Organizational Perspective

• What is an organization according to Huczynski and Buchanan?

  A social arrangement for controlled performance
• What does Dawson define as an organization?

  A collection of people in formal association
• What are the characteristics that define an organization according to Hall and Tolbert?

  • Identifiable boundary
  • Normative order (rules)
  • Ranks of authority (hierarchy)
  • Communication systems
  • Membership coordinating systems
• What is a common factor in organizations according to Mullins?

  Interactions and efforts of people
• What are the common factors in organizations as per Mullins?

  • People
  • Objectives
  • Structure
  • Management
• What is the definition of a Small and Medium Sized Enterprise (SME)?

  Employs fewer than 250 persons
• What is the liability structure of a sole trader?

  Unlimited liability
• What are the advantages of a sole trader?

  • Low cost and easy to set up
  • Full control retained
  • Very little financial reporting
• What are the disadvantages of a sole trader?

  • Full liability for debt
  • Risk of bankruptcy if sued
  • Higher taxes
  • Lacks market credibility
• What is a Limited Liability Partnership (LLP)?

  Liability limited to investment in company
• What are the advantages of a Limited Liability Partnership (LLP)?

  • Flexibility in incorporation
  • Combines benefits of limited company and partnership
• What are the disadvantages of a Limited Liability Partnership (LLP)?

  • Profit taxed as income
  • Partners must disclose income
• What is the main aim of private sector organizations?

  Profit and return on capital employed
• What is the primary goal of public sector organizations?

  To provide public services
• What are the characteristics of a social enterprise?

  • Business with social objectives
  • Surpluses reinvested in community
  • Not driven by profit maximization
• What is the role of a franchisor?

  Allows franchisee to use trademark
• What are the cooperative principles of the Mondragón Cooperative Corporation?

  1. Open admission
  2. Democratic organization
  3. Sovereignty of labour
  4. Instrumental nature of capital
  5. Participatory management
  6. Payment solidarity
  7. Intercooperation
  8. Social transformation
  9. Universality
  10. Education
• What is the main focus of a mutual organization?

  To serve the needs of its members
• What is the difference between private and public sector organizations?

  • Private: Owned by individuals, profit-driven
  • Public: Created by government, service-oriented
• How do social enterprises differ from traditional businesses?

  Focus on social objectives over profit maximization
• What is the liability structure of a public limited company?

  Limited to share face value
• What are the advantages of a public limited company?

  • Can raise more finance
  • More media attention
• What are the disadvantages of a public limited company?

  • No restrictions on share ownership
  • Increased regulation
  • Share price fluctuations
  • Managers may lose control
• What are the classifications of organizations by legal ownership?

  • Sole trader
  • Partnership
  • Limited Liability Partnership (LLP)
  • Private limited company (Ltd)
  • Public limited company (PLC)
• What are the classifications of organizations by established definitions?

  • Multinational Corporation (MNC)
  • Small and Medium Sized Enterprise (SMEs)
  • Franchise
  • Cooperative Society
  • Staff Ownership
  • Mutual Society
  • Not-for-profit Organization
  • Social Enterprise
• What are the inputs and outputs of an organizational system?

  • Inputs: Resources, capabilities, information
  • Outputs: Services, products, outcomes
• What is the role of management in a reified abstract concept?

  • Objective observer steering the organization
  • Guiding principles and ideologies
• How does the organization as a social construction differ from traditional views?

  • Abstract concept created by individuals
  • Focus on relationships and social reality
• What is the significance of the cooperative principles in Mondragón?

  • Promote democratic governance
  • Ensure fair distribution of wealth
  • Foster community engagement
• What is the impact of social enterprises on communities?

  • Improve community health and wellbeing
  • Reinvest profits for social value
• What is the role of education in the Mondragón cooperative principles?

  • Cornerstone for promoting social order