CEVAP:

According to the contingency theory, there are two types of organizational design: the mechanistic and organic (“organismic”) organizational designs.

The mechanistic organization has a high degree of formalization, centralization, and specialization; tall hierarchy; bureaucratic control; and personal and/ or skill-based pay as the incentive system.

The organic organization includes a low degree of formalization and specialization, decentralization; flat hierarchy; HRM and/or cultural control; and bonus-based incentives and/or profit sharing as the incentive system.