AMaheshwari_BUS540-LH_Module04_05-01-2011

AMaheshwari_BUS540-LH_Module04_05-01-2011 - Module41...

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Module 4      1 Module 4
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Module 4      2 Abstract Response to the first question lists the 3 important components of organizational design  as the assignment of decision rights, the methods of rewarding individuals and the  structure of systems to evaluate the performance of both individuals and business units.  Response to the second question lists and defines elements of corporate culture like  customs, social rituals, folklore, and heroes. Response to third question defines decision  management and decision control where decision management refers to initiation and  implementation and decision control refers to ratification and monitoring. Response to  the fourth question defines the different organizational architectures like functional,  product, geographic, matrix and network.                               .
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Module 4      3 Module 4 Deliverables Assignments:  Questions Question:   1.   what   are   the   three   important   components   of   organizational  architecture responsible for the success or failure of an organizational design?  Define and explain each one and include a graphic that you create or find (give  credit to reference) that will demonstrate your points.  Response :  Organizational architecture includes three important components of  organizational design that are major determinants of the success or failure of firms:  The assignment of decision rights The methods of rewarding individuals The structure of systems to evaluate the performance of both individuals and  business units 1. Assignment of decision rights involves giving the responsibility of decision- making to top-level executives . It is imperative that an organization is able to delegate  the   duty   of   making   a   decision   to   a   manager   who   has   relevant   information   and  knowledge on the internal and external factors that affects the operations and goals of  the organization. The architecture of an organization and its environment will determine 
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Module 4      4 who will be the decision-maker for the company. In some organizations, the top-level  executive may have them most relevant information and thus, a centralized decision- making process can be adopted. There are instances when the lower-level employees  may   have   the   most   relevant   information,   thus,   decision-making   rights   become  decentralized. This can be easily understood using a real world example:  “The Yukon government, through the Department of Energy, Mines and Resources,  continues to be the decision maker for most mineral projects and is responsible for  regulating   and   enforcing   permits   and   licenses   for   exploration   (and   development) 
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AMaheshwari_BUS540-LH_Module04_05-01-2011 - Module41...

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