The 4 IF contingency variables by Alfred Chandler,”Strategy -> structureStructure should facilitate goal achievementWorks best with different organizational strategiesPursuit of innovation ->organicPursuit of cost control->mechanistic.Size -> structureSize affects structureWhen 2000 limit is reached, size is less influential< 2000 employees -> organic, > 2000 -> mechanistic Technology -> structureTechnology converts inputs into outputsEnvironment -> structureEnvironment is a constraint on managerial discretionThis is why managers restructured their organizations to be lean, fast and flexible.Stable environment -> mechanistic structure
dynamic environment -> organic structure”