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Ferrell Hirt Ferrell M: Business 2nd Edition FHF.

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Presentation on theme: "Ferrell Hirt Ferrell M: Business 2nd Edition FHF."— Presentation transcript:

1 Ferrell Hirt Ferrell M: Business 2nd Edition FHF

2 Organization, Teamwork,
8 Organization, Teamwork, and Communication FHF McGraw-Hill/Irwin Copyright © 2011 by the McGraw-Hill Companies, Inc. All rights reserved.

3 Organization Culture A firm’s shared values, beliefs, traditions, philosophies, rules, and role models for behavior aka corporate culture Ensures that organizational members: share values observe common rules share problem solving approaches FHF 8-3

4 The Importance of Organizational Structure
Impacts: Decision making Costs & efficiencies Overall success and sustainability FHF 8-4

5 Google’s Corporate Culture
Famous for its culture and relaxed work environment Scooters inside the building Foosball tables and volleyball courts Dog friendly offices Local cultural touches like gondolas in Zurich Click on 1st hyperlink for Google’s webpage Click on title for video (length: 7:30) interview with author Jeff Jarvis about his book What Would Google Do? FHF 8-5

6 Organizational Culture
Formal expression Mission statement Code of ethics Manuals Ceremonies Memoranda FHF 8-6

7 Organizational Culture (continued)
Informal Expression Dress code Work habits Extracurricular activities Stories FHF 8-7

8 Organizational Structure
The arrangement or relationship of positions within an organization Structure Develops Managers assign work tasks to individuals & groups Coordination of diverse activities to attain objectives Organizational Chart A visual display of the organizational structure FHF 8-8

9 Organizational Chart The Evolution of a Clothing Store FHF 8-9
What the Organizational Chart Shows – Organizational structure Chain of command (lines of authority) Other relationships (staff, committees, etc.) Lines of communication FHF 8-9

10 Specialization Managers divide the labor into small, specific tasks and assign to employees to accomplish individual tasks Why specialize? Efficiency Ease of training Activities too numerous FHF 8-10

11 Risks of Overspecialization
Employees become bored Job dissatisfaction Poor quality work Increased injuries Increased employee turnover FHF 8-11

12 Departmentalization Grouping of jobs into working units (departments, units, groups, divisions) Functional departmentalization Product departmentalization Geographical departmentalization Customer departmentalization FHF 8-12

13 Functional Departmentalization
Employees grouped into department based on the day-to-day nature of their job descriptions FHF 8-13

14 Product Departmentalization
Employees grouped into departments based on the product they are making FHF 8-14

15 Geographical Departmentalization
Employees grouped by geographical region FHF 8-15

16 Customer Departmentalization
Employees grouped into departments based on their end consumer (consumers or businesses) FHF 8-16

17 Delegation of Authority
Giving employees tasks and power to make commitments, use resources, and take action to carry out tasks [ ] FHF 8-17

18 Assigning Responsibility
Obligation placed on employees to perform assigned tasks and be held accountable for proper execution Employee accountability Employees are answerable to a superior for work outcomes FHF 8-18

19 Level of Centralization
Centralized organizations Authority is concentrated at the top level. Decentralized organizations Decision-making authority is delegated as far down the chain of command as possible FHF 8-19

20 Span of Management The number of subordinates who report to a particular manager A wide span of management exists when a manager directly supervises a very large number of employees A narrow span of management exists when a manager directly supervises only a few subordinates FHF 8-20

21 Span of Management FHF 8-21

22 Span of Management FHF 8-22
A tall organization will have more layers of management between employees at the bottom and top-level management Span of Management FHF 8-22

23 Forms of Organizational Structure
Line Structure Line-and-staff structure Multidivisional structure Matrix structure FHF 8-23

24 Line Structure The line structure results in a very flat organization FHF 8-24

25 Line-and-Staff Structure
A line and staff structure is considerably more complex, and taller than a simple line structure FHF 8-25

26 Matrix Structure FHF 8-26

27 Groups and Teams Group Team FHF
two or more individuals who communicate with one another, share a common identity, and have a common goal Team a small group whose members have complementary skills, have a common purposes, goals, and approach; hold themselves mutually accountable. FHF 8-27

28 Groups versus Teams FHF 8-28

29 Committees and Task Forces
permanent, formal group performing a specific task Task force temporary group responsible for a particular change activity FHF 8-29

30 Teams Project teams Product development teams
Quality assurance teams (quality circles) Self-directed work teams (SDWT) FHF 8-30

31 Organizational Communications
Organizational communications can move in all directions, with horizontal communication between first-line managers, and upward, downward, and diagonal communications between CEOs, Presidents, Vice Presidents, and Managers FHF 8-31

32 Formal Communication Flow of communication within the formal organizational structure as depicted on organizational charts. Upward communication Downward communication Horizontal communication Diagonal communication FHF 8-32

33 Informal Communication
Separate from management’s formal, official communication channels. Also known as the Grapevine FHF 8-33

34 Monitoring Communication
Managers must monitor communication Without invading privacy Must balance employee privacy with generating respect and mindfulness amongst employees FHF 8-34

35 FHF 8-35


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