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Learning Objectives (1 of 2)
7-1. Identify the factors that influence managers’
choice of an organizational structure.
CHAPTER 7 7-2. Explain how managers group tasks into jobs
that are motivating and satisfying for
employees.
Designing
Organizational 7-3. Describe the types of organizational structures
Structure managers can design, and explain why they
choose one structure over another.

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Learning Objectives (2 of 2) Designing Organizational Structure (1 of 3)

7-4. Explain why managers must coordinate jobs, Organizing
functions, and divisions using the hierarchy of
authority and integrating mechanisms. The process by which managers establish the
structure of working relationships among
7-5. Describe how information technology (IT) is
helping managers build strategic alliances and
employees to achieve goals
network structures to increase efficiency and
effectiveness.
top manager (determined how people should interact).

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sap xep mqh cong viec

standing plan

Designing Organizational Structure (2 of 3) Designing Organizational Structure (3 of 3)

Organizational Structure
Formal system of task and reporting
relationships that coordinates and motivates
organizational members so that they work
together to achieve organizational goals
Organizational Design
The process by which managers make specific
organizing choices that result in a particular
kind of organizational structure

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Factors Affecting Organizational Structure Topics for Discussion (1 of 5)

Figure 7.1
Would a flexible or a more formal structure be
appropriate for these organizations: (a) a large
department store, (b) a Big Four accountancy
firm, or (c) a biotechnology company? Explain
your reasoning. [LO 7-1, 7-2]

a -formal because stability

b-flexible because various firms need
various type of financial statement
c- flexible because in modern world, techonology
Jump to Appendix 1 for long image description.
is very updating.
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tăng khối lượng công việc liên quan ở vị trí mình

-> giảm sự nhàm chán
bất lợi là nếu khối lượng công việc cao dẫn đến
nhân viên áp lực và giảm performance

Job Design (1 of 2) Job Design (2 of 2)

Job Design Job Enlargement
The process by which managers decide how Increasing the number of different tasks in a
to divide tasks into specific jobs given job by changing the division of labor
Job Simplification Job Enrichment planning, executing and evaluating
The process of reducing the number of tasks Increasing the degree of responsibility a
that each worker performs worker has over a job
empowerment and self-managed.
first-line manager is respon for giving advice
and guilding

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what is the difference between job enlargement and job enrichment?

-enlargement is like a job that may expand your income dramatically, while job enrichment will get you to better position
in organization.

1/ => reduce boring

2/=> more chanlengin, creative, more
additional skill reuired

Job Characteristics Model Topics for Discussion (2 of 5)

Job Characteristic Description Using the job characteristics model as a guide,
Skill variety Employee uses a wide range of skills. discuss how a manager can enrich or enlarge
Task identity Worker is involved in all tasks of the job
subordinates’ jobs [LO 7-2]
from the beginning to end of the 1/ job enlargement:
production process. training your employee to get better a variety of skills.
Task significance Worker feels the task is meaningful to -> more additional experience. like- startup company requires
organization. employees a better endurance, various type of skills, beside technical
Autonomy Employee has freedom to schedule tasks skills. due to lower promotion chance
and carry them out. 2/ job enrichment:
Feedback Worker gets direct information about how -international coorperation, giant hiechary in workplace.
well the job is done. -> useing job enrichment (self-managed team with advanced
technology), employee in production line learning sale to understand
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employee,
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weakeness of job enrichment: lost of conrtol due to more responsibility

to employee.

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Grouping Jobs into Functions (1 of 2) The Functional Structure of Pier 1 Imports

Figure 7.2
Functional Structure
An organizational structure composed of all
the departments that an organization
requires to produce its goods or services

Jump to Appendix 2 for long image description.

©McGraw-Hill Education. Copyright Tim Boyle/Getty Images ©McGraw-Hill Education.

Grouping Jobs into Functions (2 of 2) Divisional Structures

Advantages Divisional Structure
• Encourages learning from others doing similar jobs An organizational structure composed of
• Easy for managers to monitor and evaluate separate business units within which are the
workers functions that work together to produce a
Disadvantages specific product for a specific customer

• Difficult for departments to communicate with

others cách sắp xếp. các tập đoàn khủng như cocacola, vingroup. do khi
công ty phát triển quả lớn, nhiều sp khác.
• Preoccupation with own department and losing
sight of organizational goals

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các trưởng phòng ghét nhau vì ai cũng bảo vệ phòng của mình.

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Types of Divisional Structures Product Structure

Product Structure Advantages
Each product line or business is handled by a Allows functional managers to specialize in one
self-contained division product area.

