Difference between revisions of "Organizational Culture Quarter"

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[[Enterprise Architecture Quarter]] (hereinafter, the ''Quarter'') is the first of four lectures of [[Operations Quadrivium]] (hereinafter, the ''Quadrivium''):
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[[Organizational Culture Quarter]] (hereinafter, the ''Quarter'') is a lecture introducing the learners to [[organizational design]] primarily through key topics related to [[organizational structure]]. The ''Quarter'' is the third of four lectures of [[Organizational Quadrivium]], which is the last of seven modules of '''[[Septem Artes Administrativi]]''' (hereinafter, the ''Course''). The ''Course'' is designed to introduce the learners to general concepts in [[business administration]], [[management]], and [[organizational behavior]].
*The ''Quarter'' is designed to introduce its learners to [[enterprise discovery]], or, in other words, to concepts related to obtaining data needed to administer the [[enterprise effort]]; and
 
*The ''Quadrivium'' examines concepts of administering various types of enterprises known as [[enterprise administration]] as a whole.
 
  
The ''Quadrivium'' is the first of seven modules of [[Septem Artes Administrativi]], which is a course designed to introduce its learners to general concepts in [[business administration]], [[management]], and [[organizational behavior]].
 
  
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==Outline==
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''[[Enterprise Intelligence Quarter]] is the predecessor lecture.  In the [[enterprise envisioning]] series, the previous lecture is [[Workforce Arrangements Quarter]].''
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===Concepts===
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#[[File:Organizational-culture.png|400px|thumb|right|[[Organizational culture]]]]'''[[Organizational culture]]'''. A system of the shared meaning, values, principles, traditions, and ways of doing things held by members of the [[organization]] that influence the way organizational members act and that distinguish the organization from other organizations. Every [[organizational culture]] can be divided in four parts: (1) [[historical organizational culture]] or the culture envisioned by the founders and others that is no longer executed, (2) [[operational culture]] or the culture exercised by an enterprise today for its [[operations]], (3) [[change culture]] or the culture related to change in the enterprise, and (4) [[risk culture]] or the culture related to handling risks.
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#*[[Culture]]. The set of shared [[values]], beliefs, [[attitude]]s, [[social norm]]s, and [[material symbol]]s that characterizes some group of people such as a [[family]], an [[organization]], or a nation.
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#*[[Strong organizational culture]]. An [[organizational culture]] in which the key values are intensely held and widely shared.
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#*[[Positive organizational culture]]. An [[organizational culture]] that emphasizes building on employee strengths, rewards more than punishes, and emphasizes individual vitality and growth.
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#*[[Organizational subculture]]. A miniculture within an [[organization]], typically defined by department designations and geographical separation.
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#'''[[Organization]]'''. A consciously coordinated social unit, usually a [[legal entity]], within an [[enterprise]] under the management of a single individual or board, with a clearly defined boundary that functions on a relatively continuous basis to achieve a common goal or set of goals. Organizations operate on a continuous basis, as opposed to a [[project team]], which may be disbanded once its objectives are achieved.
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#*[[Manufacturing organization]]. An organization that produces physical goods.
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#*[[Service organization]]. An organization that produces nonphysical products in the form of services.
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#[[File:Organizational-orientation.png|400px|thumb|right|[[Organizational orientation]]]]'''[[Organizational orientation]]'''. The degrees to which [[organizational culture]] focuses on [[enterprise outcome]], people, and [[organizational structure]].
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#*[[Profit orientation]]. The degree to which [[organizational culture]] focuses on profits rather than on how these profits are achieved.
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#*[[People orientation]]. The degree to which [[organizational culture]] takes into account the effects on people in the [[organization]] rather than on the [[enterprise outcome]]s.
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#*[[Structure orientation]]. The degree to which [[organizational culture]] takes into account [[organizational structure]] rather than [[enterprise outcome]]s or the effects on people.
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#'''[[Organizational structure]]'''. The formal arrangement of jobs within an organization. In other words, an [[organizational structure]] is the way in which job tasks are formally divided, grouped, and coordinated.
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#*[[Open innovation]]. Opening up the search for new ideas beyond the organization's boundaries and allowing innovations to easily transfer inward and outward.
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#*[[Organization modeling]]. The analysis technique used to describe roles, responsibilities and reporting structures that exist within an organization.
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#'''[[Organizational unit]]'''. Any recognized association of people in the context of an organization or enterprise. The units are usually created on a basis of [[departmentalization]].
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#*[[File:Virtual-organization.png|400px|thumb|right|[[Virtual organization]]]][[Virtual organization]]. An [[organization]] in which [[organizational unit]]s mostly utilize [[virtual arrangement]]s for the [[enterprise workforce]]. A [[virtual organization]] usually outsources major business functions.
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#*[[Mechanistic organization]]. An [[organization]] in which [[organizational unit]]s mostly utilize the [[mechanistic model]] for its [[workforce arrangement]].
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#*[[Matrix organization]]. An [[organization]] in which [[organizational unit]]s mostly utilize the [[matrix model]] for its [[workforce arrangement]].
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#'''[[Organic organization]]'''. An [[organization]] in which [[organizational unit]]s mostly utilize the [[organic model]] for its [[workforce arrangement]].
