An Organization Found That the Task of Processing a Credit

Question

Examlex · Accepted Answer

The Answer is This credit application system needs to move away from departments and be organized around process-in other words, designing the organization in a way that considers the actual jobs that need to be performed. This is in contrast to a blanket approach to organizational design that would simply advocate the creation of different departments that jobs will be organized in. Often the bureaucratic structure becomes preoccupied with administrative levels of hierarchy, rules, and regulations. What reengineering advocates is to move away from a preoccupation with organizing work based on tasks, jobs, departments, and administrative levels of hierarchy, and instead to focus on processes-the activities required to transform inputs into outputs. Consequently, "scrap" the traditional method organized around specialized, compartmentalized tasks and redesign the work around the process itself of completing a credit application. This did not require numerous specialists, but simply a few generalists. That is, one person could process an entire application without passing it on to others. This will decrease the application time, increase in the number of applications processed, and require fewer employees to do the job.

An Organization Found That the Task of Processing a Credit

Definitions: