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MANAGING ORGANIZATIONAL ENVIRONMENTS: CONCEPTIONS OF THE ENVIRONMENT Submitted to: Dr. Rebecca Gaddi Submitted by: Caritas A. Guerrero IR202 Thursdays 6-9pm
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DEFINITION OF ENVIRONMENT BY HAWLEY: “ ALL PHENOMENA THAT ARE EXTERNAL TO AND POTENTIALLY OR ACTUALLY INFLUENCE THE POPULATION UNDER STUDY” POPULATION WOULD MEAN THE SOCIAL COLLECTIVITIES MORE GENERALLY- FROM SOCIETIES TO ETHNIC GROUPS, IT WOULD ALSO APPLY TO INDIVIDUAL ORGANIZATIONS.It would also mean surroundings; conditions of life or growth. The environment of an organization strongly affects what it does and its outcome. Early studies of organizations often gave consideration of environmental influences.
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ORGANIZATIONAL ENVIRONMENTS There are different approaches in conceptualizing organizational environments, first we have to identify broad key dimensions of environments, then examine the interorganizational relations(IORs) as a key aspect of environments finally discussing contemporary studies that have focused on a variety of selected aspects of organizations’ environment. As we continue by describing a number of broad theoretical examples that focus attention on how particular aspects of organizational environments affect particular outcomes.
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DIMENSIONS OF ENVIRONMENT First Dimension - Environmental Capacity the level of resources available to an organization.This is a joint function of the demand for the goods and services an organization offers and the number of other organizations also offering the same kinds of goods and services. Capacity can be characterized as “rich”(lots of resources) the other as “lean”. Environmental capacity affects organizations’ opportunities for growth, the degree of constraint they face in making decisions and their chances of survival. This dimension relates to a key focus of one contemporary paradigm known as population ecology.
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Second dimension Heterogeneity refers to the degree of which the organization faces very different demands by constituents. Example is a hotel that serves a range of clients, from families to business travelers to conventioneers, faces a more heterogenous environment than one that focuses on serving young, affluent adventure travelers. Dealing with an array of constituents who have different expectations and demands makes decision-making more complicated but may also offer more opportunities for attracting resources and for dealing with fluctuations in support from a given set of constituents.
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Third Dimension Stability-this taps a temporal aspect- the rate at which change occurs in products, clients, funding, or other elements of the environment, changes to which the organization has to respond if it is to survive. High levels of stability require organizations to be able to change quickly without becoming unreliable or wracked by internal conflict.
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Fourth Dimension Environmental concentration- This refers to the distribution of resources used by the organization across geographical and/or temporal space. Its also the analog of spatial complexity; the greater the environmental concentration, the less likely is the organization dealing with this environment to be spatially complex.
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Fifth Dimension Domain Consensus-Agreement between related organizations and other groups of society about who has the right to provide particular goods and services to whom. This is a second determinant of IOR, this specifically refers to agreements among organizations. When organizations have overlapping domains and can’t agree on which organization will be responsible for which set of clients or activities they are unlikely to form enduring IORs. Ideological factors including the compatibility of the goals of the organizations involved, common understanding of the nature of
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Continuation… Sources of basic problems, and concensus on accepted treatment approaches also affect domain concensus. Another influence on the formation of IOR is Geographical Proximity or the spatial distance between organizations. It is difficult for both organizations and individuals to establish or maintain relationships across distances. Proximity often enhances knowledge or awareness of other organizations and facilitates interaction among personnel from different organizations.
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Continuation… A final influence on IOR is the size of the actual or potential set or network of organizations. Size affects the number of organizations available to form ties at any given point in time.
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Sixth Dimension Environmental Turbulence- This is related to environmental instability associated with a particular feature of interorganizational relations: close interconnections among a set of organizations, or very dense network, such that change that affects any one of them produces a domino effect among others. Strong ties between orgs can provide access to important info and other resources.
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Interorganizational Relations - IOR This is an alternative approach focused on organizations’ ties to other organizations and to look closely at both factors that affect the formation of such ties and the exchange of resources through the ties. Interpersonal ties facilitate the initiation of interorganizational interaction and, ultimately, longer-term relationships. A study of hotels in Sydney, Australia, have shown that friendship ties among hotel managers resulted in enhanced collaboration and information exchange and mitigated competition.
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continuation
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Forms of IOR Three basic forms of IOR Dyadic or pairwise- the simplest form of IOR, most attention in practical research, typically concentrates on understanding characteristics that make organizations compatible exchange partners. Awareness is a precondition of IOR and it has two levels of awareness, one level involves basic knowledge of the goals, services and resources present in other organizations. This awareness provides some insights into potential interdependence or reasons to form ties. The second level of awareness involves interpersonal ties among organizational personnel, it involves old school ties, membership in common professional organizations, membership in common religious or fraternal organizations, simple friendship, or contacts that are based solely on work. Focal agency- Analyses focusing on this form typically examine a focal agency (FA) and its dyadic relationships with other organizations; key questions would be how do differenty ties simultaneously affect the functioning of a focal organization and what conditions facilitate or hinder the maintenance of multiple ties. Interorganizational network- all organizations linked by a specified type of relation, constructed by finding the ties between all organizations in a population, networks are the total pattern of interrelationships among a cluster or organizations that are meshed together in a social system to attain a collective and self-interest goals to resolve specific problems in a target population.
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Domain Concensus-agreement among organizations about the roles that they can and should play relative to one another. With regards to their programs, services and clients. Ideological factors including the compatibility of the goals of the organizations involved, common understanding of the nature of the sources of basic problems, and concensus on accepted treatment approaches.For example, research has indicated that reproductive services organizations that are predicated on very different views of client-provider relationships are more likely to have clashes between staff members, making it dificult to sustain a relation.
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