MANA 341 Lecture Notes - Lecture 3: Organizational Chart, Operation Tractable, Contingency Theory
Document Summary
It"s how we organize/group/coordinate people and activities or job tasks. Structural choice are enormously consequential (it determines which customer and products and regions an organization can address & how well they will do so) 2 basic components in organizational structure design: specialization - dividing the work up, coordination - keeping everyone in sync. Purpose of organizational structure: designates formal reporting relationships ( # of hierachy levels, span of control) Identifies groupings/divisions of labour (into departments: designs systems for integration/coordination (for effective communication and integration of departments, help defines boundaries (what we make vs. what we buy) Visual representation of a set of activities and processes in an organization at a particular time. Helpful so people know how to communicate essential information. It doesn"t show: budgets, formal rules & regulations, horizontal coordination. Location on chart shapes goals, perceptions and interests & politics.