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Section No. 5 Entrepreneurship Organizations (Concluded Page 2) Teamwork activities include the following activities: 1.

Social Activates: Part of the challenge of developing teamwork is to get team members to become comfortable with each other. Informal social activities allow the tem members to relax and have fun while developing the rapport necessary to function as a unit. Examples of social activities include team sports such as volleyball or bowling or a group picnic where everyone is responsible for a task such as brining food or planning a game. Charita le Endeavors: "orking together for a charitable cause builds teamwork and gives the participants a good feeling from working together. #n example of a team charitable activity is planning and organi$ing an event like walk or run to raise money or a bake sale that promotes a cause this is called reagde. !or"place Activities: &ecause teamwork is important to a productive and healthy work environment teamwork activities should be a part of the workplace. Possible activities include 'ob swapping where workers swap 'obs with each other to develop empathy. It also re(uires workers to help each other to learn the 'obs. #nother idea is to start a team newsletter that provides the latest information on activities and accomplishments of the team members. Pro#ects: Pro'ects re(uire that team members work together to achieve a common goal. Pro'ects can involve activities like putting pu$$les together or cleaning up or rebuilding a property. Pro'ects typically involve assigning each team member a specific task that he is responsible for completing which helps to develop trust within the team. Outdoor Activities: If members of the team are relatively fit outdoor activities are a way for the team to get away from the +normal, environment. #ctivities such as camping hiking mountain biking or whitewater rafting allow the team members to relax while en'oying the fresh air and the sense of being +away from it all, can lead to bonding within the team.





Net$or"ed Organization:
&asically an organi$ation in its simplest form -and not necessarily a legal entity e.g. corporation. is a person or group of people intentionally organi$ed to accomplish an overall common goal or set of goals. &usiness organi$ations can range in si$e from one person to tens of thousands.

Net$or"ed Organization: #s organi$ations restructure to respond to their environment there

has been a growing recognition of the need for new kinds of organi$ational structures. The networked /rgani$ation is the one such response. It has been defined by 0ipnack and 1tamps as: -continued. +where independent people and groups act as independent nodes link across boundaries to work together for a common purpose2 it has multiple leaders lots of voluntary links and interacting levels., The notion of a network implies nodes and links. The nodes can be people teams or even organi$ation3networks operate at many levels. 4ommon examples are distributed geographic teams in large organi$ations or small organi$ations operating as networks to compete against large corporations. The links are the various coordination and +agreement, mechanisms. In a network high degrees of informal communications -both face3to3face and over electronic networks. achieve success where formal authority and communications in hierarchical organi$ations often fail. Two way links and reciprocity across the links are what makes networks work.
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'(pes o% Organizational Structures and )ts advantages: 5ollowing are the ma'or
types as:

*. +atri, Organizational Structures:

The advantages of matrix organi$ational structures involve recruiting and isolating talent into particular groups specifically designed to accomplish a task. 6atrix organi$ational structures are the most sophisticated of the various models to implement.

2. Net$or" Organizational Structures:

7etwork organi$ational structures heavily rely or entirely involve outsourcing tasks critical to the business8s main ob'ective. #dvantages of network organi$ational structures involve exporting legal liability and manufacturing costs of making a product2 another advantage may involve arbitrage potential. /ther advantages include: 1. &eing 4loser to the 4ustomer: There is rapid commutation between those at the sharp3 end and those who support them. !. 6aximi$ing the knowledge potential of an enterprise: network members tap into expertise wherever it ma reside. %. 6inimi$ing disruption: # network has resilience to operate even if some parts fail -e.g. in a natural disaster.. ). 9esponsiveness and adaptive3ness: 0ike an amoeba a network is sensitive to stimuli and ad'ust accordingly.

-. .ureaucratic Organizational Structures:

#dvantages of bureaucratic organi$ational structures involve implementing a tightly focused set of policies and guidelines supervising activities for a specific and predictable outcome.

/. 0unctional Organizational Structures: This kind of organi$ational structure classifies people by the functions they perform. #n advantage of functional organi$ational structures is to identify and place employees within assigned activities that best utili$e their talents. 5. 1ine Organizational Structures:
0ine organi$ational structures are ideal for businesses re(uired to act (uickly. 5or example line organi$ational structures involve a dynamic interaction between employee and supervisor allowing for the rapid exchange of ideas2 as a result the business can implement decisions (uickly. This kind of structure works well for small businesses.

