REVIEW CHAPTER 8 :

~ ORGANIZATION AND STRUCTURE ~

A. FUNDAMENTALS OF ORGANIZING

• Differentiation : An aspect of the organization's interal environment ereated by job specialization and the devision of labor. Division of labor means the work of the organizations subdivided into smaller tasks. Specialization refers to the fact that different people or group often perform specific parts of the larger task.
• Integration : Achieved through structural mechanism that enchance collaboration and coordination. The degree to which differentiated work units work together and coordinate their efforts.

B. THE VERTICAL STRUCTURE

• Authority in Organization : Is the legitimate  right to make decisions and tell other people what to do.
• Hierarchical levels : The authority levels of the organizational pyramid.
• Span of Control : The number of subordinates who report directly to an excutive or supervisor
• Delegation : The assignment of new or  additional resposibilities  to a subordinates.
• Decentralization : An Organization in which lower level managers make important decicions.

C. THE HORIZONTAL STRUCTURE

• The Functional Organization : Departmentalization around speacialized activities such as production, marketing, human resouces.
• The Divisional Organization : Departmentalization that groups  unit around product, customer, or geographic regions.
• The Matrix Organization : An organization composed of duel reporting relationship in which some employees report to wo supervisor a functional manager and a divisional manager.
• The Network Organization : A collectionof independent, mostly single function firms that  collaborate on a good or service.

D. ORGANIZATIONAL INTEGRATION

• Coordination by Standardization : Establishing common routines and procedures that apply niformly to everyone.
• Coordination by Plan : Interdependent units are required to meet deadlines and objectives that contribute to a coomon goal.
• Coordination by Mutual Adjustment: Unit interact with one another  to make a accomodations to achieve flexible coordination.
• Coordination and Communication : Huge amounts of organizations flow  from the external environment to the organization and back to the environment.