Class Notes (809,271)
Canada (493,607)
York University (33,561)
ADMS 1000 (483)

ch.4 Notes.docx

6 Pages
Unlock Document

York University
Administrative Studies
ADMS 1000
Len Karakowsky

Chapter 4 – Structure of an Organization Friday Oct. 8 2010 What this chapter is about…  Identify 4 broad trends in the changing nature of organizational design (comparing modern to bureaucratic model)  Describing Organizational structure (Mechanistic and Organic)  Concept of re-engineering  Rationale of downsizing – methods and purposes  What are organizations?  What makes up their structure?  Why do diff. organizations have diff. structures? A key feature of many contemporary organizations is how they are changing:  Mergers  Downsizings (p.154)  Restructurings  Going virtual  It is essential to understand not only how but also why they are changing The trends of organizational change point to problems with large scale bureaucracy. But, bureaucracy also has some advantages:  Reliability  Predictability  Structure/ Rules Traditional Bureaucracy Modern Organization Tall/Hierarchical Flatter Rigid, rule-oriented Fluid Buffered from environment Integrated/Embedded Narrow Market Global Flat Organizations (p. 129) Flattening = getting rid of  Flat organizations have wide spans of control compared to Tall org. which = narrow spans of ctrl  Phenomena here has been downsizing = flattening the organizational hierarchy (layers of management) o ex. Toyota eliminated 3 of its 7 layers of management – IBM Canada cut from 10 to about 4 in the 90s WHAT DOES FLATTENING HIERARCHY ACCOMPLISH?   Increase in decision making speed as info takes less time to travel across levels of management  This increases reaction speed to the changing environ.  Management is now @ lower levels = those involved in the actually services or good process are now involved in the decision-making process Chapter 4 – Structure of an Organization Friday Oct. 8 2010 Fluid Organizations (p.129)—Fluidity = Flexibility  Fewer rules & structures – more flexibility  JIT inventories just-in-time= generate inventory as needed through flexible supplier relationships = minimizing costs  Flexible labour contract-based (temporary) employment = ability to adjust to the upswings and downswings of a changing environment. HOW?  Increase in revenue = hire more Decrease in rev. = downsize The FLUID Organization (p.130)  Old business structure = a dominant CEO, board of directors and workplace, goal-orientated employees  New structure= temp workers, moving from a city with deep roots Integrated Organizations (p.130) Internal integrationthe focus on teams such as Cross-Functional teams o Ex: GM’s Saturn plant brought people from different departments such as marketing, to collaborate in engineering- the production of the Saturn car Management sharing info w/ all workers and work teams given power to manage themselves are also examples of internal integration External integration mergers & alliances, e.g. Star Alliance, Molson & Coors = To develop new products and service Global Organizations (p.131)  Relaxing of tariffs & barriers  Global alliances  Extending networks across national boundaries  [Ex. Bata Ltd. has 6,000 shoe stores in about 65 diff. countries they face challenges in terms of responding to the variety of consumer preferences, so a DE-CENTRALIZED decision-making authority is needed to quickly respond to local market changes/needs.] DESCRIBING ORGANIZATONAL STRUCTURES: Mechanistic & Organic In broad terms, organizations range in structure from Mechanistic to Organic. MECHANISTIC=CLASSICAL ORGANIZATION ORGANIC = MODERN ORGANIZATION Mechanistic: 4 key characteristics (p.134)  Narrow division of labour: Jobs narrowly defined  High Centralization of decision-making  High formalization of work procedures (rules and regulations, standardization)  Span of control: Much hierarchy, many levels of administration Organic: 4 key characteristics (p.134)  Wide division of labour: Jobs “enriched”  De-centralization of decision-making  Low formalization of work procedures (rules and regulations, standardization)  Span of control: Little hierarchy, few levels of administration Chapter 4 – Structure of an Organization Friday Oct. 8 2010 Types of Organizational Strategies Elements of Structure Focus on Innovation Focus on cost & efficiency 1. Work Specialization Wide Narrow 2. Centralization Decentralized Centralized 3. Span of control Wide (flat) Narrow (tall) 4. Formalization  Low  High What constitutes an organizations’ structure? 4 things: this answers *How would you describe ______’s organizational structure. Work Specialization (division of labour): How to divide up work that has to be done.  Functional specialization: Refers to the division of jobs into simple, repetitive tasks  Social specialization: Low degree of job spec. = a wide range of tasks Centralization: authority in an organization  Centralized: decision making authority is at the top levels of management and is more time-consuming  Decentralization: decision making authority is spread to different levels  Ex: self-managing teams (IDEO, Microsoft) Span of control: how many levels of authority?  Refers to the # of employees
More Less

Related notes for ADMS 1000

Log In


Don't have an account?

Join OneClass

Access over 10 million pages of study
documents for 1.3 million courses.

Sign up

Join to view


By registering, I agree to the Terms and Privacy Policies
Already have an account?
Just a few more details

So we can recommend you notes for your school.

Reset Password

Please enter below the email address you registered with and we will send you a link to reset your password.

Add your courses

Get notes from the top students in your class.