Chapter 6Basic OrganizationThe elements of structureContingencyvariables affecting structureOrganization designapplicationsOrganizationculture
Chapter 6 Basic Organization The elements of structure Contingency variables affecting structure Organization design applications Organization culture
TheElements ofStructureWork specializationChainof commandSpan of controlH北AuthorityandresponsibilityCentralization versus decentralizationDepartmentalization
The Elements of Structure Work specialization Chain of command Span of control Authority and responsibility Centralization versus decentralization Departmentalization
Work SpecializationDefinition:Work specialization is a component oforganization structure that involveshaving each discrete step of a job done bya different individual rather than havingoneindividual do the whole job
Work Specialization Definition: Work specialization is a component of organization structure that involves having each discrete step of a job done by a different individual rather than having one individual do the whole job
Exhibit 6-1 Economies and Diseconomiesof WorkSpecializationHighImpactfromImpactfromhumaneconomiesofdiseconomiesspecializationLowHighLowWork Specialization
Exhibit 6-1 Economies and Diseconomies of Work Specialization Low High High Low Work Specialization Productivity Impact from economies of specialization Impact from human diseconomies
CEOExecutiveExecutivePresidentVicePresidentVicePresidentViceViceViceViceVicePresidentPresidentPresidentPresidentPresidentRegionRegionRegionRegionRegion3452DistrictDistrictDistrictDistrictDistrictDistrictDistrictCFGABDEExhibit6-2Chain of Command
Exhibit 6-2 Chain of Command CEO Executive Vice President President Executive Vice President Vice President Vice President Vice President Vice President Vice President Region 1 Region 2 Region 3 Region 4 Region 5 District A District B District C District D District E District F District G
Span of ControlDefinitionIt is the number of subordinates amanager can direct efficiently andeffectively
Span of Control Definition It is the number of subordinates a manager can direct efficiently and effectively
VariablesContingencyThe level in theorganizationThe quality of employeesSimilarity of employee tasksThe complexity oftasksThephysical proximity of employeesThe degree of standardization of work proceduresThe strength of the organization's value systemThe sophistication of the organization's MISThe preferred managing style of managers
Contingency Variables The level in the organization The quality of employees Similarity of employee tasks The complexity of tasks The physical proximity of employees The degree of standardization of work procedures The strength of the organization’s value system The sophistication of the organization’s MIS The preferred managing style of managers
Authority and ResponsibilityDefinitionLine authority and staff authorityHow do authority and power differ?Thetypesof power
Authority and Responsibility Definition Line authority and staff authority How do authority and power differ? The types of power
Authority:一It is the rights inherent in a managerial positiontogive orders and expect subordinates to beobeyed.Responsibility-It is an obligation to perform assigned activities.Power:It is an individual's capacity to influence decisions
Authority: It is the rights inherent in a managerial position to give orders and expect subordinates to be obeyed. Responsibility: It is an obligation to perform assigned activities. Power: It is an individual’s capacity to influence decisions
Line Authority and Staff AuthorityLine authority entitles a manger to direct the workofan employee.A manager with line authority has the right to direct thework of employees and to make certain decisions withoutconsultinganyoneStaff authority is used to support, assist, andadvisethe holders of line authorityWhether amanager's function is classified as lineor staffdepends on theorganization's objectives
Line Authority and Staff Authority Line authority entitles a manger to direct the work of an employee. A manager with line authority has the right to direct the work of employees and to make certain decisions without consulting anyone Staff authority is used to support, assist, and advise the holders of line authority. Whether a manager’s function is classified as line or staff depends on the organization’s objectives