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Fenster schliessen

Effect of Age on Organizational Failure

Hypothesis: Liability of Newness

Young organizations ahve higher failure rates because of:

  • need to learn new roles and create routines
  • limited resources
  • lack of endorsement (legitimacy)
  • costs of compliance with regulations

Empirical test: no effect when size is controlled

Fenster schliessen

Resource Partitioning Model of Organizational Ecology

Lizenzierung: Keine Angabe
Fenster schliessen

7.4 Critical Appraisal of Organizational Ecology

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Fenster schliessen

Importance of the Theory (3)

  • Explanation of change in population of organizations
  • New perspective in organizational research (focus on populations)
  • Empirically testable
Fenster schliessen

Critique on Organizational Ecology Theory (3)

  • Concept of population is unclear and thus it is difficult to distinguish between populations
  • Empirically: Foundation of new companies is not the dominant mechanism of variation, elimination of companies is not the dominant mechanism of selection
  • Influence of individuals (e.g. managers) is ignored
Fenster schliessen

Summary: Organizational Ecology as Organization Theory

Lizenzierung: Keine Angabe
Fenster schliessen

Module 8: New Institutionalism

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8.1 Core Concepts: Legitimacy and Institutions

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Definition of Institutions

Societal rules or expectations that are taken for granted or treated like "facts"

Fenster schliessen

Definition of Legitimacy

Legitimacy is a generalized perception that structures or actions of an organization conform to the existing institutions

Fenster schliessen

8.2 Institutional Environments and Organizational Structures

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Technical Environment

  • Products and services are exchanged through markets
  • Organizations strengthen their competitive advantage by effective controlling of work processes

Main Criteria: Efficiency

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Institutional Environment

  • Demonstrate conformism with institutionalised rules
  • This way gain legitimacy and support from the environment

Main Criteria: Legitimacy

Fenster schliessen

Combination of Technical and Institutional Environement

Matrix

Institutional Environment

strong                                            weak

strong             bank, hospitals                               industrial companies

weak               psychiatric hospitals, churche        restaurant, fitness centers

Technical Environment

Fenster schliessen

Structure of the Argument

Survival of organizations: Organizations, which include in their formal structure social legitimated and rationalized elements, maximize their legitimacy, ensure the flow of resources and so improve their survivability.

Fenster schliessen

Organization Theories

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Fenster schliessen

Module 1: The Pluralism of Organization Theories

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1.1 Introduction

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Two Diffferent Meanings of the Term "Organization"

  1. Instrumental Meaning
  2. Institutional Meaning
Fenster schliessen

Instrumental Meaning

something

  • is being organized
    • = activity
    • = function
  • has an organization
    • = result
    • = configuration
Fenster schliessen

Institutional Meaning

something is an organization

example: NGOs, government, school, university, companies, state, family, military, sport club, church, hospital

Fenster schliessen

Which aspects characterize an organization? (4)

  • structure
  • actor/agency
  • environment
  • change
Fenster schliessen

1.2 Organization Theory vs. Organization Theories

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Reasons for the Plurality of Organization Theories

Different

  • objects of research
  • disciplinary approaches
  • ideas of theory building (philosophy of science)
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Function of Organization Theories: Truth vs. Insight

"insight seeking"

"What will matter is how much insight and understanding can be extracted from the entire constellation of theories"

many theories can be true and they are all providing insight (not the same) = it is good to have different theories

Fenster schliessen

1.3 Organizational Research Paradigms

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Definition of "Paradigm"

"A general perspective or way of thinking that reflects fundamental assumptions about the nature of organizations"

Often several theories within the same paradigm

Fenster schliessen

Fundamental assumptions (2)

  1. Nature of the society: regulation vs. radical change
  2. Nature of social science: subjective vs. objective
Fenster schliessen

Paradigms of Organization Research by Burrell and Morgan (Matrix)

Lizenzierung: Keine Angabe
Fenster schliessen

Modul 2: Max Weber and the Concept of Bureaucracy

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