Organizational Structure
Reflecting on chapters 1 and 4
Organizational Structure
Reflecting on chapters 1 and 4
Organizational Structure
What is the main purpose of Organizational Structure?
To make the organization look professional
To construct or change the structure to achieve organizational goals
To increase the number of employees
To eliminate management
An organization creates value when....
Its outputs are worth more than the inputs used
It has many employees
It has a tall hierarchy
When organization has good motivation levels
How does an organization increase their effectiveness?
What does differentiation mean?
Giving everyone the same tasks
Allocating people and resources to different organizational tasks
Removing managers
Reducing specialization
Why might a multinational company choose a more decentralized structure?
A company has highly specialized Marketing, Finance, HR and Production departments. Each department performs very well individually, but they rarely communicate. What is their biggest problem? Why is this a problem?
How can the choice of organizational structure affect the way employees communicate, make decisions, and achieve organizational goals (eg horizontal-vertical, centralized-decentralized)? Give an example.