Ogranizing Flashcards
Organizational Structure
The formal system of task and job reporting relationships that determines how employees use resources to achieve organizational goals.
4 factors that determine the type of organizational structure/method managers select:
nature of the organizational (external) environment, type of strategy the organization pursues, technology (IT), and the characteristics of the organization’s human resources.
Hackman and Oldham 5 characteristics model
Skill Variety, task identity, task significance, autonomy and feedback
Skill variety:
extent to which a job requires that an employee use a wide range of different skills, abilities, or knowledge.
Task Identity:
extent to which a job requires that a worker perform all the tasks necessary to complete the job, from the beginning to the end of the production process.
Task Significance:
degree to which a worker feels their job is meaningful because of its effect on people inside the organization, coworkers, or people outside, such as customers.
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:
extent to which actually doing a job provides a worker with clear and direct information about how well their job has been performed.
3 types of Divisional Structures
Product structure, geographic structure and matrix structure.
Product Structure:
organize divisions according to the type of good or service they provide. Managers specialize in one product area. Become experts in their industry; allowing them to differentiate their products or lower costs while meeting customer needs. Likely to make fewer mistakes.
Geographic Structure:
organize divisions according to the area of the country or world they operate in. More likely when pursuing a multidomestic strategy because customer needs vary widely by country or world region (Global Geographic structure). Customize the products to meet the needs of customers in those different world regions. Global product structure: same kind of product or slight variations.
Market Structure:
organize divisions according to the type of customer they focus on. To satisfy the needs of diverse customers.
How does product team structure differ from the matrix structure?
(1) no two-boss employees, and (2) functional employees are permanently assigned to a cross-functional team that is empowered to bring a new or redesigned product to market.
Cross-Functional team:
group of managers brought together from different departments to perform organizational tasks.
According to Charles Perrow, task variety and task analyzability determine
how complicated or nonroutine technology is.
Market Structure is the divisional structure that
allows managers to be most flexible and responsible when handling customers’ needs.
Staff manager
manager responsible for a specialist function. (finance or marketing)
Integrating mechanisms managers can use to increase communication and coordination among functions and divisions
task forces, cross-functional teams, liaison roles, and integrating roles and departments.
Job enrichment can be accomplished by
encourage workers to develop new skills, empower workers to experiment to find new or better ways of doing the job, allow workers to monitor and measure their own performance, and allow workers to decide how to do the work and give them responsibility for deciding how to respond to unexpected situations.
Market Structure:
characterized by each kind of customer being served by a self-contained division.
Outcome of Hackman and Oldham’s job characteristics model include;
high satisfaction, and high performance.
Functional structure
is an organizational structure composed of all departments that an organization requires to produce its goods or services.
Product structure
organizational structure in which each product line or business is handled by a self-contained division.
According to Hackman and Oldham, every job has characteristics that determine how employees react to their work and lead to
low absenteeism, high satisfaction, low turnover, and high performance.
Head of functions in a product team structure with cross-functional teams have the following primary functions
counsel and help team members, provide technological developments to improve team performance, and share knowledge among teams.
When organization’s customers vary widely by country or world region, the managers is most likely to implement a
geographic structure.
Characteristics of organizations operating in a stable environment
less skilled workforce, less complexity and a better understanding of its strategy and technology.