Organizations exist because they are a better means of allocating resources than a pure market system. Business entrepreneurs learned more than a century ago that it is preferable to hold resources in the form of a firm than it is to obtain them repeatedly from markets. Doing so allows for more control and predictability, and it gives entrepreneurs time to obtain returns on their investments. Holding resources in organizations allows entrepreneurs to take collective action, and over the years business empires have been built in railroads, steel, automobiles, banks, social media, and information search engines. Today, organizations are used in every sector because they are the most effective means of taking collective action.

The essence of organizing is the ability of individuals, groups, and larger collectives to process information in order to make decisions. Organizations that cannot process information effectively cannot learn and adapt. The field of organization design was born when entrepreneurs, managers, military commanders, and other leaders focused their attention on how to arrange resources inside their organizations.

This seminar will examine how and why organizational designs have evolved over time, and it will describe how the process of designing organizations has expanded as knowledge about organizations and management has accumulated. A particular emphasis will be placed on theories and perspectives that lead to practically useful designs. You are asked to read all of the readings before coming to the seminar so that you are prepared to participate actively in the discussions. In addition, please skim through several issues of the Journal of Organization Design (www.jorgdesign.net) to see the various types of articles that have been published and the kinds of topics that are covered.   

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