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#*[[Lean organization]]. An organization that understands what customers want, identifies customer value by analyzing all activities required to produce products, and then optimizes the entire process from the customer's perspective.
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#*[[Learning organization]]. An [[organization]] that has developed the continuous [[capacity]] to adapt and change.
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#*[[Skunkworks]]. A small group within a large organization, given a high degree of [[autonomy]] and unhampered by corporate bureaucracy, whose mission is to develop a project primarily for the sake of radical innovation.
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#'''[[Multinational corporation]]'''. A broad term that refers to any and all types of international companies that maintain operations in multiple countries.
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#*[[Global company]]. A [[multinational corporation]] that centralizes management and other decisions in the home country.
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#*[[Foreign subsidiary]]. Directly investing in a foreign country by setting up a separate and independent production facility or office.
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#*[[Multidomestic corporation]]. A [[multinational corporation]] that decentralizes management and other decisions to the local country.
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#*[[Transnational organization]] (or borderless organization). A [[multinational corporation]] in which artificial geographical barriers are eliminated.
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#'''[[Performing organization]]'''. The enterprise whose employees are most directly involved in doing the work of the project.
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#*[[Functional organization]]. An organization structure in which staff are grouped hierarchically by specialty (e.g., production, marketing, engineering, and accounting at the top level; with engineering, further divided into mechanical, electrical, and others).
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#*[[Projectized organization]]. Any [[organizational structure]] in which the project manager has full authority to assign priorities and to direct the work of individuals assigned to the project. These organizations may utilize either [[projectized arrangement|projectized]] or [[multiteam arrangement]].
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#'''[[Organizational survival]]'''. The degree to which an organization is able to exist and grow over the long term.
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#*[[Sustainability]]. (1) An organization's ability to achieve its business goals and increase long-term shareholder value by integrating economic, environmental, and social opportunities into its business strategies; (2) Organization practices that can be sustained over a long period of time because the tools or structures that support them are not damaged by the processes.
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#*[[Institutionalization]]. A condition that occurs when an [[organization]] takes on a life of its own, apart from any of its members, and acquires immortality.
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#'''[[Entrepreneurial venture]]'''. An organization that pursues opportunities, and characterized by innovative practices, and have growth and profitability as their main goals.
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#*[[Self-employment]]. Individuals who work for profit or fees in their own business, profession, trade, or farm.
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#*[[Property licensing]]. An organization gives another organization the right to make or sell its products using its technology or product specifications.
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#*[[Franchising]]. An organization gives another organization the right to use its name and operating methods.
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#*[[Strategic alliance]]. A partnership between an organization and foreign company partner(s) in which both share resources and knowledge in developing new products or building production facilities.
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#*[[Joint venture]]. A specific type of [[strategic alliance]] in which the partners agree to form a separate, independent organization for some business purpose.
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#*[[Startup stage]]. The stage of development a startup company is in. There is no explicit rule for what defines each stage of a company, but startups tend to be categorized as seed stage, early stage, mid-stage, and late stage. Most [[venture capitalist]]s' firms only invest in companies in one or two stages. Some firms, however, manage multiple funds geared toward different stage companies.
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===Roles===
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#'''[[Entrepreneur]]'''. “An entrepreneur is an individual who accepts financial risks and undertakes new financial ventures. The word derives from the French “entre” (to enter) and “prendre” (to take), and in a general sense applies to any person starting a new project or trying a new opportunity.” (Source: wiseGEEK)
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#'''[[Intraprenuer]]'''. “Coined in the 1980s by management consultant Gifford Pinchot, intrapreneurs are used by companies that are in great need of new, innovative ideas. Today, instead of waiting until the company is in a bind, most companies try to create an environment where employees are free to explore ideas. If the idea looks profitable, the person behind it is given an opportunity to become an intrapreneur.” (Source: Investopedia) ‘Intrapreneurs’ hold many similar characteristics to ‘Entrepreneurs’ any may well leave their jobs to pursue a career as an entrepreneur. Companies seek out intrapreneurs to effect change within their organizations.
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#'''[[Lead investor]]'''. A venture capital firm or individual investor that organizes a specific round of funding for a company. The lead investor usually invests the most capital in that round. Also known as "leading the round."
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===Methods===
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#'''[[Organizational design]]'''. Creating or changing an [[organizational structure]] including designing a network of [[organizational unit]]s, as well as identifying, documenting, and assigning roles, responsibilities, and reporting relationships to those ''units''.
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#*[[Organizational chart]]. The visual representation of an [[organizational structure]].
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#*[[Organizational plan]]. A document that outline how organizational goals are going to be met.
  
