ÖRGÜT KURAMI VE TASARIMI - Deneme Sınavı - 13

Technological change refers to changing the hardware of the work and skills and knowledge of employees.

Planned change includes a repetitive sequence of goal formulation, implementation, evaluation, and modification of a pictured end state, and it is rapid and dramatic.

What was the reason behind the rise of organizational culture as a concept for understanding organizations? Of course, it was not coincidental. Many social, field and individual-level developments triggered the increase of awareness in the 90s. These factors are explained below:5 • Individualism and alienation: By the end of 1970s modern societies witnessed widespread diffusion of individualism that alienated people from the society. Lonely people searching for an identity celebrated organizational culture as a haven. Organizational culture allowed people to answer aching questions for raison d’etre! “Who am I, what is my reason for being in this world? what this organization stands for?” are all examples of questions asked and generally found an explanation within the concept of organizational culture. • Technically advanced production and the rise ofservice industry: Production process was upgraded to an advanced level in which automation became widespread. Moreover, the volume of service industry gradually surpassed goods production in many developed countries.Thus,employees had to be more customer-focused and technically qualified. Consequently, skillful and welltrained employees preferred independent working conditions. Organizational culture, as a way of controlling employee behavior, allows members to use their judgment, and act morefreely within defined organizational norms. Once members of the organizations cultivated with organizational values, close supervision will be redundant.• Machine bureaucracy gradually became less useful in managing people: Scientific management was the paradigm relevant to 1960s and 1970s. During 1980s validity of scientific management as the only paradigm for managing people started to be scrutinized. The effectiveness of objective and mathematical management techniques like time-and-motion studies was challenged. This movement led scholars focusing on the human aspect of management, or in other words, “soft” aspects of organizations. • Innovative production techniques: Mass production techniques increase the level of efficiency. But these techniques usually decrease the overall flexibility of the organization. To balance the level of efficiency with the degree of flexibility, organizations should employ people who have a sense of active belonging and commitment. Organizational culture is providing a cognitiveschemethroughwhich members can agree upon collective values, and thus elevates the level of organizational commitment. • Japanese miracle: After the devastation experienced by Japan following the 2nd World War, Japan’s reborn as an economic power found to be related to the Japanese management style. Globalization which is generally equated with getting rid of economic, political, cultural, and technological barriers led to an increase in awareness and curiosity in the global west for the east. It was self-evident that Japanese miracle was mostly related to the Japanese cultural value system and its reflections within Japanese organizations. Other countries also tried to understand and encapsulate these reflections for themselves, and hence the interest in the cultural aspect of organizations tend to strengthen.

Organizational culture is shared social knowledge among organizational members shaping organizational members’ attitudes and behaviors based on mutually accepted rules, norms, and values.

Organizational culture is made up of fundamental beliefs and assumptions, providing shared values that make being a part of an organization meaningful, and offers organizational members welldefined integrative patterns for expressing themselves. Organizational culture is usually defined as a norm and value-based phenomenon.

Subculture is defined as groups sharing overall cultural values of the society but diverges from these groups by holding different values brought by their lifestyles, values, and norms.

Organizational culture has three levels, namely basic assumptions, espoused values, and artifacts.

Physical symbols, slogans, stories, jargon, ceremonies, rites and rituals, code of conduct are the ways organizational culture is conveyed.

Ethics is about personal morality. Organizations can reinforce ethical values and behavior by using tactics given below; • Selecting and recruiting ethically developed employees, • Determining moral codes, • Ethical leadership, • Designing performance management and defining organizational objectives in relation to the ethical standards, • Ethics training and education, • Independent audits and • Setting up proactive mechanisms for preventing unethical behavior.

Managerial decision-making is a matter of finding solutions or action plans for problems and providing the maximum benefit for organizational stakeholders. This problem may involve finding the best inputs, offering the best service, or designing the best production process. It may sometimes involve choosing the right move against competitors or offering a solution to a threat to the environment.

Programmed decision-making involves the most efficient and easily repeatable routine operations. Thus, constant value creation processes of the organization can be effectively managed. In general, this decision-making mechanism includes a set of written rules and standards that enable the organization to operate in the most efficient manner. Organizations arrange boards, policies and detailed procedures for decisions to be taken in such repetitive situations. This type of solution eliminates a very time-consuming process of identifying and evaluating alternatives and making new decisions. Managers, thus, have the opportunity to devote their time to solving more complex problems. In such pre-programmed decisions about a range of actions, it is mainly certain at the decision stage which actions to take, which persons to include, which resources and means to use, and which outcomes to be achieved.

Non-programmed decision-making includes the most creative, original and unstructured decisions by which managers help organizations to produce solutions to changing and uncertain situations.2 Such decisions cannot be made in advance. No rule, procedure or written norms alone are sufficient to pre-determine how to make these decisions. Every situation, problem or solution is unique and emerges at its own particular time. There is a need for more comprehensive information to make such decisions. Greater coordination between departments of the organization is expected. There is also greater cooperation between departments. It is often impossible to know whether such decisions are correct. Managers make such decisions on the basis of their past experience and predictions. Therefore, this decision-making process is a process that requires managers to make decisions by relying on their intuition and creativity.

Under the rational approach to decision-making, decisions are generally made based on the quantitative data through a linear process. These models are quantitative and normative and tend to observe, identify, explain and predict choices3. They involve the logical completion of the stages including the identification and systematic analysis of the problem, right choice, and implementation. An important number of decisions made by managers in a day include repetitive decisions. Well-designed rational decision-making processes, especially in such decision-making activities, enable managers to engage in effective management. If this process is written and made accessible to everyone, it is turned into an important tool for others who deal with similar problems.

Herbert Alexander Simon is the founder and the most prominent name of the rational decision-making approach. However, some sources also refer to Chester Barnard, one of the most prominent figures in the behavioral school, as the pioneer of decision-making theory.

Step 6. Select a decision-making tool: There are various tools to solve a decision problem. Choosing the most suitable tool is an easy task. Which tool is the most appropriate depends on the goal of decision-maker and the nature of the problem. The simplest method is often the best solution; however, it may sometimes be necessary to choose a more complicated method depending on the nature of the problem that needs to be solved. Decision-making tools include many analysis techniques such as brainstorming, pros and cons analysis, Kepner/Trego decision analysis, force field analysis, analytical hierarchy process, and multi-attribute utility theory analysis. Which method to use is influenced by many factors ranging from the number of goals and requirements to the nature of the decision. Most decisions can be made using simpler techniques. In our example, the decision maker can use a simple comparison technique to exclude inappropriate software programs.

Decision-makers do not have all information, which makes a complete evaluation impossible. This is called bounded rationality. Bounded rationality is based on the principle of sufficient satisfaction. When managers find a solution as good as they can, they accept the solution.

In Carnegie Model:

Cognitive bias means a tendency to make irrational decisions about other people and situations. Cognitive biases are really common since they are produced by human nature. Habits, educational background, experience, business culture and similar components reflect cognitive bias of decision-maker in organizational decisions.