OS ch. 4
32 flashcards · Other · by Daniel F.
Differentiation
The process by which an organization allocates people and resources to organizational tasks and establishes the task and authority relationships that allow the organization to achieve its goals. (the process of establishing and controlling the division of labour)
Division of labour
The process of establishing and controlling the degree of specialization in the organization.
Organizational role
The set of task-related behaviours required of a person by his or her position in an organization.
Levels of differentiation
Organization -> Division -> Function -> Role
Function
A subunit composed of a group of people, working together, who possess similar skills or use the same kind of knowledge, tools, or techniques to perform their jobs.
Division
A subunit that consists of a collection of functions or departments that share responsibility for producing a particular good or service.
Production functions
Functions that manage and improve the efficiency of an organization’s conversion processes so more value is created. (production operations, production control, and quality control)
Maintenance functions
Functions that enable an organization to keep its departments in operation. ( personnel, to recruit and train employees and improve skills; engineering, to repair broken machinery; and janitorial services, to keep the work environment safe and healthy)
Adaptive functions
Functions that allow an organization to adjust to changes in the environment (research and development, market research, and long-range planning)
Managerial functions
Functions that facilitate the control and coordination of activities within and among departments.
Organizational design challenges (balance)
Differentiation ⇔ Integration Centralization ⇔ Decentralization Standardization ⇔ Mutual adjustment
Vertical differentiation
The way an organization designs its hierarchy of authority and creates reporting relationships to link organizational roles and subunits.
Hierarchy
A classification of people according to authority and rank
Horizontal differentiation
he way an organization groups organizational tasks into roles and roles into subunits (functions and divisions).
Subunit orientation
A tendency to view one’s role in the organization strictly from the perspective of the time frame, goals, and interpersonal orientations of one’s subunit.
Integration
The process of coordinating various tasks, functions and divisions so that they work together and not at cross purposes.
Integration Mechanisms
Centralized authority
Organizational setup in which the authority to make important decisions is retained by managers at the top of the hierarchy.
Decentralized authority
An organizational setup in which the authority to make important decisions about organizational resources and to initiate new projects is delegated to managers at all levels in the hierarchy.
Standardization
Conformity to specific models or examples – defined by sets of rules and norms – that are considered proper in a given situation.
Standardization
Conformity to specific models or examples – defined by sets of rules and norms – that are considered proper in a given situation.
Mutual adjustment
The compromise that emerges when decision making and coordination are evolutionary processes and people use their judgment rather then standardized rules to address a problem.
Formalization
Is the use of written rules and procedures to standardize operations.
Rules
Formal written statements that specify the appropriate means for reaching desired goals
Level of formalisation
Norms
Standards or styles of behaviour that are considered acceptable or typical for a group of people.
Socialization
Is the process by which organizational members learn the norms of an organization and internalize these unwritten rules of conduct.
Mechanistic structures
Structures that are designed to induce people to behave in predictable, accountable ways.
Organic structures
Structures that promote flexibility, so people initiate change and can adapt quickly to changing conditions.
Organic v Mechanistic structures
Contingency approach
A management approach in which the design of an organization’s structure is tailored to the sources of uncertainty facing an organization. ( in order to manage its environment effectively, an organization should design its structure to fit with the environment in which the organization operates.)
Design problems and contingency