==Outline==
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===Instruments===
''The predecessor lecture is [[Business Intelligence Quarter]].''
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#[[File:Culture-determination.png|400px|thumb|right|[[Culture determination model]]]]'''[[Culture determination model]]'''. A [[model]] that has been designed in order to assist in determining features of [[organizational culture]].
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#*[[Institutions]]. [[Cultural factor]]s that lead many organizations to have similar structures, especially those factors that might not lead to adaptive consequences.
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#'''[[Material symbol]]'''. What conveys to employees who is important, the degree of egalitarianism top management desires, and the kinds of behavior that are appropriate.
  
*[[Small business]]. An organization that is independently owned, operated, and financed; has fewer than 100 employees; doesn't necessarily engage in any new or innovative practices; and has relatively little impact on its industry.
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===Practices===
*[[Unity of command]]. The idea that a subordinate should have only one superior to whom he or she is directly responsible.
 
*[[Unity of command]]. The management principle that each person should report to only one manager.
 
*[[Traditional goal-setting]]. An approach to setting goals in which top managers set goals that then flow down through the organization and become subgoals for each organizational area.
 
*[[Virtual organization]]. An [[organization]] that consists of a small core of full-time employees and outside specialists temporarily hired as needed to work on projects.
 
*[[Virtual structure]]. A small, core organization that outsources major business functions.
 
*[[Organic model]]. A structure that is flat, uses cross-hierarchical and cross-functional teams, has low formalization, possesses a comprehensive information network, and relies on participative decision making.
 
*[[Organic organization]]. An [[organization]] with [[organizational structure]] that's highly adaptive and flexible.
 
*[[Departmentalization]]. The basis by which jobs are grouped together.
 
*[[Departmentalization]]. The basis by which jobs in an [[organization]] are grouped together.
 
*[[Corporate social responsibility]]. An organization's self-regulated actions to benefit society or the environment beyond what is required by law.
 
*[[Bureaucracy]]. A form of organization characterized by division of labor, a clearly defined hierarchy, detailed rules and regulations, and impersonal relationships.
 
