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Organizational Structure and
Design
Chapter 15
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Learning Objectives
1. Describe what is meant by organizational structure and how it is revealed by an organizational chart.
2. Explain the basic characteristics of organizational structure revealed in an organizational chart.
3. Describe different approaches to departmentalization.
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Learning Objectives
4. Distinguish between classical and neoclassical approaches to organizational design and between mechanistic organizations and organic organizations as described by the contingency approach to organizational design.
5. Describe the five organizational forms identified by Mintzberg.
6. Characterize two forms of interorganizational design.
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Organizational Structure
The formal configuration between
individuals and groups with respect
to the allocation of tasks,
responsibilities, and authorities
within organizations
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Organization Chart
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Tall vs. Flat Organizations
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Division of Labor
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Line vs. Staff Positions
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Decentralization
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Functional Organization
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Product Organization
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Matrix Organization
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Organizational Design
The process of coordinating the
structural elements of an
organization in the most
appropriate manner
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Classical vs. Neoclassical Organizational Design
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Contingency ApproachMechanistic vs. Organic
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Design Effectiveness
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Five Organizational Forms
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Vertically Integrated Organization
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Team-based Organization
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Boundary-less Organization
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Other Emerging Organizational Designs
Modular or network
Virtual
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Intraorganizational Designs
Conglomerates
Spinoff
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Strategic Alliances
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