21208. Design of Organisations . Group 34

Subject

Name21208 - Design of Organisations
Group Grup 34
Academic Year 2018-19
Credits6 credits
Period Second semester
Language English
Titulació
  • Double Degree in Business Administration and Law - Second year
  • Double Degree in Business Administration and Tourism - Second year
  • Degree in Business Administration - Second year

Lecturers

LecturerOffice hours for students
Start timeEnd timeDay of the weekStart dateEnd dateLocation/Building

17:30h18:30h Wednesday 03/09/201817/06/2019 DB007 (cita prèvia per e-mail)

Context

One of the main challenges of entrepreneurs, managers and any other agent running a firm is to establish the rules and coordination mechanisms that make the decision making process more efficient. Most of these rules and mechanisms are embedded in the organization design. Therefore, building the organizational architecture that better supports the organization's strategy is a key aspect of the managerial function. The Organizational Design course is aimed to provide the students with the knowledge, tools and abilities to develop the competences necessary to make such decisions. In order to develop the full potential of the students, the course combines theoretical concepts derived from Economics and Organization Theory, and seminars and applied methodologies to analyze particular case studies and stylized situations equivalent to the real world problems. The final goal of the course is that students could easily frame and define the particular situations and that provide the better suited answer.

Requirements

Recommended

The course does not demand full proficiency in any particular course. Nonetheless, it is recommended that students have obtained enough credits from the courses 'Introduction to business' and 'Operations and Production Management'.

Skills

The course complements the generic and specific competences intended to develop a full understanding of organization and management.

Specific

  • Being able to evaluate the empowerment and decision delegation that better fits the firms' organization depending on their characteristics
  • Being able to design performance appraisal mechanisms of the business units of a firm.
  • Being able to understand the relationship among performance appraisal mechanisms and the design of incentives.
  • Being able to acquire and understand the criteria for task allocation and teamwork management.

General

  • Being able to prioritize decisions in order to achieve organizational goals.
  • Develop the ability to identify, gather and interpret the relevant data in order to make insights and pronounce her/him about social and scientific topics.

Basic

You may consult the basic competencies students will have to achieve by the end of the degree at the following address: http://www.uib.eu/study/grau/Basic-Competences-In-Bachelors-Degree-Studies/

Content

The appropriate functioning of a firm requires establishing coherent criteria on the relationships among its stakeholders. The criteria include the allocation of tasks, the definition of responsibilities, and the authority that each and everyone in the organization have to make decisions and provide directions to other stakeholders.
The goal of the course is to study such criteria using the analytic tools of economics and organization theory.

Thematic content

1 Introduction and key concepts

Preliminary concepts

Basics mathematical tools

Decision criteria under risk

2 Markets and firms. The vertical chain of production

Different ways to organize production activities: markets and firms

Use of contracts in the market

Outsourcing an activity: main benefits and costs

3 Subcontracting and incomplete contracts

Transaction costs and opportunistic behavior

Buyer seller relationships in the presence of specific assets

Market reputation: the role of implicit contracts

4 Vertical integration and agency problems

The agency problem and the use of incentives

5 Task allocation into business units

Assigning tasks to employees: specialized vs broad assignments

6 Decision-making within the firm. Centralization and delegation of decisions

Centralize or decentralize: main advantages and disadvantages

Centralize: information of the headquarters

Decentralize: adaptation vs. coordination

7 Creation of work-groups

Team formation

Benefits to team formation: saving fix costs and complementarities

Costs to team formation: coordination and free riding

Managing teams: team size and incentives

8 Performance evaluation

Main problems at measuring performance: cost centers, revenue centers and profits centers

Main criteria to evaluate performance of those sub-units

9 Transfer pricing

Transfer pricing as a mechanism to evaluate business units

Transfer pricing and outside opportunities

Transfer pricing and taxes

10 Cooperatives

Organization of cooperatives: consumers, workers and suppliers

Teaching methodology

In order to successfully develop the different competencies of this course, this section describes both classroom and homework activities planned throughout the course

In this regard, the use of ?Aula digital?, dedicated to flexible and distance learning, will allow the student to have at their disposal an online and remote communication system with the teacher, providing teaching material, tasks, forums, etc. with the objective to ease and promote the autonomous activities of the student.

Attended activities (1,8 credits, 45 hours)

TypeNameG. typeDescriptionHours
Theory classes Lectures Large group (G)

Presentation of the concepts of organizational design and its theoretical domain. The student will have access to lecture notes and basic textbooks to gain a deeper insight on the theoretical issues discussed during class.

21.5
Practical classes Workshops Medium group (M)

The students will assess their own achievement on the theoretical lectures by applying their knowledge on exercise and problem solving. The exercises will simulate real-life situations, and will require decision making to design an organization. The exercises could be demanded to be solved individually or in groups, depending on their challenge. Afterwards, the whole group will extract and gather together the main conclusions to homogenize and consolidate the knowledge. The homogenization process will also help to develop the ability to analyze and communicate the relevant information about the problem.

18
Assessment Individual evaluation. Medium group (M)

Students should test their knowldedge during the course. Each exam will last no more than 1,5 hours.

