Magenement lecture 7.

Organizations and we individuals get orgniized for

They show hieracrcy
Look also the dlwo powerpoints.
Look for centralization delegation and decentralization
organizations
Maxing both effectivity and efficiency
Organizing
Resources what the company need to to achieve strategic goals
Of teamworking to achieve their goals
Lines authority
The rules formal strategy if something go wrong with you
Formal=formulized
Fixed on paper
So you know the boss
Informal the leadership on the work floor(
President
He is to expensive
To do acc. Payable because some1 elkse is cheaper
Company do the easy work of the emploeey
Cheap people to get the best people on every part
Reporting and coordination
With vice president
Vertical structuring
Bringing layers in hieracrical other words= transfer of relative
dheaper work to lower hierarchal levels

Vertical (functional structure) the president know what is happing in

supervisors,..
Cast factor how lower you go how cheaper it easy( in the
organizations_
Managerial factor (chain of command)
All the packets are connected for coordination and everything go to
vice president
Work specialized get effiency
Coordination they know whats wrong in company
Unity of command= they every empoloey have a boss
Scalar principle
The trap think about the pictre of president
Vice president production
Authority, the managers make decision about, issue orders and
allocate resources to achieve their goals
-about production + acceptance by sub
in practice he will delegate
Resonsibilityy
The vice president is responsibility for mantencen supervisor,
quality control etc
In practice
He will delegate ( mddile managers of every part )
Accountability
That the vice managers need to report and justfiyinh task outcomes
to those above them in the chain of command
He will report to president<<
Must be connect autohorty and responosibility
Line an dstaff authority
Primairy procces
Line is primary process
Hva =teaching

Staff is secundair proces

Hva;= cleaning
Restauarant
Staff autohirty is advice and expertise
Flatsture it is going horizontal from vertical.
So the president know everything
Limatations of the vertical functional structure?
Calcoening vertical communication from the organization
The vertical line of communication the normal way of the
oragazniation
Why?
There is always competitors , new products etc..
dynamics
1companies are more complexity,
2dynamic everonment
a lot of coordination
vertical structuring
need for horizontal structuring
to deal with compelixty you need horizontal structuring
when you want new products you need to use horizontal structing
first you need market coordianation
so becoming effective >
yes becaouse of horizontal structing
vertical fution structure
human . And .

Vertical functional
1 group
efficiency
divisional
product 1
product2
is 2 group
more effective
when vertical functional dont work
they try divisional
efficiency for the profitable so how you combinate it
when It become more dynamic<
3tabs have more efectivily and efficiency
how?
Its changing always with the time
The other structures.
Matrix structure
Team based tructure
Virtual network
Problem matrix organiationz
The different goals
He want more proiftalbilty />>> financing
Stratucting depends also
Read chapter before.
Cost leader chip the vertical fon
Efficenciy
Differentiation horizontal fuctional new products
Evornment dynamic horzontol
Stable is vertical
Complex horzintol
Simple vertical

Decentralizing is change from vertical /horizontal

1
2More differtations
mechanistic versus organic structure
mechanistic machine
organic structure
is not economic scale
chaos trap
ch 10