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chapter 8: Organization Structure, authority in organizations, Define the…
chapter 8: Organization Structure
authority in organizations
Board of Directors
Define the goal succinctly.
Select the person for the task.
Automotive Firms
operate in complex and dynamic environments
require high degree of differentiation
fast food companies
operate in intermediate environments
require inmediate levels of differentiation
cement companies
operate in simple stable environments
require low levels of differentiation
Chief Executive Officer
Top Management Team
The Steps in Effective
Delegation
Ask for subordinate’s views
about suggested approaches
Give the subordinate the authority,
time,
and resources to perform
the assignment
Review progress at appropriate
intervals.
Advantages of Functional
Departmentalization
Economies of scale can be realized.
People have greater opportunity for specialized training
Performance standards are better maintained.
Technical specialists are relatively free of administrative work.
Environmental monitoring is more effective
Decision making and lines of communication are simple
Product Departmentalization: advantages
Product managers focus on a particular product line
Product managers have significant autonomy and control
Product managers are strategic.
Product managers receive broader training
The Matrix Diamond
Top Executive
Functional Manager
“Two-Boss” Manager/Employee
Product Manager
A Network Organization
Brokers/
managers
Designers
Producers
Suppliers
Distributors
Managing High Information-Processing
Demands
reduce the need for info
process more info