BUSI 3103 Chapter Notes - Chapter 3: Information System, Railways Act 1921, Outsourcing
5 Feb 2018
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Document Summary
Organization structure designates formal reporting relationships, including the number of levels in the hierarchy and the span of control of managers and supervisors. Organizational structure identifies the grouping together of individuals into departments and of departments into the total organization. Organizational structure includes the design of systems to ensure effective communication, coordination, and integration of efforts across departments. Centralized: decision-making structure where problems and decisions are funneled to top levels of the hierarchy for resolution. Decentralized: decision-making structure where authority is pushed down to lower organizational levels. (companies vary on degrees of centralization) Vertical linkages: used to coordinate activities between the top and bottom of an organization, and are designed primarily for control of the organization. If a problem arises that employees don"t know how to solve, it can be referred up to the next level in the hierarchy. When the problem is solved, the answer is passed back down through the levels.
