ch. 8 - mgmt 371

three more common elements of organizations that most authorities agree on

5. span of control 6. authority, responsibility, and delegation 7. centralization versus decentralization of authority

hierarchy of authority

or chain of command, is a control mechanism for making sure the right people do the right things at the right time.

rites and rituals

the activities and ceremonies, planned and unplanned, that celebrate important occasions and accomplishments in the organization's life.

coordinated effort

the coordination of individual efforts into a group or organization wide effort.

12 ways to change organizational culture

1. formal statements 2. slogans and sayings 3. rites and rituals 4. stories, legends, and myths 5. leader reactions to crises 6. role modeling, training, coaching 7. physical design 8. reward, titles, promotions, bonuses 9. org goals and performance criteria 10. measurable & controllable activities 11. organizational structure 12. org systems and procedures

organization chart

a box-and-lines illustration showing the formal lines of authority and the organization's official positions or work specializations. reveal two kinds of information about organizational structure (1) the vertical hierarchy of authority - who reports to whom, and (2) the horizontal specialization - who specializes in what work.

virtual structure

a company outside a company that is created "specifically to respond to an exceptional market opportunity that is often temporary". members meet and communicate with each other by email and videoconferencing instead of face to face, is valuable for organizations that want to grow through partnerships with other companies.

modular structure

a firm assembles product chunks, or modules, provided by outside contractors. differs from the hollow structure in that it is oriented around outsourcing certain pieces of a product rather than outsourcing certain processes of an organization.

boundary-less organization

a fluid, highly adaptive organization whose members, linked by information technology, come together to collaborate on common tasks. the collaborators may include not only coworkers but also suppliers, customers, and even competitors.

organizational structure

a formal system of task and reporting relationships that coordinates and motivates an organization's members so that they can work together to achieve the organization's goals.

story

a narrative based on true events which is repeated-and sometimes embellished upon- to emphasize a particular value. Oral histories that are told and retold by members about incidents in the organization's history.

hero

a person whose accomplishments embody the values of the organization.

organization

a system of consciously coordinated activities or forces of two or more people.

horizontal design

also called a team-based design, teams or workgroups, either temporary or permanent, are used to improve collaboration and work on shared tasks by breaking down internal boundaries.

division of labor

also known as work specialization, is the arrangement of having discrete parts of a task done by different people.

symbol

an object, act, quality, or event that conveys meaning to others. conveys an organization's most important values.

matrix structure

an organization combines functional and divisional chains of command in a grid so that there are two command structures - vertical and horizontal. functional - doesn't change, the org's normal departments/divisions divisional - may vary by product, brand, customer, region.

virtual organization

an organization who members are geographically apart, usually working with email, collaborative computing, and other computer connections.

mechanistic organization

authority is centralized, tasks and rules are clearly specified, and employees are closely supervised. has specialized tasks, many rules and procedures, formalized communication, narrow span of control, taller structures, few teams or task force.

organic organization

authority is decentralized, there are fewer rules and procedures, and networks of employees are encouraged to cooperate and respond quickly to unexpected tasks. sometimes termed "adhocracies" because they operate on an ad hoc basis, improvising as they go along. shared tasks, informal communication, many teams or task forces.

accountability

authority means __. managers must report and justify to the managers above them. means you have the responsibility for performing assigned tasks.

4 types of organizational culture

clan, adhocracy, market, and hierarchy

organizational design

concerned with designing the optimal structure of accountability and responsibility that an organization uses to execute its strategies. Has 3 types: 1. traditional designs 2. horizontal designs 3. designs that open boundaries between organizations

basic assumptions

core values of the organization. these are not observable, represent the core values of an organization's culture- those that are taken for granted and, as a result, are difficult to change.

flat organization

defined as one with an organizational structure with few or no levels of middle management between top managers and those reporting to them.

espoused values

explicitly stated values and norms. the explicitly stated value and norms preferred by an organization.

market culture

has a strong external focus and values stability and control. focused on the external environment and driven by competition and a strong desire to deliver results, customers, productivity, and profits take precedence over employee development/satisfaction. employees are expected to work hard, react fast, and deliver quality work on time; those who deliver results are rewarded.

