Formal Organizations
A century ago, organizations involved a pyramid shaped of rankings in which few controlled the many. With this system, it distanced those in higher power with those at the bottom of the barrel within a company. There was no democracy within the company and those who were at the bottom of the pyramid of power had to do whatever job and task a person of higher power instructed.
Throughout the years things started to change and evolve. In the early 1900s, organizations and businesses were not really efficient in their work and job performances. In this top-down format, managers did a few things. They took a look at each workers job by figuring out what operations were involved and the allotted time it needed for the task to be completed. Then they tried to figure out how they can maximize their efficiency. Finally, incentives were given to those workers who did their job well. This was known as scientific management.
By the mid-century, organizations continued to be inefficient but mostly through their hiring processes. Women and minorities were never those in power or even in the management position. They mostly were of white men. These "closed" organizations created unproductive workers because there were no hopes of advancement within their workplace. Men tended to be more worried in their reputations while women cared for the creative side of the businesses. When organizations became more open, the results were clear; they became more profitable.
Today, organizations are more flexible and open. Rather than a top-down model, it works on the basis of teams with senior managers overseeing the projects at hand. Those in power in these types of organizations, ask for creativity and ideas from their employees rather than barking out orders. Today's organizations encourage their employees to be more creative and give them huge responsibilities. They are supervised less and given goals but want their employees to use their talents...
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