Chapter 4 Flashcards
What does an organisation do to improve its ability to control its members?
1.It increases the number of managers it uses to minor,evaluate and reward employees
2.It increases the number of levels in its managerial hierarchy so that the hierarchy of authority becomes taller over time
Describe flat organisation
It has fewer managers and hierarchical levels than a tall organisation, so managers of a flat organisation possess relatively more authority and responsibility than those of a tal organisation.
What does restructuring and downsizing mean?
It is used to describe the process by which managers streamline hierarchies and lay off managers and workers to reduce bureaucratic costs.
What is principle of minimum chain of command?
An organisation should choose the minimum number of hierarchical levels consistent with its goals and the environment in which it operates. Top managers should be evaluated for their ability to monitor and control its activities with the fewest managers possible.
Why should an organisation choose a tall structure?
When it needs a high level of direct control and personal supervision over subordinates.
What is span of control?
The number of subordinates a manager directly controls
What does horizontal differentation lead to?
Emergence of specialised subunits, so functions or divisions.
What are the ways to increase control in a tall hierarchy?
Centralisation, Standardisation, Formalisation, Norms and Values
What is bureaucracy?
A form of organisational structure in which people can be held accountable for their actions because they are required to act in accordance with rules and standard operating procedures.
What is rational goal authority?
The authority a person possesses because of his or her position in an organisation.
Why is bureaucracy impersonal?
Because power is owed to a person because of the level of authority and responsibility associated with the organisational position the person occupies.
Firs principal birokratije
Birokratija is founded on the concept of rational-legal authority. Choices affecting the design of an organisatins hierarchy should be based on the needs of the task not on the needs of the person performing the task.
Second principal birokratije
Organisational roles are held on the basis of technical compentences, not because of social status, kinds-hip or heredity. In a well-designed hierarchy, people occupy roles because they can do the job, not because of who they are or who they know
Third principle birokratije
A roles risk responsibility and decision-making authority and its relationship to other roles should be clearily specified
What is role conflict?
The state of opposition that occurs when two or more people have different viwes of what another person should do and as a result manke conflicting demands on the person
What is role ambiguity?
The uncertainty that occurs for a person whose tasks or authority are not clearly defined
Fourth principle birokratije
The organisation of roles in bureaucracy is such that each lower office in the hierarchy is under control and supervision of a higher office.
Fifth principle birokratije
Rules, standard operating procedures and norms should be used to control the behaviour and relationship between roles in an organisation
Sixth principle birokratije
Administrative acts, decisions and rules should be formulated and put in writing.
What is Management by objectives(MBO)?
A system of evaluating subordinates on their ability to achieve specific organisational goals or performance standards and to meet operating budgets.
Name MBO steps:
1.Specific goals and objectives are established at each level of the organisation
2.Managers and their subordinates together determine the subordinates goals
3.Managers and their subordinates periodically review the subordinates progress toward meeting goals
What has an increasing use of IT led to?
Decentralisation of authority and increasing use of teams.
What is empowerment?
The process of guiding emplyees authority to make impostants decisions and to be responsible for their outcomes.
What are self-managed teams?
Work groups consisting of people who are jointly responsible for ensuring that the team accomplishes its goals and who are empowered to lead themselves.
What are cross functional teams?
Formal work groups of emplyees from across an organisations different functions
Characteristics of birokratije
1.High formalisation
2.High specialisation
3.Tall hierarchy
4.High centralisation
5.High reliance on rules and standardisation
Characteristics of agile
1.Low formalisation
2.Flat hierarchy
3.Low centralisation
4.High reliance on teamworks and task forces
How do agile teams work?
1.Self governing
2.Work closely with customers
3.Reduces layers of control and approval
4.Frees up senior leaders
