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CHAPTER 8
ORGANISATION STRUCTURE
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LECTURE OUTLINE
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Nature of organisation structure
•
Job design
•
Types of departmentalisation
•
Methods of vertical coordination
•
Promoting innovation
(methods of horizontal coordination)
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NATURE OF
ORGANISATION STRUCTURE
Formal pattern of interactions and coordination
designed by management to link the tasks of individuals and groups in achieving
organisational goals.
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NATURE OF
ORGANISATION STRUCTURE
Four elements:
1.
Assignment of tasks and responsibilities to
individuals and units
2.
Clustering these to form a hierarchy
3.
Mechanisms for vertical coordination
4.
Mechanisms for horizontal coordination
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NATURE OF
ORGANISATION STRUCTURE
The organisation chart
–
Line diagram depicting broad outlines of an
organisation’s structure
The
chain of command
–
Unbroken
line of command ultimately linking each individual with the top organisational
position
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NATURE OF
ORGANISATION STRUCTURE
Principles of chart design
–
As few hierarchical levels as possible
–
Charts should show who has authority over who
–
Charts should show official lines of responsibility
& communication
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NATURE OF
ORGANISATION STRUCTURE
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JOB DESIGN
Work
Specialisation
•
Degree
to which work is broken down into various jobs
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Most
organisations require work specialisation, otherwise every employee would need
to be able to perform every job
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JOB DESIGN
Specification of task activities associated with a
particular job
•
logical
grouping of tasks
•
design
of jobs affects employee motivation
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JOB DESIGN
Four
main approaches:
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Job
simplification
•
Job
rotation
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Job
enlargement
•
Job
enrichment
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JOB DESIGN
Job
simplification
Process
of configuring jobs so job-holders have only a small number of narrow
activities to perform.
•
JOB DESIGN
Job
rotation
Practice
of periodically shifting workers through a set of jobs in a planned sequence.
•
JOB DESIGN
Job
enlargement
Allocation
of a wider variety of similar tasks to a job to make it more challenging.
Job
Scope
Number
of different tasks an employee performs in a particular job.
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JOB DESIGN
