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Flashcards in Lesson 13 Deck (34)
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1
Q

What are 4 elements of the company structure that makes a difference in how we behave and how work is coordinated?

A
  • centralization
  • formalization
  • hierarchical levels
  • deparmentalization
2
Q

What is centralization?

A

the degree to which decision making authority is concentrated at higher levels in an organization

3
Q

What is decentralization?

A
  • decisions are made and problems are solved at lower levels by employees who are closer to the problem
4
Q

What is a disadvantage to centralization?

A

more stress/demands at the higher levels on mental and physical capabilities

5
Q

What is formalization?

A

extent to which policies, procedures, job descriptions, and rules are written and explicitly articulated

6
Q

What does formalization do?

A

makes behaviour more predictable, turn to hand book, people respond simialrly

7
Q

What happens where there is a high degree of formalization?

A

lead to reduced innovativeness because employees are used to behaving in a certain manner

8
Q

In regard to hierarchical levels, what is the concept, span of control mean? (2)

A
  • number of employees reporting to a single manager
  • in a tall structure, span is smaller, greater opportunities to manage activities
  • in a wide structure, span is wider
9
Q

What do flat organizations provide? (3)

A
  • greater need satisfaction for employees, self-actualization
  • they don’t have opportunities to receive supervision and guidance- role ambiguity
  • advancement is limited, fewer layser
10
Q

What is meant by departmentalizations?

A

how organizations group jobs and departments together

11
Q

What are the 2 forms of departmentalization structures?

A
  • functional structures

- divisional structures

12
Q

Explain what are functional structures?

A
  • they group jobs based on similarity in functions
  • departments
  • each person serves a specialized role, and handles a large columns of transactions
13
Q

Explain what are divisional structures? (2)

A
  • each unique product or service the company is producing will have its own department
  • within each department, functions such as marketing, manufacturing, and other roles are replicated
14
Q

What are some disadvantages of the divisional structure model? (2)

A
  • replicating within each department, leads to inefficiency, and not as much information sharing
  • instead of performing specialized tasks, employees will be in charge of performing many different tasks in the service of the product (generalists, not specialists)
15
Q

When is it advantageous to use functional structures?

A
  • when an organization does not have a large number of products and services requiring special attention.
  • stable environments that are slower to change
16
Q

What are the two configurations of organizational structures, depending on how these elements are arranged?

A
  • mechanistic structures

- organic structures

17
Q

what are mechanistic structures? (3)

A
  • highly formalized and centralized
  • communication follows formal channels
  • employees are given specific job descriptions of their roles and responsibilities
18
Q

Mechanistic structures are often rigid and resistant to change, making them…

A

unsuitable for being innovative and taking quick action

19
Q

What is the downside of mechanistic structures? (3)

A
  • inhibiting entrepreneurial action
  • discouraging the use of individual initiative
  • limit individual autonomy and self determination
20
Q

When the environment is more stable, what are the advantages of mechanistic structures?

A
  • efficiency (min costs)
21
Q

What are organic structures?

A
  • flexible, decentralized structures with low levels of formalization
22
Q

What are advantages of organic structures? (3)

A
  • communication is more fluid and flexible
  • job descriptions are broader
  • high levels of job satisfaction
23
Q

What are the two contemporary forms of organizational structures?

A
  • Matrix organizations

- Boundaryless organizations

24
Q

What are matrix organizations?

A
  • cross a traditional functional structure with a product structure
  • employees reporting to department managers are pooled together to form team
25
Q

What are the advantages of matrix structures?

A
  • created in response to uncertainty and the need to give attention to specific products
  • provide quick responses to technical demands
26
Q

What is the benefit for using the matrix structure over the product departments?

A

increases communication and cooperation b/w departments as PM need to coordinate their actions with depart managers

27
Q

What are the disadvantages to a matrix structure?

A
  • each employee reports to at least 2 or more managers
  • not as predictable communication lines
  • managers are more interdependent, need to spend more effort of coordinating
  • multiple leaders can mean role conflict
28
Q

What is a boundaryless organization?

A

organization that eliminates traditional barriers between departments and external environment

29
Q

What are the two types of boundaryless organizations?

A
  • modular organization

- strategic alliances

30
Q

What is the form modular organization mean?

A

where all the nonessential functions are outsourced, retain only value generating functions in house, while the rest of the operations are outcourced

31
Q

What is meant by strategic alliances?

A

2 or more companies find an area of collaboration and combine efforts to create a partnership that is beneficial to both

32
Q

What would be an advantage to having boundaryless organizations?

A

involve eliminating the barriers separating employees

33
Q

What is a learning organization?

A

one where acquiring knowledge and changing behaviour as a result of new knowledge is a part of an organizations design

34
Q

What is an advantage to a learning organization?

A
  • facilitate innovativeness

- easier to achieve organizational change