MicroStructure (5)

Question 1

Design

Answer 1

Design presumes discretion (the ability to alter a system)
A designer devises courses of action that change the system in ways that are desirable
Design is the core of all professional training, from business to medicine, architecture, and law

Question 2

Nine questions

Answer 2

how many tasks are in a job, and how narrow?
to what extend should tasks be standardized?
what skills and knowledge are needed for a job?
on what basis should jobs or units be grouped?
how large should each unit be?
to what extent should outputs be standardized?
how should mutual adjustment be faciliated?
how much power should middle managers have?
how much power should staff members have?

Question 3

Nine design parameters

(first three are microstructure)

Answer 3

1. Specialization
2. Formalization of behavior
3. Training and indoctrination
4. Unit grouping
5. Unit size
6. Planning and control systems
7. Liaison devices
8. Vertical decentralization
9. Horizontal decentralization

Question 4

Motivation

Answer 4

the set of processes (simple or complex) (extrinsic or intrinsic) that originate, direct, and sustain human behavior toward a goal

Question 5

Maslow’s hierarchy of needs

Answer 5

needs are sequential: lower-level needs must be satisfied before higher-level ones

1. Physiological (food, water, sleep)
2. Safety. (employment, health, house)
3. Love/belonging (friendship, familiy)
4. Esteem
5. Self-actualization

Question 6

Application to the workplace

Answer 6

1. Physiological : fair salary (food and shelter)
2. Safety: Pension plan (predictability)
3. Love/belonging: good colleagues (friendship)
4. Esteem: nice title (status and pride)
5. Self-actualization: challenge (finding purpose)

Question 7

Alderfer’s ERG Theory (existence, relatedness, growth)

Answer 7

1. Existence needs (physiology and security)
2. Relatedness needs (social relationships, sense of belonging, status and pride: extrinsic esteem)
3. Growth needs (positive self-image: intrinsic esteem, self-improvement and actualization)

Key diff from Maslow: greater satisfaction of lower-level needs offsets smaller satisfaction of higher-level ones

Question 8

McGregor’s X and Y

Answer 8

Theory x: doesn’t like work, tight control, motivated by money

Theory y: work is interesting, takes responsibility, self-direction

Question 9

Herzberg’s two-factor theory

Answer 9

1. Satisfaction is driven by motivators
   (learning, self-improvement, making an impact, conditions internal to the task)
2. Dissatisfaction is driven by hygiene factors (fairness, stability, friendliness, mostly dye to conditions external to the task)

A dual-variable theory

• satisfaction unaffected by hygiene factors
• dissatisfaction unaffected by motivators
• positive attitude and productivity are not opposites

Question 10

Implications for structure

Answer 10

1. Motivation can be manipulated
   autonomy, responsibility, feedback
2. Possible complications
   past performance, reference groups

Job-related parameters

Specialization: Horizontal/vertical division of labor
Formalization: Standardization of work processes
Training and indoctrination: Standardization of skills

Question 11

2 kinds of specialization

Answer 11

1. Horizontal (referring to job scope, variety..)

2. vertical (job depth, autonomy,…)

Question 12

Horizontal specialization

Answer 12

1. By far the predominant form of division of labor (enabled by economies of scale)
2. Repetition increases productivity (tasks matched to workers, lower switching costs)
3. Repetition decreases satisfaction
4. Repetition increases dissatisfaction

Question 13

Vertical specialization

Answer 13

1. Gives rise to administrative work (those who supervise, those who standardize)
2. Follows horizontal specialization (coordination required for narrower tasks, broader perspective needed for consistency, control transferred to managers and analysts)

Question 14

Job Enlargement

Answer 14

1. Opposite of specialization
   (horizontal: addind more tasks
   vertical: allowing choice of tasks)
2. Increase job satisfaction
3. Benefits highly dependent on context (greater motivation vs. lower efficiency, higher-quality work but lower productivity)
4. Also dependent on the nature of the workers (tolerance for ambiguity, self-identification with work)

Question 15

Job Rotation

Answer 15

1. Involves changing workers, not tasks
   at all levels of the hierarchy, but not feasible in some industries (healthcare)
2. Advantages
   adds variety without changing workflow, learning and career development, better identification of star employees
3. Disadvantages
   costs of setting up rotation program, time lost to switching tasks, not necessarily enjoyable by workers

Question 16

Specialization by parts

Answer 16

1. Strategic apex
   low horizontal, low vertical
2. Middle line
   high vertical, high horizontal toward core (functions), low horizontal toward apex
3. Core and staff
   high horizontal, high vertical if unskilled, low vertical if professional

Question 17

3 ways of formalizing behavior

Answer 17

1. By job
   specifying what to do in what sequence; generally part of formal job description
2. By workflow
   specifying how to perform specific tasks, but job on the whole remains vague (orchestras)
3. By rules
   specifying who can do what, when, where, and with whose permission; generally part of policy manual

Question 18

advantages

Answer 18

1. Formalization regulates behavior
   lower variability in quality and quantity, predictability and accountability of workers, control shifted to analysits (vertical spec.)
2. Formalization faciliates coordination
3. Formalization prevents nepotism
   necessary to Weber’s ideal bureaucracy
   preferred by government and public organizations

Question 19

Disadvantages

Answer 19

1. Makes organizations mechanistic
   rigid and efficient, but fragile
   lower survival in changing environments
2. destroys social relations
   encourages focus on own goals
3. leads to the “iron cage”
   automatic rejection of innovative ideas
   mistreatment of customers
   absenteeism, soldiering

Question 20

Mechanistic vs. organic structures

Answer 20

Mechanistic: high specialization, formal authority and unity of command, centralization, written standards and operating rules, status driven by position in hierarchy

Organic: workers are together and change and rotate tasks, cross-functional teams and task forces, decentralization, face-to-face contact and verbal interaction, status driven by personal achievement

Question 21

Formalization by parts

Answer 21

1. Strategic apex (extremely low)
2. Operating core (extremely high)
3. Staff units (high toward core, low toward apex)
4. Middle line (same as staff units, high in production, low in marketing)

Question 22

Culture and indoctrination

Answer 22

socialization: the process by which people learn the values and norms of a group
indoctrination: the parameter used to socialize workers for an organization’s own benefit

• most of it happens outside the organization
• some happens before new hires start their jobs (internships, rotation through departments)
• some happens later (rotation through foreign subsidiaries)

Question 23

Differences with formalization

Answer 23

1. two ways of exercising control over workers
   with formalization: workers are explicitly directed
   with indoctrination: they seem to act autonomously
2. Loyalty follows the source of control
   formalization become unnecessary and unwanted
3. Two kinds of bureaucracy
   more formalization: machine bureaucracy
   more indoctrination: professional bureaucracy

Question 24

Indoctrination by parts

Answer 24

1. Operating Core
   low if unskilled, high if professional
2. Staff units
   relatively high
3. Apex and middle line
   relatively low
   slowly increasing