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Unformatted text preview: Final Exam Video Lectures 1-5 Video Lecture 1: Structural Architect Notes How do you divide the desks and coordinate the groups? Different organizational structures can be used Firms that structured better gain competitive advantage 1900s 1980s one dominant structure = bureaucracy o Served firms well o As globalization has improved and technology has become more innovative, we have seen the needs of firms to be more innovative, flexible, and faster response o Bureaucracy is poor on all three criteria o Its very efficient not good at being flexible o Organizations have been changing their culture so that they are faster and more innovative Elements of Structure When structuring a firm, various decisions must be made about structure o Must increase efficiency Work specialization o This concept has been increasing o It is very different o There is no down time o Drove down costs by 1970 o Resulted in increased job dissatisfaction and turnover o Got to a point where firms decided to have their workers do more enriched work and decreased work specialization Chain of Command o Authority structure of the firm o Who reports to whom o Historically there have been very clear chains of command o In the last 20 years, organizational structures with less formal hierarchies and chains of commands have been implemented These are more innovative Span of Control o Narrow (3-4 people) to large (7-10) o The narrower the span, the taller the hierarchy o The wider the span, the flatter the hierarchy o Usually there have been narrower spans of control o Managers had to be there to maintain order o As firms got big, management increased Management is seen as more flexible and innovative, and faster in response so firms have been delayering the hierarchy and pushing power downwards, flattering the structure to achieve this Centralization/Decentralization: Choices you make on where the power lies in your firm o Centralized: a few people have lots of power, but in the last 20 years, firms have changed over to decentralization o Decentralized: the same amount of power is distributed to more people. This way decisions can be made faster and people can tend to customers needs sooner Formalization: how standardized are the tasks and jobs? o Historically jobs used to be very standardized and allowed high command and control This increased efficiency All formalized procedures would also stop change and prevent organizations from reacting quickly o Then there was movement away from standardization and formalization in less structured organizations All this change in the past 20 years is so that firms can become more innovative, flexible, and speed of change. They did this to become more competitive....
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This note was uploaded on 04/10/2012 for the course BUAD 304 taught by Professor Cummings during the Fall '07 term at USC.
- Fall '07