ch14%20-%20Structure%20-%20notes

ch14%20-%20Structure%20-%20notes - 1 2 3 4 Autonomy &...

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The domain of decision making and authority is reduced as the number of levels in the hierarchy increases. Managers have authority over fewer matters. A flatter hierarchy pushes authority lower and involves people further down the hierarchy in more decisions. Communications As labour is progressively divided vertically, timely communication and coordination can become harder to achieve. As the number of levels in the hierarchy increases, filtering is more likely to occur. Work Specialization Differentiation is the tendency for managers in separate units, functions, or departments to differ in terms of goals, time spans, and interpersonal styles. Under high differentiation, various organizational units tend to operate more autonomously. 5
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As the span increases, the attention that a supervisor can devote to each subordinate decreases. Spans at the upper levels of an organization tend to be smaller. Flat v Tall Flatter structures tend to push decision-making powers downward in the organization. Flatter structures generally enhance vertical communication and coordination. Formalization A very formalized organization tolerates little variability in the way members perform their tasks. Some formalization stems from the nature of the job itself formalization also stems from rules, regulations, and procedures. Very complex tasks dictate high formalization Centralization In the most centralized organization, the power for all key decisions rests in a single individual, such as the president. In a more decentralized organization, decision-making power is dispersed down through the hierarchy and across departments. The proper degree of centralization should put decision-making power where the best knowledge is located. This often means decentralizing functions with direct customer contact, while centralizing functions that have a more internal orientation Complexity As the organization becomes more complex, it has more kinds of people performing more kinds of tasks in more places, whether these places are departments or geographic territories. 6
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This note was uploaded on 03/11/2012 for the course SOCIAL SCI 2181 taught by Professor F during the Spring '12 term at UWO.

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ch14%20-%20Structure%20-%20notes - 1 2 3 4 Autonomy &...

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