Organizational StructureHow 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

Organizational StructureWhat 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 StructureWhat 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 StructureMechanistic 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

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

Organizational StructureDimensions of Structure exist on a continuum Centralization Formalization Complexity

Organizational Structure Determinants of structure Size Complexity Strategy External considerations Managerial experience and skill