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process of selcting a structure for the tasks, responsibilities and auth relationshis within an org |
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representation of an orgs internal structure indicationg how carious tasks and functions are interrelated |
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the charac of the present and possible future environments how those charac affect the orgs abilitiy to function effectiveley |
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factors that comprise the environment |
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suppliers, distributors, competitors, customers |
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cost leadership: low cost differentiation: unique focused: specific niche |
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composed of unite that work on specialized tasks using diff work mething and employees w unique competencies |
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id tasks and asssign to dept or teams-similar to division of labor |
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mechanistic managmenet practice |
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break down activities into separate highly specialized tasks, rely on standard rules, centralize decision making at the top |
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organic management practive |
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encouragfe leaders and sub to work togehter into teams and comm openly. ind tasks |
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having fewer layers creates more efficient org that can react faster to comp and more cost effective |
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number of employees reporting to one person. influencers: comp of manager and employee similarity of taks being supervised incidence of new problems in dept extent of clear operating standards and rules |
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point where auth and responsibility meet and essential for high performance |
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establish goals and standards ensure clarity involvemenet expect comleted work |
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failure to define auth and responsibility culture |
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delegation of auth to lower level employees. potential benefits: frees up top leaders develops low level lower better grasp of facts foster healthy enviro |
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decision to centralize or decentralize |
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cost of decisions: costly central uniformity of policy competency levels control mechanism enviro influences |
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grouping leaders according to areas of expertise benefits: economical, support skill specifalization, reduce duplication, enhance career development high qual pitfalls: inadequet comm,comflicts over priority, diff coord btwn depts, focus on dept, experts only in narrow fields |
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all functions contrubute to a product and are organized under 1 leader. used in fortune 500 for a differentiation strat benefits: fast change, product line visibility, customer demands, clearly defined responsi, cross functional pitfalls: not utilize skills, not foster coord across product lines, limited career mobility, encourage poliutics |
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organize activities around location benefits: saves time/cost, close to raw materials pitfalls: duplication of functions, conflict location goals and org goals, added levels of management |
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subcontracts operations to other firms benefits: part time specialists to solve complex problems, bring outside experts, minimiuze beurocracy pitfalls: lack knowledge, conflict of interest, supervision, availability |
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