*[[Bureaucracy]]. An [[organizational structure]] with highly routine operating tasks achieved through [[specialization]], very formalized rules and regulations, tasks that are grouped into functional departments, centralized authority, narrow spans of control, and decision making that follows the chain of command.
 
*[[Boundaryless organization]]. An [[organization]] whose [[organizational structure]] is not defined by, or limited to, the horizontal, vertical, or external boundaries imposed by a predefined structure.
 
*[[Corporation]]. A legal business entity that is separate from its owners and managers.
 
*[[Closely held corporation]]. A corporation owned by a limited number of people who do not trade the stock publicly.
 
*[[Circular structure]]. An [[organizational structure]] in which executives are at the center, spreading their vision outward in rings grouped by function (managers, then specialists, then workers).
 
*[[Divisional structure]]. An [[organizational structure]] made up of separate, semi-autonomous units or divisions.
 
*[[Divisional structure]]. An [[organizational structure]] that groups employees into units by product, service, customer, or geographical market area.
 
*[[Entrepreneurial venture]]. An organization that pursues opportunities, and characterized by innovative practices, and have growth and profitability as their main goals.
 
*[[Functional structure]]. An [[organizational structure]] that groups employees by their similar specialties, roles, and tasks.
 
*[[Functional structure]]. An [[organizational structure]] that groups together similar or related occupational specialties.
 
*[[Foreign subsidiary]]. Directly investing in a foreign country by setting up a separate and independent production facility or office.
 
*[[Franchising]]. An organization gives another organization the right to use its name and operating methods.
 
*[[General partnership]]. A form of legal organization in which two or more business owners share the management and risk of the business.
 
*[[Global company]]. A [[multinational corporation]] that centralizes management and other decisions in the home country.
 
*[[Initial public offering]]. The first public registration and sale of a company's stock.
 
*[[Joint venture]]. A specific type of [[strategic alliance]] in which the partners agree to form a separate, independent organization for some business purpose.
 
*[[Limited liability company]]. A form of legal organization that's a hybrid between a partnership and a corporation.
 
*[[Limited liability partnership]]. A form of legal organization in which consisting of general partner(s) and limited liability partner(s).
 
*[[Lean organization]]. An organization that understands what customers want, identifies customer value by analyzing all activities required to produce products, and then optimizes the entire process from the customer's perspective.
 
*[[Learning organization]]. An [[organization]] that has developed the continuous capacity to adapt and change.
 
*[[Licensing]]. An organization gives another organization the right to make or sell its products using its technology or product specifications.
 
*[[Multidomestic corporation]]. A [[multinational corporation]] that decentralizes management and other decisions to the local country.
 
*[[Multinational corporation]]. A broad term that refers to any and all types of international companies that maintain operations in multiple countries.
 
*[[Matrix structure]]. An [[organizational structure]] that assigns specialists from different functional departments to work on one or more projects.
 
*[[Matrix structure]]. An [[organizational structure]] that creates dual lines of [[authority]] and combines functional and product departmentalization.
 
*[[Mechanistic model]]. A structure characterized by extensive departmentalization, high formalization, a limited information network, and [[centralization]].
 
*[[Mechanistic organization]]. An [[organization]] with [[organizational structure]] that's rigid and tightly controlled.
 
*[[Operating agreement]]. The document that outlines the provisions governing the way a [[limited liability company]] will conduct business.
 
*[[Organizational chart]]. The visual representation of an organization's structure.
 
*[[Organizational design]]. Creating or changing an organization's structure.
 
*[[Organizational structure]]. The formal arrangement of jobs within an organization.
 
*[[Organizational structure]]. The way in which job tasks are formally divided, grouped, and coordinated.
 
*[[Organizational subculture]]. A miniculture within an [[organization]], typically defined by department designations and geographical separation.
 
*[[Sole proprietorship]]. A form of legal organization in which the owner maintains sole and complete control over the business and is personally liable for business debts.
 