3
Assessment Final exam Large group (G)

Official examination. The evaluation will assess the knowledge of concepts, theories and their applications. The exam will last no more than 2,5 hours.

2.5

At the beginning of the semester the subject schedule will be available to students through the UIBdigital platform. This schedule will at least include the dates for the continuous assessment exams and assignment deadlines. Furthermore, the lecturer will inform students as to whether the subject syllabus will be carried out according to the schedule or otherwise, including Campus Extens.

Non-attended activities (4,2 credits, 105 hours)

TypeNameDescriptionHours
Individual self-study Study and insight.

Individual study of all concepts, theories and material related to the course.

45
Individual self-study Readings

Reading of the textbooks, case studies, and economic and management press for debating at workshops.

15
Group self-study Study

Study in group of the course

15
Group or individual self-study Assignment

Consolidation of the acquired knowledge by solving problems and exercises.

Identification of information sources; information analysis, build-on new information and present and discuss the main conclusions in group.

15
Group or individual self-study Information research.

Identification of information sources to analyze during the workshops or assignments.

15

Specific risks and protective measures

The learning activities of this course do not entail specific health or safety risks for the students and therefore no special protective measures are needed.

Student learning assessment

The table of this section describes each evaluation procedure, its type (if an activity is recoverable in july or not), the evaluation criteria and its weight in the final mark of the course.

The student will get a numerical rating to each evaluation activity, and all evaluation activities will be weighted according to the weight set in the syllabus in order to obtain the overall grade for the course. The final mark will be a grade between 0 and 10, and in order to pass the course the student must meet two requirements:

1. Obtain a weighted mark of at least 5 over 10.
2. In addition, in the final exam is also essential to obtain a minimum of 5 over 10 to pass the course.

The final exam is the only activity recoverable, and can only be recovered in the period of extraordinary evaluation in July.

There is an alternative evaluation system ("itinerari B") ONLY available for those students that are retaking the course AND are studying in a foreign university during the second semester. To pass the course, the student must obtain a weighted mark of at least 5 over 10. The grading of this alternative evaluation system is:

1. 80% final exam in which it is required to obtain a minimum of 5 over 10 to pass the course

2. 20% assignment

The final exam is the only activity recoverable, and can only be recovered in the period of extraordinary evaluation in July.

In accordance with article 33 of the Academic Regulations, "regardless of the disciplinary procedure that may be followed against the offending student , the demonstrably fraudulent performance of any of the evaluation elements included in the teaching guides of the subjects will lead, at the discretion of the teacher, to an undervaluation in the qualification that may suppose the qualification of "suspense 0" in the annual evaluation of the subject".

Individual evaluation.
Type Assessment
Technique Objective tests ( non-retrievable )
Description

Students should test their knowldedge during the course. Each exam will last no more than 1,5 hours.

Assessment criteria

There will be two individual evaluations along the classes. Each evaluation will count 20% on the final grade.

If the student needs to attend the extraordinary examination in July, they will keep the grading of mid-term exam, with the same weights than during the course (20% each one of the individual evaluations).

Final grade percentage: 40% for the training plan A
Final grade percentage: 0% for the training plan B

Final exam
Type Assessment
Technique Objective tests ( retrievable )
Description

Official examination. The evaluation will assess the knowledge of concepts, theories and their applications. The exam will last no more than 2,5 hours.

Assessment criteria

Passing the course implies fulfilling the following criteria:

1. Student must achieve at least a mark of 5 out of 10 at the final exam.

2. Student must achieve at least a mark of 5 out of 10 at the global grading.

The final exam includes all materials involved during class, readings, discussions, exercises, and mid-term exam.

If the student needs to attend to the extraordinary examination in July, they will be required to achieve again a mark of at least 5 out of 10 at this exam, and it will have the same weight for the final grade (40%).

Moreover, the global weighted grading must be at least 5.

Final grade percentage: 40% for the training plan A with minimum grade 5
Final grade percentage: 80% for the training plan B with minimum grade 5

Assignment
Type Group or individual self-study
Technique Other methods ( non-retrievable )
Description

Consolidation of the acquired knowledge by solving problems and exercises.

Identification of information sources; information analysis, build-on new information and present and discuss the main conclusions in group.

Assessment criteria

Along the course, students will present (as a digital file and working in small teams) one problem set with a weight of 20%.

If the students need to attend the extraordinary examination in July, they will keep the grading of the final assignment, with the same weight than during the course (20%).

Final grade percentage: 20% for the training plan A
Final grade percentage: 20% for the training plan B

Resources, bibliography and additional documentation

There is not a single text book but a collection of lecture notes, several complementary readings, and other materials.

Additional bibliography

Brickley, James, Clifford Smith i Jerold Zimmermann, 2007, Managerial economics & organizacional
architecture, McGraw-Hill.
Froeb, Luke i Brian McCann, 2008, Managerial economics, Thomson.
Milgrom,Paul i John Roberts, 1992, Economics, organization & management, Prentice Hall.
Roberts, John, 2004, The modern firm, Oxford.
Salas, Vicente, 1996, Economía de la empresa, Ariel economía.
Vergés, Joaquim, 2000, Control i incentius en la gestió empresarial, servei de publicacions de la UAB.

Other resources

The professor will upload several working material on the Campus Extens' course web page.