ch15 121001082852 Phpapp02

ORGANIZATIONAL BEHAVIOR
S T E P H E N P. R O B B I N S
WWW.PRENHALL.COM/ROBBINS
T
2003 Prentice Hall Inc. All rights reserved.
PowerPoint Presentation by Charlie Cook
OBJECTIVES
LEARNING
AFTER STUDYING THIS CHAPTER,

YOU SHOULD BE ABLE TO:
1. Identify the six key elements that define an
organizations structure.
2. Explain the characteristics of a bureaucracy.
3. Describe a matrix organization.
4. Explain the characteristics of a virtual
organization.
5. Summarize why managers want to create
boundaryless organizations.
2003 Prentice Hall Inc.
All rights reserved.
152
O B J E C T I V E S (contd)
LEARNING
AFTER STUDYING THIS CHAPTER,

YOU SHOULD BE ABLE TO:
6. Contrast mechanistic and organic structural
models.
7. List the factors that favor different
organizational structures.
8. Explain the behavioral implications of different
organizational designs.

153
What
What Is
Is Organizational
Organizational Structure?
Structure?
Key
KeyElements:
Elements:
Work
Workspecialization
specialization
Departmentalization
Departmentalization
Chain
Chainof
ofcommand
command
Span
Spanof
ofcontrol
control
Centralization
Centralizationand
and
decentralization
decentralization
Formalization
Formalization

154
What
What Is
Is Organizational
Structure? (contd)
(contd)
Division
Divisionof
oflabor:
labor:
Makes
Makesefficient
efficientuse
useof
of
employee
employeeskills
skills
Increases
Increasesemployee
employeeskills
skills
through
throughrepetition
repetition
Less
Lessbetween-job
between-job
downtime
downtimeincreases
increases
productivity
productivity
Specialized
Specializedtraining
trainingisis
more
moreefficient
efficient

Allows
Allowsuse
useof
ofspecialized
specialized
equipment
equipment
155
Key
KeyDesign
DesignQuestions
Questionsand
andAnswers
Answersfor
for Designing
Designingthe
the
Proper
ProperOrganization
OrganizationStructure
Structure

EXHIBIT
15-1
156
Economies
Economies and
and Diseconomies
Diseconomies of
of Work
Work
Specialization
Specialization

EXHIBIT
15-2
157
What
What Is
Is Organizational
Structure? (contd)
(contd)
Grouping
GroupingActivities
ActivitiesBy:
By:
Function
Function
Product
Product
Geography
Geography
Process
Process
Customer
Customer

158
What
What Is
Is Organizational
Structure? (contd)
(contd)

159
What
What Is
Is Organizational
Structure? (contd)
(contd)
Concept:
Concept:
Wider
Widerspans
spansof
of
management
managementincrease
increase
organizational
organizationalefficiency.
efficiency.

Narrow
NarrowSpan
SpanDrawbacks:
Drawbacks:
Expense
Expenseof
ofadditional
additional
layers
layersof
ofmanagement.
management.
Increased
Increasedcomplexity
complexityof
of
vertical
verticalcommunication.
communication.
Encouragement
Encouragementof
ofoverly
overly
tight
tightsupervision
supervisionand
and
discouragement
discouragementof
of
employee
autonomy.
employee autonomy.
15
10
Contrasting
Contrasting Spans
Spans of
of Control
Control

EXHIBIT
15-3
15
11
What
What Is
Is Organizational
Structure? (contd)
(contd)

15
12
Common
Common Organization
Organization Designs
Designs
AASimple
SimpleStructure:
Structure:
Jack
JackGolds
GoldsMens
MensStore
Store

EXHIBIT
15-4
15
13
Common
Common Organization
Designs (contd)
(contd)

15
14
The
The Bureaucracy
Bureaucracy
Strengths
Functional
economies of
scale
Minimum
duplication of
personnel and
equipment
Enhanced
communication
Centralized
decision making
Weaknesses
Subunit conflicts
with
organizational
goals
Obsessive concern
with rules and
regulations
Lack of employee
discretion to deal
with problems
15
15
Common
Common Organization
Designs (contd)
(contd)
Key
KeyElements:
Elements:
++Gains
Gainsadvantages
advantagesof
of
functional
functionaland
andproduct
product
departmentalization
departmentalizationwhile
while
avoiding
avoidingtheir
their
weaknesses.
weaknesses.
++Facilitates
Facilitatescoordination
coordinationof
of
complex
complexand
and
interdependent
interdependentactivities.
activities.
Breaks
Breaksdown
downunity-ofunity-ofcommand
commandconcept.
concept.

15
16
Matrix
MatrixStructure
Structure(College
(Collegeof
ofBusiness
BusinessAdministration)
Administration)
(Director)
(Dean)

Employee
EXHIBIT
15-5
15
17
New
New Design
Design Options
Options
Characteristics:
Characteristics:
Breaks
Breaksdown
down
departmental
departmentalbarriers.
barriers.
Decentralizes
Decentralizesdecision
decision
making
to
the
team
making to the teamlevel.
level.
Requires
Requiresemployees
employeesto
to
be
generalists
as
well
be generalists as wellas
as
specialists.
specialists.
Creates
Createsaaflexible
flexible
bureaucracy.
bureaucracy.

