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Chapter 14 - Learning Objectives Define organizational...

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Learning Objectives Define organizational structure and explain how it corresponds to division of labour. Discuss the relative merits of various forms of departmentation . Review the more basic and more elaborate means of achieving organizational coordination . Discuss the nature and consequences of traditional structural characteristics . Explain the distinction between organic and mechanistic structures. Discuss the emergence of ambidextrous , network , virtual , modular , and boundaryless organizations. Review important considerations concerning downsizing . Identify symptoms of structural problems in organizations. What Is Organizational Structure? How an organization’s individuals and groups are put together or organized to accomplish work. Organizational structure intervenes between goals and organizational accomplishments and thus influences organizational effectiveness. Structure affects how effectively and efficiently group effort is coordinated. Organizational structure is the manner in which an organization divides its labour into specific tasks and achieves coordination among these tasks. The Division and Coordination of Labour To achieve its goals, an organization has to divide labour among its
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members and then coordinate what has been divided. There are two basic dimensions to the division of labour: A vertical dimension A horizontal dimension Once labour is divided, it must be coordinated to achieve organizational effectiveness. The Dimensions of Division of Labour Vertical Division of Labour The vertical division of labour is concerned primarily with apportioning authority for planning and decision making. Key themes that underlie the vertical division of labour: Autonomy and control Communication Autonomy and Control The domain of decision making and authority is reduced as the number of levels in the hierarchy increases. Managers have less authority over fewer matters. A flatter hierarchy pushes authority lower and involves people further down the hierarchy in more decisions. Communication As labour is progressively divided vertically, timely communication and coordination can become harder to achieve.
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As the number of levels in the hierarchy increases, filtering is more likely to occur. Vertical Division of Labour Labour must be divided vertically enough to ensure proper control but not so much as to make vertical communication and coordination impossible. The proper degree of such division will vary across organizations and across their functional units. Horizontal Division of Labour The horizontal division of labour groups the basic tasks that must be performed into jobs and then into departments.
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