03 Organizational Structure Flashcards
1
Q
Organization vs Company – which is the formal term?
A
organization = formal company = colloquial
2
Q
The earliest record of the I/O psychology
A
Ancient Chinese using civil service exams
3
Q
3 theories of organizations
A
- classical theory
- neoclassical theory
- systems theory
4
Q
Classical theory is concerned with what?
A
the form and structure of organizations
5
Q
Neoclassical theory recognized the importance of (blank) within organizations
A
psychological and behavioral issues
6
Q
Systems theory looks at organizations in terms of (blank)
A
interdependent components forming a system
7
Q
Systems theory originated from (blank)
A
biological science
8
Q
4 principles of the Classical Theory
A
- functional
- scalar
- line/staff
- span of control
9
Q
[Classical Theory]
The functional principle is concerned with (blank) and (blank)
A
departmentalization and specialization
10
Q
[Classical Theory]
The functional principle relates to (blank) of the organization
A
horizontal growth
11
Q
[Classical Theory]
The scalar principle asserts that organizations are structured by a (blank)
A
chain of command
12
Q
[Classical Theory]
The scalar principle deals with the (blank) of the organization
A
vertical growth
13
Q
[Classical Theory]
Under the scalar principle, the unity of command refers to what?
A
each subordinate being accountable to only one supervisor
14
Q
[Classical Theory]
True or False – The higher the position, the more authority and responsibility a person has
A
true
15
Q
[Classical Theory]
The line/staff principle differentiates what?
A
line function from staff function
16
Q
[Classical Theory]
Under the line/staff principle, this function is primarily responsible for meeting the major goals of an organization
A
line function
17
Q
[Classical Theory]
Under the line/staff principle, this function provides support in meeting organizational goals but are regarded as subsidiaries
A
staff functions
18
Q
[Classical Theory]
Line or Staff – sales department
A
line
19
Q
[Classical Theory]
Line or Staff – human resources department
A
staff
20
Q
[Classical Theory]
Line or Staff – maintenance
A
staff
21
Q
[Classical Theory]
Line of Staff – production department
A
line
22
Q
[Classical Theory]
The span of control principle accounts for what?
A
the number of subordinates a manager is responsible for supervising
23
Q
[Classical Theory]
Under the span of control principle, what is the ideal number for a small span of control?
A
2 subordinates
24
Q
[Classical Theory]
Under the span of control principle, what is the ideal number for a large span of control?
A
15 subordinates
25
[Neoclassical Theory]
Asserts that division of labor (blank) work activities
depersonalizes
26
[Neoclassical Theory]
Division of labor results in (blank) due to (blank), resulting in (blank)
alienation due to repetitive work, resulting in dissatisfaction
27
[Neoclassical Theory]
Main argument of this theory
Less rigid division of labor, more humanistic work
28
[Neoclassical Theory]
2 main arguments vs the scalar principle
1. individuals are influenced by interpersonal activities beyond what is prescribed in the org structure
2. having multiple bosses is not a problem as long as there is proper organization
29
[Neoclassical Theory]
2 main arguments vs the line/staff principle
1. not realistic
| 2. staff functions are still critical to organizational success
30
[Neoclassical Theory]
2 main arguments vs the span of control principle
1. difficult to select a number of direct recruits
| 2. does not account for the supervisor's managerial ability and intensity of the needed supervision
31
[Systems Theory]
True or False -- Similar to Gestalt Psychology
true, the whole is better than the sum of its parts
32
[Systems Theory]
True or False -- An action of one system could affect the entire organization
true, because every system is interlocking and interdependent
33
[Systems Theory]
The purpose of an organization is to what?
Reach stability, grow, and adapt to survive
34
5 parts of an organizational system
1. individuals
2. formal organization
3. small groups
4. status and role differences
5. physical environment
35
Refers to the division of labor and patterns of coordination, communication, workflow, and formal power that direct organizational activities
organizational structure
36
Refers to the arrangement of work functions designed to achieve efficiency and control
structure
37
Refers to subdividing work into separate jobs assigned to different people
division of labor
38
Mintzberg's 5 basic parts of an organization
1. operating core
2. strategic apex
3. middle line
4. technostructure
5. support staff
39
[Mintzberg's Parts of an Org]
Consists of employees conducting the basic work duties of an org
operating core
40
[Mintzberg's Parts of an Org]
The operating core can be synonymous to what?
