fhf organizational culture a firm’s shared values, beliefs, traditions, philosophies, rules and...
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Organizational CultureOrganizational CultureOrganizational CultureOrganizational Culture
A firm’s shared values, beliefs, traditions, philosophies, rules and role models for behavior (aka corporate culture)Ensures that organizational members:Share valuesObserve common rulesShare problem solving approaches
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Organizational CultureOrganizational CultureOrganizational CultureOrganizational Culture
Formal expressionMission statementCode of ethicsManualsCeremoniesMemoranda
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Organizational CultureOrganizational CultureOrganizational CultureOrganizational Culture
Informal Expression
•Dress code (or lack of one)
•Work habits
•Extracurricular activities
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Organizational CultureOrganizational CultureOrganizational CultureOrganizational Culture
Helps ensure that all members of a company share values
Suggests rules for how to behave and deal with problems
Has a significant impact on performance and employee retention
Sets a positive tone for decision making and building efficient organizational structure
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Organizational StructureOrganizational StructureOrganizational StructureOrganizational Structure
Is the arrangement or relationship of positions within an organizationStructure develops as:
• Managers assign work tasks to individuals and groups
• Coordination of diverse activities to attain objectives
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Organizational ChartsOrganizational ChartsOrganizational ChartsOrganizational Charts
Visual displays of the organizational structure, lines of authority, staff relationships, permanent committee arrangements and lines of communication
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Organizational Chart
The Evolution of a Clothing StorePhases 1, 2, and 3
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Assigning TasksAssigning TasksAssigning TasksAssigning Tasks
Specialization Managers divide the labor into small, specific tasks and assign employees individual tasks to accomplish
Why specialize? Efficiency
Ease of training
Activities too numerous for one person
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Risks of OverspecializationRisks of OverspecializationRisks of OverspecializationRisks of Overspecialization
Employees become bored Job dissatisfaction Poor quality work Increased injuries Increased employee turnover
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DepartmentalizationDepartmentalizationDepartmentalizationDepartmentalization
Grouping of jobs into working units (departments, units, groups, divisions)Functional departmentalization
Product departmentalization
Geographical departmentalization
Customer departmentalization
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Functional DepartmentalizationFunctional Departmentalization
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Product DepartmentalizationProduct Departmentalization
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Geographical DepartmentalizationGeographical Departmentalization
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Customer DepartmentalizationCustomer Departmentalization
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Delegation of AuthorityDelegation of AuthorityDelegation of AuthorityDelegation of Authority
Giving employees tasks and empowering them to make commitments, use resources and take action to carry out tasks
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ResponsibilityResponsibilityResponsibilityResponsibility
Obligation placed on employees to perform assigned tasks and be held accountable for proper execution
Accountability• Employees who accept an assignment and the
responsibility to complete it are answerable to a superior for work outcomes
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Degree of CentralizationDegree of CentralizationDegree of CentralizationDegree of Centralization
Centralized Organizations Authority is concentrated at the top level
Very little delegation to lower levels
Decentralized Organizations Decision making authority is delegated as far
down the chain of command as possible
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Span of ManagementSpan of ManagementSpan of ManagementSpan of Management
The number of subordinates who report to a particular managerA wide span of management exists when a manager directly supervises a very large number of employees
A narrow span of management exists when a manager directly supervises only a few subordinates
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Forms of Organizational Forms of Organizational StructureStructure
Forms of Organizational Forms of Organizational StructureStructure
Line Structure Line-and-staff structure Multidivisional structure Matrix structure
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Line StructureLine StructureLine StructureLine Structure
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Line-and-Staff StructureLine-and-Staff StructureLine-and-Staff StructureLine-and-Staff Structure
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Multidivisional StructureMultidivisional StructureMultidivisional StructureMultidivisional Structure
Organizes departments into larger groups called divisions
Occurs as organizations grow larger and more diversified
Divisions can be formed on the same bases as departments
• Customer
• Product
• Geography
Delegation of authority and divisionalized work
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Matrix StructureMatrix StructureMatrix StructureMatrix Structure
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Organizational Organizational CommunicationsCommunicationsOrganizational Organizational
CommunicationsCommunications
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Technology and Technology and CommunicationCommunicationTechnology and Technology and CommunicationCommunication
Technology has generated many alternatives to face-to-face communicationVoice mail
Online newsletters
Videoconferencing
Online meeting services
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Formal CommunicationFormal CommunicationFormal CommunicationFormal Communication
Flow of communication within the
formal organizational structure as depicted on organizational charts.Upward communication
Downward communication
Horizontal communication
Diagonal communication
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Informal CommunicationInformal CommunicationInformal CommunicationInformal Communication
Separate from management’s formal, official communication channelsAlso known as the Grapevine
Managers can utilize informal communications as a sounding device
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