MGMT5 © 2012 Cengage Learning Designing Adaptive Organizations 9.
-
Upload
suzanna-boyd -
Category
Documents
-
view
227 -
download
1
Transcript of MGMT5 © 2012 Cengage Learning Designing Adaptive Organizations 9.
© 2012 Cengage Learning
1. describe the departmentalization approach to organizational structure
2. explain organizational authority3. discuss the different methods for job design4. explain the methods that companies are using
to redesign internal organizational processes (i.e., intraorganizational processes)
5. describe the methods that companies are using to redesign external organizational processes (i.e., interorganizational processes).
Structure and Process
• Organizational structure– the vertical and horizontal configuration of
departments, authority, and jobs within a company
• Organizational process– the collection of activities that transform
inputs into outputs that customers value
© 2012 Cengage Learning
Designing Organizational Structures
1. describe the departmentalization approach to organizational structure
2. explain organizational authority
3. discuss the different methods for job design
© 2012 Cengage Learning
Functional Departmentalization
• Advantages– allows work done by highly qualified
specialists– lowers costs by reducing duplication– makes communication and coordination
easier
• Disadvantages– cross-department coordination can be
difficult– may lead to slower decision making
© 2012 Cengage Learning
Product Departmentalization
• Advantages– allows people to specialize in one area of
expertise – makes it easier to assess performance– makes decision making faster
• Disadvantages– duplication – coordination across different product
departments
© 2012 Cengage Learning
Customer Departmentalization
• Advantages– focuses organization on customer needs– allows companies to specialize products and
services to customer needs
• Disadvantages– duplication of resources– workers might please customers but hurt
business
© 2012 Cengage Learning
Geographic Departmentalization
• Advantages– helps companies respond to different markets– reduces costs by locating unique resources
closer to customers
• Disadvantages– duplication of resources– difficult to coordinate departments
© 2012 Cengage Learning
Matrix Departmentalization
• Advantages– allows companies to efficiently manage large,
complex tasks– gives much more diverse set of expertise and
experience
• Disadvantages– requires a high level of duplication– confusion and conflict between project bosses– requires much more management skill
© 2012 Cengage Learning
Chain of Command
• Chain of command– the vertical line of authority that clarifies who
reports to whom throughout the organization
• Unity of command – workers should report to just one boss
© 2012 Cengage Learning
Authority
• Line authority• Staff authority
• Line function • Staff function
© 2012 Cengage Learning
Degree of Centralization
• Centralization of authority
• Decentralization
• Standardization
© 2012 Cengage Learning
Advantages of Decentralization
• Develops employee capabilities
• Faster decision making
• More satisfied employees and customers
• Better employee performance
© 2012 Cengage Learning
Job Specialization
• Job comprises a smaller part of a larger task
• Easy to learn
• Low variety
• High repetition
© 2012 Cengage Learning
Internal Motivation
• Experience work as meaningful
• Experience responsibility for work outcomes
• Knowledge of results
© 2012 Cengage Learning
Core Job Characteristics
• Skill variety
• Task identity
• Task significance
• Autonomy
• Feedback
© 2012 Cengage Learning
To Increase Internal Motivation
• Combine tasks
• Natural work units
• Establish client relationships
• Vertical loading
• Open feedback channels
© 2012 Cengage Learning
Designing Organizational Processes
4. explain the methods that companies are using to redesign internal organizational processes (i.e., intraorganizational processes)
5. describe the methods that companies are using to redesign external organizational processes (i.e., interorganizational processes)
© 2012 Cengage Learning
Intraorganizational Processes
The collection of activities that take place within an organization to transform inputs
into outputs that customers value.
© 2012 Cengage Learning
Reengineering
“the fundamental rethinking and radical redesign of business
processes to achieve dramatic improvements in critical,
contemporary measures of performance, such as cost, quality, service and speed.”
© 2012 Cengage Learning
Interorganizational Processes
A collection of activities that occur among companies to transform inputs into outputs
that customers value.
© 2012 Cengage Learning
Modular Organizations
• Advantages– reduced costs
• Disadvantages– loss of control– noncore activities that are outsourced
may become source of advantage– suppliers to whom work is outsourced
can become competitors
© 2012 Cengage Learning
Virtual Organizations
• Advantages– shared costs– fast and flexible
• Disadvantages– difficult to control quality of work done
by partners– requires tremendous managerial skills
© 2012 Cengage Learning
<click screenshot for video>
REELTOREAL
Rendition
1. How would you describe the workplace atmosphere in this scene? Would you say it demonstrates behavioral informality or formality?
2. Do you think the scene shows line authority or staff authority between these two men?
3. What kind of feedback is Alan Smith getting from Senator Hawkins? Is it primarily positive or negative?
© 2012 Cengage Learning