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Is a social group which distributes tasksfor a collective goal.
The word itself is derived from the Greekword organon, itself derived from thebetter-known word ergon - as we know`organ` - and it means a compartmentfor a particular job
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Are the products of the decision-makingprocesses that we introduced to you as
planning. The goals that managers develop
through planning are typically ambitious,far-reaching, and open ended.
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A Manager is the person responsible forplanning and directing the work of a
group of individuals, monitoring theirwork, and taking corrective action whennecessary.
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Is the decision-making process by whichmanagers choose an organizational
structure appropriate to the strategy forthe organization and the environment inwhich members of the organizationcarry out that strategy.
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Division of labor
Departmentalization
Hierarchy Coordination
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Division of work
Reflecting the fact that all organizational
tasks, from manufacturing tomanagement, can be subdivided.
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Department
A department is a part of a larger
organization with a specific responsibility. Refers to the process of grouping
activities into departments.
Division of labour creates specialists whoneed coordination. This coordination isfacilitated by grouping specialiststogether in departments.
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A pattern of multiple levels of anorganizational structure, at the top of
which is the senior-ranking manager(ormanagers) responsible for the operationsof the entire organization; other, lower-ranking managers are located down the
various levels of the organization.
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Span of management control Refers to the number of people and departments
that report directly to a particular manager.
Chain of command The plan that specifies who reports to whom in an
organization: such reporting lines are prominentfeatures of any organization chart.
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Is the process of integrating the activitiesof separate departments in order to
pursue organizational goals effectively.Without coordination, people would losesight of their roles within the totalorganization and be tempted to pursue
their own departmental interest at theexpense of organizational goal.
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Differentiation
Differences in attitudes and working styles,
arising naturally among members of differentdepartments, that can complicate thecoordination of an organizations activities.
Integration
The term Laurence and Lorsch use in placeof coordination, to designate the degree towhich members of various departments worktogether in a unified manner.
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Communication Is the key to effective coordination.
Coordination
Is directly dependent on the acquisition, transmissionand processing of information.
Three types of approaches to achievingeffective coordination
Using basic management techniques Boundary spanning Reducing the need for coordination
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Is a frame work that managers device fordividing and coordinating the activities
of members of an organization. Becausestrategies and environmentalcircumstances differ from oneorganization to the next, there are a
variety of possible organizationalstructures.
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The decision-making process by whichmanagers choose an organizationalstructure appropriate to the strategy for the
organization and the environment of themembers.
Classical Approach
Task-Technology Approach Environmental Approach
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Most efficient and effective organizationaldesign had a hierarchical structure in
which members of the organization areguided by their actions in a sense of duty.
Evolves into BUREAUCRACY.
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Organizational Design which considersthe production technology being used.
Smaller Unit = Less Organizational Design Categories of T.T. Approach
Unit Production & Small Batch Production
Large Batch & Mass Production Process production
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Unit Production
Production of individual items tailored to
customers specs
Small Batch
Products made in small quantities
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Large Batch Production & MassProduction
Manufacture of products in large quantities
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Production of materials that are sold byweight or volume.
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Mechanistic Approach
Organization are broken into specialized
task, more defined objectives Organic System
Individuals works in a group setting.
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Organizational restructuring which resultsin decreasing the size of the organization
and often results in a flatterorganizational structure.
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Functional Organization
Product / Market Organization
Division by Product Division by Geography
Division by Customer
Matrix Organization
INFORMAL Organization
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A form of departmentalization in whichindividuals engaged in one functional
activity.
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Product Organization
Organization of company that bringstogether those involved in a product
Market Organization
Organization of company that bringstogether those involved in a market
Division Large organization department that acts a
separate one.
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Division by Product manufactured
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Division by Market
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Division by Geography
By location, used by internationalcompanies.
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Matrix Structure
Each employee reports to both a functionalor division manager and to a project or
group manager.
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Undocumented and officiallyunrecognized relationship betweenmembers of organization.
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