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Chapter 07 - Designing Organizational Structure

Chapter 07
Designing Organizational Structure
CHAPTER CONTENTS
Learning Objectives
Key Definitions/Terms
Chapter Overview
Lecture Outline
Management in Action
Building Management Skills
Small Group Breakout Exercise
Be the Manager
Case in the News

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Chapter 07 - Designing Organizational Structure

LEARNING OBJECTIVES

LO 7-1. Identify the factors that influence managers’ choice of an organizational structure.

LO 7-2. Explain how managers group tasks into jobs that are motivating and satisfying for employees.

LO 7-3. Describe the types of organizational structures managers can design, and explain why they choose one structure over another.

LO 7-4. Explain why managers must coordinate jobs, functions, and divisions using the hierarchy of authority and integrating mechanisms. KEY DEFINITIONS/TERMS authority: The power to hold people accountable for their actions and to make decisions concerning the use of organizational resources. boundaryless organization: an organization whose members are linked by computers, faxes, computer-aided design systems, and video teleconferencing and who rarely, if ever, see one another face-to-face. business-to-business (B2B) network: a group of organizations that join together and use IT to link themselves to potential global suppliers to increase efficiency and effectiveness. cross-functional team: A group of managers brought together from different departments to perform organizational tasks. decentralizing authority: Giving lower-level managers and nonmanagerial employees the right to make important decisions about how to use organizational resources.

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divisional structure: An organizational structure composed of separate business units within which are the functions that work together to produce a specific product for a...

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