According to Jones (2004), organizational theory is the function of a company on how it operates in the environment (self impact) and how the environment affects their operational agenda. In my opinion, this correlates to the law of cause and effect.
The organizational design and change indicates the how/why various means are chosen, which assist in managing the structure and culture to control activities to achieve its goals. Change process occurs when an organization attempts to move from its present positions to a future state to increase proficiency. Structure entails the organization’s chain of command; employees and management are made up of people, thus creating a culture, enforcing rules, upholding standards; it is obvious that structure and culture are inherently connected. Thus, structure is a control mechanism implemented by an organization in the way personnel coordinates and carries out tasks, and a means by which to motivate employee’s to attain organizational goals.
The structure is shaped by the people through shared values and norms to control its member’s interaction with both internal and external resources, such as suppliers, customers, and other outside sources. Culture evolves through the people and their values within the company for example: organizational ethics, rights of employees, and design structure are a reflection of its culture. It also shapes and controls behaviors internally, what is rewarded, what is not tolerated. For example, the essence of an organization’s culture is shown by the way the organization conducts business, in the manner in which it treats customers and personnel, and degree of loyalty expressed by personnel. Therefore, culture has a tremendous impact on the behavior, productivity, and expectation of personnel. It can also provide a benchmark of the standards of performance for personnel.
In short, organizational theory, design and change, structure and culture are systems of interconnecting roles, which compliment each other during the operation of an organization in its quest to achieve organizational success. As these elements interact and evolve over time, they influence one another as the organization grows. In other words, organizational theory, design, and change, culture and structure are interdependent. It is important to note that the people inside a company are ultimate responsible for a positive or negative relationship. The text definition of organization is: a tool used by people to coordinate their actions to obtain something they desire or value. Again, the key is the people, which inadvertently influence and are influenced by the organizational culture, who determine structure, and who set policies and rules on how to interact with the environment, which in turn will influence the organization. In short: all things are interconnected and influence each other; interestingly this is a belief system that is grounded in eastern philosophy – Buddhism being a prime example.
Jones, Gareth, R. (2004). Organizational Theory, Design, and Change (4th ed). New Jersey
Coleman, J. W. & Cressey, D. R. (1993). Social Problems (3rd ed) . New York, N.Y.
Hofstede, G. (1993). Culture Constraints in Management Theories, Academy of Management