Because a business’s structure can so profoundly affect its success, this chapter will examine organizational structure in detail. After reading this chapter, you will be able to: Define organizational structure and relate how organizational structures develop, describe how specialization and departmentalization help an organization achieve its goals, distinguish between groups and teams and identify the types of groups that exist in organizations,...
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Chapter Eight
Organization, Teamwork, and Communication
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Research andDevelopmentDepartment
Production
Department
Functional Departmentalization
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Division
ComputerElectronicsDivision
Industrial Tele
communications Equipment
Division
Stereo
Equipment
Division
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North
American
Division
PresidentInternationalOperation
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Differences between Groups and Teams
• Discusses, decides, and delegates
• Shared leadership roles
• Individual and group accountability
• A specific purpose that the team itself delivers
• Creates collective work products
• Encourages openended discussion and active problemsolving
meetings
• Measures performance directly by assessing collective work products
• Discusses, decides, and does real work together
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Teams: Potential Problems and Diagnostic Checklists
Do team members hold one another accountable?
8-4a
Source: Mark Fischetti, “Team Doctors, Report to ER,”
Fast Company, Issue 13, p. 170.
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Teams: Potential Problems and Diagnostic Checklists
2 Group myopia deficiency of clear, inspiring
goals What are we trying to do?
Diagnostic checklist Does the goal have
measurable results?
Does it force communication and constructive comment?
Does it make the team work collectively?
8-4b
Source: Mark Fischetti, “Team Doctors, Report to ER,”
Fast Company, Issue 13, p. 170.
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Teams: Potential Problems and Diagnostic Checklists
3 Leadership phobia an exaggerated fear of
assuming the leading role How do I lead the team?
Diagnostic checklist Chart the teams course; design its major
tasks; make its responsibilities clear; and establish its reward system
Help the team establish its goals and its ways of working
Once the team starts performing,coach them
8-4c
Source: Mark Fischetti, “Team Doctors, Report to ER,”
Fast Company, Issue 13, p. 170.
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Employees Employees Employees Employees
Line relationship Staff relationship
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An Example of Multidivisional Structure: The Walt Disney Company
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Source: The Walt Disney Company Annual Report
CEO Michael Eisner
Walt Disney Attractions Walt DisneyStudios ConsumerProducts
Motion Pictures TV Animation ChannelDisneyMagic
Kingdom CA
Tokyo Disneyland DisneyEuro
Walt Disney World
Disney Stores Licensing Publishing DisneyMusic
Software and Education
Catalog Marketing Magic
Kingdom FL
Epcot Center
Disney
MGM Studios
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Marketing Manager Accounting Manager Research Manager
General Project Manager
Manager Project A
Manager Project B Manager Project C
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Horizontal Horizontal
Diagonal
Diagon
al
Upward Downward Horizontal Diagonal
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Using Structure For Successful Meetings
• A regular time for the meeting is established, or meetings are scheduled for a period of time. For example, meetings for a given month, quarter, or year are scheduled at one time.
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Using Structure For Successful Meetings
• The meeting format is developed.
• The meeting agenda is prepared and available ahead of time, and is reviewed and modified as needed before the meeting begins.
• Planned participation is used within the first 15 minutes.
• Meeting minutes are recorded.
• The meeting is critiqued for continuous improvement.
8-13b
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Meeting Outline and Allotted Times Example
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Solve the Dilemma
a What techniques or skills should an employee have to assume a leadership role within a work group?
b If each work group has a team representative, what problems will be faced in supervising these representatives?
c Evaluate the pros and cons of the system developed by QS.
8-15
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Explore Your Career Options
What is the main quality of employees who will be successful in their job?
Explain how this quality is helpful in a small business and in a large company.
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Additional Discussion Questions and Exercises
1 Which organizational structure would be best of the the following
situations? Draw an organizational chart that would be appropriate for each of the situations
a The owner of a real estate agency has opened an office with three
real estate agents. The owner direct the agency
b The real estate agency above has grown in the last five years. The
business has grown in two different directions: residential and commercial. The owner still directs the real estate agency. He now has five agents handling commercial real estate details and 15
agents handling residential real estate details. He would like
to appoint one of the agents to be manager of a commercial division and another agent to be manager of the real estate division
8-17a
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Additional Discussion Questions and Exercises
c Another five years has elapsed. The same real estate agency has
grown. Most of the business is still centered in two divisions: residential and commercial. The owner has no added a vice president to oversee the residential and commercial
divisions. Also, the agency has added advertising and office management departments; the purpose of these staff
departments is to provide advice and support to the residential and commercial divisions
8-17b
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b specialization.
c departmentalization.
d accountability.