanced adaptability to change, and a more
inclusive and empowering work environment.
Marketing is described as a social and managerial process that involves creating,
offering, and exchanging valuable products or services with others to fulfill their
needs and wants.
competitive industries that perform well internationally invest in activities such as
research and development, learning, modern facilities, and training. He proposes a
"diamond" system of determinants of national advantage, which includes factor
conditions
The marketing mix is a crucial element in every marketing strategy. It consists of
four main variables: product, price, promotion, and distribution.
The product variable encompasses aspects such as variety, quality, brand name, and
packaging. The price variable includes factors like the basic price, discounts, and
credit terms. Promotion involves activities such as advertising, personal selling,
sales promotion, and publicity. Lastly, the distribution variable deals with channels
such as the sales force, coverage, and transport.
The concept of the product life cycle plays a crucial role in sales forecasting and
product planning. It helps in determining the sales volume, profits, and market share
of a product at different stages of its life cycle.
Publicity is another valuable tool in the promotional mix that can generate positive
exposure for the organization and its products. Unlike other promotional devices,
publicity often does not incur direct costs for the organization. It involves obtaining
news coverage about the organization or its products in the press and other media
outlets without charge.
It suggests that green marketers should consider psychological and social factors
that influence consumers' decision-making processes.
the authors stress the importance of integrating sustainability into the entire product
lifecycle, from design to disposal. Green marketers should promote eco-design,
energy efficiency, and sustainable materials to enhance the environmental
credentials of products
Partnerships and Collaborations: Green marketers can strengthen their impact by
collaborating with environmental organizations, industry associations, and other
stakeholders. Partnerships can enhance credibility, expand reach, and create
synergies in promoting sustainability.
Evaluation and Feedback: The article emphasizes the importance of continuous
evaluation and feedback to improve green marketing strategies. Green marketers
should measure the effectiveness of their initiatives, collect consumer feedback, and
adapt their approaches accordingly.
Building trust requires transparency, clear communication, and establishing
credibility through certifications and third-party verification
The article concludes by summarizing the key lessons learned from renewable
electricity marketing attempts, including the importance of consumer segmentation,
education, trust, policy support, partnerships, and engagement. Understanding these
lessons can inform future marketing initiatives in the renewable electricity sector