Donald L. Anderson 
Organization Design [EPUB ebook] 
Creating Strategic & Agile Organizations

Preface
Acknowledgments
About the Author
Chapter 1: Introduction to Organization Design
Organization Design Defined
Organization Design Is a Set of Deliberate Decisions
Organization Design Is a Process
Organization Design Assumes a Systems
Approach to Organization
Organization Design Is Based on the Organization’s Strategy
Organization Design Encompasses Multiple Levels of Analysis
Organization Design Is More Than Organizational Structure
Organization Design Is an Interdisciplinary Field of Research and Practice
History of Organization Design
1850s to Early 20th Century
1910s to World War II
Post–World War II to 1960s
1970s and 1980s
1990s and 2000s
The Case for Organization Design Today
Design Affects Performance
Design Is a Leadership Competency
Today’s Organizations Experience Significant Design Challenges
Today’s Focus on Agility Is a Design Issue
Summary
Questions for Discussion
For Further Reading
Chapter 2: Key Concepts and the Organization Design Process
Key Concepts of Organization Design
The STAR Model of Organization Design
Alignment, Congruence and Fit
Contingency Theory and Complementarity
Tradeoffs and Competing Choices
Reasons to Begin a Design Project
Performance Is Suffering Because of Misalignment
The Strategy Changes
There Is a Shift in Environment or External Context
There Are Internal Changes to Structures, Functions, or Jobs
The Organization Has Made One or More Acquisitions
The Organization Expands Globally
There Are Cost Pressures
There Is a Leadership Change
Leaders Want to Communicate a Shift in Priorities
The Design Process
Scope, Approach, and Involvement
Top Down
Bottom Up
Deciding Who Is Involved
Design Assessments and Environmental Scanning
Design Assessments: Gathering Data
Using the STAR Model as a Diagnostic Framework
Environmental Scanning: STEEP and SWOT
Evaluating the Current Design
Evaluating Alignment in the Design
Evaluating Strategy/Task Performance and Social/Cultural
Factors in the Design
Goold and Campbell’s Nine Design Tests
Design Criteria and Organizational Capabilities
Benefits of Design Criteria
How to Develop and Use Design Criteria in the Design Process
Summary
Questions for Discussion
For Further Reading
Exercise
Case Study 1: The Supply Chain Division of Superior Module Electronics, Inc.
Chapter 3: Strategy
Why Strategy is an Important Concept for Organization Design
What is Strategy?
Sustainable Competitive Advantage
Activity Systems and Strategic Tradeoffs
Types of Strategy
Porter’s Generic Strategies
Treacy and Wiersema’s Value Disciplines
Miles and Snow’s Strategy Typology
Stuck in the Middle
Key Concepts
Porter’s Five Forces Model
Core Competencies
Blue Ocean Strategies and the Strategy Canvas
New Trends in Thinking About Strategy
Summary
Questions for Discussion
For Further Reading
Exercises
Chapter 4: Structure
Connecting Strategy and Structure
How Strategy Influences Structure
How Structure Influences Strategy
Dimensions of Organization Structure
Departmentalization or Groupings
The Purpose of Department Groupings
Structure Options
Advantages and Disadvantages of Structure Types
Principles of Structure
Shape/Configuration: Span of Control and Layers
Distribution of Power: Centralization/Decentralization
Division of Labor and Specialization
Connecting Strategy and Structure: Revisited
Summary
Questions for Discussion
For Further Reading
Exercises
Chapter 5: Processes and Lateral Capability
Lateral Capability: The Horizontal Organization
Why Developing Lateral Capability Is So Difficult
Benefits and Costs of Lateral Capability
Forms of Lateral Capability
Networks
Shared Goals, Processes, and Systems
Teams
Integrator Roles
Matrix Organizations
Getting the Level of Lateral Capability Right
How to Decide Which Form to Use
Governance Models and Decision Authority
Governance and Planning Processes
Decision-Making Practices
Enablers for Successful Lateral Capability
Summary
Questions for Discussion
For Further Reading
Exercise
Case Study 2: Collaboration at On Demand Business Courses, Inc.
