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Relationship between organization design and

performance excellence

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Abstract

This study discusses Relationship between organization design and performance

excellence and how to design the organization, change management within the

organization and organizational restructuring. The design of the organization depends

on a strong relationship with differentiation and integration in the work environment.

It is important to understand measures that are commensurate with the standards

designed by the organization.

The good design of the organization is the basis of the outstanding performance. The

organization's design includes many things like organizational structure and formal

hierarchy. The design of the organization coincides with keeping pace with changes in

the market and in the business environment such as increasing demand and adapting

to changes in the market. An important aspect of the organization's design is function

analysis and job design.

Organizational design directly affects the organization's leadership structure. Good

organizational design defines the lines of authority for each employee. Good

organizational design defines the functional tasks of each employee and defines the

functional tasks and responsibilities of each functional level at the lower, middle and

upper levels. The career design accurately determines the functional map of the

administrative responsibility. The company thus leads to the success and excellence of

the organization.

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Table of contents

Introduction 4

Impacts of organizational design 5

Culture of the Organization 6

Process excellence 8

leadership 10

Continuous Improvement 12

job analysis 13

job design 14

Benefits of Job Design 14

Conclusion 19

references 20

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Introduction

Many organizations face contemporary challenges when senior management plans to

achieve the overall quality of products or services. Creating high quality products or

services will attract customers to buy this product. The organization achieves success

and stability and can achieve the objectives of the whole organization. Strong global

competition and the spread of the new concept of globalization continued.

The organization needs to be continuously developed in all disciplines because, over

time, changes occur in the market, such as changing customer tastes and tendencies as

competition, technology and economy evolve over time.

It is necessary to continuously develop and improve . it is necessary to discover new

ways of thinking and creativity so that the performance and quality can be maintained

at the desired level1.

Successful organizations implement TQM as an effective way to face challenges and

solve all problems efficiently and effectively. Successful organizations manage six

key concepts to achieve excellence in performance: orientation, good service, wise

leadership, a spirit of collaboration among employees, effective communication and

continuous improvement2.

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https://www2.deloitte.com/insights/us/en/focus/human-capital-trends/2017/organization-of-the-
future.html
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https://www.encyclopedia.com/media/encyclopedias-almanacs-transcripts-and-
maps/organizational-quality-and-performance-excellence

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Impacts of organizational design

Organizational design directly affects the organization's leadership structure. Good

organizational design defines the lines of authority for each employee. Good

organizational design defines the functional tasks of each employee and defines the

functional tasks and responsibilities of each functional level at the lower, middle and

upper levels. The career design accurately determines the functional map of the

administrative responsibility. The company thus leads to the success and excellence of

the organization.3

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http://smallbusiness.chron.com/importance-organizational-design-choices-21117.html

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Culture of the Organization

The leadership structure of the organization has a direct impact on the culture of the

organization. The interaction of cultural staff with each other varies according to their

collection in different departments and departments within the organization.

Successful management depends on the principle of delegation of authority to the rest

of the staff to develop their personalities and abilities to solve problems4.

Growth in the future

A successful organization uses modern technology to communicate and communicate

between different departments. A distinct organization can add new functions without

altering the organizational structure. For example, the organization uses

telecommuting services and adds large numbers of staff with a slight increase in the

number of managers.5

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http://smallbusiness.chron.com/advantages-disadvantages-organizational-design-23009.html
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https://www2.deloitte.com/insights/us/en/focus/human-capital-trends/2017/organization-of-the-
future.html

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The organization of the future : old rules vs new rules

Process excellence

Excellence measures include continuity of improvement with the use of advanced

technology and continuous change for the better. Excellence measures include all the

achievements of management in terms of encouraging new ideas. This figure

illustrates the components of excellence procedures in successful organizations.

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The successful organization of excellence applies Six sigma through specific

procedures and methodological research focused on eliminating the causes of errors

or avoiding errors This strategy leads to improved performance, increased excellence

and increased overall quality. Sigma 6 leads the improvement process by reducing

lost time.6

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https://www.encyclopedia.com/media/encyclopedias-almanacs-transcripts-and-
maps/organizational-quality-and-performance-excellence

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Six sigma lead to improving by control variation by measuring , analyzed ,improving

high quality and predictable performance.

The quality or performance excellence depending on achieving remarkable

acceptance to reduce the gaps and corrects the errors. Over time , changes occur in the

needs to get confidence of consumers.

