MGMT 100 Lecture Notes - Lecture 9: Total Quality Management, Mass Production, Departmentalization
Document Summary
Chapter 9: adapting organizations to today"s market. Never before in the history of business has so much change been introduced so quickly sometimes too quickly. Managing change has become a critical managerial function. The newest forms of organizations are designed to better serve the customer. Mass production, the efficient production of large quantities of goods, contributed to the complexity of organizations. Economies of scope: where more products are promoted or a broader media is used to increase the potential customers reached with each dollar spent: efficiencies formed by variety. Unity of command: each worker it to report to one, and only one, boss. Hierarchy of authority: all workers should know to whom they should report. Managers should have the right to give orders and expect others to follow. Division of labor: functions are to be divided into areas of specialization such as production, marketing, and finance.