Process o% .eco2ing a Net$or"ed Organization: Or 3o$ to .eco2e a Net$or"ed Organization:

:espite all the &usiness Process 9eengineering -&P9. and management change programmes taking place shifting a bureaucracy to a network is no easy task. 5ollowing are the number of key principles to follow particularly for the growing number of organi$ations who employ knowledge workers.
1. Teams are the organi$ation units that create focus and allow work to proceed.


The most productive work teams for many kinds of work especially knowledge work are small multi3disciplinary group e.g. *3; people with a variety of backgrounds. %. 6any <meetings= are not productive for knowledge work > they are really assemblies gatherings committees which may be used to pass information -often ineffectively.
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motivate -or de3motivate. provide a sense of importance. Their most valuable use in creating and maintaining a sense of belonging cohesion and reinforcing values. Every knowledge worker should belong to at least two separate teams. This helps the organi$ation achieve cross functional co3operation that helps the individual gain a broader perspective. Every team must have a clear purpose if it is to act as a team and not as a collection of individuals. It must have its own vision mission and goals which reinforce those of its partners. Every team should develop a strong set of cultural norms and values. @ence regular team meetings should take place. Each team should identify other teams carrying out related or dependent activities. It should draw a network diagram showing: BItself -with its mission. at the center B#n inner ring of teams -nodes. where interdependencies are high -formal relationships. Ban outer ring of collaborative teams -mostly information sharing. where possible ma'or activity se(uencing should be shown -who provides what to whom. Individual members of teams should be encouraged to maintain their personal and professional networks even beyond the identifiable needs of the current team. 1ome <slack= should be build into the network. # certain amount of duplicationDoverlap should not be viewed as bad. This slackness permits a higher (uality of output plus a resilience to corpe with the unexpected. Fust as in electronic networks a set of protocols needs to be defined and agreed. These may be implicit -common standards set by cultural values or <like minded people=.. /ften it needs to be made explicit what the various signals mean e.g. trial balloon idea re(uest for action demand vote decision etc. 5re(uent communication throughout the network -including outer ring. must be encouraged. This is particularly valuable for half3baked ideas tentative positions. # small group developing its own <final communi(ue= does not foster the network spirit. #lso as in electronic communication 7#G and 7/:E 7/T 9E1P/7:I7H are important signals. If something has not registered or some work is falling behind then a signal to ripple round the network so the repercussions can be analy$ed. Enabling technology is the most effective means of enhancing the (uality of network communication. Hood use of email distribution lists and groupware such as 5irst 4lass 7et 6eeting or 0otus 7otes characteri$es the truly effective network from the merely efficient. 5ormal relationships -e.g inner ring. are best cemented by having agreed written processes -hand3offs. andDor common members on both teams. 4ritical linkages need higher trust and openness rather than higher formality. In a se(uenced set of tasks this can be provided by a device known s cascading teams. 9ecogni$e the unpredictability of the process for making decisions. "ho makes decision will often be ambiguous. In general decisions should be made when and where they need to be made by whoever is appropriate.

4easons %or Creation Entrepreneurial Net$or"s:

The age of predictability is over and the age of uncertainty has begun. Intensified global competition deregulation and technical advances have triggered an avalanche of change. Inder such turbulent circumstances besides speciali$ation 16Es seek to take advantages which arise from manufacturing cooperation extension of production common research as well as from division of financial risk among partners. /nly by 'oint effort 16Es can ensure the stability and competitiveness. 1mall companies are successful in innovation process and introduction of new products. The flexibility of local manufacturing networks in relation to internal organi$ation of relations of local manufacturing networks and stress advantages of highly speciali$ed small manufacturer in
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comparison with vertical integrated large companies. 4ompanies can react to changes in demand with high flexibility due to their ability to change its structure and dependence on supply or demand. Productivity of labor increases using two main approaches: technological innovation and better organi$ation of work namely simplification and reproduction of working operations. #ll these factors are used in development of local system of production. Industrial areas contribute synergetic effects. The network is more fragment in many cases and transforms itself into Jnetwork in networkJ. Today=s technological possibilities shorten production cycle and life cycle of products.