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Service orientation

The quality framework deals with levels of groups referred to as stakeholders publics ,

consumers . Emphasis is placed on outstanding service or product excellence.

Consumers are governed by the premium product through increased demand. The

perspective of excellence depends on the outstanding performance of employees.

Choosing the qualified employee who can offer outstanding service or product

excellence is one of the most complicated things.

leadership

The organization always looks forward to the outstanding leadership of the

distinguished employee who provides outstanding customer service. Leaders are the

most effective approach to quality excellence. The performance and guidance of

leaders must be a model to be followed through effective participation and effective

communication with employees and the working environment. Career loyalty comes

only from job satisfaction and the attempt to understand the leaders of staff problems

and work to solve them. Leaders increase their performance by encouraging them to

come up with innovative ideas that solve all problems at minimal cost. The

Organization's outstanding performance must include the vision, values,

organizational objectives, strategy and use of information through analysis and

application at all levels.

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What is a leader?7

Use information

Effective information systems are the basis for the use of information and include the

study and comparison of the organization's activity with other reference organizations

to compare and improve performance.

communication

Effective communication is a message through which effective cooperation in the

work environment .it is accomplished through which information was collected, sent

and received by stakeholders.

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Collaboration

Organizations are considered to be complex systems with numerous internal and

external constituencies. organizations has divisions or departments of production,

sales, operations, marketing, finance, research and development.so top management

must be coordinate between department by using software program to make

integration link for different departments.

Continuous Improvement

Continuous improvement implies a commitment by everyone within the organization

to a recursive process, consisting of planning and testing improvements, evaluating

outcomes, learning from failures, implementing and sustaining successes, planning

and testing improvements, and so on.

Assessment

assessment is a strategy for evaluating the current level of performance of an

organization in relationship to the expectations of its constituencies and the

organization's mission and vision. Assessment allows for the identification of service

quality gaps, which become priorities for improvement.

Quality Improvement

The team members work together to develop an approach for ongoing monitoring,

evaluation, and improvement. Team activities typically consist of the following:

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job analysis

Job Analysis is a systematic exploration, study and recording the responsibilities,

duties, skills, accountabilities, work environment and ability requirements of a

specific job. It also involves determining the relative importance of the duties,

responsibilities and physical and emotional skills for a given job. All these factors

identify what a job demands and what an employee must possess to perform a job

productively8.

What Does Job Analysis Involve?

The process of job analysis involves in-depth investigation in order to control the

output, i.e., get the job performed successfully. The process helps in finding out what

a particular department requires and what a prospective worker needs to deliver. It

also helps in determining particulars about a job including job title, job location, job

summary, duties involved, working conditions, possible hazards and machines, tools,

equipment's and materials.

job analysis play an important role in controlling the output of the particular job. It

also helps in recruiting the right people for a particular job. Job analysis also helps HR

managers in deciding the compensation package and additional perks and incentives

for a particular job position.

Benefits of Job Design

The following are the benefits of a good job design:

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Employee Input: A good job design enables a good job feedback. Employees have the

option to vary tasks as per their personal and social needs, habits and circumstances in

the workplace9.

Employee Training: Training is an integral part of job design. Contrary to the

philosophy of “leave them alone’ job design lays due emphasis on training people so

that are well aware of what their job demands and how it is to be done.

Work / Rest Schedules: Job design offers good work and rest schedule by clearly

defining the number of hours an individual has to spend in his/her job.

Adjustments: A good job designs allows for adjustments for physically demanding

jobs by minimising the energy spent doing the job and by aligning the manpower

requirements for the same.

Job design is a continuous and ever evolving process that is aimed at helping

employees make adjustments with the changes in the workplace. The end goal is

reducing dissatisfaction, enhancing motivation and employee engagement at the

workplace.

A thorough and unbiased investigation or study of a specific job is good for both the

managers and the employees. The managers get to know whom to hire and why. They

can fill a place with the right person. existing or potential employee gets to know what

and how he is supposed to perform the job and what is the desired output. Job analysis

creates a right fit between the job and the employee.

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1.Organization design should start with corporate self-reflection: What is your sense

of purpose? How will you make a difference for your clients, employees, and

investors? What will set you apart from others, now and in the future? What

differentiating capabilities will allow you to deliver your value proposition over the

next two to five years?

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2. Design with “DNA.” Organization design can seem unnecessarily complex; the

right framework, however, can help you decode and prioritize the necessary elements.

