Chapter 10 Flashcards
Factors affecting organizational structure
- strategy
- technology
- human resource
- organizational environment
strategy
increasing value customers perceive in organizational goods and services, usually succeeds best in a flexible structure with a culture that values innovation
technology
more complicated the technology the greater the need for flexible structure and progressive culture to enhance managers ability to respond
task variety - number of new or unexpected problems
task analyzability- degree to which programmed solutions are available to people to solve the problems
human resource
decentralized authority and empowered employees are well suited to the needs of highly skilled people
- group into functions and divisions
- allocate authority
organizational environment
decentralize authority, empower lower-level employees to make important operating decisions and encourage values and norms
enlarge a job
increase number of different tasks in a given job and increase the range of number of tasks
enriched job
degree of responsibility a worker has over a job
- empower workers to experiment to find new or better ways to do jobs
- encourage workers to develop new skills
- allowing workers to decide how to do the work
- measure own performance
5 job characteristics (job characteristics model)
- skill variety
- task identity
- task significance
- autonomy
- feedback
skill variety
extent to which job requires wide range of different skills
task identity
extent to which job requires worker to perform all the tasks necessary to complete the job from beginning to end
task significance
degree to which a worker feels his or her job is meaningfull
autonomy
degree to which a job gives an employee the freedom and discretion needed to schedule different tasks and decide how to carry them out
feedback
actually doing a job provides a worker with clear and direct info about how well he or she performed
integrating mechanisms and coordiate
liaison roles- transmitting info across the organization
task forces - temporary, regular basis or few times meet when task force isn’t needed they go back to other roles
cross-functional teams - recurring problems
integrating roles - increase coordination and integration among functions
4 steps in control process
step 1: establish standards of performance/goals
step 2: measure actual performance
step 3: compare performance against chosen standards
step 4: evaluate results
3 types of control
output control: financial measures of performance, organizational goals and operating budget
behavior control: direct supervision, management by objectives, rules and standard operating procedure
clan control: values, norms, socialization
financial measures of performance
- profit ratios
- liquidity ratios
- leverage ratios
- activity ratios
profit ratio
measure how efficiently managers are using the other organizations resources to generate profits
liquidity ratios
measure how well managers have protected organizational resources to be able to meet short term obligations
leverage ratios
measure degree to which managers use debt or equity to finance ongoing operations
activity ratios
show how well managers are creating value from organizational assets
external forces for change
globalization, changing technology, workforce diversity, ethical behavior
internal forces for change
declining effectiveness, changing work climate, company crisis, changing employee expectations
Lewins force-field theory of chance
unfreezing - situation is prepared for change, encouraging individuals to discard old behavior
changing - actions are taken to create change, new attitudes, values and behavior
refreezing - changes are reinforced and stabilized
resisting for change
- creatures of habit
- fear of uncertainty
- like schedule
- requires more work to change
- fear of loss- distribution of interpersonal relationships
stakeholders
- stockholders
- managers
- customers
- community, society, and nation-state
- supplier and distribution
- employees
ethical decision making
- utilitarian rule
- justice rule
- practical rule
- moral rights rule
utilitarian rule
ethical decision should produce the greatest good for the greatest amount of people
justice rule
ethical decision should distribute benefits and harm among people in a fair, equitable, and impartial manner
practical rule
ethical decision should be one that manager has no hesitation` about communicating to people outside in a society who would think the decision is responsible
moral rights rule
ethical decision should maintain and protect the fundamental rights and privileges of people
4 approaches to social responsibility
- obstructionist approach
- defensive approach
- accommodative approach
- proactive approach
task environment
customer, suppliers, distributors, competitors
general environment
technological forces, sociocultural forces, demographic forces, economic forces, political and legal forces
Hofstedes 5 dimensions of national culture
- individualism v collectivism
- power distance
- achievement v nurturing orientation
- uncertainty avoidance
- long-term v short-term orientation
individualism v collectivism
- values individual freedom and self expression
- values subordination of the individual to the goals of the group
power distance
degree to which society accepts the idea that inequalities are due to individual differences
achievement v nurturing orientation
- values assertiveness and performance success
- values quality of life
uncertainty avoidance
societies are willing to tolerate uncertainty and risk
long-term v short-term orientation
- values thrift and persistence in achieving goals
- values personal stability or happiness
barriers to entry
economies of scale
- cost advantages associated with large operations
- – government regulation that impede entry
- – brand loyalty
- customers preference for the products of organizations currently existing in the task environment
global environment
set of global forces and conditions that operate beyond an organizations boundaries but affects a managers ability to acquire and utilize resources