Flashcards in Final- Session 10 Deck (10)
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1
Two requirements for organizational Structure
1. Division of labor:
• Subdivision of work into separate jobs assigned to
different people – leads to job specialization
2. Coordination:
• Informal communication
• Formal hierarchy
• Standardization
2
Span of Control
- Number of people directly reporting to the next
level
• Related to coordination through direct supervision
- Wider span of control possible when:
• Other coordinating mechanisms are present
• Routine tasks
• Low employee interdependence
3
Departmentalization
- Specifies how employees and their activities are grouped together
- Three functions:
1. Establishes chain of command
2. Creates common mental models, measures of
performance, etc.
3. Encourages staff to coordinate through informal
communication
4
Types of Departmentalization Structures
1. Simple
2. Functional
3. Divisional
4. Team-based
5. Matrix
6. Network
5
Simple Structure
- Minimal hierarchy
- Roles are broadly defined
- Informal communication for coordination
- Centralized structure
6
Functional Structure
Organizes employees around specific knowledge or other resources (e.g., marketing, production)
7
Divisional Structure
Organizes employees around outputs, clients, or geographic areas
8
Team-based Structure
- Self-directed work teams
- Teams organized around work processes
- Typically organic structure
- Usually found within divisionalized structure
9
Matrix Structure
Employees are temporarily assigned to a specific
project team and have a permanent functional unit
10
