Professional Documents
Culture Documents
MANAGEMENT &
ORGANIZATION
BUREAUCRATIC
VS
MATRIX STRUCTURE
ZAHID NAZIR
Roll No. AB523655
MBA Executive
2nd Semester , Spring 2009
ORGANIZATIONAL STRUCTURE
Introduction
2
Zahid Nazir
Roll No. 523655
• Work Specialization
• Departmentalization
• Chain of Command
• Span of Control
• Centralization and Decentralization
• Formalization
Organizational design is engaged when managers develop or change an
organization's structure. Organizational Design is a process that involves
decisions about the following six key elements:
ii). DEPARTMENTALIZATION
It is the basis by which jobs are grouped together. For instance every
organization has its own specific way of classifying and grouping work
activities.
3
Zahid Nazir
Roll No. 523655
Plant Manager
4
Zahid Nazir
Roll No. 523655
Vice President
for Sales
Sales Director
Sales Director Sales Director Sales Director
Balochistan
Punjab Region Sindh Region NWFP Region
Region
5
Zahid Nazir
Roll No. 523655
Site Director
6
Zahid Nazir
Roll No. 523655
Director of
Sales
• Responsibility:
Responsibility: The obligation to perform any assigned duties.
• Unity of command:
command: The management principle that each person
should report to only one manager.
7
Zahid Nazir
Roll No. 523655
vi). FORMALIZATION
8
Zahid Nazir
Roll No. 523655
• Simple structure
• Functional structure
• Divisional structure
Disadvantages
9
Zahid Nazir
Roll No. 523655
Due to above reasons they need to move in creative ways to structure and
organize works and to make their organizations more responsive to the needs
of customers, employees and other organizational constituents.
In this century, there are more favorable concepts that have being generated,
especially due to global village concept most of organizations have to revise
their organizational structures in order to achieve their overall objectives
through making employees’ job satisfaction. Therefore the contemporary
structure is used by organizations.
SIMPLE STRUCTURE
Owner
Dept. Store
Simple Structure
10
Zahid Nazir
Roll No. 523655
FUNCTIONAL STRUCTURE
11
Zahid Nazir
Roll No. 523655
DIVISIONAL STRUCTURE
STRUCTUR
12
Zahid Nazir
Roll No. 523655
The flexible structural methods that job tasks are divided, grouped, and
coordinated for response to dynamic environmental factors.
• Team structure
• Matrix structure
• Project structure
• Boundary less organizations
Network organizations
Modular organizations
Virtual organizations
• Learning organizations
TEAM STRUCTURE
In the team base structure, the entire organization is made up of work groups
or teams that perform the organization’s work. In the team base structure,
employee’s empowerment is crucial because there is no line of managerial
authority from top to bottom. Rather, employee teams are free to design work
in the way think is best. However, the teams are also held responsible for all
work activity and performance results in their respective areas.
13
Zahid Nazir
Roll No. 523655
• In marketing field sales force is use this team based structure. Also forces
use this team structure.
• Team based structure usually practice in unbranded products, like
furniture, electric equipments, and cosmetics.
Advantages
Easy Integration. Since it is the most popularly used form of team organization
it is easy to integrate. This is so, because every developer is experienced with
such a structure and understands their role within it.
Better Management, More Control. Since the entire team is physically within
the same building, communication is at its peak, since face-to-face
communication is by far the best method in all situations. The physicality of this
team structure typically means it is easier to find and solve issues together. It is
also easier to spawn a team spirit, particularly in crunch periods, which can
spark increased motivation.
Greater productivity, in a team based structure there are various skills and
ability persons give their contribution produce a great output.
Disadvantages
Significant Overheads. Of course hiring a full team and owning or renting office
space with all that goes with it (i.e. electricity, computers) a studio is going to
run high overheads. In fact, overheads can amount to a quarter of the budget
on some productions, which is an incredibly high ratio of cost.
14
Zahid Nazir
Roll No. 523655
Arising conflicts, team based structure lead to opinion conflicts among team
members.
MATRIX STRUCTURE
15
Zahid Nazir
Roll No. 523655
11-14
On the other hand the two managers influence to the employee so the
employee should want to their works in correct way. By using matrix structure
can establish high control and greater supervision throughout the project
period. It may helps to increase project performance and effectiveness.
