Organizatio Business

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Organization Theory

Boundariless

Removes all traditional barriers

Lazze fair

No clear authority

Difficult to manage

quicker when solving problems

Freedom and creativity

flexible rules

Network structure

Outsource to contractors, which is a key responsibility

needs excessive policies and procedures

Contractor may lack loyalty to the business

Extra administration needed

opportunities to develop

Saves money and is more specialized

teamwork, which leads to innovative ideas.

Team structure

Organize into independent teams

lack of coordination in the business

Not as well organized and can lead to inefficiencies

lack of job specifications

flexibility

Improves teamwork and generates ideas/creativity

simplicity

Matrix structure

Organize into cross functional teams (2 bosses)

Double deadlines which leads to stress

Double workload

employees are loyal to their department

Improve communication through the company

Clarity of Reporting Structure, this is because, every group of employees have a clear boss.

Divisional structure

Organized into departments by customer, product, geographic process

Example: Rogers - personal customers and business customers

Duplication (more employees) of roles in departments

Leads to potentially better service more focused on service/efficient production

Functional structure

Organized by key business skills

Communication issues with other departments

Clear lines of authority specialized

Modern Working Arrangements

Job Sharing

When two employees cooperatively share the same job. Involves two people who each work part time to fill one full-time position.

Different ways that each employee has of doing things can lead to conflict

Cost of benefits might rise

May be asked to pay for a cross-over day which increases employment costs

Learning new ways of working together

Easier coverage for missing work because of things like family matters, being ill and scheduled vacations or days off

Easier workload, less stress and more work satisfaction which can lead to:

Effective coworker relationships

Positive customer service

Increased motivation

Flextime

Flexible system where employees get alter their work hours with certain limits, giving them the opportunity to choose their start and finish times

May lose sense of family

May complicate daily operations

Employees can abuse the policy

Can be confusing and time consuming

Schedule employee hours to fit peak demand times of company

Increased feeling of personal control

Attracts more qualified employees

Increases productivity

Condensed Working Week

Employee is working a full time job (35-40 hours), but they do not have to work every single day of the week, as they just need to fill in all of their hours. The employee has the opportunity of getting one or two days off.

Employees could be working unauthorized overtime

Physically and mentally draining

Less leisure time

Can cause understaffing during some periods

Higher fatigue

Enhances company image as a family-friendly place to work

Reduced commuting time and gas expenses

Increased productivity from having uninterrupted and focused time at your workplace

You can have a full day off during each workweek while still making full time income

Telecommuting

Work arrangement in which the employee works outside the office, instead working from home or a place close to home and making use of the internet, telephone, and email.

Extremely self motivated

Working from home can isolate the employee, as they are not around coworkers

Have to find a productive place to work (this can be difficult for some)

Can make for a more productive employee, as they do not have the distraction of a typical office space

Gives employee more flexibility to balance work and personal obligations

More freedom regarding employees work location and work hours

Job Enlargement

Increasing the scope of a job through extending the range of its job responsibilities and duties generally within the same level

Lack of expertise

Can worsen job performance

Heavy workload

Improves and remains motivation

Learn new skills

Job Enrichment

Motivational technique used by organizations to give an employee greater satisfaction in his work by assigning them additional responsibilities previously reserved for their manager or other higher-ranking positions

Non-participant conflicts

Increase in workload

Poor performance

Employees can learn more vertical skills that equip them for a higher level position

Company can operate more efficiently

Employees are motivated to produce top work

Job Rotation

Management approach where employees are shifted between two or more jobs or assignments in order to expose them to and teach them all aspects of an organization

Possibility of ending up with disgruntled employees

Can be time consuming

Can be costly

Can create anxiety and stress among workers

Reduces boredom

Encourages development

Helps identify where employees work best

Job Simplification

Job design technique where jobs are broken up into relatively easy tasks. This work arrangement intends to achieve greater productivity through decreased application of physical and mental effort

Cons

Greater chance for accompanying issues of elevated error rates and absents

Greater potential for boredom among workers

Lower staff job satisfaction

Pros

Staff can be easier to replace

Staff can be less difficult to supervise

Quick process of training staff

Relatively easy

Mechanistic vs. Organic Organizations

Organic Organizations

Boundaryless

Network

Informal

Many

Flexible - less specialized

Flat

Span of Control

Few managers - wide

Rules and Procedures

Few rules

Mechanic Organization

Organizational Structures

Divisional -> matrix

Functional

Formal/Informal

Formal

Authority (Centralized or Decentralized)

Team

Few

Specialized

High Degree

Tall/Flat

Tall

Lots of managers - narrow

Rules and procedures

Lack of rule

Mechanistic and organic organizations represent two contrasting organizational structures. Mechanistic structures are characterized by a tall hierarchy, centralized authority, a narrow span of control, and many levels of authority, where top managers make most decisions.