MGMT1135 Lecture Notes - Lecture 12: Narcissism, Flat Organization
Week 12 - Organisational Structure & Organisational Culture
Formal Structures of the Organization
Max Weber’s Ideal Bureaucracy - Model for turning employees with average abilities into
rational decision makers serving clients efficiently
1. Division of Labour
2. Hierarchy of Authority
3. Formalization
Commonly used Dimension of Organizational Structures:
1. Differentiation
a. Tall organization
i. Fewer departments (low horizontal differentiation) but many more
hierarchical levels (high vertical differentiation)
b. Flat organization
i. Many departments (high degree of horizontal differentiation) with fewer
hierarchical levels (low vertical differentiation)
2. Integration (Coordination)
a. More complex (both horizontal and vertical differentiation) → greater need for
integration
b. Integration mechanism → hierarchy, formal rules, cross-functional teams, task
forces, direct communication between departments.
c. Coordination seeks to address interdependences
3. Centralization
a. Clear chain of command
i. Orders are formulated at the top and passed down
ii. Reports are passed up
iii. No provisions for coordination or communication between units.
4. Basic (traditional) organisational structures and its advantages and
disadvantages.
Document Summary
Commonly used dimension of organizational structures: division of labour, hierarchy of authority, formalization, differentiation, tall organization, flat organization. Integration mechanism hierarchy, formal rules, cross-functional teams, task b. forces, direct communication between departments: coordination seeks to address interdependences, clear chain of command i. ii. iii. Orders are formulated at the top and passed down. No provisions for coordination or communication between units: centralization, basic (traditional) organisational structures and its advantages and disadvantages. Week 12 - organisational structure & organisational culture. Max weber"s ideal bureaucracy - model for turning employees with average abilities into rational decision makers serving clients efficiently. Shared ways of thinking and doing things (mental programming) in a social group. Implicit and emergent organizational understandings (assumptions, beliefs and values) that contextualize efforts to make meaning. Deeply embedded into ways a business or organization does things. Arise when core values are not clearly defined, communicated or widely accepted by those working in an organization.
