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Requisite organization (RO) is a term and methodology developed by Elliott Jaques and Kathryn Cason as a result of the research in stratified systems theory, general theory of bureaucracy, work complexity and human capability over 60 years.
Requisite organization is the system of business organization that aims for effective managerial organization and managerial leadership, based on the systematic application of scientific research about the nature of work and the nature of individual's capacity for work. [1]
According to Jaques, "the term requisite organization means doing business with efficiency and competitiveness, and the release of human imagination, trust, and satisfaction in work." [2]
Requisite organization is a system designed to get work done with effectiveness in producing valued goods and services to satisfy public needs and at the same time achieving the positive bottom line for the business by means of specialization of functions within vertical stratified and hierarchical organization that is referred to by Dr. Elliott Jaques as Managerial Accountability Hierarchy: [2] [3]
Requisite organization is a triple bottom line management methodology which uncovers dysfunctional aspects of strategy, systems, structures, staff and then realigns them to fit the required complexity of the business with the purpose to increase and sustain maximum economic value.
Companies differ in the values they provide to their societies and the complexity of the business as employment systems they create to deliver those values with the purpose of growing and maintaining their bottom line. [4]
According to requisite organization approach, the higher the complexity (quality and quantity) of a value that a company delivers to the society is, the higher the level of business complexity the company needs to create and maintain to deliver the value to the society effectively: [2]
An identification of the level of business complexity for the company is the foundation of requisite organization as all the other Requisite dimensions (Strategy, Systems, Structure, Staff) are aligned to the level of business complexity. [5]
In Requisite Organization, companies are classified into eight levels of business complexity based on such criteria as type of value chain (single or multiple), geography of assets (local, regional, national, international, global), operating revenue, etc.
For example, for a Level 6 International Company with single value chain in multiple countries the following stratified hierarchy of bottom line units may be considered optimal in Requisite Organization: [6]
The Requisite Organization International Institute (US) was founded in 1999 by Jaques and Cason [7] to continue development and expansion of research on the application of requisite organization. Jacques' tenth book, A General Theory of Bureaucracy (1976) integrates 25 years of basic science research underpinning stratified system theory. Another 27 years of research and 11 books reporting the findings made by Jacques and colleagues forms the foundation of the institute's research and development.
A hierarchy is an arrangement of items that are represented as being "above", "below", or "at the same level as" one another. Hierarchy is an important concept in a wide variety of fields, such as architecture, philosophy, design, mathematics, computer science, organizational theory, systems theory, systematic biology, and the social sciences.
A hierarchical organization or hierarchical organisation is an organizational structure where every entity in the organization, except one, is subordinate to a single other entity. This arrangement is a form of a hierarchy. In an organization, the hierarchy usually consists of a singular/group of power at the top with subsequent levels of power beneath them. This is the dominant mode of organization among large organizations; most corporations, governments, criminal enterprises, and organized religions are hierarchical organizations with different levels of management, power or authority. For example, the broad, top-level overview of the general organization of the Catholic Church consists of the Pope, then the Cardinals, then the Archbishops, and so on.
Project management is the process of leading the work of a team to achieve all project goals within the given constraints. This information is usually described in project documentation, created at the beginning of the development process. The primary constraints are scope, time, and budget. The secondary challenge is to optimize the allocation of necessary inputs and apply them to meet pre-defined objectives.
An organization or organisation, is an entity—such as a company, an institution, or an association—comprising one or more people and having a particular purpose.
Succession planning is a process and strategy for replacement planning or passing on leadership roles. It is used to identify and develop new, potential leaders who can move into leadership roles when they become vacant. Succession planning in dictatorships, monarchies, politics, and international relations is used to ensure continuity and prevention of power struggle. Within monarchies succession is settled by the order of succession. In business, succession planning entails developing internal people with managing or leadership potential to fill key hierarchical positions in the company. It is a process of identifying critical roles in a company and the core skills associated with those roles, and then identifying possible internal candidates to assume those roles when they become vacant. Succession planning also applies to small and family businesses where it is the process used to transition the ownership and management of a business to the next generation.
