Post on 05-Apr-2020
How Do Authority and Power Differ?
Authority:
a right whose legitimacy is based on an authority figure’s position in the organization; it goes with the job
Power:
an individual’s ability to influence decisions
© Pearson Education Limited 2015 6-2
Span of Control
Most effective and efficient span depends on:
• Employee experience and training (more they have, larger span).
• Similarity of employee tasks (more similarity, larger span).
• Complexity of those tasks (more complex, smaller span).
© Pearson Education Limited 2015 6-5
Centralization & Decentralization
Centralization
decision making takes place at upper levels of the organization
Decentralization
lower-level managers provide input or actually make decisions
© Pearson Education Limited 2015 6-6
Formalization
How standardized an organization’s jobs are and the extent to which employee behavior is guided by rules and procedures.
© Pearson Education Limited 2015 6-7
© Pearson Education Limited 2015 6-8
6.2Identify the contingency
factors that favor either
the mechanistic model
or the organic model of
organizational design.
Strategy and Structure
Certain structural designs work best with different organizational strategies.
© Pearson Education Limited 2015 6-10
Size and Structure
Mechanistic
More than 2,000 employees makes forces organizations to become more mechanistic.
© Pearson Education Limited 2015 6-11
Organic
Less than 2,000 employees can be organic.
Environment and Structure
Stable environment: mechanistic structure
Dynamic environment: organic structure
© Pearson Education Limited 2015 6-13
© Pearson Education Limited 2015 6-14
6.3 Compare and
contrast traditional
and contemporary
organizational
designs.
Team Structure
6-19© Pearson Education Limited 2015
A structure in which the entire organization is made up of work teams that do the organization’s work.
Project Structure
6-21© Pearson Education Limited 2015
A structure in which employees continuously work on projects.
Boundaryless Organizations
An organization whose design is not imposed by a predefined structure.
© Pearson Education Limited 2015 6-22
© Pearson Education Limited 2015 6-23
6.4Discuss the design
challenges faced by
today’s
organizations.
Current Organizational Design Challenges
• Keeping employees connected
• Managing global structural issues
• Building a learning organization
• Designing flexible work arrangements
© Pearson Education Limited 2015 6-24
Flexible Work Arrangements
© Pearson Education Limited 2015 6-26
• Telecommuting
• Compressed workweek
• Flextime
• Job Sharing
• Contingent workers