+otivation 5 Co2pensation:
6otivation is the driving force by which humans achieve their goals. 6otivation is said to be intrinsic or extrinsic. The term is generally used for humans but it can also be used to describe the causes for animal behavior as well. This article refers to human motivation. #ccording to various theories motivation may be rooted in a basic need to minimi$e physical pain and maximi$e pleasure or it may include specific needs such as eating and resting or a desired ob'ect goal state of being ideal or it may be attributed to less3apparent reasons such as altruism selfishness morality or avoiding mortality. 4onceptually motivation should not be confused with either volition or optimism. 6otivation is related to but distinct from emotion.

)ntrinsic +otivation:
Intrinsic 6otivation refer to motivation that is driven by an interest or en'oyment in the task itself and exists within the individual rather than relying on any external pressure. Intrinsic motivation has been studied by social and educational psychologists since the early 1CAEs. 1tudents who are intrinsically motivated are more likely to engage in the task willingly as well as work to improve their skills which will increase their capabilities. 1tudents are likely to be intrinsically motivated if they: #ttribute their educational results to factors under their own control also known as autonomy &elieve they have the skill that will allow them to be effective agents in reaching desired goals -i.e. the results are not determined luck. #re interested in mastering a topic rather than 'ust rote3learning to achieve good grades.

E,trinsic +otivation:
Extrinsic 6otivation refers to the performance of an activity in order to attain an outcome which then contradicts intrinsic motivations. Extrinsic motivations comes form outside of the individual. 4ommon extrinsic motivations are rewards like money and grades coercion and threat of punishment. 4ompetition is in general extrinsic because it encourages the performer to win and beat others not to en'oy the intrinsic rewards of the activity. # crowd cheering on the individual and trophies are also extrinsic incentives. 1ocial psychological research has indicated that extrinsic rewards can lead to over 'ustification and a subse(uent reduction in intrinsic motivation. In one study demonstrating this effect children who expected to be -and were. rewarded with a ribbon and a gold star for drawing pictures spent less time playing with the drawing materials in subse(uent observations that children who were assigned to an unexpected reward condition. 5or those children who received no extrinsic reward 1elf3determination theory proposes that extrinsic motivation can be internali$ed by the individual if the task fits with their values and beliefs and therefore helps to fulfill their basic psychological needs.
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0igure sho$ing Entrepreneurial 2otivation and the entrepreneurship process

4ompensation is a systematic approach to providing monetary value to employees in exchange of work performed. 4ompensation may achieve several purposes assisting in recruitment 'ob performance and 'ob satisfaction. 4ompensation is a tool used by management for a variety of purposes to further the existence of the company. 4ompensation may be ad'usted according the business needs goals and available resources.

Purposes o% Co2pensation are:

9ecruit and retain (ualified employees. Increase or maintain moraleDsatisfaction. 9eward and encourage peak performance. #chieve internal and external e(uity. 9educe turnover and encourage company loyalty. 6odify -through negotiations. practices of unions. &ase Pay 4ommissions /vertime Pay &onuses Profit 1haring 6erit Pay 1tock /ptions TravelD6ealD@ousing #llowance &enefits including: dental insurance medical vacation leaves retirement taxesK

'(pes o% co2pensation are:

6alue S(ste2:
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# value system is a set of consistent ethic values -more specifically the personal and cultural values. and measures used for the purpose of ethical or ideological integrity. # well3defined value system is moral code. /r # coherent set of values adopted and Dor evolved by a person organi$ation or society as a standard to guide its behavior in preferences in all situations.

Categories8'(pes89inds o% 6alue S(ste2:

/ne or more people can hold a value system. 0ikewise a value system can apply to either one person or many. A personal value s(ste2 is held by and applied to one individual only. A co22unal or cultural value s(ste2 is held by and applied to a communityDgroupDsociety. 1ome communal value systems are reflected in the form of legal codes or law. # personal value system is a set of principles or ideals that drive andDor guide ones behavior. 5ollowing are the four categories of a Personal Lalue 1ystem: 1. Personal 6alues: Personal values are those traits that are worth aspiring to and that define our character. !. Spiritual 6alues: the values that are connected to a higher power and gives a sense of purpose beyond material existence. %. 0a2il( 6alues: To love and care for those we are close to2 our children our parents other family members and our friends. ). Career 6alues: The best use and expression of our talents and skills for the purposes of contributing to society and for monetary compensation.

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