4.Which of the organizational forms described in this chapter do you think leads to the highest levels of motivation among workers? Why?(Min words 150-200)




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1. Why do you think Apple’s functional structure has been so important for their products?(Min words 150-200)

2.What are the outside forces that might make Apple change their organizational structure in the future?(Min words 150-200)

3.How might Apple change their structure in a way that allows them to have the best of both worlds? (Min words 200)



Discussion question: Page: – Please read Chapter 15 Organizational Structure carefully and then give your answers on the basis of your understanding.

4.Which of the organizational forms described in this chapter do you think leads to the highest levels of motivation among workers? Why?(Min words 150-200)


Saudi Electronic University Wk 13 Apples Functional Structure Case Study Questions


Chapter 15 Organizational Structure ©McGraw-Hill Education. All rights reserved. Authorized only for instructor use in the classroom. No reproduction or further distribution permitted without the prior written consent of McGraw-Hill Education. Class Agenda Organizational structure defined Types and elements of structure Organizational design Common organizational forms ©McGraw-Hill Education. An Integrative Roadmap ©McGraw-Hill Education. Organizational Structure 1 of 2 Formally dictates how jobs and tasks are divided and coordinated between individuals and groups within the company An organizational chart is a drawing that represents every job in the organization and the formal reporting relationships between those jobs. • Such charts vary in five elements of structure shown in Table 15-1 on the next slide. ©McGraw-Hill Education. Table 15-1 Elements of Organizational Structure Organizational Structure Dimension Definition Work specialization The degree to which tasks in an organization are divided into separate jobs Chain of command Answers the question of “who reports to whom?” and signifies formal authority relationships Span of control Represents how many employees each manager in the organization has responsibility for Centralization Refers to where decisions are formally made in organizations Formalization The degree to which rules and procedures are used to standardize behaviors and decisions in an organization ©McGraw-Hill Education. OB on Screen The Imitation Game ©McGraw-Hill Education. Centralization Average Score: >20 Average Score: <8 ©McGraw-Hill Education. Jump to Appendix 1 long image description Formalization 1. New hires in this company go through a formal orientation program. 2. Formal files are kept on all employee job performances in this company. 3. All of the jobs in this company are summarized with a written job description. 4. There is a company handbook available to all employees here. 5. There are a lot of written policies and procedures in the company. Average Score: 18 ©McGraw-Hill Education. Organizational Structure 2 of 2 When considered in combination, the five dimensions of organizational structure create at least two types of firms: • Mechanistic organizations are efficient, rigid, predictable, and standardized organizations that thrive in stable environments. • Organic organizations are flexible, adaptive, outwardfocused organizations that thrive in dynamic environments. ©McGraw-Hill Education. Table 15-2 Characteristics of Mechanistic vs. Organic Structures Mechanistic Organizations Organic Organizations High degree of work specialization; employees are given a very narrow view of the tasks they are to perform. Low degree or work specialization; employees are encouraged to take a broad view of the tasks they are to perform. Very clear lines of authority; employees know exactly whom they report to. Although there might be a specified chain of command, employees think more broadly in terms of where their responsibilities lie. High levels of hierarchical control; employees are not encouraged to make decisions without their manager’s consent. Knowledge and expertise are decentralized; employees are encouraged to make their own decisions when appropriate. Information is passed through vertical communication between an employee and his or her supervisor. Lateral communication is encouraged, focusing on information and advice as opposed to orders. Employees are encouraged to develop firmspecific knowledge and expertise within their area of specialization. Employees are encouraged to develop knowledge and expertise outside of their specialization. Source: Adapted from T. Burns and G.M. Stalker, The Management of Innovation (London: Tavistock, 1961). ©McGraw-Hill Education. Organizational Design The process of creating, selecting, or changing the structure of an organization Depends on: • Business environment • Company strategy • Technology • Company size ©McGraw-Hill Education. Common Organizational Forms Simple structures Bureaucratic structures • Functional structures • Multi-divisional structures • Product structures • Geographic structures • Client-based structures • Matrix structures ©McGraw-Hill Education. Figure 15-3 An Organizational Structure for a Small Restaurant ©McGraw-Hill Education. Figure 15-4 Functional and Multi-Divisional Structures 1 of 2 ©McGraw-Hill Education. Jump to Appendix 2 long image description Figure 15-4 Functional and Multi-Divisional Structures 2 of 2 ©McGraw-Hill Education. Jump to Appendix 3 long image description Figure 15-5 Matrix Structure ©McGraw-Hill Education. Jump to Appendix 4 long image description How Important Is Structure? Changes to an organization’s structure can have negative effects on the employees who work for the company, at least in the short term. • The process of changing an organization’s structure is called restructuring. ©McGraw-Hill Education. Figure 15-7 Effects of Organizational Structure on Performance and Commitment Source: K.P. DeMeuse, M.L. Marks, and G. Dai, “Organizational Downsizing, Mergers and Acquisitions, and Strategic Alliances: Using Theory and Research to Enhance Practice,” in APA Handbook of Industrial and Organizational Psychology, Vol. 3, ed. S. Zedeck (Washington: APA, 2011), pp. 729–68; C. Gopinath and T.E. Becker, “Communication, Procedural Justice, and Employee Attitudes: Relationships under Conditions of Divestiture, ” Journal of Management 26 (2000), pp. 63–83; D. van Dierendonck and G. Jacobs, “Survivors and Victims, a meta-analytical review of fairness and organizational commitment after downsizing,” in British Journal of Management 23 (2012), pp. 96-109; and J. Brockner, G. Spreitzer, A. Mishra, W. Hockwarter, L. Pepper, and J. Weinberg, “Perceived Control as an Antidote to the Negative Effects of Layoffs on Survivors’ Organizational Commitment and Job Performance,” Administrative Science Quarterly 49 (2004), pp. 76–100. ©McGraw-Hill Education. Next Time Chapter 16: Organizational Culture ©McGraw-Hill Education. …
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