MGMT1135 Study Guide - Final Guide: Centralisation, Flat Organization
Document Summary
Specialisation / departmentalisation / chain of command / Span of control / centralisation / formalisation. Strategy / organization size / technology / environment. The way in which job tasks are formally divided, grouped and coordinated. Org structure has six key elements : Specifically, each element answers an important structural question. Early in the 20th century, henry ford became rich by building cars on an assembly line. Every ford worker was assigned a specific, repetitive task, such as putting on the right-front wheel or installing the right-front door. Ford demonstrated that work can be performed more efficiently if employees are allowed to specialise. By the late 1940s, most manufacturing jobs in industrialised countries featured high work specialisation. Because not all employees in an organisation have the same skills, management saw specialisation as a means to make the most efficient use of its employees" skills and even to improve them through repetition.
