organization

7/17/2019 Organization

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Organizations and Structures



April 18, 2006 LIS580- Spring 2006 2

What Is Organizing

! Organizing

" Arranging the

acti#ities o$ the

enterprise in sucha %a& that the&

s&ste'aticall&

contri(ute to the

enterprise)s goals*

+*essler, 200



April 18, 2006 LIS580- Spring 2006

epicting the Organization

! Organization .hart " A chart that sho%s the

structure o$ the

organization includingthe title o$ each'anager)s positionand, (& 'eans o$

connecting lines, %hois accounta(le to %ho'and %ho has authorit&$or each area*

+*essler, 200



April 18, 2006 LIS580- Spring 2006 /

Organization esign and

Structure

! Organization design

" A process in %hich 'anagers de#elop or

change their organization)s structure

! Wor specialization

" A co'ponent o$ organization structure that

in#ol#es ha#ing each discrete step o$ a o(

done (& a di$$erent indi#idual rather thanha#ing one indi#idual do the %hole o(

rentice 3all, 2002



April 18, 2006 LIS580- Spring 2006 5

Structure 4aria(les

! rinciples

" .hain o$ co''and

" Span o$ control

" Authorit& " o%er

" esponsi(ilit&

! epart'entalization

" unctional

" i#isional

! roduct! .usto'er

! +eographic

! rocess

rentice 3all, 2002



April 18, 2006 LIS580- Spring 2006 6

Organizational Structure7 .ontrol

! .hain o$ co''and " he 'anage'ent principle that no person should report to

'ore than one (oss

! Span o$ control

" he nu'(er o$ su(ordinates a 'anager can direct e$$icientl&and e$$ecti#el&

! Authorit& " he rights inherent in a 'anagerial position to gi#e orders

and e9pect the' to (e o(e&ed

! esponsi(ilit& " An o(ligation to per$or' assigned acti#ities

! o%er " An indi#idual)s capacit& to in$luence decisions

rentice 3all, 2002


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.hain o$ .o''and

rentice 3all, 2002


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epart'entalization7

.reating epart'ents! epart'entalization

" he process through %hich an

organization)s acti#ities are groupedtogether and assigned to 'anagers; the

organization%ide di#ision o$ %or*

+*essler, 200


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epart'entalization

! unctional " he grouping o$ acti#ities (& $unctions per$or'ed

! roduct

" he grouping o$ acti#ities (& product produced! .usto'er

" he grouping o$ acti#ities (& co''on custo'ers

! +eographic " he grouping o$ acti#ities (& territor&

! rocess " he grouping o$ acti#ities (& %or or custo'er $lo%

organization

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