BUS 272 Chapter Notes - Chapter 13: Mental Model, Decision-Making
3 Dec 2014
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Organizational structure is the division of labor as well as the patterns of coordination, communication, workflow and formal power that direct organizational activities . It dictates what activities receive the most attention. Separate jobs into different jobs assigned to different people. Necessary as companies grow and work becomes more complex. Coordination is closely connected to division of labor. Organizations should just divide work amongst people if they are able to effectively coordinate. Assigning legitimate power to individuals who then control the process. Number of people directly reporting to the next level. Wide span of control possible when: routine tasks, low interdependence. But increases workload stress and cut managers, which they need to coordinate, make decisions a resolve conflict. Formally decision making authority is held by a few people usually at the top of the hierarchy, Decision making authority is dispersed throughout the organization. The degree to which organizations standardized behavior through rules, procedures, formal training and related mechanisms.
