6 KEY ELEMENT IN ORGANIZATIONAL DESIGN

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6 KEY ELEMENT IN ORGANIZATIONAL DESIGN by Mind Map: 6 KEY ELEMENT IN ORGANIZATIONAL DESIGN

1. WORK SPECIALIZATION

1.1. The degree which tasks in an organization are divided into separate jobs

2. DEPARTMENTALIZATION

2.1. Basis by which jobs are grouped together

2.1.1. 1 FUNCTIONAL DEPARTMENTALIZATION

2.1.1.1. Used in all kind of organizations; it depends on the goals each of them wants to achieve

2.1.2. 2 PRODUCT

2.1.2.1. Groups job by product line

2.1.3. 3 CUSTOMER

2.1.3.1. Groups job on the basis of common customer

2.1.4. 4 GEOGRAPHICAL

2.1.4.1. Groups job on the basis of territory or geography

2.1.5. 5 PROCESS

2.1.5.1. Groups on the basis of product or customer flow

3. CHAIN OF COMMAND

3.1. Continuous line of authority that extends from upper organizational level to the lowest levels & clarities who report to whom

3.1.1. 1 AUTHORITY

3.1.1.1. Inherent in a managerial position to tell people what to do & to expect them to do it

3.1.2. 2 RESPONSIBILITY

3.1.2.1. The obligation to perform any assign duties

3.1.3. 3 UNITY OF COMMAND

3.1.3.1. Management principle that each person should report to only one manager

4. CENTRALIZATION & DECENTRALIZATION

4.1. CENTRALIZATION

4.1.1. Degree to which decision making takes place at upper level of the organization

4.2. DECENTRALIZATION

4.2.1. Degree to which low level manager provide input or actually make decision

5. FORMALIZATION

5.1. The degree to which jobs within the organization are standardized

5.1.1. HIGH LEVEL

5.1.1.1. 1 Minimum amount discretion over what, when & how

5.1.1.2. 2 Consistent output

5.1.1.3. 3 Explicit job description

5.1.1.4. 4 Organizational rules

5.1.1.5. 5 Clearly define procedures

5.1.2. LOW LEVEL

5.1.2.1. 1 Unprogramed behaviour

5.1.2.2. 2 Exercise discreetion

5.1.2.3. 3 Great deal of freedom

5.1.2.4. 4 Less standardization

5.1.2.5. 5 Consider alternatives

6. SPAN OF CONTROL

6.1. Large degree because it determines the number of levels & managers an organization has.

6.2. Determine number of employees a manager can efficiently & effectively manages

7. TASK WEEK 6 EMM5608 GROUP 1