Organizational Structure
Formally dictates how jobs and tasks are divided and coordinated between individuals and groups within the company
An organizational chart is a drawing that represents every job in the organization and the formal reporting relationships between those jobs
Such charts vary in five elements of structure
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OrganizationalStructureChapter 15Organizational StructureFormally dictates how jobs and tasks are divided and coordinated between individuals and groups within the companyAn organizational chart is a drawing that represents every job in the organization and the formal reporting relationships between those jobsSuch charts vary in five elements of structureOrganizational StructureOrganizational StructureWhen considered in combination, the five dimensions of organizational structure create at least two types of firms:Mechanistic organizations are efficient, rigid, predictable, and standardized organizations that thrive in stable environmentsOrganic organizations are flexible, adaptive, outward-focused organizations that thrive in dynamic environmentsOrganizational StructureOrganizational DesignThe process of creating, selecting, or changing the structure of an organization. Depends on:Business environmentCompany strategyTechnologyCompany sizeCommon Organizational FormsSimple structuresBureaucratic structuresFunctional structuresMulti-divisional structuresProduct structuresGeographic structuresClient-based structuresMatrix structuresSimple StructuresMulti-Divisonal StructuresMulti-Divisonal StructuresMulti-Divisonal StructuresMulti-Divisonal StructuresMatrix StructuresHow Important is Structure?Changes to an organization’s structure can have negative effects on the employees who work for the company, at least in the short termThe process of changing an organization’s structure is called restructuringHow Important is Structure?