In: Operations Management
Compare mechanistic and organic organizations. Which is easier to manage according to you? Why?
Mechanistic organizations are the bureaucratic and hierarchical structured organization in which everything works with formal rules and procedures. The authority is highly centralised and functions are specialised. Employees are assigned tasks and they work on them individually. The chain of command is definite and decisions are taken by the higher authorities only. Communication is limited and takes place in a formal and defined manner. The company forms strict policies which are followed by all working there. Processes and employees work under tight control and clearly defined rules.
Organic organizations are a decentralized flat structured organization in which horizontal communication, low specialization and participative decision making are practised. Employees work in groups and give their inputs and feedback where required. Knowledge and skills are decentralised and used where required. There are no communication channels and it takes place informally between all employees. The structure and processes are flexible and adaptable to change.
The organization which is easy to manage or favourable to work in depends on the type of work or nature of the business it is into. For example, a manufacturing firm where a large number of products are manufactured on daily basis through the same process will work as a mechanistic organization as minimum communication is required and set processes and rules will make the work more efficient. But in an IT company, an organic culture will be more suitable as people working informally in groups and giving innovative inputs and ideas can make the company more productive.
It is easy to manage a mechanistic organization from a manager's point of view as the structure is stable, people and processes work on set rules and procedures. Decisions are taken by higher authorities, less communication happens at all levels and organization works in spcielaised areas hence managing such an organization is easier.