line functions
41
[Mintzberg's Parts of an Org]
Associated with executive leadership
strategic apex
42
[Mintzberg's Parts of an Org]
Ensures that the overall goal set by the strategic apex is carried out by the operating core
middle line
43
[Mintzberg's Parts of an Org]
Business specialists that influence an organization
technostructure
44
[Mintzberg's Parts of an Org]
Provides services that aid the basic mission of the organization
support staff
45
[Mintzberg's Parts of an Org]
2 parts that can be outsourced
technostructure and support staff
46
[Mintzberg's Parts of an Org]
When there is a need to downsize, which parts are the first to be laid off?
middle line, technostructure, and support staff
47
Mintzberg's 3 coordinating mechanisms
1. information communication
2. formal hierarchy
3. standardization
48
[Mintzberg's Coordinating Mechanisms]
Refers to forming common mental models to synchronize work
information communication
49
[Mintzberg's Coordinating Mechanisms]
Information communication simply means sharing what?
sharing information on mutual tasks through casual conversations
50
[Mintzberg's Coordinating Mechanisms]
Main advantage of information communication
allows flexibility and collaboration
51
[Mintzberg's Coordinating Mechanisms]
Information communication is easiest to apply in (blank) and (blank)
small firms and team-based structures
52
[Mintzberg's Coordinating Mechanisms]
Under information communication, this refers to people responsible for encouraging employees to informally coordinate work activities
integrator roles
53
[Mintzberg's Coordinating Mechanisms]
Under information communication, this refers to forming a temporary team composed of employees from several departments for the purpose of developing a product/service
concurrent engineering
54
[Mintzberg's Coordinating Mechanisms]
Refers to work being coordinated through direct supervision
formal hierarchy
55
Refers to employees without decision-making capabilities
rank and files
56
[Mintzberg's Coordinating Mechanisms]
Main advantage of formal hierarchy
efficient for simple and routine situations
57
[Mintzberg's Coordinating Mechanisms]
2 main disadvantages of formal hierarchy
1. not as agile for coordination in complex and new situations
2. costly bureaucracy
58
[Mintzberg's Coordinating Mechanisms]
Refers to creating routine patterns of behaviors or outputs
standardization
59
Refers to standardizing work activities through job descriptions and procedures
processes
60
Refers to ensuring clearly defined goals and measures
outputs
61
Refers to conducting extensive training
skills
62
4 elements of organizational structure
1. departmentalization
2. span of control
3. formalization
4. centralization
63
[Elements of Org Structure]
Refers to how employees and their activities are grouped together
departmentalization
64
[Elements of Org Structure]
3 functions of departmentalization
1. establish chain of command
2. create common mental models
3. encourage coordination through informal communication
65
[Elements of Org Structure]
Refers to the number of direct reports and assumes coordination through direct supervision
span of control
66
[Elements of Org Structure]
3 characteristics of orgs with a wide span of control
1. presence of other coordinating mechanisms (self-directed teams)
2. routine tasks
3. low employee interdependence
67
[Elements of Org Structure]
3 main issues with a taller span of control
1. high management overhead costs
2. less information flow
3. less staff empowerment
68
[Elements of Org Structure]
3 main issues with a flatter span of control
1. undermined management functions due to an empowered staff
2. increased workload and stress given many direct reports
3. restricted managerial career development
69
[Elements of Org Structure]
Refers to the degree to which orgs standardized behavior
formalization
70
[Elements of Org Structure]
5 disadvantages of formalization
1. reduces organizational flexibility
2. discourages learning and creativity
3. reduces work efficiency
4. highly bureaucratic
5. increases job dissatisfaction and stress
71
[Elements of Org Structure]
Refers to formal decision-making authority being held by a few people
centralization
72
[Elements of Org Structure]
Main disadvantage of centralization
less responsive organization
73
[Elements of Org Structure]
Refers to dispersing decision-making authority throughout the organization
decentralization
74
[Elements of Org Structure]
True or False -- Orgs can only be either centralized or decentralized
false, orgs can be both
75
5 types of organizational structure
1. functional
2. divisional
3. team-based
4. matrix
5. network
76
[Types of Org Structures]
Refers to designing around specific knowledge or resources
functional org structure
77
[Types of Org Structures]
3 advantages of a functional org structure
1. economies of scale
2. supports professional identity and career paths
3. easier supervision
78
[Types of Org Structures]
3 disadvantages of a functional org structure
1. more emphasis on sub-ubit than org goals