Chapter 6: People
Case 1: Coca-Cola
Case 2: AT&T
Case 3: Lafarge
Traditional Approaches to People Practices
A Strategic Approach to People Practices
Key Positions and the Differentiated Workforce
“A” Positions and Pivot Roles
Talent Identification and Planning
Talent Identification: Focus on Potential
Talent Planning, Pipelines, and Talent Pools
Career Development
The Classic View: Stages of the Career
The Contemporary View: Boundaryless Careers
Talent Development and Learning Programs
New Forms of Learning versus Formal Training
Development Through Experiences
Performance Management
Strategic Analysis and Designing the People Point
Global Considerations
Summary
Questions for Discussion
For Further Reading
Exercise
Chapter 7: Rewards
Approaches to Rewards
Misaligned Rewards: When Rewards Fail
Unethical Behavior
Counterproductive Behavior
Conflict and Competition
Slower Change and Resistance
Why Designing Rewards is so Challenging
Motivation
Expectancy Theory, Goal Setting, and Equity
Intrinsic and Extrinsic Motivation
Motivation-Hygiene Theory
Intrinsic Motivation and Extrinsic Rewards
Motivational Impact of Job Design
Metrics and the Balanced Scorecard
Rewards Strategy and Systems
Basis for Rewards
Types of Rewards
Designing a Rewards System That Works
Rewards, Strategy, and Other STAR Points
Summary
Questions for Discussion
For Further Reading
Exercises
Case Study 3: A Talent and Rewards Strategy at EZP Consulting
Chapter 8: Reorganizing, Managing Change, and Transitions
Change and Resistance
Personal Transitions
A Change and Transition Planning Framework
Resistance
Reorganizing and Transition Planning
Structure, Reporting Relationships, and Staffing
Pace and Timing
Scope and Sequencing
Communication
Feedback and Learning
Organizational Culture and Design
What Is Culture?
Understanding Culture: Competing Values Framework
Leadership and Organization Design
Leadership’s Role During the Design Process
Leadership’s Role During Change
Design and Leadership Development
Leading New Teams
Summary
Questions for Discussion
For Further Reading
Exercise
Case Study 4: Reorganizing the Finance Department: Managing Change and Transitions
Chapter 9: Agility
Why Agility is Important Today
Continuous Design and Reconfigurable Organizations
What Agility Means
“Change-Friendly” Identity
Sensing Change
Agile Strategy
Zara and Transient Advantages
Rapid Prototyping and Experimentation
Agile Structure
Structure and the “Dual Operating System”
Holacracy
Agile Process and Lateral Capability
Agile Teams
Global Collaboration
Partnerships and Collaborative Networks
Agile People
Learning Agility
Leadership Agility
Agile Rewards
Agility and Stability
Summary
Questions for Discussion
For Further Reading
Chapter 10: Future Directions of Organization Design
Emerging Beliefs about Organizations and Design
Work Trends Create Design Challenges
Design Challenges Shape Design Process
Future Trends in Organization Design Theory and Practice
Big Data
Digital Technologies, Platforms, and Business Models
Sustainability and the Triple Bottom Line
Changes in Organization Design Practice: A Case Study of Royal Dutch Shell
The Organization Design Practitioner Role and Skills
Summary
Questions for Discussion
For Further Reading
Appendix
Organization Design Simulation Activity
Part I: Strategy
Part II: Structure and Process and Lateral Capability
Part III: People and Rewards
Part IV: Reorganizing
References

Donald L. Anderson, Ph.D., University of Colorado, teaches organization development at the University of Denver and organization design at the University of Colorado, Boulder. He is a practicing organization development consultant and has consulted internally and externally with a wide variety of organizations, including Fortune 500 corporations, small businesses, nonprofit organizations, and educational institutions. Dr. Anderson’s research interest is in discourse in organizational and institutional settings, and his studies of organizational discourse and change have been published in journals such as the Journal of Organizational Change Management, Gestion, and Journal of Business and Technical Communication. He is the author of the text Organization Design: Creating Strategic and Agile Organizations (SAGE, 2019) and editor of the text Cases and Exercises in Organization Development & Change (2nd ed., SAGE, 2017).