Organization design, effectiveness and innovation

Question 1

Why should you care about organizational charts?

Answer 1

• Shows the organizational structure

- Your name will be on there somewhere

Question 2

What is span of control?

Answer 2

The average number of reporting to a manager. Sum up all the reporting people, and average it too. As tech improves, it pushes the span go up. The span of control would be higher, if all the jobs are very similar. This is how organization measure its efficiency.

Question 3

“Unity of Command” principle

Answer 3

classic principle of management that is used in many hierarchical organizations, such as the military, government agencies, and corporations. Unity of command holds that an employee should only be answerable to one person.

Question 4

Line vs. Staff positions

Answer 4

Line- operations side of the business

Staff- office, corporate sides of the business

Question 5

Hierarchy of authority

Answer 5

a way to structure an organization using different levels of authority and a vertical link, or chain of command, between superior and subordinate levels of the organization. Higher levels control lower levels of the hierarchy.

Question 6

Division of labor

Answer 6

The specialization of cooperating individuals who perform specific tasks and roles.

Question 7

Centralized vs. decentralized decision making

Answer 7

Centralized- President Drake decides vacation dates

Decentralized- President Drake let everyone college of different major decide which holiday to be off

Question 8

Reporting relationships- solid vs. dotted line

Answer 8

Solid- The boss is the formal boss; the can fire and hire you
Dotted- A supervisor, informally.

Question 9

Developmental positions vs. Continuity positions

Answer 9

D: For people who can learn something really fast, high potential people.
C: For people who is really good at their current job, high professionals.

Question 10

Function type of organization structure

Answer 10

Ex. Finance, HR, logistic, accounting and etc

Question 11

Divison type of organization structure

Answer 11

Geographies and/or products and/or customers, etc.
Subcategories:
Ex. Old GM, separates by Chevy, and each product line.

Question 12

Matrix type of organization structure

Answer 12

For each functional decided group, theres division decided positions. Brand 1,2,3,4 for Finance. So you have 3 bosses, 2 dotted lining bosses with brands, a solid line with finance supervisor.

Question 13

Horizontal type of organization structure

Answer 13

A form of matrix

Question 14

Hollow type of organization structure

Answer 14

Outsources selected processes.

Ex. Starbucks hire other company to do product testing do to lack of resources.

Question 15

Modular type of organization structure

Answer 15

Outsources selected components or modules.

Ex. When you are assembly something, you can hire companies for assemble different parts.

Question 16

Virtual type of organization structure

Answer 16

Uses technology

Question 17

Which types of organization structure companies uses the most?

Answer 17

Most of them use a hybrid of those functions

Question 18

What is a learning organizations?

Answer 18

Organizations want you to develop yourself, go to training and classes; have learning as its structure.

Question 19

What is mechanistic vs. organic organizations?

Answer 19

Mechanistic- decision is highly controlled

Organic- A little bit more structure, you can participate in decision making, ex. Google.

Question 20

What are different types of organizational effectiveness criteria?

Answer 20

• Goal accomplishment (Did you hit your targets?)
• Internal processes (Internal efficiency; hospitals uses matrix like wait time before you see the doctor)
• Strategic constituencies (Measures effectiveness by people who can impact us positively and negatively and their feeling towards us. Ex. College as donors for money to build buildings)
• Resource acquisition (Are we able to get resources? Ex. Diamond company, do they have access to diamond?)

Question 21

Product vs. Process innovation

Answer 21

Do we want to make better products or create a better process?

Question 22

Core vs. Transformational innovation

Answer 22

Core: Targets current customers. Ex. TimeWarner’s service like push this number, and we will call you call, so you won’t lose your waiting spot.
Transformational: Targets new customers. Ex. Phone companies, if you join us, we will pay your termination fees.