In: Business and Management

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Chapter17 Organization designs
In this chapter the textbook talks about organization designs, how to deal with effectiveness and improve organization’s innovation. The textbooks focus more on different kinds of construction and make distinguish of them. These make me think more about the SAS case in this field.

Last week we discussed the unique organization design and human resource policy of SAS. This two maybe is the most significant factors on it’s way to success. However, after reading this chapter, I have some suggestion for SAS. As we know, most SAS’s training programs are operated by their own. In other words, it seldom hires experts to make training for their employee. The case said this can help the company to reduce the labor cost. Quite the opposite, in this chapter, the textbook thinks in the learning organization, people transfer knowledge and changes its behavior on the new knowledge. I think SAS, since its business is about software, is such organization. So they need to hire the professional trainer to operate the programs. These can help them update their knowledge and improve their effective. Another point related to this case is about span of control. Like the real world/real people, managers may have different view about span of control. In the SAS case, Dr. Goodnight is the lead of 27 different departments. It is really unique. In my opinion, the SAS’s success under this design is based on the extremely reputation of Dr. Goodnight, his outstanding personnel as well, However, if the company change the CEO after his retirement, the operation may have trouble. To wide span of control must based on the excellent leadership for the managers. If the next CEO of SAS is the one do not have such competency, SAS may need to change the style. The last point is about Hollow structure. The case indicates that, SAS seldom use outsource to complete their…...

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