mgmt ch. 9
Interorganizational process
a collection of activities that take place among companies to transform inputs into outputs that customers value
Simple matrix
a form of matrix departmentalization in which managers in different parts of the matrix negotiate conflicts and resources
Complex matrix
a form of matrix departmentalization in which managers in different parts of the matrix report to matrix managers, who help them sort our conflicts and problems
Matrix departmentalization
a hybrid organizational structure in which two or more forms of departmentalization, most often product and functional, are used together
Job specialization
a job composed of a small part of a larger task or process
Unity of command
a management principle that workers should report to just one boss
When managers delegate work, three transfers occur. The three transfers are responsibility, authority, and
accountability
Line function
an activity that contributes directly to creating or selling the company's products
Staff function
an activity that does not contribute directly to creating or selling the company's products, but instead supports line activities
Job characteristics model (JCM)
an approach to job redesign that seeks to formulate jobs in ways that motivate workers and lead to positive work outcomes
Organic organization
an organization characterized by broadly defined jobs and responsibility; loosely defined, frequently changing roles; and decentralized authority and horizontal communication based on task knowledge
Mechanistic organization
an organization characterized by specialized jobs and responsibilities; precisely defined, unchanging roles; and a rigid chain of command based on centralized authority and vertical communication
Virtual organization
an organization that is part of a network in which many companies share skills, costs, capabilities, markets, and customers to collectively solve customer problems or provide specific products or services
Modular organization
an organization that outsources noncore business activities to outside companies, suppliers, specialists, or consultants
Work can be formed into natural work units by
arranging tasks according to logical or meaningful groups
The second part of traditional organizational structures is
authority
Organizational authority is traditionally characterized by
chain of command
Managers can exercise their authority directly by
completing tasks themselves, or they can choose to pass on some of their authority to subordinates
two types of matrix
complex and simple
A class project, Senora is working with other classmates to create a company that would market NASCAR memorabilia. Senora's teacher has instructed her to use the traditional approach to create the organization's structure. What should Senora do?
create an organizational structure with vertical and horizontal configurations
Large accounting agencies typically have separate departments that deal with households, businesses, and governments. To better serve the needs of their clients, many of these accounting agencies use __ departmentalization
customer
An Indian cardinal's call for local church leaders to have more power and for papal authority to be distributed to lower levels within the Catholic hierarchy has elicited agreement from other church leaders in India. Cardinal Varkey Vithayathil stated in a published interview that the Indian church has been forced "to depend on the Roman curia for too many matters." He also asserted that bishops should not have "to run to Rome for everything" and that canon law should be modified to allow the pope to share his authority. Vithayathil is calling for
decentralization
___ involves assigning direct authority and responsibility to a subordinate to complete tasks for which the manager is normally responsible
delegation of authority
Kimberly-Clark is subdivided into organizational units called Kimberly-Clark Health Care, which provides products to hospitals, Kimberly-Clark Professional, which sells to businesses, and Kimberly-Clark Consumer, which sells the company's products to customers. From this information, you know that Kimberly-Clark uses
departmentalization
The primary disadvantage of customer departmentalization is
duplication
The primary disadvantage of geographic departmentalization is
duplication of resources
Empowerment
feeling of intrinsic motivation, in which workers perceive their work to have impact and meaning and perceive themselves to be competent and capable of self-determination
The last job redesigned technique offered by the model, opening feedback channels
finding additional ways to give employees direct, frequent feedback about their job performance
departmentalization is defined as organizing work and workers into separate units responsible for particular business functions or areas of expertise
functional
Which of the following statements about functional departmentalization is true?
