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GMS 200 Lecture Notes - Informal Learning, Theory X And Theory Y, Problem Solving

Global Management Studies
Course Code
GMS 200
Ricardo Reyes

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Chapter 8: Organization Structures and Design Monday November 19, 2012
Functions of Management
Process of getting things done through others
Managers plan, organize, lead and control the use of resources to accomplish performance goals
Organizing as a Management Function
An organization is a social entity composed of two or more people who work together to achieve a common goal
In order to work, organizations must work as a cohesive unit, by using formal structures of reporting and control
Process of allocating resources toward achievement of long term goals
Organizing entails the development of strategic resources to achieve strategic goals
Three Key elements to organizing are:
o Dividing work
o Arranging recourses
o Coordinating activities
Organizational Structure
Organizational Structure - set of formal tasks, reporting relationships, and communication linkages assigned to individuals
and departments (Job Description)
Ensure effective coordination of employees across departments (hierarchy of authority)
Development of resources is reflected in the division of labor, and there are formal lines of authority and mechanisms for
coordinating diverse goals
Organizational structure includes provisions of division of labor (who does what), hierarchy of authority, (who’s in charge)
and span of control
Formal Structures
Organization chart describes the arrangement of work position and reporting relationships within an organization
o Division of work
o Supervisory relationships
o Communication channels
o Major sub units
o Levels of management
Informal Structures
“Shadow organization” made up of the unofficial but often critical working relations between organizational members
o Coworkers and others to whom they turn most often for help
o Who you communicate with often
o Energize/de-energize them
o Help accomplish work/overcome limits of formal structures
o Allow people to gain access to interpersonal networks that satisfy needs for social interaction
o Facilitates informal learning that takes place as people interact informally throughout workday
o Activities work against best interest of organization
o Susceptibility of rumors
o May carry inaccurate information
o Breed resistance to change
o Diversion of work efforts from important objectives
o Feelings of alienations by “outsiders” – people left out of groups
Division of Labor
Employees are assigned specific jobs
Provided with training to execute tasks relevant to their function
Employees given authority to execute job without being micro managed
Modern trends in business
Moving away from classical division of labor (above). Now we cross train employees in the jobs of their coworkers
New Theory is Theory Y and Chris Agyris Adult Personality, allowing employees to know each others jobs and allow them
to be flexible for the organization they work for
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