Copyright 2013 Pearson Education, Inc. publishing as Prentice Hall151O RG AN IZATIO NAL BEH AVIO R15THED!oundations o" #rgani$ational %tructureRobbins and JudgeChapter 15Chapter 15 Learning ObjectivesAfter studying this chapter you should be able to:1. Identify the six elements of an organizations structure.2. Identify the characteristics of a bureaucracy.3. Describe a matrix organization.. Identify the characteristics of a !irtual organization.". #ho$ $hy managers $ant to create boundaryless organizations.%. Demonstrate ho$ organizational structures differ and contrast mechanistic and organic structural models.&. Analyze the beha!ioral implications of different organizational designs.Copyright 2013 Pearson Education, Inc. publishing as Prentice Hall152Identify the six elements of an organizations structureCopyright 2013 Pearson Education, Inc. publishing as Prentice Hall153LO 1LO 1Identify the six elements of an organizations structure'or( #pecializationDescribes the degree to $hich tas(s in an organization are di!ided into separate )obs. *he main idea of this organizational design is that an entire )ob is not done by one indi!idual. It is bro(en do$n into steps. +anagers also loo(ed for other efficiencies that could be achie!ed through $or( specialization. ,epetition of $or(*raining for specializationIncreasing efficiency through in!entionCopyright 2013 Pearson Education, Inc. publishing as Prentice Hall15&Identify the six elements of an organizations structureCopyright 2013 Pearson Education, Inc. publishing as Prentice Hall155Identify the six elements of an organizations structureDepartmentalization-rouping )obs together so common tas(s can be coordinated is called departmentalization. .y functions performed.y type of product or ser!ice the organization produces .y geography or territory .y process differences.y type of customerCopyright 2013 Pearson Education, Inc. publishing as Prentice Hall15'.y functions performed.y functions performedCopyright 2013 Pearson Education, Inc. publishing as Prentice Hall 1(.y type of productFrito LayCopyright 2013 Pearson Education, Inc. publishing as Prentice Hall 1)By GeographyCopyright 2013 Pearson Education, Inc. publishing as Prentice Hall 1*By Process Diff erencesCopyright 2013 Pearson Education, Inc. publishing as Prentice Hall110By Type Of Custom ersCopyright 2013 Pearson Education, Inc. publishing as Prentice Hall111Identify the six elements of an organizations structure/hain of /ommand0nce a cornerstone in design of organizations12an unbro(en line of authority that extends from the top of the organization to the lo$est echelon and clarifies $ho reports to $hom.2 *$o complementary concepts: authority and unity of command. Authority3nity4of4commandCopyright 2013 Pearson Education, Inc. publishing as Prentice Hall1512Identify the six elements of an organizations structureCopyright 2013 Pearson Education, Inc. publishing as Prentice Hall1513/hain of /ommand5ess rele!ant today because of technology and the trend of empo$ering employees. 0perating employees ma(e decisions pre!iously reser!ed for management. *he popularity of self4managed and cross4functional teams.+any organizations find that enforcing the chain of command is most producti!eIdentify the six elements of an organizations structureCopyright 2013 Pearson Education, Inc. publishing as Prentice Hall151&Identify the six elements of an organizations structure/entralization and Decentralization /entralization refers to the degree to $hich decision4ma(ing is concentrated at a single point in the organization. A decentralized organization can act more 6uic(ly to sol!e problems1 more people pro!ide input into decisions1 and employees are less li(ely to feel alienated from those $ho ma(e decisions that affect their $or( li!es.Copyright 2013 Pearson Education, Inc. publishing as Prentice Hall1515Identify the six elements of an organizations structure7ormalization refers to the degree to $hich )obs $ithin the organization are standardized. + highly "or,ali$ed -ob gi.es the -ob incu,bent a ,ini,u, a,ount o" discretion./he greater the standardi$ation, the less input the e,ployee has into ho0 the -ob is done. 1o0 "or,ali$ation2-ob beha.iors are relati.ely non progra,,ed, and e,ployees ha.e a great deal o" "reedo, to e3ercise discretion in their 0or4.