MGMT 370 - Lecture 09 structure

MGMT 370 - Lecture 09 structure - Types of Organizational...

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Types of Organizational Structures Formal versus Informal Structures Bureaucratic versus Adaptive Structures In bureaucracies (Weber): Everyone knows what is expected of them (specific job descriptions) Everyone knows to whom they report (hierarchy of authority) Everyone has impersonal rules to guide them (company manuals, procedures etc)
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Dimension Misconception “Truth” Socially Bureaucrats deal Bureaucrats with people deal with cases Culturally Bureaucrats care They care about the same about control things we do Psychologically Bureaucrats are They are a people like us new personality Linguistically Communication They define with bureaucrats is possible it takes place Politically Public bureaucracies They are are service inst. control inst. The Bureaucratic Experience
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1. Grouping similar activities together. (Horizontal differentiation) 2. Assigning a manager to each group (Vertical differentiation) 3. Provide for coordination (Integration) The Process of Organizing
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Type of Activity 1. Departmentation Line 2. Establish Support Units Staff I. Horizontal Differentiation
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Types of Departmentation
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1. Functional Structure Uses departmentation by function Advantages Disadvantages - Greater efficiency -As complexity through economies increases,harder of scale to coordinate - Strong control at top -Lack of general managers Departmentation and Structural Types
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CEO VP VP VP VP VP Develop. Finance Sales & Operations Human Marketing Resources VP VP VP VP Intellectual Product Research General Property Develop. Counsel Amgen’s Organizational Structure
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2. Divisional Structure Departmentation by Product Departmentation by Geography Departmentation by Customer Structural Types: continued
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Product Structure: Microsoft 2005 Reorganization CEO Platform Services Business Entertain- Devices Windows Business XBox Software Videogames MSN Mobile Phones
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1 Prior to restructuring in 2000 CEO Agri- Beatrice Beef Food- Frozen Poultry
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MGMT 370 - Lecture 09 structure - Types of Organizational...

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