functional departmentalization allows work to be done by highly qualified specialists
Reengineering
fundamental rethinking and radical redesign of business processes to achieve dramatic improvements in critical measures of performance, such as cost, quality, service, and speed
Reengineering =
fundamental, radical, processes, dramatic
People higher in the chain of command have the right, if they so choose, to
give commands, take action, and make decisions concerning activities occurring anywhere below them in the chain
Job enlargement
increasing the number of different tasks that a worker performs within one particular job
Job enrichment
increasing the number of tasks in a particular job of giving workers the authority and control to make meaningful decisions about their work
A second dimension of authority is the distinction between
line and staff authority
In terms of the chain of command, ___ authority is the right to command immediate subordinates, while ___ authority is the right to advise but not command others who are not subordinates
line; staff
Commerce Insurance Services have five divisions. They are personal; core commercial; main street business; major commercial; and benefits. The company is also departmentalized along product lines. Commerce Insurance Services uses ___ departmentalization
matrix
The primary advantage of ___ departmentalization is the fact that it allows companies to manage large, complex tasks efficiently by minimizing duplication
matrix
With ___ departmentalization, most employees report to two bosses
matrix
___ departmentalization is notorious for confusion and conflict between project managers in different areas of the organization
matrix
notorious for confusion and conflict between project bosses in different parts of the matrix
matrix function
5 types of departmentalization
matrix, geographic, customer, product, functional
Internal motivation
motivation that comes from the job itself rather than from outside rewards
is the collection of activities that transform inputs into outputs that customers value
organizational process
Geographic departmentalization
organizing work and workers into separate units responsible for doing business in particular geographic areas
Functional departmentalization
organizing work and workers into separate units responsible for particular business functions or areas or expertise
Customer departmentalization
organizing work and workers into separate units responsible for particular kinds of customers
Product departmentalization
organizing work and workers into separate units responsible for producing particular products or services
Job rotation
periodically moving workers from one specialized job to another to give them more variety and the opportunity to used different skills
Empowering workers
permanently passing decision making authority and responsibility from managers to workers by giving them the information and resources they need to make and carry out good decisions
Hallmark has four departments. These departments are (1) Flowers and Gifts, (2) Cards and E-cards, (3) Hallmark Collectibles, and (4) Photo Albums and Scrapbooks. Hallmark uses ___ departmentalization
product
The most common matrix combines the
product and functional forms of departmentalization are used together
Vertical loading
pushing some managerial authority down to workers
Disagreements or misunderstandings about
schedules, budgets, available resources, and the availability of employees with particular functional expertise are common in matrix structures
Establishing client relationships increases
skill variety, autonomy, and feedback by giving employees direct contact with clients and customers
Standardization
solving problems by consistently applying the same rules, procedures, and processes
Combining tasks increases skill variety and task identity by joining separate,
specialized tasks into larger work modules
___ is the process of solving problems by consistently applying the same rules, procedures, and processes
standardization
Departmentalization
subdividing work and workers into separate organizational units responsible for completing particular tasks
Feedback
the amount of information the job provides to workers about their work performance
Delegation of authority
the assignment of direct authority and responsibility to a subordinate to complete tasks for which the manager is normally responsible
Intraorganizational process
the collection of activities that take place within an organization to transform inputs into outputs that customers value
Organizational process
the collection of activities that transform inputs into outputs that customers value
Task significance
the degree to which a job is perceived to have a sustainable impact on others inside or outside the organization
Task identity
the degree to which a job, from beginning to end, requires the completion of whole and identifiable piece of work
Autonomy
the degree to which job gives workers the discretion, freedom, and independence to decide how and when to accomplish the job
Task interdependence
the extent to which collective action is required to complete an entire piece of work
Decentralization
the location of a significant amount of authority in the lower levels of the organization
Centralization of authority
the location of most authority at the upper level of the organization
Skill variety
the number of different activities performed in a job
Job design
the number, kind, and variety of tasks that individual workers perform in doing their jobs
Staff authority
the right to advise, but not command, others who are not subordinates in the chain of command
Line authority
the right to command immediate subordinates in the chain of command
Authority
the right to give commands, take action, and make decisions to achieve organizational objectives
Chain of command
the vertical line of authority that clarifies who reports to whom throughout the organization
Organizational structure
the virtual and horizontal configuration of departments, authority, and jobs within a company
As a result of their structures, matrix organizations automatically violate the principle of
unity of command
One of the key assumptions underlying the chain of command is
unity of command
Reciprocal interdependence
work completed by different jobs or groups working together in back-and-forth manner
Pooled interdependence
work completed by having each job or department independently contribute to the whole
Sequential interdependence
work completed in succession, with one group's or job's outputs becoming the inputs for the next group or job