#imple #tructure5 +n organi$ation structure characteri$ed by a lo0 degree o" depart,entali$ation, 0ide spans o" control, authority centrali$ed in a single person, and little "or,ali$ation.Copyright 2013 Pearson Education, Inc. publishing as Prentice Hall151'Identify the characteristics of a bureaucracyA bureaucracy is characterized by: 8ighly routine operating tas(s.9ery formalized rules and regulations.*as(s grouped into functional departments./entralized authority.:arro$ spans of control.Decision4ma(ing that follo$s the chain of command. Copyright 2013 Pearson Education, Inc. publishing as Prentice Hall151(1";The Bureaucracy#trengths+bility to per"or, standardi$ed acti.ities ,ore e""iciently. 6ore control o.er the e,ployees 0ith clear rules and regulations.7o con"usion as the reporting relationships is clear and 0ell de"ined. /here is standardi$ation and e.eryone has to "ollo0 the sa,e procedure.'ea(nesses/he decision ,a4ing and all the other processes are .ery slo0. +ll the processes and tas4s are so ,uch "i3ed that the inno.ation process is al,ost eli,inated in bureaucratic organi$ations./he co,,unication has to go through so ,any le.els that it gets distorted. /here are too ,any le.els in the hierarchy. %ubunit con"licts 0ith organi$ational goals

Copyright 2013 Pearson Education, Inc. publishing as Prentice Hall 20*8< roduct departmentalization facilitates coordination. It pro!ides clear responsibility for all acti!ities related to a product1 but $ith duplication of acti!ities and costs. Copyright 2013 Pearson Education, Inc. publishing as Prentice Hall1521Describe a matrix organizationCopyright 2013 Pearson Education, Inc. publishing as Prentice Hall1522LO 3LO 3Identify the characteristics of a virtual organizationCopyright 2013 Pearson Education, Inc. publishing as Prentice Hall1523LO 4LO 4Show why managers want to create boundaryless organizations*he boundaryless organization see(s to eliminate the chain of command1 ha!e limitless spans of control1 and replace departments $ith empo$ered teams. 3ses cross4hierarchical teams 3ses participati!e decision4ma(ing practices 3ses 3%?4degree performance appraisals Copyright 2013 Pearson Education, Inc. publishing as Prentice Hall152&LO 5LO 5Show why managers want to create boundaryless organizations7unctional departments create horizontal boundaries. .oundaryless organizations brea( do$n geographic barriers. /ulture can be a boundary element./ustomers perform functions done by management. *elecommuting blurs organizational boundaries. Copyright 2013 Pearson Education, Inc. publishing as Prentice Hall1525LO 5LO 5Organizational Downsizing*he 5earner 0rganization: 0rganizational Do$nsizing*he goal of the ne$ organizational forms $e!e described is to impro!e agility by creating a lean1 focused1 and flexible organization.Do$nsizing is a systematic effort to ma(e an organization leaner by selling off business units1 closing locations1 or reducing staff. Copyright 2013 Pearson Education, Inc. publishing as Prentice Hall152'LO 5LO 5Demonstrate how organizational structures differ and contrast mechanistic and organic structural modelsCopyright 2013 Pearson Education, Inc. publishing as Prentice Hall152(LO 6LO 6Demonstrate how organizational structures differ and contrast mechanistic and organic structural modelsAn organizations structure is a means to help management achie!e its ob)ecti!es. +ost current strategy frame$or(s focus on three strategy dimensions:inno!ation1 cost minimization1 and imitation.Copyright 2013 Pearson Education, Inc. publishing as Prentice Hall152)LO 6LO 6Demonstrate how organizational structures differ and contrast mechanistic and organic structural modelsCopyright 2013 Pearson Education, Inc. publishing as Prentice Hall152*LO 6LO 6Demonstrate how organizational structures differ and contrast mechanistic and organic structural models*here is considerable e!idence to support that an organizations size significantly affects its structure. *he impact of size becomes less important as an organization expands. Copyright 2013 Pearson Education, Inc. publishing as Prentice Hall1530LO 6LO 6Demonstrate how organizational structures differ and contrast mechanistic and organic structural models*echnology refers to ho$ an organization transfers its inputs into outputs. rinted in the 3nited #tates of America./opyright A 2?13 >earson rentice 8all