Division managers become experts in their area.

Corporate managers do not need direct

supervision of the division.

Divisional management improves the use of

resources.

©McGraw-Hill Education. Copyright Kim Steele/Photodisc Green/Getty Images RF ©McGraw-Hill Education.

Product, Market, and Types of Divisional Structures (1 of 3)

Geographic Structures
Figure 7.3 Geographic Structure
Each region of a country or area of the world
is served by a self-contained division.
Global Geographic Structure
• Managers locate different divisions in each of the
world regions where the organization operates.
• This structure used when managers are
pursuing a multi-domestic strategy.
bởi vì có sp được chấp nhận toàn cầu, chiến lược
Jump to Appendix 3 long image description.
toàn cầu.
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đa nội địa - chiến lược.

sự khác biệt về hành vi cho các miền.
nam: nhẹ nhàng dễ chấp nhận.
trung: trung thực trung thành.
bắc: liên quan đến vua chúa, sống chỉnh chu, văn hóa, quan trọng chất lượng.
=> do sự khác biệt điều kiện thiên nhiên.

Types of Divisional Structures (2 of 3) Global Geographic and Global Product Structures

Figure 7.4
Global Product Structure
Each product division, not the country or
regional managers, takes responsibility for
deciding where to manufacture its products
and how to market them in foreign countries.

Jump to Appendix 4 for long image description.

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Types of Divisional Structures (3 of 3) Topics for Discussion (3 of 5)

Market Structure dễ nhầm với chiến lược đa nội địa. When and under what conditions might
• Each kind of customer served by a self- managers change from a functional to (a) a
contained division product, (b) a geographic, or (c) a market
structure? [LO 7-1, 7-3]
• Also called customer structure
vd: phân chia khách hàng - ngành
ngân hàng.
cho chương trình truyền hình vay -> lãi
suất càng thấp thì bắt buộc chương trình
phải có rating cao. (chiêu trò khánh ngô yêu
hương giang để tăng rating.
không buồn, cánh cửa này đóng lại thì cánh cửa khác mở ra.
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Matrix Design Structure Matrix and Product Team

Structures
Matrix Structure Figure 7.5

An organizational structure that

simultaneously groups people and resources
by function and product
quá khó khắn cho nhân viên vì ko biết phải
nghe theo ai.
luôn nghe lời sếp trực tiếp của mình.

Jump to Appendix 5 for long

image description.

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môi trường cố định thì sẽ ko phân quyền. thu quyền của mình về nhiều hơn do ko có su75 biến đợi

Product Team Structure Topics for Discussion (4 of 5)

Product Team Structure khắc phục matrix How do matrix structures and product team
Employees are permanently assigned to a structures differ? Why is the product team
cross-functional team and report only to the structure more widely used? [LO 7-1, 7-3, 7-4]
product team manager or to one of his direct
subordinates
Cross-Functional Team
Group of managers brought together from
different departments to perform
organizational tasks

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Coordinating Functions and Divisions Allocating Authority

Authority position not people. Span of Controltầng hạ quản trị - số lượng người có thể quản.
The power to hold people accountable for The number of subordinates who report directly to
their actions and to make decisions a manager
concerning the use of organizational Line Manager
resources
Someone in the direct line or chain of command
Hierarchy of Authority who has formal authority over people and resources

An organization’s chain of command, Staff Manager

specifying the relative authority of each Someone responsible for managing a specialist
manager function, such as finance or marketing

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The Hierarchy of Authority and Span of Tall and Flat Organizations (1 of 3)

Control at McDonald’s Corporation Tall Organization
Figure 7.6
Many levels of authority relative to company
size
Flat Organization
Fewer levels of authority relative to company
size

Jump to Appendix 6 for long

image description.

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Tall and Flat Organizations (2 of 3) Tall and Flat Organizations (3 of 3)

Figure 7.7 Figure 7.7

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môi trường không ổn định thì mình phải phân quyền.

Centralization and Decentralization of Authority Integrating and Coordinating Mechanisms

Decentralizing Authority Integrating Mechanisms
Giving lower-level managers and Organizing tools that managers can use to
nonmanagerial employees the right to make increase communication and coordination
important decisions about how to use among functions and divisions
organizational resources
vd: cuối tuần, các phòng ban sẽ nói chuyện với nhau,
nắm được đang làm gì và giúp đỡ.

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Types and Examples of Integrating Mechanisms Strategic Alliances (1 of 4)

Figure 7.8 Strategic Alliance
A formal agreement that commits two or
more companies to exchange or share their
resources in order to produce and market a
product

Jump to Appendix 7 for long image description.

