Organismic vs Mechanistic Control Systems

Extract from http://www.change.freeuk.com/learning/business/mechorga.html:
In organismic control system, a continual adjustments and flexibility in individual tasks is emphasised. Knowledge is collaborative rather than restricted into specialisms. Communication is horizontal, vertical and diagonal as required by the types of work involved. An organisation chart would depend on the job being done and what process it involves, and it may not last long. Everyone should consult and consider the overall aims of the company as the situation keeps changing.

Here - http://www.bookrags.com/research/mechanistic-organizations-eom/, there is a clear explanation of mechanistic control system minus comparison with organismic control system. The term mechanistic suggests that organizational structures, processes, and roles are like a machine in which each part of the organization does what it is designed to do, but little else. What's interesting here also is that it explains why mechanistic organisation is not synonymous to bureaucratic organisation despite very close similarities. A mechanistic organisation is usually bureaucratic, but a bureaucratic organisation is not necessarily mechanistic. Mechanistic implies efficiency; but most bureaucratic organisations are far from efficient. Here, there are more explanations about the difference.

Related links:

Mechanistic Organisation: McDonald

Resource based approach to strategy

Resource based approach to strategy takes a look at the strengthening the internal resources of an organisation and how the resources could be transformed into a competitive edge that is not easily copied by others. It is argued in the topic that there are five attributes of resources that could lift an organisation to the level of internal strength - The resources collectively should be able to form capabilities that are:

1. Inimitable (not easy to imitate)
2. Durable (that could last very long)
3. Relevant (that is relevant in the context of current time)
4. Appropriable (this one I'm not sure what it exactly means)

Market based approach to strategy

This topic of block 3 of B713 touches on how strategy can be put together based on the understanding of the forces in the market. This is the case if an organisation intends to venture into a new market segment or region. There are two key theories relevant to this; the Porter (1980) market five forces and an extension of it by David McKevitt (2000) that takes a slightly extended view on public organisations, in particular those that have direct interaction / interfaces with the people.

Porter theory is most relevant in the context of free market. Understanding the forces - existing competitors, (bargaining power of) suppliers, (bargaining power of) customers, (level of) barrier of entry, and (potential) new entrants provide - allows an organisation to come up with the right strategy. For example, in a market that is highly driven by brands, it is important that the right level of investment is allocated to introduce a new brand.

In this topic of market based strategy approach, what is most key is that how an organisation is adapts to the changes in the market and alter and align its strategy accordingly. What is more important is its sensitivity to indicators of these changes to react early enough.