2. higher dysfunctional conflict
3. poorer coordination that requires more controls
79
[Types of Org Structures]
Refers to designs based on output, clients, or geographical areas
divisional org structure
80
[Types of Org Structures]
The form of divisional org structure to be used depends on (blank) or (blank)
environmental diversity or uncertainty
81
[Types of Org Structures]
True or False -- In the age of globalization, there has been a movement away from geographic form
true
82
[Types of Org Structures]
2 advantages of a divisional org structure
1. accommodates growth
| 2. focuses on markets/products/clients rather than tasks
83
[Types of Org Structures]
4 disadvantages of a divisional org structure
1. duplication of various functions
2. inefficient use of resources
3. dispersed specializations
4. political conflicts between two forms (geographic and product/service)
84
[Types of Org Structures]
Refers to designs centered around self-directed teams and work processes
team-based
85
[Types of Org Structures]
4 advantages of a team-based structure
1. responsive and flexible to the environment
2. lower administrative costs
3. quicker and more informed decision-making
4. more empowered employees
86
[Types of Org Structures]
5 disadvantages of a team-based structure
1. high interpersonal training costs
2. slower team development
3. role ambiguity increases stress
4. problems with supervisor role changes
5. duplication of resources
87
[Types of Org Structures]
Refers to designs with overlays between 2 structures to leverage the benefits of both
matrix structure
88
[Types of Org Structures]
5 advantages of a matrix structure
1. effective use of resources and expertise
2. better communication, flexibility, and innovation
3. focuses on client/product specialists
4. supports knowledge sharing
5. gives equal treatment to important divisions
89
[Types of Org Structures]
3 disadvantages of a matrix structure
1. increased goal conflict and ambiguity
2. diluted accountability given 2 bosses
3. more potential for conflict and stress
90
[Types of Org Structures]
Refers to designs that form an alliance among firms to create a product/service
network organizational structure
91
[Types of Org Structures]
True or False -- Supporting firms in a network structure become partners of the core firm
true
92
[Types of Org Structures]
3 benefits of a network organizational structure
1. highly flexible
2. optimizes skills and technology
3. not saddled with the same resources for all products
93
[Types of Org Structures]
2 disadvantages of a network organizational structure
1. exposure to market forces
| 2. less control over supporting firms
94
Mechanistic vs Organic structures -- Which has a more narrow span of control, high formalization, and high centralization?
mechanistic
95
Mechanistic vs Organic structures -- Which has a wider span of control, little formalization, and decentralized decision-making?
organic
96
Organic structures are usually synonymous with (blank)
team-based structures
97
[Contingencies of Org Design]
4 external environment characteristics to consider
1. dynamic vs stable
2. complex vs simple
3. diverse vs integrated
4. hostile vs munificent
98
[Contingencies of Org Design]
What structure should be used if an org is dynamic with high rates of changes?
team-based, network, or other organic structures
99
[Contingencies of Org Design]
What structure should be used if an org has steady conditions or predictable changes?
mechanistic structures
100
[Contingencies of Org Design]
What structure should be used if an org is complex with many elements?
decentralized structure
101
[Contingencies of Org Design]
What structure should be used if an org is simple with only few environmental elements?
less need to do a decentralized structure
102
[Contingencies of Org Design]
What structure should be used if an org is diverse with several products, clients, or regions?
divisional structure aligned with the type of diversity the org has
103
[Contingencies of Org Design]
What structure should be used if an org is integrated with a single product/client/place?
functional structure or a geographic division (if global)
104
[Contingencies of Org Design]
What structure should be used if an org is hostile with high competition and resource scarcity?
organic structure for responsiveness
105
[Contingencies of Org Design]
What structure should be used if an org is munificent with plenty of resources and product demand?
less need for organic structures
106
4 effects of an increasing organizational size
1. more division of labor and job specialization
2. more standardization
3. more hierarchy and formalization
4. more decentralization
107
True or Falls -- Strategy follows structure
false, structure follows strategy
108
2 types of organizational strategy
differentiation and cost leadership strategies
109
Refers to providing unique products or attracting clients who want customization
differentiation strategy
110
Refers to maximizing productivity in order to offer competitive pricing
cost leadership strategy
