BUS 272 Lecture Notes - Lecture 9: Job Satisfaction, Departmentalization

• School: Simon Fraser University
• Department: Business Administration
• Course: BUS 272
• Professor: Christopher Zatzick

Document Summary

Chain of command, hierarchy better communication more specialized. Everything is centralized easier to go up, more empowerment. Number of subordinates that can be efficiently and effectively managed. Formalization: how standardized are the jobs? (is there a exact procedure) Refers to the degree to which decision making is concentrated at a single point in the organization. Decentralization is positively related to job satisfaction. The basis on which jobs are grouped together. Main types of departmentalization: functional, product or customer, geographical, matrix. A hybrid structure in which two or more forms of departmentalization are used together: most common forms combine product and functional, employees report to two bosses, increased cross-functional interaction, significant interaction between functional and project managers required. Matrix structure for a faculty of business administration. Breaks the unity of command principle: employees have two bosses. Advantages: facilitates coordination when there are many activities, more communication, efficient allocation of specialists.