osland_ob8_ppt_21-revised

osland_ob8_ppt_21-revised - Chapter 21 Organization Design...

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Chapter 21 Organization Design
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Objectives Distinguish between mechanistic and organic structures Describe the three traditional types of organizational structures and their advantages and disadvantages Describe horizontal and network structures and their advantages and disadvantages 21 -1 Organizational Behavior: An Experiential Approach 8/E Joyce S. Osland, David A. Kolb, Irwin M. Rubin and Marlene E. Turner
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…Objectives Distinguish between formal and informal organizational structure Describe the boundaryless organization Explain the differentiation-integration issue in organization design Organizational Behavior: An Experiential Approach 8/E Joyce S. Osland, David A. Kolb, Irwin M. Rubin and Marlene E. Turner 21 -2
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Organizational Behavior: An Experiential Approach 8/E Joyce S. Osland, David A. Kolb, Irwin M. Rubin and Marlene E. Turner The 7-S Model Skills Strategy Staff Structure Style Shared Values/Goals Systems 21 -3
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Mechanistic Vs. Organic Structures Tasks Tasks Authority Communication Unit Hierarchy Span of Control Formalization Specialized Rigidly Defined Centralized Vertical Rigid Departmentalization Clean Chain of Command Narrow High Common Broadly Defined Decentralized Horizontal Cross-Functional Teams Cross-Hierarchical Teams Wide Low Mechanistic Organic Organizational Behavior: An Experiential Approach 8/E Joyce S. Osland, David A. Kolb, Irwin M. Rubin and Marlene E. Turner 21 -4
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Organizational Behavior: An Experiential Approach 8/E Joyce S. Osland, David A. Kolb, Irwin M. Rubin and Marlene E. Turner Organizational Structure - Defined Organizational structure refers to the pattern of roles, authority, and communication that determines the coordination of the technology and people within an organization 21 -5
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Organizational Behavior: An Experiential Approach 8/E Joyce S. Osland, David A. Kolb, Irwin M. Rubin and Marlene E. Turner Functional Structure Marketing Manufacturing Accounting 21 -6
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Organizational Behavior: An Experiential Approach 8/E Joyce S. Osland, David A. Kolb, Irwin M. Rubin and Marlene E. Turner Functional Structure Advantages Develop functional expertise Loyalty to function and standards of performance Can assign specialists where needed reducing duplication Promote standardization Facilitates centralized purchasing Disadvantages Integration and coordination difficulties Slow decision making Information sharing and collaboration can be problematic 21 -7
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Organizational Behavior: An Experiential Approach 8/E Joyce S. Osland, David A. Kolb, Irwin M. Rubin and Marlene E. Turner When to Use a Functional Structure? Size: small Product or service: single Number of markets: small Cycle time: long 21 -8
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Organizational Behavior: An Experiential Approach 8/E Joyce S. Osland, David A. Kolb, Irwin M. Rubin and Marlene E. Turner Marketing Accounting Accounting Manufacturing Divisional Structure Marketing Manufacturing Product Division 1 Product Division 2 21 -9
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Organizational Behavior: An Experiential Approach 8/E Joyce S. Osland, David A. Kolb, Irwin M. Rubin and Marlene E. Turner
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