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[Business Behavior] Chapter 11 (End) Organizational Anatomy. Combining decisions and controlling subordinates and authority. And the whole summary.


Roughly speaking

  1. Chapter 11 of Management Action. Tissue anatomy. A la carte and summary of the organization.
  2. What is organizations synthesize decisions? What is control over subordinates and authority?
  3. A complete summary as the final chapter of management actions.


Chapter 11: Tissue Anatomy


This time, chapter 11. Click here for the table of contents for all articles.


This time, I will write a summary of topics that were not yet established as the final chapter, and the overall management actions. He explains that organizational decisions will be combined with a pipeline of mutual expectations and deliverables, and also explains some miscellaneous thoughts on how subordinates control them. As anyone who has read Simon's Management Action blog may already know, he is good at expressing himself. This chapter will also mark the last journey of management behavior, which has modelled and theorized, which is not seen in other business books, and has provided readers with an experience. Let's go while sniffing.



Organizational a la carte


What is the synthesis of organizational decisions?


Organization is the synthesis of decision-making. Furthermore, it is decision-making and synthesis of deliverables based on decision-making. For example, decisions made during the acquisition of X Company are synthesized using the following flow:



The general flow is preliminary investigation → planning → final decision → contract. First, the management will first decide whether to consider whether it can acquire X. Each department conducts preliminary investigations, namely due diligence (DD), for the acquisition. The investigation will be combined by the Management Planning Department, which develops acquisitions and management plans, and will be organized into acquisition plans to be submitted to the board of directors. The board of directors will decide whether to acquire the deal based on the acquisition proposal. If the company decides to acquire the company, the finance manager will be responsible for the contract practice.


Decision-making is directly synthesis of the artifacts. If the preliminary investigation does not work, the acquisition proposal will not work either. Slacking corners will result in garbage in and out. The first move is important.


And mutual trust is a prerequisite for synthesizing decision-making and synthesizing deliverables. For example, the Corporate Planning Department, which develops the acquisition proposal, trusts that the financial DD will be carried out correctly. Conversely, it can be said that the officials at Finance DD are hoping that the Corporate Planning Department will successfully compile and present it to the board of directors as a acquisition proposal. We would like to keep an eye on the fact that the assumption of mutual trust is the assumption of organizational responsibility.



How much discretion should you give your subordinates?


Related chapters can be found in Chapter 3. When transferring decisions to subordinates, the question is how far they can make value judgments. For example, if you hand over a manual, you will have zero authority to transfer it. If you ask the user to start with the creation of a manual, the part of the judgment of the facts has been transferred to the subordinate. If you are thinking about the significance of your work, you have transferred your authority to both factual judgments (whether or not you can perform the task efficiently) and value judgments (the significance of doing the task) to your subordinate. It's also called a complete handover,



How to review your subordinate's work


Related chapters can be found in Chapter 6. This is something that many business books have heard, but since people usually don't move as you want, the results can be roughly different. Furthermore, since subordinates are also human, they are not as loyal as bosses, and they may have personal goals. This creates a need for reviews as a task for the boss.


Simon says the review has four features.


  1. The higher-level layers know whether the correct decisions are being made in the lower tier.
  2. Influence the next decision. Correcting courses, redoing, etc.
  3. Subordinates appeal difficult decisions. In other words, the boss makes decisions on behalf of his subordinates.
  4. Apply rewards and punishments.

Simon also defined what to review. It's a good, versatile model.


  1. Confirming the results measured against the purpose of subordinate activities
  2. Confirm visible results of subordinate activities
  3. How subordinates can carry out their activities smoothly

Simon didn't specifically define frequency, but please check your company's review system in light of the features and content of the reviews.



Summary of management behavior


Finally, let's briefly summarize management actions.


In short, it is a modelling of the organization's raison d'etre and the mechanisms of decision-making. And this is the great achievement that only Simon can do. Each expression really expresses the problems of an organization that continues to exist today, and the experience continues. Some readers may have already known many stories, but they have not come to theorize.


Acting based on management theory reveals the problems and mechanisms of your company. Simon's management actions include many problems and solutions that we've heard somewhere. Not all people read management behavior, and even if you understand it, you cannot think of a solution and implement it, so of course the same problem will end up in a loop.


And as I have said many times, business action is honestly difficult. So I hope I will explain each chapter in detail on Gonjicchi blog and help you solve problems that continue to loop around the world. If possible, please check out the book on management behavior yourself. To be honest, there are a lot of content out there, so some of it has been omitted. And there is also the possibility that Simon's words will bring you an inspiration. One book for each family: Management behavior.



Aside (Gonjicchi memo)


Notes are written for each chapter using iPad Pro and Apple Pencil. This time it's not an e-book, but it has around 550 pages, making it inconvenient to carry around. If you make a note of it on your tablet, you can do it on your smartphone when you review it later.