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Organizational Structure. How organizations rationalize their resources. Structure Offers Clues About. Where formal power resides How tasks are coordinated How the actions of members are controlled How decision-making authority is assigned How strategy and decisions are enacted.

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organizational structure

Organizational Structure

How organizations rationalize their resources

structure offers clues about
Structure Offers Clues About
  • Where formal power resides
  • How tasks are coordinated
  • How the actions of members are controlled
  • How decision-making authority is assigned
  • How strategy and decisions are enacted
organizational structure3
Organizational Structure

What is the role of structure?

  • Provides a roadmap for workflow
  • Creates or restrains interactions
  • Influences attitudes and social relations
  • Influences how work is completed
organizational structure4
Organizational Structure

What is the appropriate way to divide and coordinate work and work related processes?

  • Differentiation – Influences how well organizations collaborate (Horizontal, Vertical, Personal, Spatial)
  • Integration – Determines how Organizations coordinate their work (Mutual Adjustment, Direct supervision, Standardization)
organizational structure5
Organizational Structure

Mechanistic Structures

  • Bureaucracy
  • Clearly defined roles
  • Senior people have more knowledge of issues and problems
  • Standardized policies and procedures govern organizational decision-making
  • Rewards are determined by adherence to instruction from supervisors
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Organizational Structure

Organic structures

  • Flexibly designed to cope with change
  • Less focus on formal roles and specialization
  • Not assumed that people in higher positions are better informed than those in lower positions
  • Horizontal relationships are equal to or more important than vertical relationships
  • Formal structure is fluid and changeable
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Organizational Structure

Dimensions of Structure exist on a continuum

  • Centralization
  • Formalization
  • Complexity
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Organizational Structure

Determinants of structure

  • Size
  • Complexity
  • Strategy
  • External considerations
  • Managerial experience and skill