adhocracy culture

has an external focus and values flexibility. this type of culture attempts to create innovative products by being adaptable, creative, and quick to respond to changes in the marketplace. employees are encouraged to take risks and experiment with new ways of getting things done. This type of culture is well suited for start up companies, industries undergoing constant change, and in mature industries that are in need of innovation to enhance growth.

clan culture

has an internal focus and values flexibility rather than stability and control. like a family-type organization, it encourages collaboration among employees, striving to encourage cohesion through consensus and job satisfaction and to increase commitment through employee involvement. These organizations devote considerable resources to hiring and developing their employees, they view customers as partners.

hierarchy culture

has an internal focus and values stability and control over flexibility. Apt to have a formalized, structured work environment aimed at achieving effectiveness through a variety of control mechanisms that measure efficiency, timeliness, and reliability in the creating and delivery of products.

simple structure

has authority centralized in a single person, a flat hierarchy, few rules, and low work specialization.

staff personnel

have authority functions; they provide advice, recommendations, and research to line managers.

line managers

have authority to make decisions and usually have people reporting to them. these positions are indicated on the organization chart by a solid line (usually vertical).

designs that open boundaries between organizations

hollow, modular, and virtual structures.

centralized authority

important decisions are made by higher-level managers.

decentralized authority

important decisions are made by middle-level and supervisory-level management.

unity of command

in which an employee should report to no more than one manager in order to avoid conflicting priorities and demands.

3 levels of organizational culture

observable artifacts, espoused values, and basic assumptions.

hollow structure

often called the network structure, the organization has a central core of key functions and outsources other functions to vendors who can do them cheaper or faster.

span of control

or span of management, refers to the number of people reporting directly to a given manager. Narrow - manager has a limited number of people reporting Wide - manager has several people reporting

divisional structure

people with diverse occupational specialities are put together in formal groups by similar products or services, customers or clients, or geographic regions. types: product divisions, customer divisions, and geographic divisions.

functional structure

people with similar occupational specialities are put together in formal groups.

observable artifacts

physical manifestations of culture. at the most visible level, organizational culture is expressed in physical manifestations such as manner of dress, awards, myths and stories about the company, rituals and ceremonies, and decorations, as well as visible behavior exhibited by managers and employees.

4 common elements of organizations

proposed by Edgar Schein. 1. common purpose - means for unifying members 2. coordinated effort - work together for common purpose 3. division of labor - work specialization for greater efficiency 4. hierarchy of authority - the chain of command

authority

refers to the rights inherent in a managerial position to make decisions, give orders, and utilize resources.

person-organization fit

reflects the extent to which your personality and values match the climate and culture in an organization. this is important because it is associated with more positive work attitudes and task performance, lower stress, and fewer expressions of intention to quit.

enacted values

represent the values and norms actually exhibited in the organization.

organizational culture

sometimes called corporate culture, is defined as the set of shared, taken for granted implicit assumptions that a group holds and that determines how it perceives, thinks about, and reacts to various environments

how employees learn culture

symbols, stories, heroes, and rites & rituals

traditional designs

tend to favor structures that rely on vertical management hierarchy, with clear departmental boundaries and reporting arrangements. types: simple, functional, divisional, and matrix structures

delegation

the process of assigning managerial authority and responsibility to managers and employees lower in the hierarchy. to be more efficient, most managers are expected to __ as much as their work as possible.

contingency design

the process of fitting the organization to its environment. emphasizes that a manager's approach should vary according to the individual and environmental situation. managers taking this approach must consider: 1. environment - mechanistic vs organic 2. environment - differentiation vs integration 3. link between strategy, climate, and structure

differentiation

the tendency of the parts of an organization to disperse and fragment

integration

the tendency of the parts of an organization to draw together to achieve a common purpose.

common purpose

unifies employees or members and gives everyone an understanding of the organization's reason for being

responsibility

with more authority comes more __. the obligation you have to perform the tasks assigned to you.