Historically there have been differences among investigators regarding the definition of organizational culture. Edgar Schein, a leading researcher in this field, defined "organizational culture" as comprising a number of features, including a shared "pattern of basic assumptions" which group members have acquired over time as they learn to successfully cope with internal and external organizationally relevant problems. Elliott Jaques first introduced the concept of culture in the organizational context in his 1951 book The Changing Culture of a Factory. The book was a published report of "a case study of developments in the social life of one industrial community between April, 1948 and November 1950". The "case" involved a publicly-held British company engaged principally in the manufacture, sale, and servicing of metal bearings. The study concerned itself with the description, analysis, and development of corporate group behaviours.
Organizational theory refers to the set of interrelated concepts that involve the sociological study of the structures and operations of formal social organizations. Organizational theory also seeks to explain how interrelated units of organization either connect or do not connect with each other. Organizational theory also concerns understanding how groups of individuals behave, which may differ from the behavior of an individual. The behavior organizational theory often focuses on is goal-directed. Organizational theory covers both intra-organizational and inter-organizational fields of study.
Information management (IM) concerns a cycle of organizational activity: the acquisition of information from one or more sources, the custodianship and the distribution of that information to those who need it, and its ultimate disposal through archiving or deletion.
Span of control, also called span of management, is the term used in business management, particularly human resource management. The term refers to the number of subordinates or direct reports a supervisor is responsible for.
Social stratification refers to a society's categorization of its people into groups based on socioeconomic factors like wealth, income, race, education, ethnicity, gender, occupation, social status, or derived power. As such, stratification is the relative social position of persons within a social group, category, geographic region, or social unit.
Elliott Jaques was a Canadian psychoanalyst, social scientist and management consultant known as the originator of concepts such as corporate culture, midlife crisis, fair pay, maturation curves, time span of discretion and requisite organization, as a total system of managerial organization.
The following outline is provided as an overview of and topical guide to management:
Managerialism is the reliance on professional managers and organizational strategies to run a society. It may be justified in terms of efficiency, or characterized as an ideology. It is a belief system that requires little or no evidence to justify itself. Thomas Diefenbach associates managerialism with a belief in hierarchy. Other scholars have linked managerialism to control, accountability measurement, and a belief in the importance of tightly-managed organizations.
In system theory. "differentiation" is the increase of subsystems in a modern society to increase the complexity of a society. Each subsystem can make different connections with other subsystems, and this leads to more variation within the system in order to respond to variation in the environment.
An integrative level, or level of organization, is a set of phenomena emerging from pre-existing phenomena of a lower level. The levels concept is an intellectual framework for structuring reality. It arranges all entities, structures, and processes in the universe, or in a certain field of study, into a hierarchy, typically based on how complex their organization is. When arranged this way, each entity is three things at the same time: It is made up of parts from the previous level below. It is a whole in its own right. And it is a part of the whole that is on the next level above. Typical examples include life emerging from non-living substances, and consciousness emerging from nervous systems.
Wilfred Banks Duncan Brown, Baron Brown PC MBE, was the chairman and the managing director of Glacier Metal Company (1939–1965), author of several books and articles on management and labour issues, university administrator, and United Kingdom's Minister of State at the Board of Trade (1965–1970).
The term bureaucracy refers to a body of non-elected governing officials as well as to an administrative policy-making group. Historically, a bureaucracy was a government administration managed by departments staffed with non-elected officials. Today, bureaucracy is the administrative system governing any large institution, whether publicly owned or privately owned. The public administration in many jurisdictions and sub-jurisdictions exemplifies bureaucracy, but so does any centralized hierarchical structure of an institution, e.g. hospitals, academic entities, business firms, professional societies, social clubs, etc.
William James Reddin also known as Bill Reddin was a British-born management behavioralist, theorist, writer, and consultant. His published works examined and explained how managers in profit and non-profit organizations behaved under certain situations and conditions. The focus of his work was to understand to what extent managers were effective in their role and successful in managing situations to have the right impact on the organization's objectives.
The constructive developmental framework (CDF) is a theoretical framework for epistemological and psychological assessment of adults. The framework is based on empirical developmental research showing that an individual's perception of reality is an actively constructed "world of their own", unique to them and which they continue to develop over their lifespan.
Management System is a socio-technical system that leverages the cumulative knowledge of management practitioners and evidenced based research from the past 130 years. The system was developed by DoD components in partnership with industry experts and academic researchers and builds off of the US Department of Wars version 1.0 open source management system - Training Within Industry.
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