15
18
New
New Design
Design Options
Options (contd)
(contd)
Concepts:
Concepts:
Provides
Providesmaximum
maximum
flexibility
flexibilitywhile
while
concentrating
concentratingon
onwhat
what
the
theorganization
organizationdoes
does
best.
best.

Disadvantage
Disadvantageisisreduced
reduced
control
controlover
overkey
keyparts
partsof
of
the
thebusiness.
business.
15
19
AAVirtual
Virtual Organization
Organization

EXHIBIT
15
20
15-7
New
New Design
Design Options
Options (contd)
(contd)
T-form
T-formConcepts:
Concepts:
Eliminate
Eliminatevertical
vertical
(hierarchical)
(hierarchical)and
and
horizontal
horizontal(departmental)
(departmental)
internal
internalboundaries.
boundaries.
Breakdown
Breakdownexternal
external
barriers
barriersto
tocustomers
customersand
and
suppliers.
suppliers.

15
21
Why
Why Do
Do Structures
Structures Differ?
Differ?

15
22
Why
Why Do
Do Structures
Structures Differ?
Differ?

15
23
Mechanistic
Mechanistic Versus
Versus Organic
Organic Models
Models

EXHIBIT
15-8
15
24
Why
Why Do
Do Structures
Structures Differ?
Differ? Strategy
Strategy

15
25
The
The Strategy-Structure
Strategy-Structure Relationship
Relationship

EXHIBIT
15-9
15
26
Why
Why Do
Do Structures
Structures Differ?
Differ? Technology
Technology
Characteristics
Characteristicsof
ofroutineness
routineness(standardized
(standardizedor
or
customized)
customized)ininactivities:
activities:
Routine
Routinetechnologies
technologiesare
areassociated
associatedwith
withtall,
tall,
departmentalized
departmentalizedstructures
structuresand
andformalization
formalizationinin
organizations.
organizations.
Routine
Routinetechnologies
technologieslead
leadto
tocentralization
centralizationwhen
when
formalization
formalizationisislow.
low.
Nonroutine
Nonroutinetechnologies
technologiesare
areassociated
associatedwith
withdelegated
delegated
decision
authority.
decision
authority.
2003
Prentice
Hall Inc.
15
27
Why
Why Do
Do Structures
Structures Differ?
Differ? Environment
Environment
Key
KeyDimensions:
Dimensions:
Capacity:
Capacity:the
thedegree
degreeto
to
which
whichan
anenvironment
environment
can
cansupport
supportgrowth.
growth.
Volatility:
Volatility:the
thedegree
degreeof
of
instability
instabilityininthe
the
environment.
environment.

Complexity:
Complexity:the
thedegree
degree
of
ofheterogeneity
heterogeneityand
and
concentration
concentrationamong
among
environmental
environmental
elements.
elements.
15
28
The
The Three
Three Dimensional
Dimensional Model
Model of
of the
the
Environment
Environment
Volatility
Capacity
Complexity

EXHIBIT
15
29
15-10
Organizational
Organizational Designs
Designs and
and Employee
Employee
Behavior
Behavior
Research
ResearchFindings:
Findings:
Work
Workspecialization
specializationcontributes
contributesto
tohigher
higheremployee
employee
productivity,
productivity,but
butititreduces
reducesjob
jobsatisfaction.
satisfaction.
The
Thebenefits
benefitsof
ofspecialization
specializationhave
havedecreased
decreasedrapidly
rapidlyas
as
employees
employeesseek
seekmore
moreintrinsically
intrinsicallyrewarding
rewardingjobs.
jobs.
The
Theeffect
effectof
ofspan
spanof
ofcontrol
controlon
onemployee
employeeperformance
performanceisis
contingent
contingentupon
uponindividual
individualdifferences
differencesand
andabilities,
abilities,task
task
structures,
structures,and
andother
otherorganizational
organizationalfactors.
factors.
Participative
Participativedecision
decisionmaking
makinginindecentralized
decentralized
organizations
organizationsisispositively
positivelyrelated
relatedto
tojob
jobsatisfaction.
satisfaction.

15
30
Organization
Organization Structure:
Structure: Its
Its Determinants
Determinants and
and
Outcomes
Outcomes

EXHIBIT
15
31
15-11

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ORGANIZATIONAL BEHAVIOR

2003 Prentice Hall Inc. All rights reserved.

PowerPoint Presentation by Charlie Cook

AFTER STUDYING THIS CHAPTER,

AFTER STUDYING THIS CHAPTER,

2003 Prentice Hall Inc.

2003 Prentice Hall Inc.

2003 Prentice Hall Inc.

2003 Prentice Hall Inc.

2003 Prentice Hall Inc.

2003 Prentice Hall Inc.

2003 Prentice Hall Inc.

2003 Prentice Hall Inc.

2003 Prentice Hall Inc.

2003 Prentice Hall Inc.

2003 Prentice Hall Inc.

2003 Prentice Hall Inc.

2003 Prentice Hall Inc.

2003 Prentice Hall Inc.

2003 Prentice Hall Inc.

2003 Prentice Hall Inc.

2003 Prentice Hall Inc.

2003 Prentice Hall Inc.

2003 Prentice Hall Inc.

2003 Prentice Hall Inc.

2003 Prentice Hall Inc.

2003 Prentice Hall Inc.

2003 Prentice Hall Inc.

All rights reserved.

2003 Prentice Hall Inc.

2003 Prentice Hall Inc.

2003 Prentice Hall Inc.

2003 Prentice Hall Inc.

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