In matrix structure we can easily get high performance because there is skilled,
ability full and experienced employees come from different functional
departments.
16
Zahid Nazir
Roll No. 523655
PROJECT STRUCTURE
Project structure reduces job boredom, because they work different projects,
and less work specialization. Although the matrix structure work well and
continued to be effective structure design choice for many organizations are
using more advance types project structure, in which employees continuously
work on projects. Unlike the matrix structure, a project structure has no formal
17
Zahid Nazir
Roll No. 523655
BOUNDARYLESS ORGANIZATIONS
18
Zahid Nazir
Roll No. 523655
External - Barriers between the organization and the outside world (customers,
suppliers, other government entities, special interest groups, communities).
Customers are the most capable of identifying major problems in the
organization and are interested in solutions.
Problem: Lose sight of the customer needs and supplier requirements
Instead of being organized around functions with many hierarchical levels, the
boundaryless organization is made up of self-managing and cross-functional
teams that are organized around core business processes that are critical for
satisfying customers such as new-product development or materials handling.
The traditional vertical hierarchy is flattened and replaced by layers of teams
making the organization look more horizontal than vertical. Some believe that
the boundaryless organization is the perfect organizational structure for the
21st century.
19
Zahid Nazir
Roll No. 523655
Network Organizations
Virtual Organizations
20
Zahid Nazir
Roll No. 523655
LEARNING ORGANIZATIONS
With these empowered employees and teams, there’s little need for “bosses”
to direct and control. Leadership plays an important role as an organization
moves to become a learning organization. Leaders should facilitate the
creation of a shred vision for the organization’s future and then keeping
organizational members working towards that vision.
21
Zahid Nazir
Roll No. 523655
BUREAUCRATIC STRUCTURE
• the use of standard methods and procedures for performing work; and
• a high degree of control to ensure standard performance.
Mintzberg (1981) has identified two types of bureaucracies. They are standard
and professional bureaucracy. Standard bureaucracy is based on efficient
performance of standardized routine work. Professional bureaucracy depends
upon efficient performance of standardized but complex work. Thus, it
requires a higher level of specialized skills. The structure of standard
bureaucracy is based on functions, large technical staff and many mid-level
managers. In contrast, professional bureaucracy has few mid-level managers.
22
Zahid Nazir
Roll No. 523655
Director
Seeds Agri-
Personnel Processing
Strengths
Weaknesses
******************
23
Zahid Nazir
Roll No. 523655
PRACTICAL STUDY
OF ORGANISATION
24
Zahid Nazir
Roll No. 523655
WATEEN TELECOM
COMPANY’S OVERVIEW
Wateen Telecom UK Ltd embarks on providing leading international voice retail
and wholesale communication services to its esteemed customers through its
ability to seamlessly connect and enable smarter, faster, cost-effective and
flexible solutions.
Wateen continues to build on the heritage of its parent company - The Abu
Dhabi Group. We believe in leadership through people. Our technology and
service-delivery strengths stems from our valued employees who have joined
Wateen from all over the world to earn customer trust and loyalty with a
continuing commitment to the deployment of innovative products and
services, reliable, high-quality service and excellent customer care.
*****************
25
Zahid Nazir
Roll No. 523655
MISSION STATEMENT
*****************
26
Zahid Nazir
Roll No. 523655
VISION
To introduce Wateen Telecom in the
European and North American markets
and provide the leading
telecommunications international voice
services through a world-class cutting-
edge network to deliver a broad range of
reliable, affordable and quality customer-
centric services.
*****************
27
Zahid Nazir
Roll No. 523655
CORPORATE VALUES
*****************
28
Zahid Nazir
Roll No. 523655
Wateen
Telecom
29
Zahid Nazir
Roll No. 523655
30
Zahid Nazir
Roll No. 523655
• Marketing Department
• Financial Department
CONCLUSION
At first glance, Wateen seems to employ two types of traditional designs in
its structure. One is Functional Structure that applies to its Administrative
Units in which departmentalization is based on the function of the
departments. The other is Divisional Structure which applies to its Business
Units where each division's teams are responsible for performance and have
strategic and operational authority while the top management acts as an
external overseer to coordinate and control the various divisions.
31
Zahid Nazir
Roll No. 523655
*****************
32