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firm and lacking in another, even though their structures, on the face of it. Look very similar. Thus, within the broad arguments advanced by the contingency approach, we should also be alert to more "fine-grained" differences at the operational and tactical level that can confer advantage. 2-5-6. Changes in the contingent variables If the strategy of the organization leads to significant changes in the contingent variables, substantial structural changes may be required, which may result in the firm moving from one configuration to another: for example, from a machine organization to a division structure. These inter structural changes may be required in the following circumstances: When substantial changes in product/market scope have been introduced: new markets, exporting, launching different types of product in existing markets, diversification, new products and new markets. When there have been significant shifts in the tasks facing the firm: the tasks may have become increasingly complex, or technical or procedural developments may have simplified the task. When there have been significant changes in the dynamism of the environment: an increased pace of change in the unpredictability of the environment requires the firm to be much more flexible and adaptable. When the "rules of the game" have been changed: increasing competitive pressures lead to more emphasis being given to, for example, the pace of new product introductions, the tight control of costs, moves towards vertical integration (either forwards into distribution or retail, or backwards into component manufacture), increasing use of subcontractors for core activities. Changes of this nature and scope are likely to put the existing structure under considerable pressure. There is evidence to suggest that structural reorganization often lags well behind the change in strategy. There is inertia in many organizations, compounded by reluctance on the pan of top management to grasp the nettle of structural change that results in damaging mismatches being perpetuated between the new strategic position of the firm and the former, now inappropriate, structure. Unfortunately, it is often only when a crisis of some sort is reached that the necessary 70
structural changes are introduced. The crisis may take the form of, for example, a dramatic downturn in performance, a takeover threat, or replacing the chief executive officer. Strategy changes that result in significant changes in the contingency variables require shifts in structure to achieve a better strategy structure alignment. To explore the structural implications of changes in the contingent variables resulting from the strategy change, where three of the more important contingent variables are presented in the form of continuums. The organizational implications of each of these three contingent variables are expected to be as follows: a. Environmental dynamism. When the organization is facing a relatively stable and predictable environment, the four standardizing processes - work processes, skills, outputs, values - are viable coordinating mechanisms. These mechanisms are likely to lead to a high degree of specialization and the emergence of staff groups involved in effecting standardization: for example, those staff concerned with production engineering, organization and methods, budgeting and standard costing, training and induction, and operations planning and control. Standardization becomes less viable when the organization is facing a rapidly changing and unpredictable environment. Increasing environmental dynamism can be coped with through flexible organization structures that encourage informal communication: matrix structures, project teams. b. Task complexity. When the basic tasks of the organization are straightforward those tasks can be broken down into easily understood activities. Simple tasks mean that decisions can be made centrally, using direct supervision as the coordinating mechanism, and when they are broken down into separate, simple steps, relatively unskilled people can carry them out. Complex tasks cannot be broken down into easily understood steps, and usually require highly skilled specialists to execute them. With complex tasks, decision-making tends to be located at the level of experts with the required specialist knowledge: task complexity then tends to be associated with decentralized decision-making. c. Product/market diversity. Firms trading in one market with a limited range of products can manage effectively with a single, integrated unit. As the markets served and/or the range of products offered become more diverse, the single unit is placed under strain. The requirements of different products and markets tend to pull the 71
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KHAZAR UNIVERSITY Ministry of Educa
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CHAPTER 5. Analysis of research fin
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Strategy evaluation can be a comple
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There are ways of dealing with thes
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Chapter 4 includes structure analys
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By careful study of these definitio
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1-1-2. Recognizing of the Subject i
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Chapter 2. 1-2- Background of the r
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1-2-3. Objective and its role The f
Page 19 and 20: esist the shift. So there should be
Page 21 and 22: f- Production factors. Socio-econom
Page 23 and 24: a- Computer changes. b- Changes in
Page 25 and 26: approaches like common management,
Page 27 and 28: We should pick patterns which can p
Page 29 and 30: Part two Recognizing and analyzing
Page 31 and 32: c. Researcher evaluates the informa
Page 33 and 34: The formal approach to predict a te
Page 35 and 36: Potential competitors: We can predi
Page 37 and 38: In these stages the manager should
Page 39 and 40: In trying to assess the influences
Page 41 and 42: Fashion favors the structure of the
Page 43 and 44: To enable the top managers to maint
Page 45 and 46: configuration, the innovative organ
Page 47 and 48: organizations, usually hardly any a
Page 49 and 50: There are a number of factors which
Page 51 and 52: have strong relationships with thei
Page 53 and 54: industry. This enables us to identi
Page 55 and 56: ones by operating proactively upon
Page 57 and 58: standards are established. Competit
Page 59 and 60: captive clients. Or the product may
Page 61 and 62: competitors? e. In what areas might
Page 63 and 64: coordinate the separate activities?
Page 65 and 66: "professional" organizations like a
Page 67 and 68: processes is either specialization
Page 69: contingency approach is probably Mi
Page 73 and 74: of environmental dynamism and task
Page 75 and 76: pace of new product introductions i
Page 77 and 78: coordination across the separated f
Page 79 and 80: messy, complex and stressful. Routi
Page 81 and 82: understand and relatively straightf
Page 83 and 84: The statement needs to be concise,
Page 85 and 86: Looked at in this light, it is clea
Page 87 and 88: strategy indicate that the organiza
Page 89 and 90: these types of questions are affirm
Page 91 and 92: Lindsay and Rue hypothesized that s
Page 93 and 94: Determining which objectives are mo
Page 95 and 96: stated objectives. In his thought-p
Page 97 and 98: provide timely information; on occa
Page 99 and 100: Too many organizations discard alte
Page 101 and 102: In a recent article, Shimell emphas
Page 103 and 104: Even the most technically perfect s
Page 105 and 106: Part Three Practical application Ch
Page 107 and 108: agriculture, development of farmer
Page 109 and 110: subbranches: plant-growing, plant g
Page 111 and 112: Additional products are used for fe
Page 113 and 114: According to this feature, to count
Page 115 and 116: Meanwhile, to get macroeconomic res
Page 117 and 118: Plan indicators, statistical counti
Page 119 and 120: Macroeconomic indicators in the agr
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esults of economic activity of Azer
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Absheron Gazakh Zagatala Lankaran K
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Then purchase (consumer) prices of
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Absheron Ganja-Gazakh Sheki-Zagatal
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Net profit remain at producer’s (
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N v is new generated value, I c is
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It is naturally that in that last t
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Economic researches give opportunit
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The determined legal base serve imp
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information relations between scien
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enumerated in accordance with the d
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At the result of generalization of
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CONCLUSION This chapter presents a
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Bibliography 1. ALDRICH, H.E., Orga
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33. RUMELT, R.P. Strategy, Structur
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