MHR 505 Chapter Notes - Chapter 13-14: Hierarchical Organization, Departmentalization, Organizational Learning

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Organizational structure: the division of labour as well as the patterns of coordination, communication, workflow, and formal power that direct organizational activities. Dictates what activities receive the most attention as well as financial, power, and information resources. It establishes new communication patterns and aligns employee behaviour with the corporate vision. All organizational structures include two fundamental requirements: the division of labour into distinct tasks and the coordination of that labour so that employees are able to accomplish common goals. Organizations are groups of people who work interdependently toward some purpose. To efficiently accomplish goals, these groups divide the work into manageable chunks. Division of labour: the subdivision of work into separate jobs assigned to different people. Subdivided work > job specialization b/c each job includes subset of tasks necessary to complete the product or service. Horizontal division of labour accompanied by vertical division of labour (hierarchy) when company becomes larger.

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