Mechanistic vs Organic Organisation Structure

Topics: Health care, Health economics, Mergers and acquisitions Pages: 2 (618 words) Published: November 4, 2011
Mechanistic Vs Organic
Organization Structure
What is Mechanistic Structure
Mechanistic organizations have clear, well-defined, centralized, vertical hierarchies of command, authority, and control. Efficiency and predictability are emphasized through specialization, standardization, and formalization. This results in rigidly defined jobs, technologies, and processes. The term mechanistic suggests that organizational structures, processes, and roles are like a machine in which each part of the organization does what it is designed to do. The following are some of the characteristics of Mechanistic organization structure.

What is Organic Structure
The term "organic" suggests that organizations change their structures, roles, and processes to respond and adapt to their environments. Organic structures are appropriate in unstable, turbulent, unpredictable environments and for non-routine tasks and technologies. For organizations coping with such uncertainty, finding appropriate, effective, and timely responses to environmental challenges is of critical importance. I have chosen Philips to analyze how both organic and Mechanistic structure is adapted in its HealthCare sector organization. Overview of Philips

Royal Philips Electronics of the Netherlands is a diversified Health and Well-being company, focused on improving people’s lives through timely innovations. As a world leader in healthcare, lifestyle and lighting, Philips integrates technologies and design into people-centric solutions, based on fundamental customer insights and the brand promise of “sense and simplicity”. Philips Healthcare with Organic Structure

The global healthcare market is dynamic and growing. Rising healthcare costs present a major challenge to the society. There is a great demand for better diagnostic, screening and treatment in the health care. Philips is placed in a dynamic environment where Innovation is the key. The HealthCare sector of the company is one of the top players...
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