© Prentice Hall, 2007Excellence in Business, 3eChapter 8 - 1 We’re All in This Together:...

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 1

We’re All in This We’re All in This Together: Organization Together: Organization

and Teamworkand Teamwork

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 2

Effective Organization Effective Organization StructureStructure

• Divide responsibilities

• Distribute authority

• Coordinate and control work

• Promote accountability

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 3

Organization ChartOrganization Chart

• Formal organization

• Informal organization

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 4

Identifying Identifying Job ResponsibilitiesJob Responsibilities

• Work specialization

– Advantages

• Efficiency

• Productivity

– Disadvantages

• Boredom

• Alienation

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 5

Chain of CommandChain of Command

• Responsibility

• Accountability

• Authority

• Delegation

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 6

Simplified Line-and-Staff Simplified Line-and-Staff StructureStructure

• Chain of command

– Line organization

– Line-and-staff organization

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 7

Span of ManagementSpan of Management

• Flat organizations

• Tall organizations

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 8

Decision-Making Decision-Making AuthorityAuthority

• Centralized

– Top-level management

• Decentralized

– Lower-level management

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 9

Organizing the Organizing the WorkforceWorkforce

• Departmentalization

– Function

– Division

– Network

– Matrix

– Hybrid

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 10

Functional StructuresFunctional Structures

• Skills

• Resource use

• Expertise

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 11

Departmentalization Departmentalization by Functionby Function

DisadvantagesDisadvantages

•Departmental BarriersDepartmental Barriers

•Slow Response TimeSlow Response Time

•Ineffective PlanningIneffective Planning

•OverspecializationOverspecialization

AdvantagesAdvantages

•Resource AllocationResource Allocation

•Unified DirectionUnified Direction

•Improved CoordinationImproved Coordination

•Better CommunicationBetter Communication

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 12

Divisional StructuresDivisional Structures

• Products

• Processes

• Geography

• Customers

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 13

DepartmentalizationDepartmentalizationby Divisionsby Divisions

AdvantagesAdvantages DisadvantagesDisadvantages

FlexibilityFlexibility

Better ServiceBetter Service

Management FocusManagement Focus

Wasting ResourcesWasting Resources

Poor CoordinationPoor Coordination

Divisional CompetitionDivisional Competition

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 14

Departmentalization by Departmentalization by MatrixMatrix

• Advantages

– Skills and expertise

– Resource use

• Disadvantages

– Reporting issues

– Authority issues

– Interpersonal conflicts

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 15

Departmentalization by Departmentalization by NetworkNetwork

• Advantages– Lower costs– Increased flexibility– More competitiveness

• Disadvantages– Lower control– Increased vulnerability– Less distinctiveness

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 16

Hybrid StructureHybrid Structure

• Functions

• Divisions

• Network

• Matrix

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 17

Comparing Work Groups Comparing Work Groups and Work Teamsand Work Teams

• Goals

• Synergy

• Responsibility

• Skills

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 18

Workplace TeamsWorkplace Teams

• Problem-solving

• Self-managed

• Functional

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 19

Cross-Functional TeamsCross-Functional Teams

• Task forces

• Special-purpose

• Committees

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 20

Virtual TeamsVirtual Teams

• Maximize diversity

• Employ technology

• Promote teamwork

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 21

Working In TeamsWorking In Teams

Opportunities Challenges

Higher-quality decisions

Increased commitment

Lower stress levels

Less internal competition

Improved flexibility

Inefficiency

Groupthink

Diminished motivation

Structural disruption

Excessive workloads

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 22

Characteristics Characteristics of Effective Teamsof Effective Teams

• Appropriate size and structure

• Clear sense of purpose

• Open honest communication

• Creative thinking

• Focused efforts

• Decision by consensus

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 23

Five Stages of Team Five Stages of Team DevelopmentDevelopment

• Forming

• Storming

• Norming

• Performing

• Adjourning

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 24

Level of CohesivenessLevel of Cohesiveness

• Competition

– Meeting attendance

– Team interaction

• Evaluation

– Work quality

– Goal Achievement

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 25

Emergence of NormsEmergence of Norms

• Standards of conduct

– Set limits

– Identify values

• Acceptable behavior

– Clarify expectations

– Facilitate survival

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 26

Team ConflictTeam Conflict

• Competition for scarce resources

• Responsibility issues

• Poor communication

• Values, attitudes, and personalities

• Authority issues

• Goal incompatibility

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 27

Dealing With ConflictDealing With Conflict

• Resolution– Avoidance– Confrontation– Diffusion

• Prevention– Clear goals– Well-defined tasks– Open communication

© Prentice Hall, 2007 Excellence in Business, 3e Chapter 8 - 28

Team MeetingsTeam Meetings

• Clarify the purpose

• Select participants

• Clarify and focus on the agenda

• Follow the rules

• Promote participation

• Close effectively