*[[Simple structure]]. An [[organizational structure]] characterized by a low degree of [[departmentalization]], wide spans of control, authority centralized in a single person, and little [[formalization]].
 
*[[Simple structure]]. An [[organizational structure]] with little [[departmentalization]], wide spans of control, centralized authority, and little formalization.
 
*[[Open innovation]]. Opening up the search for new ideas beyond the organization's boundaries and allowing innovations to easily transfer inward and outward.
 
*[[Organizational plan]]. A document that outline how organizational goals are going to be met.
 
*[[Team structure]]. An [[organizational structure]] in which the entire organization is made up of work teams.
 
*[[Team structure]]. An [[organizational structure]] that replaces departments with empowered teams, and which eliminates horizontal boundaries and external barriers between customers and suppliers.
 
*[[Project structure]]. An [[organizational structure]] in which employees continuously work on projects.
 
*[[S corporation]]. A specialized type of corporation that has the regular characteristics of a C corporation, but is unique in that the owners are taxed as a partnership as long as certain criteria are met.
 
*[[Strategic alliance]]. A partnership between an organization and foreign company partner(s) in which both share resources and knowledge in developing new products or building production facilities.
 
*[[Transnational organization]] (or borderless organization). A [[multinational corporation]] in which artificial geographical barriers are eliminated.
 
*[[Self-employment]]. Individuals who work for profit or fees in their own business, profession, trade, or farm.
 
  
''The successor lecture is [[Organizational Culture Quarter]].''
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''[[Resource Planning Quarter]] is the successor lecture. In the [[enterprise planning]] series, the next lecture is [[Concept Management Quarter]].''
  
 
==Materials==
 
==Materials==
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==See also==
 
==See also==
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[[Category:Septem Artes Administrativi]][[Category:Lecture notes]]

Latest revision as of 01:04, 29 December 2020

Organizational Culture Quarter (hereinafter, the Quarter) is a lecture introducing the learners to organizational design primarily through key topics related to organizational structure. The Quarter is the third of four lectures of Organizational Quadrivium, which is the last of seven modules of Septem Artes Administrativi (hereinafter, the Course). The Course is designed to introduce the learners to general concepts in business administration, management, and organizational behavior.


Outline

Enterprise Intelligence Quarter is the predecessor lecture. In the enterprise envisioning series, the previous lecture is Workforce Arrangements Quarter.

