Structure, Culture Flashcards
Organizational Structure
How you organize your people to achieve the common goal
Chain of Command
The configuration of reporting relationships within organizations (who reports to whom)
- Determines formal authority
Span of Control
Number of employees that report to a given supervisor
- Wide span: Many subordinates reporting (flat hierarchy)
- Narrow span: Few subordinates reporting (tall hierarchy)
Centralized
Authority & decision-making is concentrated among a few top managers
De-Centralized
Authority & decision-making is spread throughout all levels of an organization
Formalization
The extent to which the organization relies on rules & procedures
- HIGH Formalization: Specific documented procedures for each situation
Cost-Leadership
Efficiency is key!
- Need to cut costs to achieve low prices
- often mechanistic
“Price-Premium” Differentiation
Provide the highest level of quality & service
Organizational Culture
Set of values, attitudes, beliefs, & expected behaviour shared by members of an organization
- ‘Internal Personality’ of an organization
Level of Culture (3)
- Artifacts
- Espoused Values
- Assumptions
Artifacts
‘Tip of the iceberg’ Highest level
- Tangible aspects that can be seen, heard, observed
- ex: open offices, formal & informal events
Espoused Values
Desired shared principles, standards & goals
- ex: personal relationships, aim to have ‘fun’ at work
Assumptions
What is ‘under water’ Lowest level
- Often unspoken, ‘reality’
- ex: Happy employees benefit the organization (lower turnover, better quality work)
Content Dimensions of Organizational Culture (6)
- Competitiveness
- Innovation
- Conflict Tolerance
- Individual Initiative
- Tolerance of Failure
- Power Distance
Manifestations of Culture
- Symbols
- Stories
- Heroes
- Slogans
- Ceremonies
Diagnosing Culture
- ‘What do I have to say/do to fit in, get my boss’ attention, get ahead, feel like a part of the group?’
- ‘What is really important around here?’
- ‘How do things really get done around here?’
Adaptive vs Non-Adaptive
Adaptive: Risk-taking, open to change & innovation, values entrepreneurship
Non-Adaptive: Bureaucratic, reactive & risk averse, slow to change, emphasis on maintaining/improving current practices
Espoused vs Enacted
Espoused: The “desired” culture
- mission statement
Enacted: The “real” culture
- perceived values
Manifestations of Culture
How do you communicate your values to consumers
- Symbols
- Stories
- Heroes
- Slogans
- Ceremonies
Strong vs Weak Culture
Strong: Widely agreed/held beliefs, values & assumptions
- strong impact on behaviour
Weak: Disagreement/Confusion surrounding beliefs, values & assumptions
- behaviour is influenced through formalized systems
Attraction-Selection-Attrition Theory
Individuals with similar personalities tend to be attracted to & hired by the same kind of organization (selection)
Individuals with different personality types tend to leave the organization (Attrition)
Content Dimensions of Organizational Change (6)
- Competitiveness
- Innovativeness
- Conflict Tolerance
- Individual Initiative
- Tolerance of Failure
- Power Distance
(Extent to which formal hierarchical differences are emphasized vs being treated as equals)
What Deters Change?
- Rigid formal structure
- Some leadership & management styles
- Physical design of spaces & buildings
- Current employees who fit the current culture