You may be tempted to make changes with all eight building blocks simultaneously.

But too many interventions at once could interact in unexpected ways, leading to

unfortunate side effects. Even a few changes could involve many variations. For

example, the design of motivators might need to vary from one function to the next.

People in sales might be more heavily influenced by monetary rewards, whereas R&D

staffers might favor a career model with opportunities for self-directed projects and

external collaboration and education.

3. Fix the structure last, not first. Company leaders know that their current org chart

doesn’t necessarily capture the way things get done it’s at best a vague approximation.

Yet they still may fall into a common trap: thinking that changing their organization’s

structure will address their business’s problems.

4. Make the most of top talent. Talent is a critical but often overlooked factor when it

comes to org design. You might assume that the personalities and capabilities of

existing executive team members won’t affect the design much.

You must ensure that there is a connection between the capabilities you need and the

leadership talent you have.

5. Focus on what you can control. Make a list of the things that hold your organization

back: the scarcities (things you consistently find in short supply) and constraints

(things that consistently slow you down). Taking stock of real-world limitations helps

ensure that you can execute and sustain the new organization design.

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6. Promote accountability. Design your organization so that it’s easy for people to be

accountable for their part of the work without being micromanaged. Make sure that

decision rights are clear and that information flows rapidly and clearly from the

executive committee to business units, functions, and departments.

7. Benchmark sparingly, if at all. One common misstep is looking for best practices.

In theory, it can be helpful to track what competitors are doing, if only to help you

optimize your own design or uncover issues requiring attention. But in practice, this

approach has a couple of problems.10

8. Let the “lines and boxes” fit your company’s purpose. For every company, there is

an optimal pattern of hierarchical relationship — a golden mean. It isn’t the same for

every company; it should reflect the strategy you have chosen, and it should support

the critical capabilities that distinguish your company. That means that the right

structure for one company will not be the same as the right structure for another, even

if they’re in the same industry.

9. Accentuate the informal. Formal elements like structure and information are

attractive to companies because they’re tangible. They can be easily defined and

measured. But they’re only half the story. Many companies reassign decision rights,

rework the org chart, or set up knowledge-sharing systems — yet don’t see the results

they expect.

10. Build on your strengths. Overhauling the organization is one of the hardest things

for a chief executive or division leader to do, especially if he or she is charged with

turning around a poorly performing company. But there are always strengths to build

on in existing practices and in the culture. Suppose, for example, that your company

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has a norm of customer-oriented commitment. Employees are willing to go the extra

mile for customers when called upon to do so.

job design

Job design follows job analysis i.e. it is the next step after job analysis. It aims at

outlining and organising tasks, duties and responsibilities into a single unit of work

for the achievement of certain objectives. It also outlines the methods and

relationships that are essential for the success of a certain job. In simpler terms it

refers to the what, how much, how many and the order of the tasks for a job/s.

Job design essentially involves integrating job responsibilities or content and certain

qualifications that are required to perform the same. It outlines the job responsibilities

very clearly and also helps in attracting the right candidates to the right job. Further it

also makes the job look interesting and specialized.

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Conclusion

The good design of the organization is the basis of the outstanding performance. The

organization's design includes many things like organizational structure and formal

hierarchy. The design of the organization coincides with keeping pace with changes in

the market and in the business environment such as increasing demand and adapting

to changes in the market. An important aspect of the organization's design is function

analysis and job design. The quality/performance excellence approach is an

interdisciplinary approach to organizational behavior and leadership. The approach

addresses significant and enduring issues, and it integrates theories, concepts, and

methods from various disciplines and traditions of organizational thought.

These 10 fundamental principles can serve as your guideposts for any reorganization,

large or small. Armed with these collective lessons, you can avoid common missteps

and home in on the right blueprint for your business.

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Bibliography

Al-Assaf, A. F., and Schmele, June A. (1993). The Textbook of Total Quality in

Healthcare. Delray Beach, FL: St. Lucie Press.

https://www.strategy-business.com/article/00318?gko=c7329

https://www.managementstudyguide.com/understanding-job-analysis.htm

https://www.kent.ac.uk/careers/sk/leadership.htm

http://smallbusiness.chron.com/advantages-disadvantages-organizational-design-

23009.html

http://www.dr-glennhole.org/the-importance-of-organizational-design-and-structure/

https://www2.deloitte.com/insights/us/en/focus/human-capital-

trends/2017/organization-of-the-future.html

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