GMS 200 Lecture Notes - Lecture 11: Departmentalization

• School: Ryerson University
• Department: Global Management Studies
• Course: GMS 200
• Professor: Sui Sui

Document Summary

Organization: the process of arranging people and other resources to work together to accomplish a goal. Formal structures: the structure of the organization in its official state. Departmentalization: the process of making decisions on how to group work positions into formal teams that are linked together so they operate in a coordinated manner within the larger organization. People with similar skills and performing similar tasks are grouped together into formal work units. Group together people who work on the same product or process, serve similar customers, and/or are located in the same area or geographical region. More flexibility in responding to environmental changes. Expertise focused on specific customers, products, and regions. Combines functional and divisional structures to gain advantages and minimize disadvantages of each. Two-boss system is susceptible to power struggles. Extensively use permanent and temporary teams to solve problems, complete special projects, and accomplish day-today tasks. Cross-functional teams bring together members from different areas of work responsibility.