Lesson 10 Flashcards
a form of departmentalization in which everyone is engaged in one functional activity (group into one unit).
Functional organization
refers to the organization of a company by divisions (involving a certain product or customer).
Product or Market organization
an organizational structure in which each employee reports to both a functional or decision manager and to a project or group manager.
Matrix organization
Types of Organizational Structure:
- Functional organization
- Product or Market organization
- Matrix organization
the structures are very effective in smaller firms, especially “single-business firms” where key activities revolve around well-defined skils and areas of specialization.
Functional Organization
feature of operating by divisions, is “appropriate for a large corporation with many product lines in several related industries.”
PRODUCT OR MARKET ORGANIZATION
“is a structure with two (or more) channels of command, two lines of budget authority, and two sources of performance and reward.” Defined by?
Thompson and Strickland (MATRIX ORGANIZATION)
declared that “the matrix structure was designed to keep employees in a central pool and allocate them to various projects in the firm according to the length of time they were needed.”
Higgins
Types of Authority:
- Line Authority
- Staff Authority
- Functional Authority
a manager’s right to tell subordinates what to do and then see that they do it.
Line Authority
a staff specialist’s right to give advice to a superior.
Staff Authority
a specialist’s right to oversee lower level personnel involved in that specialty, regardless of where the personnel are in the organization.
Functional Authority
perform tasks that reflect the organization’s primary goal and mission. In a construction firm, the department that negotiates and secures contracts for the firm is a line department. The construction division is also a line function.
Line Departments
include all those that provide specialized skills in support of line departments. Examples of staff departments include those which perform strategic planning, labor relations, research, accounting, and personnel.
Staff Departments
Staff officers may be classified into the following:
- Personal Staff
- Specialized Staff
those individuals assigned to a specific manager to provide needed staff services
Personal Staff
those individuals providing needed staff services for the whole organization.
Specialized Staff
is one given to a person or a work group to make decisions related to their expertise even if these decisions concern other departments. This authority is given to most budget officers of organizations, as well as other officers.
Functional Authority
is a formal group of people formed for a specific purpose.
Committee
As described by ____, the product planning committee is “often staffed by top executives from marketing, production, research, engineering, and finance, who work part-time to evaluate and approve product ideas.”
Millevo
Committee are very useful, especially to ______________________________
engineering and manufacturing firms.
Committees may be classified as follows:
- Ad hoc committee
- Standing committee
one created for a short-term purpose and have a limited life.
Ad hoc committee
it is a relatively permanent committee that deals with issues on an ongoing basis.
Standing Committee
A committee may not work properly, however, if they are not correctly managed. As ______ suggests “it might be useful to set up some procedures to make the committee a more effective tool to accomplish our goals.
Delaney
