basic organizational design

Ahmad Raza

MC14 –299

LiaQat Ali MC14 – 282

RazaAhmad

MC14 – 288

Ali Raza

MC14 – 303

Fundamental of Management

What is organization Design ???

The linking of department and jobs within the

organization

Organization Structure

The Location Of Design Making Responsibility in the firm.

The Formal division of Organization into Subunits.

Establishment of integrating mechanisms to coordinate the activities of subunits.

The Elements Of Structure

Work specialization

Unity Of command

Span Of controlAuthority &

Responsibility

Centralization Verses

Decentralization

Departmentaliza-tion

Work Specialization

Economies and Diseconomies of Work Specialization

Organization Structure (cont’d)

Chain Of Command

Skills and abilities of the manager

Employee characteristics

Characteristics of the work being done

Similarity of tasks

Complexity of tasks

Physical proximity of subordinates

Standardization of tasks

Organization Structure (cont’d)

Contrasting Spans of Control

Mechanistic Versus Organic Organizations

Mechanistic Versus Organic Organizations

• Is a fix form that is as, Rigid and stableMechanistic

Organization

• Is a an adaptive form that is as loose and flexible

Organic Organization

Organizational Structure

Environment

Size Technology

Strategy

Contingency Variables Affecting Structure

Contingency Variables Affecting Structure

Contingency Variables Affecting Structure

Simple Structure

Functional Structure

Divisional Structure

Simple Structure

• Low specialization and formalization, wide span of control but high in centralization.

Functional Structure

• Organizational design that group similar or related accupanational specialist together

Divisional Structure

• Made up of separate unit or divisions each division has a limited autonomy

Organizational Design Application

Functional Structure

Divisional Structure

Other Organizational Structures

Advantages

Fluid and flexible Design

Faster decision making

Disadvantages

Complexity of assign people

Task and personality conflicts

Matrix Structure

Other Organizational Structures (cont’d)

Boundary-Less Organization

Boundary-Less Organization

The Learning Organization

Organizational design Information sharing

Leadership Organizational Culture

The learning Organization

Characteristics of a Learning Organization

Boundary-less

Teams

Empowerment

Organizational Design

Open

Timely

Accurate

Information Sharing

Strong mutual relationship

Sense of community

Caring

Trust

Organizational Culture

What is an Organization Culture ???

Member Identity

Group Emphasis

People Focus

Unit Integration

Control

Risk Tolerance

Reward criteria

Conflicts Tolerance

Means-End Orientation

Open-System Focus

Characteristics Of Organization Culture