Organizational behavior chapter 10 organization structrure

For use with Organizational Behaviour and Managementby John Martin and Martin Fellenz 1408018128© 2010 Cengage Learning ORGANIZATION STRUCTURE Chapter 10... For use with Organizational

For use with Organizational Behaviour and Management

by John Martin and Martin Fellenz 1408018128© 2010 Cengage Learning

ORGANIZATION STRUCTURE

Chapter 10

Organization structure

• Organization structure - the formal

arrangement of task, communication and

authority relationships that influence and control how people coordinate and conduct their work

For use with Organizational Behaviour and Management

by John Martin and Martin Fellenz 1408018128© 2010 Cengage Learning

The duality of structure

Figure 10.1

Organizational environments

Figure 10.2

For use with Organizational Behaviour and Management

by John Martin and Martin Fellenz 1408018128© 2010 Cengage Learning

Classic form of management

Table 10.1

Organization design

• Organization design - the process by which managers

select and manage aspects of an organization’s structure and culture so that the organization can control the

activities necessary to achieve organizational goals

For use with Organizational Behaviour and Management

by John Martin and Martin Fellenz 1408018128© 2010 Cengage Learning

The challenges of organization design

Three categories:

• Appropriate horizontal and vertical division of labour through differentiating the tasks that various

individuals and groups need to perform

• Structurally integrating the actors and their activities and implementing mechanisms to enable

constructive coordination and control

• Determining the degree of centralization or

decentralization of decision making

Organization design

Guidance has traditionally taken one of three forms:

• Universalistic theories - scientific management and

other classical management approaches

• Contingency theories of organization - consider the

impact of environmental, situational, or organizational factors

• Configurational theories - more complex than

contingency theories because they incorporate complex arrangements and equifinality

For use with Organizational Behaviour and Management

by John Martin and Martin Fellenz 1408018128© 2010 Cengage Learning

Organizational height

Figure 10.3

Elements and principles of organizational

structure and structuring

• Horizontal differentiation

• Vertical differentiation

• Centralization and treatment of non-routine

decisions

• Communication, co-ordination and integration

• Formalization and standardization

• Job design

For use with Organizational Behaviour and Management

by John Martin and Martin Fellenz 1408018128© 2010 Cengage Learning

Functional organization

structure

Figure 10.4

Divisional organization structure

Figure 10.5

For use with Organizational Behaviour and Management

by John Martin and Martin Fellenz 1408018128© 2010 Cengage Learning

Process-oriented structure

Figure 10.6

Matrix structure

Figure 10.7

For use with Organizational Behaviour and Management

by John Martin and Martin Fellenz 1408018128© 2010 Cengage Learning

Project structure

Figure 10.8

Contingency model of organization

design

Figure 10.9

For use with Organizational Behaviour and Management

by John Martin and Martin Fellenz 1408018128© 2010 Cengage Learning

Multiple perspectives of an object

Figure 10.10

Weber and bureaucracy

Charismatic - authority is based around the personal qualities of the leader Traditional - relies on accepted precedent as the dominant form of authority

Rational-legal - bureaucratic form of organization is termed rational because

of the (rational) objectives and legal because of its rule- and based approach to authority

procedure-Table 10.3

For use with Organizational Behaviour and Management

by John Martin and Martin Fellenz 1408018128© 2010 Cengage Learning

Gouldner and bureaucracy

:

Gouldner (1954) suggested three types of bureaucracy:

• Mock - The rules and procedures are largely ignored by all inside having been imposed on them by an outside agency

• Punishment - a variant on the mock bureaucracy in that the rules are imposed on the workers by management

• Representative - the rules and procedures are generally supported

by those inside the organization having been developed by

managers with the involvement of worker and stakeholder groups

Mechanistic and organic

organizations

Table 10.4

For use with Organizational Behaviour and Management

by John Martin and Martin Fellenz 1408018128© 2010 Cengage Learning

Reinforcing cycle for mechanistic

and organic configurations

Figure 10.11

Metaphors of organizations

Table 10.5

For use with Organizational Behaviour and Management

by John Martin and Martin Fellenz 1408018128© 2010 Cengage Learning

Mintzberg’s organizational parts

Figure 10.12

Mintzberg’s coordinating mechanisms used in organizations

Table 10.6

For use with Organizational Behaviour and Management

by John Martin and Martin Fellenz 1408018128© 2010 Cengage Learning

Mintzberg’s coordinating

mechanisms

Figure 10.13

Mintzbergs common organizational

forms

Figure 10.14

For use with Organizational Behaviour and Management

by John Martin and Martin Fellenz 1408018128© 2010 Cengage Learning

Mintzberg’s organizational parts

• Strategic apex - reflects the top echelon of the

hierarchy

• Middle line - intermediate levels of management

• Operating core - those involved in operations

• Technostructure - specialist functions

• Support staff - functions such as HR,

maintenance, or facilities management

• Ideology - the force for cooperation between the

above parts

Mintzberg’s common forms

controls activities in the operating core with little in terms of middle line,

technostructure or support functions

sizeable support staff and technostructure that create extensive standardization and formalization through rules and regulations

service organizations

organizations, political think tanks, advertising agencies and boutique consulting firms

predetermined differences in formal authority (hierarchy) but rather all have the

potential to be deployed as is seen fit and in accordance to the requirements of the particular tasks

For use with Organizational Behaviour and Management

by John Martin and Martin Fellenz 1408018128© 2010 Cengage Learning

The Ambidextrous Organization

• The challenge of successfully dealing with simultaneous different forces or needs such as for stability and

change, efficiency and innovation, and control and

responsiveness has long been a central concern of

organization designers and theorists

The Ambidextrous Organization

• Ambidextrous organizations are able to combine

alignment and adaptability

• Traditional structural solutions were based on structural ambidexterity but now also tend to incorporate

contextual ambidexterity and leadership dimensions

For use with Organizational Behaviour and Management

by John Martin and Martin Fellenz 1408018128© 2010 Cengage Learning

Comparing structural and contextual

ambidexterity

Table 10.7

For use with Organizational Behaviour and Management

by John Martin and Martin Fellenz 1408018128© 2010 Cengage Learning

The growing pains of an

organization

Figure 10.15