1
Q
Structure should bring
A
Efficiency Effectiveness faster more-streamlined performance driven customer focused
2
Q
Organizational Structure should determine Strategy?
A
No; False
Strategy Comes First
3
Q
What factors would determine a firm’s choice of organizational structure?
A
- companies strategy
- enviornment
4
Q
Functional Structure
A
CISCO 1984 doing everything themselves in beginning divide on base of functions ex. Business functions: marketing; HR; Finance ex. Product Development (Routers)
5
Q
Functional and Divisional Structure
A
CISCO 1987
- require own infrastructure
- -Intelligent Network Services(Architecture, financial support, engineering, operations)
- -Data Center Services and Support(operating system validation, tool development, linux engineering and operations, storage engineering and operations)
- -Marketing
- -HR
6
Q
Divisional Customer Structure
A
CISCO 1997 ADVANTAGE -better fit; understand needs of customers; satisfaction of customer needs -exponential growth -divide customers --R&D; Enterprise Division; Small/Medium Business, Service Provider (similar sub sections under the last three LIMITATIONS -technology changing -costly (duplication) -overlapping
7
Q
Team Structure
A
CISCO 2001
centralized functions
-1 stop shop for all technology solutions
–Executive team–>centralized marketing, customer service,operations, centralized engineering, and R&D–> centralized engineering has more
8
Q
Hybrid “Technology” Organization
A
CISCO 2007
- Hybrid: more than 2 types together
- -Executive team–> access networking and services, customer and small business, data center, switching & services, service provider, software group, and emerging technologies–> first four have more shared
- Elements and divisions
- product and customer divisions
- networking and data–most important today
9
Q
Factors determining organizational Structure
A
- size
- environment
- need for flexibility
- technology
- human resource
- strategy
10
Q
Size
A
- small (Traditional and work towards hybrid)
- Large
11
Q
Environment
A
- dynamic
- stable
12
Q
Need for flexibility
A
- high
- low
13
Q
Technology
A
- Routine: traditional
- Non-routine: Team
14
Q
Human Resource
A
Skilled: modern
Unskilled: Traditional
15
Q
Strategy
A
- Cost: Team and Functional
- Differentiation: Team
16
Q
Traditional
A
hierarchical
functional
divisonal
17
Q
Modern
A
Team
Flexible
18
Q
Type of Structures
A
(Traditional) -functional -divisional (Modern) -Matrix -Team -Hybrid
19
Q
Functional
A
cost efficient
- -Limitations: no cross-department communication
- conflicting goals
- communication takes long time–not flexible
20
Q
Divisional: Product
A
Limitations
- duplication
- cost
- communication among departments ex. CD in own printer didn’t work for HP
21
Q
Divisional: Geographic
A
mcD’s
22
Q
Divisional: Market or Customer
A
Dell
CEO
categories by market
23
Q
Matrix
A
CEO functional on top teams on bottom -Team based structure -Limitations --violates unity of command (report to functional and project head) --teams temporary --less committment
24
Q
Team Structure
A
more loyalty and team commitment
- teams are permanent
- most used in dynamic environment ex Zappos
- Limitations
- -size too big–> 10-15 teams might not be enough
25
Hybrid
Sony; Nokia
| 3 types or more
26
Characteristics of Modern Organizational Structures
- Organic vs mechanistic structure
- flatter vs taller structure
- decentralized vs centralized structure
- wide vs narrow span of control
27
Organic
flexible; evolving; creativity
28
Mechanistic
rigid; standardization; cost effective
29
Decentralized
authority distributed among employees
30
Span of Control
number of employees working under you
31
Tall Structures
unskilled labor--need close supervision
Levels: 5
Span of Control: 2, 3
Total Employees: 42
32
Flat Structures
Level: 3
Span of Control: 7
Total Employees: 57
33
Competitive Advantage
when you organize when properly aligned with organizations mission and goals, and its internal and external enviornment
34
Organizational design
can create employee motivation and commitment, but can also lead to efficiency and effectiveness
35
Always one best way
No
36
Important span of control
yes
37
Functional advantage economies of scale due to standardization
yes
38
org size and strategy important
yes
39
Organic-- Google
yes
40
Similar skills and knowledge
functional
41
skilled work force
decentralized; wide authority
42
Functional structure book
groups together people with similar skills who perform similar tasks
43
Advantages of Functional structure
economies of scale make efficient use of human resources
functional experts are good at solving technical problems
training within functions promotes skill development
career paths are available within each function
44
Divisional Structure book
groups together people working on the same product, in the same area, or with similar customers
45
product structures
groups together people and jobs working on a single product or service
46
Geographical Structures
brings together people and jobs performed in the same location
47
customer structure
groups together people and jobs that serve the same customers or clients
48
Advantages of Divisional Structures
- expertise is focused on special products, customers, or regions
- better coordination exists across functions within divisions
- there is better accountability for product or service delivery
- it is easier to grow or shrink in size as conditions change
49
Matrix structure
combines functional and divisional approaches to emphasize project r program teams
50
Cross-functional team
brings together members from different functional departments
51
Advantages of Matrix Structure
- performance accountability rests with program, product, or project managers
- better communication exists across functions
- teams solve problems at their levels
- top managers spend more time on strategy
52
Team structure
uses permanent and temporary cross-functional teams to improve lateral relations
53
Advantages of Team Structures
- team assignments improve communication, cooperation and decision making
- team members get to know each other as persons, not just job titles
- team memberships boost morale and increase enthusiasm and task involvement
54
Tall organizations
many levels of management and narrow span of control
55
Flatter organizatins
fewer levels of management have wider spans of control
56
Centralization
top management keeps the power to make most decisions
57
decentralization
top management allows lower levels to help make many decisions
58
the main purpose of organizing as a management function is to___
arrange people and resources to accomplish work
59
An organization chart is most useful for ___
showing designated supervisory relationships
60
Rumors and resistance to change are potential disadvantages often associated with ___
informal structures
61
when an organization chart shows that vice presidents oof marketing, finance, manufacturing and purchasing all report to the president, top management is using a ___ structure
functional
62
The "two boss" system of repotting relationship is both a potential source of problems and one of the key aspects of ___ structures
matrix
63
A manufacturing business with a functional structure has recently acquired two other businesses with very different product lines. The president of the combined company might consider using ___ structure to allow a better focus on the unique needs of each product area
divisional
64
An organization using a ___ structure should expect that more problems will be solved at lower levels and that top managers will have more time free to engage in strategic thinking
matrix
65
The fucntional chimneys problem occurs when people in different functions___
fail to communicate with one another
66
An organization that employs just a few "core" or essential full-time employees and outsources a lot of the remaining work shows signs of using __ structure
network
67
A "tall" organization will likely have ___ spans of control than a flat organization with the same number of members
narrower
68
If a student in one of your course groups volunteers to gather information for a case analysis and the other members tell him to go ahead and choose the information sources he believes are most important, the group is giving this student ___ to fulfill the agreed-upon task
authority
69
The bureacratic organization described by Max Weber is similar to the ___ organization described by Burns and Stalker
mechanistic
70
Which organization design would likely be a good fit for a dynamic and changing external environment?
organic
71
Workers following a compressed workweek schedule often work 40 hours in __ days
4
72
Which alternative work schedule is identified by Working Mother magazine as being used by all companies on its list of "100 best employers for working moms?"
Flexible hours
Organizational Management
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