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MGMT 3202 Week 8 Notes

by: Kiera Howard

MGMT 3202 Week 8 Notes MGMT 3202

Marketplace > East Carolina University > Business > MGMT 3202 > MGMT 3202 Week 8 Notes
Kiera Howard
GPA 3.95

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About this Document

Chapters 7 & 11
Fundamentals of Management
Tiffany Woodward
Class Notes
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This 3 page Class Notes was uploaded by Kiera Howard on Friday March 4, 2016. The Class Notes belongs to MGMT 3202 at East Carolina University taught by Tiffany Woodward in Spring 2016. Since its upload, it has received 13 views. For similar materials see Fundamentals of Management in Business at East Carolina University.


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Date Created: 03/04/16
2/29-1/4 Chapter 7 In addition to the PowerPoint she posted on blackboard The Nature of Organizational Structure • Formal Structure: slow decision-making and change, managers will maintain more control • Flexible Structure: employees are empowered, decision-making and change occur more rapidly Organizational Environment • Stable environment=formal structure • Unstable environment=flexible structure Strategy • Single industry concentration and low-cost strategy=formal structure • Multi-industry, international, and differentiation strategies=flexible structure Technology • Routine technology=formal structure • Complex technology=flexible structure Human Resources • Unskilled workers-formal structure • Skilled workers=flexible structure Job Simplification • Makes job easier and more routine to perform • Typically used in formal structure Job Enlargement • Increases the complexity of a job • Typically used in flexible structures Skill Variety • Low: a worker in a body shop only paints cars that come in for repair • High: the body shop owner interacts with customers, schedules appointments, appraises damagers, and estimates costs. They also participate in working on the cars that come in for repair Task identity • Low: a worker on an assemble line installs the left side door on a car • High: a craftsperson designs a piece of furniture, cuts the necessary parts, assembles the furniture, finishes it, and sells the piece to a customer. Task Significance • Low: a factory worker assembles a “fad” toy during the holiday season • High: a factory worker assembles a CT scan machine, which will be used to diagnose serious illness Autonomy • Low: a call center employee reads a script as he/she interacts with customers • High: a salesperson sets his/her own schedule, decides which customers to prioritize, and customize his/her presentation according to the client’s needs Feedback • Low: an employee assembles a radio and sends it to another area for testing • High: a waitress receives a thank you note and a large tip after serving a table during the evening rush Functional Structure • Finance, merchandising, research and development, marketing, accounting, human resources, sales, etc. • Varies between industries and organizations • Benefits 1. Employees learn from others in their department 2. Easy for managers to monitor and evaluate performance 3. Increased efficiency • As organizations grow, relying only on functional structure is difficult because departments become large and difficult to manage Divisional Structure • Many large organizations create a divisional structure and create business divisions/units • Divisions are self-contained, which means each division has its own set of functions necessary to produce goods/provide services Product Structure • Organizations that pursue a diversification strategy often use a product structure • Managers can oversee which units are more/less productive • Easier to make decisions regarding investing/divesting Geographic Structure • Organizations that pursue international expansion often use a geographic structure • Organizations that do NOT pursue international strategies can also use a geographic structure. Conditions can vary significantly by region within the U.S. Market Structure • Organizations that serve diverse customer groups often use a market structure Matrix Structure • Combination of functional and divisional structures • Encourages coordination and information sharing, but means that employees report to two managers Product Team Structure • Decreases barriers between all departments and improves cooperation and collaboration Coordinating Functions and Divisions • At the functional and divisional level, groups of people develop different views regarding achieving goals or dealing with problems in the organization Hierarchy of Authority • Small span of control = fewer employees to oversee; increases supervision • Large span of control = more employees to oversee; reduces supervision Tall Organizations • Disadvantages 1. Slow decision-making and implementation 2. Communication becomes distorted 3. More expensive, especially as more managers are hired Chapter 11 Groups & Teams • Groups tend to be more long-term and teams more short-term How Groups Enhance Performance • Challenges: individualist orientation, free riding, and general dysfunction


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