1. Managing Organizational Structure and Culture
Chapter 10
Managing Organizational Structure and Culture

2. Organizational Structure
Organizational Architecture
The organizational structure, control systems, culture, and human resource management systems that together determine how efficiently and effectively organizational resources are used
MGMT 321 – Chapter 10

3. Organizational Structure
Organizing
Establishing working relationships among employees to achieve goals.
Organizational Structure
Formal system of task and reporting relationships showing how workers use resources.
Organizational Design
Creating a specific type of organizational structure and culture so that a company can operate in the most efficient and effective way
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4. Factors Affecting Organizational Structure
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5. The Organizational Environment
Organization structure depends on:
How to group tasks into individual jobs
How to group jobs into functions and divisions
How to allocate authority and coordinate functions and divisions
MGMT 321 – Chapter 10

6. Job Design Job Design Job Enlargement Job Enrichment
Deciding how to divide tasks into specific jobs
Job Enlargement
Increasing the number of different tasks in a given job by changing the division of labor
Job Enrichment
Increasing the degree of a worker’s responsibility
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7. The Job Characteristics Model
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8. Job Characteristics Model
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9. Grouping Jobs into Functions
Group of people who possess similar skills to perform their jobs
Functional Structure
An organizational structure composed of all the departments that an organization requires to produce its goods or services
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10. Divisional Structures
Managers create a series of business units to produce a specific kind of product for a specific kind of customer
Types of Divisional Structures
Product
Market
Geographic
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11. Types of Divisional Structures
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12. Matrix Structure
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13. Product Team Structure
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14. Federated’s Hybrid Structure
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15. Allocating Authority Hierarchy of Authority Line Manager Staff Manager
An organization’s chain of command
Span of control
Line Manager
Staff Manager
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16. Tall Organizations
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17. Flat Organizations
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18. Decentralization of Authority
Decentralizing authority
Disadvantages
Teams may begin to pursue their own goals at the expense of organizational goals
Can result in a lack of communication among divisions
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19. Integrating Mechanisms
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20. Organizational Culture
MGMT 321 – Chapter 10

21. Adaptive and Inert Cultures
Adaptive cultures
Values and norms help an organization grow and change as needed to be effective
Inert cultures
Values and norms that fail to motivate or inspire employees
Lead to stagnation and often failure over time
MGMT 321 – Chapter 10