MANAGEMENT 211 CHAPTER 10 SSEGMENT 2

                                                  CHAPTER 10                                     

              ORGANIZATION STRUCTURE AND DESIGN                 

Organizational structure:

The formal arrangement of job with in an organization

Organizational design:

Developing or changing the structure of organization

Purpose of organizing

• Divide the work into specific jobs and departments. ( work k bhabg kora daya uchit job ar maddhoma and department gulu ta)
• Assigning task and responsibilities associated with individual jobs.
• Cluster jobs into unit ( job gula k akta unit ar aota bhukto korta hoba)
• Establishing relationship among group, individual etc
• Coordinate diverse organization task.
• Allocate organizations resources
• Establishing formal authority line

WORK SPECIALIZATION:

The task of an organization divvied into jobs; also known as division of labor (  kaj bhag kora daya). Some times because of jobs specialization boring, fatigue, stress, poor quality, and higher turnover took place. Coz onak somoy ak kaj korta korta manush physic hoya jay.

Departmentalization;

The basis jobs are grouped toghter. There are 5 types of departmentalization.

1. Functional departmentalization: groups jobs by functioned perform. Advantages: coordination with in functional areas, in depth specialization, people within common skill and knowledge. Disadvantages: poor communication across functional areas, limited view of organization.
2. Geographical departmentalization: groups jobs on the basis of territory or geography. Advantages: more effective and efficient handling of specific regional ( mana USA , sell director usa ta valo sale korta parba but BD ta na abar BD ar sale director ar khatrao same ) , serves the unique geography market better. Disadvantages: duplication of function, can feel isolated from other organizational area.
3. Product departmentalization: groups jobs by product line. Advantage: manager can become expert in the industry, closer to customer. Disadvantage: duplication of function, limited view of organization.
4. Process departmentalization: groups jobs by on the basis of product or customer flow.  Advantages: more efficient flow in work activities. Disadvantages: can only be used in certain types of product.
5. Customer departmentalization: groups jobs by on the basis of common customer. Advantages: customer need and problems can be meeting by specialist. Disadvantage: duplication of work, limited view of organization.

Chain of command: the continuous line of authority that starts from upper level to lower level and clarify that who will report to whom.

Authority: the rights inherent in the managerial position to tell people what to do and to expect them to do it.

Responsibility: the expectation to perform any assigned task.

Unity of command: refers that each person should only report to one manager.

Span of control: the number of employee a manager can control efficiently and effectively ( jamon akta organization a akta manger aksatha 4 jon kormi control korta para abr onno organization a akta manager aksatha 10 ta kormi manage korta para) . it also represent the skill of a manager.

Centralization: all the decision of an organization taken by the top management of an organization.

Decentralization: lower employee can take part in decision making.

Formalization:

Refers that jobs are standardized and extend the behavior of employees controlled by rules and regulation of the organization. ( mana job k akta standard rup daya hoi ar organization employee dr rules and regulation a rakha hoy ) .

Mechanistic organization: organization structure is rigid and tightly controlled.

Organic organization: Organization structures are highly adaptive and flexible.

Strategy and structure:

1. Innovation: reflects the organization pursuit of meaningful and unique innovation.
2. Cost minimizing: reflects organization tightly control the cost.
3. imitation : reflect organization minimize the cost and maximize the profit by coping the market leader ( jamon reds eye akdm dell k copy kora pc banay at ta sale kora ata kora red eye ar research cost kom hoy but profit basi hoy )

Technology and structure:

 Every organization should have at least one technology to convert its input into output.

1. Unit production: production of items in unit or batches.
2. Mass production: production of items in large batches.
3. Process production: continuous process production.

Organizational structures are divides into 2 parts.

1. traditional structure
2. contemporary structure

Traditional organization design:

1. Simple structure: an organizational design with low departmentalization, wide span of control, centralized authority and little formalization. Advantages:  fast, flexible, inexpensive to maintain. Disadvantages: not appropriate when organization grow.

2. Functional structure: an organizational design that groups similar or related occupational specialist toghter. Advantages: cost saving advantages from specialization. Disadvantages: functional unit have little knowledge what other is doing.

3. Divisional structure: an organizational design that made up of separate, semi autonomous unit or division. Advantages: focus on their result. Disadvantages: duplication of activities.

Contemporary organizational structure (present organization structure)

1. Team structure: a structure in which entire organization is made up of work group. Advantages: employees are more involved and empowered. Disadvantages: no clear chain of command.
2. Matrix project structure: an organizational structure assign specialist from different division to work on one or more project. Advantages: faster decision making. Disadvantages : tasks and personality conflict
3. Boundary less structure: a structure that is not defines by or limited to horizontal, vertical or external boundaries. It includes network modular and virtual organization. Advantages: highly flexible and responsive. Disadvantages: lack of control.
• Virtual organization: an organization that has small number of full employee and they temporarily hires outside employees to work. Such as consultant
• Network organization: a small core organization that outsource major business. Such as Freelancing.
• Modular organization: a manufacturing organization that use outside suppliers to provide products. Component and module that are then assembled into final products. Such as radhuni food products.

4. Learning organization: structure that supports and organizations capacity to continuously adapt and change.