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Managing Organizational Structure & Culture

This document summarizes key concepts about organizational structure and culture from Chapter 10. It discusses how organizational structure, including factors like organizational design and job design, determines how efficiently resources are used. It also examines how authority is allocated within organizations and different structural forms like functional, divisional, matrix and product team structures. Finally, it explores the concept of organizational culture and how certain cultural traits can help or hinder an organization's ability to adapt over time.

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Wazeeer Ahmad
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95 views21 pages

Managing Organizational Structure & Culture

This document summarizes key concepts about organizational structure and culture from Chapter 10. It discusses how organizational structure, including factors like organizational design and job design, determines how efficiently resources are used. It also examines how authority is allocated within organizations and different structural forms like functional, divisional, matrix and product team structures. Finally, it explores the concept of organizational culture and how certain cultural traits can help or hinder an organization's ability to adapt over time.

Uploaded by

Wazeeer Ahmad
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd

Chapter 10

Managing Organizational
Structure and Culture
Organizational Structure
 Organizational Architecture
– The organizational structure, control
systems, culture, and human resource
management systems that together
determine how
efficiently and
effectively
organizational
resources are used

MGMT 321 – Chapter 10 2


Organizational Structure
 Organizing
– Establishing working relationships among
employees to achieve goals.
 Organizational Structure
– Formal system of task and reporting relationships
showing how workers use resources.
 Organizational Design
– Creating a specific type of organizational structure
and culture so that a company can operate in the
most efficient and effective way

MGMT 321 – Chapter 10 3


Factors Affecting Organizational
Structure

MGMT 321 – Chapter 10 4


The Organizational Environment
Organization structure depends on:
 How to group tasks into individual jobs
 How to group jobs into functions and
divisions
 How to allocate authority and
coordinate functions and divisions

MGMT 321 – Chapter 10 5


Job Design
 Job Design
– Deciding how to divide tasks into specific jobs
 Job Enlargement
– Increasing the number of different tasks in a
given job by changing the division of labor
 Job Enrichment
– Increasing the degree of a worker’s
responsibility

MGMT 321 – Chapter 10 6


The Job Characteristics Model

MGMT 321 – Chapter 10 7


Job Characteristics Model
Job Characteristic
Skill variety Employee uses a wide range of skills.

Task identity Worker is involved in all tasks of the job


from beginning to end of the production
process

Task significance Worker feels the task is meaningful to


organization.

Autonomy Employee has freedom to schedule tasks


and carry them out.

Feedback Worker gets direct information about how


well the job is done.

MGMT 321 – Chapter 10 8


Grouping Jobs into Functions
 Function
– Group of people who possess similar skills
to perform their jobs
 Functional Structure
– An organizational structure composed of all
the departments that an organization
requires to produce its goods or services

MGMT 321 – Chapter 10 9


Divisional Structures
 Divisional Structure
– Managers create a series of business units
to produce a specific kind of product for a
specific kind of customer
 Types of Divisional Structures
– Product
– Market
– Geographic

MGMT 321 – Chapter 10 10


Types of Divisional Structures

MGMT 321 – Chapter 10 11


Matrix Structure

MGMT 321 – Chapter 10 12


Product Team Structure

MGMT 321 – Chapter 10 13


Federated’s Hybrid Structure

MGMT 321 – Chapter 10 14


Allocating Authority
 Hierarchy of Authority
– An organization’s chain of command
– Span of control
 Line Manager
 Staff Manager

MGMT 321 – Chapter 10 15


Tall Organizations

MGMT 321 – Chapter 10 16


Flat Organizations

MGMT 321 – Chapter 10 17


Decentralization of Authority
 Decentralizing authority
 Disadvantages
– Teams may begin to pursue their own
goals at the expense of organizational
goals
– Can result in a lack of communication
among divisions

MGMT 321 – Chapter 10 18


Integrating Mechanisms

MGMT 321 – Chapter 10 19


Organizational Culture

MGMT 321 – Chapter 10 20


Adaptive and Inert Cultures
 Adaptive cultures
– Values and norms help an organization
grow and change as needed to be effective
 Inert cultures
– Values and norms that fail to motivate or
inspire employees
– Lead to stagnation and often failure over
time

MGMT 321 – Chapter 10 21

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