Concepts

  1. Organizational culture. A system of the shared meaning, values, principles, traditions, and ways of doing things held by members of the organization that influence the way organizational members act and that distinguish the organization from other organizations. Every organizational culture can be divided in four parts: (1) historical organizational culture or the culture envisioned by the founders and others that is no longer executed, (2) operational culture or the culture exercised by an enterprise today for its operations, (3) change culture or the culture related to change in the enterprise, and (4) risk culture or the culture related to handling risks.
  2. Organization. A consciously coordinated social unit, usually a legal entity, within an enterprise under the management of a single individual or board, with a clearly defined boundary that functions on a relatively continuous basis to achieve a common goal or set of goals. Organizations operate on a continuous basis, as opposed to a project team, which may be disbanded once its objectives are achieved.
  3. Organizational orientation. The degrees to which organizational culture focuses on enterprise outcome, people, and organizational structure.
  4. Organizational structure. The formal arrangement of jobs within an organization. In other words, an organizational structure is the way in which job tasks are formally divided, grouped, and coordinated.
    • Open innovation. Opening up the search for new ideas beyond the organization's boundaries and allowing innovations to easily transfer inward and outward.
    • Organization modeling. The analysis technique used to describe roles, responsibilities and reporting structures that exist within an organization.
  5. Organizational unit. Any recognized association of people in the context of an organization or enterprise. The units are usually created on a basis of departmentalization.
  6. Organic organization. An organization in which organizational units mostly utilize the organic model for its workforce arrangement.
    • Lean organization. An organization that understands what customers want, identifies customer value by analyzing all activities required to produce products, and then optimizes the entire process from the customer's perspective.
    • Learning organization. An organization that has developed the continuous capacity to adapt and change.
    • Skunkworks. A small group within a large organization, given a high degree of autonomy and unhampered by corporate bureaucracy, whose mission is to develop a project primarily for the sake of radical innovation.
  7. Multinational corporation. A broad term that refers to any and all types of international companies that maintain operations in multiple countries.
  8. Performing organization. The enterprise whose employees are most directly involved in doing the work of the project.
    • Functional organization. An organization structure in which staff are grouped hierarchically by specialty (e.g., production, marketing, engineering, and accounting at the top level; with engineering, further divided into mechanical, electrical, and others).
    • Projectized organization. Any organizational structure in which the project manager has full authority to assign priorities and to direct the work of individuals assigned to the project. These organizations may utilize either projectized or multiteam arrangement.
  9. Organizational survival. The degree to which an organization is able to exist and grow over the long term.
    • Sustainability. (1) An organization's ability to achieve its business goals and increase long-term shareholder value by integrating economic, environmental, and social opportunities into its business strategies; (2) Organization practices that can be sustained over a long period of time because the tools or structures that support them are not damaged by the processes.
    • Institutionalization. A condition that occurs when an organization takes on a life of its own, apart from any of its members, and acquires immortality.
  10. Entrepreneurial venture. An organization that pursues opportunities, and characterized by innovative practices, and have growth and profitability as their main goals.
    • Self-employment. Individuals who work for profit or fees in their own business, profession, trade, or farm.
    • Property licensing. An organization gives another organization the right to make or sell its products using its technology or product specifications.
    • Franchising. An organization gives another organization the right to use its name and operating methods.
    • Strategic alliance. A partnership between an organization and foreign company partner(s) in which both share resources and knowledge in developing new products or building production facilities.
    • Joint venture. A specific type of strategic alliance in which the partners agree to form a separate, independent organization for some business purpose.
    • Startup stage. The stage of development a startup company is in. There is no explicit rule for what defines each stage of a company, but startups tend to be categorized as seed stage, early stage, mid-stage, and late stage. Most venture capitalists' firms only invest in companies in one or two stages. Some firms, however, manage multiple funds geared toward different stage companies.

Roles

  1. Entrepreneur. “An entrepreneur is an individual who accepts financial risks and undertakes new financial ventures. The word derives from the French “entre” (to enter) and “prendre” (to take), and in a general sense applies to any person starting a new project or trying a new opportunity.” (Source: wiseGEEK)
  2. Intraprenuer. “Coined in the 1980s by management consultant Gifford Pinchot, intrapreneurs are used by companies that are in great need of new, innovative ideas. Today, instead of waiting until the company is in a bind, most companies try to create an environment where employees are free to explore ideas. If the idea looks profitable, the person behind it is given an opportunity to become an intrapreneur.” (Source: Investopedia) ‘Intrapreneurs’ hold many similar characteristics to ‘Entrepreneurs’ any may well leave their jobs to pursue a career as an entrepreneur. Companies seek out intrapreneurs to effect change within their organizations.
  3. Lead investor. A venture capital firm or individual investor that organizes a specific round of funding for a company. The lead investor usually invests the most capital in that round. Also known as "leading the round."

Methods

  1. Organizational design. Creating or changing an organizational structure including designing a network of organizational units, as well as identifying, documenting, and assigning roles, responsibilities, and reporting relationships to those units.

Instruments

  1. Culture determination model. A model that has been designed in order to assist in determining features of organizational culture.
    • Institutions. Cultural factors that lead many organizations to have similar structures, especially those factors that might not lead to adaptive consequences.
  2. Material symbol. What conveys to employees who is important, the degree of egalitarianism top management desires, and the kinds of behavior that are appropriate.

Practices

Resource Planning Quarter is the successor lecture. In the enterprise planning series, the next lecture is Concept Management Quarter.

Materials

Recorded audio

Recorded video

Live sessions

Texts and graphics

See also