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Strategic Alliances (2 of 4) Strategic Alliances (3 of 4)

B2B Network Structure Boundaryless Organization
A series of strategic alliances that an An organization whose members are linked
organization creates with suppliers, by computers, email, computer-aided design
manufacturers, and distributors to produce systems, video-conferencing and cloud-based
and market a product software, and who, rarely, if ever, see one
Outsource another face-to-face

To use outside suppliers and manufacturers

to produce goods and services

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Strategic Alliances (4 of 4) Topics for Discussion (5 of 5)

Knowledge Management System
A company-specific virtual information
system that systematizes the knowledge of its
employees and facilitates the sharing and
integration of their expertise
As high-powered, low-cost wireless technologies
continue to grow, many managers soon may not
need to come to an office to do their jobs but
may work at home. What are the pros and cons
of such an arrangement? [LO 7-5]

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BE THE MANAGER APPENDICES

Discuss ways in which you can improve how the
current functional structure operates so that it
speeds website development.
Long descriptions of images

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Appendix 1: Factors Affecting Organizational
Structure
Cluster diagram shows factors affecting organizational structure.
In the center is "determine the design of organizational
structure." Four factors are shown that determine this design:
organizational environment, technology, strategy, and human
resources.
Copyright McGraw-Hill Education. Permission required for reproduction or display.
Return to slide.
©McGraw-Hill Education.
Appendix 3: Product, Market, and Geographic
Structures
Graphics show diagrams for product, geographic, and market
structures. All follow the basic structure of a C E O at the top,
with corporate managers underneath. They differ in the
divisions, regions, and customers.
The product structure has product divisions such as the washing
machine and dryer division and the lighting division.
The geographic structure has geographic divisions such as the
northern region and the eastern region.
The market structure has market divisions such as the large-
business customers and education institutions.
Copyright McGraw-Hill Education. Permission required for reproduction or display.
Return to slide.
©McGraw-Hill Education.
10/1/2020
Appendix 2: The Functional Structure of Pier 1
Imports
The graphic shows the functional structure of Pier 1 Imports. At
the head is the president and C E O. Below this person is the list
of executive vice presidents who report to the C E O. Each
executive vice president is in charge of a department.
Copyright McGraw-Hill Education. Permission required for reproduction or display.
Return to slide.
©McGraw-Hill Education.
Appendix 4: Global Geographic and Global
Product Structures
Graphics show diagrams for a global geographic structure and a
global product structure.
The global geographic structure is broken down into regions
under the corporate managers, such as Pacific Region.
The global product structure is divided into product divisions
under the corporate managers. Under each of these divisions are
particular regions, such as the Foreign Subsidiary Pacific Region.
Copyright McGraw-Hill Education. Permission required for reproduction or display.
Return to slide.
©McGraw-Hill Education.
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Appendix 5: Matrix and Product Team
Structures
The graphic shows a diagram for a matrix structure and a diagram for a product
team structure.
The matrix structure relies on a more linear setup, with functional managers
reporting to the C E O. Under these managers are the departments such as
engineering. Under each of these departments are product teams A, B, C, D, each
with their own managers.
The product team structure has the departments reporting directly to the C E O,
and there is cross reporting with each manufacturing unit reporting to all
departments. Within the units are product team managers and team members.
Copyright McGraw-Hill Education. Permission required for reproduction or display.
Appendix 6: The Hierarchy of Authority and
Span of Control at McDonald’s Corporation
Graph shows the hierarchy of authority and span of control at
McDonald's corporation. At the head is the C E O. Various top
managers report to the C E O. Some are in charge of a region,
such as Europe. Others are in charge of a function, such as an
administration officer or the chief financial officer.
Copyright McGraw-Hill Education. Permission required for reproduction or display.

Return to slide. Return to slide.

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Appendix 7: Types and Examples of Integrating

Mechanisms
The graphic shows types and examples of integrating mechanisms. They are
listed from the most simple to the most complex as follows: direct contact,
liaison roles, task forces, cross-functional teams, and integrating roles and
departments.
Liaison roles: Marketing manager and research development manager meet
to brainstorm new product ideas.
Task forces: Representatives from marketing, research and development, and
manufacturing meet to discuss launch of new product.
Cross-functional teams: A cross-functional team composed of all functions is
formed to manage product to its launch in the market.
Integrating roles and departments: Senior managers provide members of
cross-functional team with relevant information from other teams and from
other divisions.
Copyright McGraw-Hill Education. Permission required for reproduction or display.
Return to slide.

©McGraw-Hill Education.

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