Lecture 4

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12/1/2022

Organisational Structure &


Teamwork

BMAN 10011: Fundamentals of Management TODAY’S LECTURE


- Job Design
- Teamwork
Dr. Masakatsu (Bob) Ono
masakatsu.ono@manchester.ac.uk - Organisational Structure
AMBS 7.012

What is Organising? Specialisation & Division of Labour


• The process of determining who will perform that • Each worker only does part of what is needed to
tasks needed to achieve organisational make a product, deliver a service or complete a
objectives, the resources to be used, and the task
way that tasks will be managed and co- − Develop specialised skills quickly
ordinated. − People selected to match their aptitudes
− No time wasted changing different tasks

• Job Design: deciding what people are required − Simplified jobs

to do as part of their job


Too little or too much can harm productivity.
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Motivating Job Design Authority & Responsibility


• Job Characteristics Model (Hackman & Oldham, 1980) • Authority
− The formal power to make decisions, marshal
Critical resources, and instruct others
Core job
psychological Outcomes
characteristics
states • Empowerment
− Pushing authority down the organisational hierarchy

Skill variety • (area of) Responsibility


Experienced
Task identity
meaningfulness of the work Motivation − The domain of resources over which one has authority
Task significance
Satisfaction
• Span of Control
Experienced responsibility for
Autonomy
the work outcomes
− The number of employees directly supervised
Performance
Knowledge of the work − Optimal numbers depend of many factors (e.g.,
Job feedback
results environmental stability)

Ergonomics & Job Design Designing Work Schedules


• Aim: to ensure that jobs (e.g., work spaces, • Flexitime
equipment, etc.) are suitably designed for • Compressed working week (10 hrs for 4 days)
humans to perform –achieving safety & efficiency • Homeworking & teleworking
− “digital nomad”
• Job sharing
• Contingent workers
• Office sharing & hoteling
− “coworking” spaces
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Teamwork Belbin Team Roles (2004)


• Team: collection of people who invest
coordinated effort towards shared common task PEOPLE THINKING

goals by fulfilling their specified roles


• Advantages? • Disadvantages?
− facilitates greater − Time
achievements − Energy
− allows learning of new − Social loafing: “free-
skills from others riders”
− satisfies
affiliation/belongingness
needs
ACTION

Team Roles: Exercise Team Roles: Exercise


• Dunker’s Candle Problem • Dunker’s Candle Problem
− INSTRUCTIONS: Pin the candle to the wall in such a − INSTRUCTIONS: Pin the candle to the wall in such a
way that when it is lit, no wax drips on the floor way that when it is lit, no wax drips on the floor

a candle a box of tacks a box of matches solution


vs. vs.

Team A Team B Team A Team B


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Team Development Project Aristotle


• Who is on a team matters
Performing less than how the team
Adjourning members interact, structure
TEAM EFFECTIVENESS

their work, and view their


Forming
contributions.
Norming

Storming

TIME

Organisational Structure Functional vs. Divisional Structures


• The relationships among the parts of an • Organise jobs according to their function
organised whole Chairman

Production Director Sales Director HR Director Finance Director

Manufacturing Purchasing Retail Sales Wholesale Sales Recruitment Training Finance


Manager Manager Manager Manager Manager Manager Manager

− designation of formal reporting relationships – “who


should be told about what”
Supervisor Supervisor Asst Purchaser North South Wholesale Operative Management Cashier
1 2 Rep Rep Rep Trainer Development

− grouping of individuals into department


− design of systems to ensure effective communication, • Organise jobs according to their regional
Other divisions:
coordination, & integration across departments divisions Corporate HQ
Product
Client
Europe Asia North America

UK Germany Netherlands Japan China Singapore Canada East Coast West Coast Mid West
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Functional Structures Divisional Structures


• Advantages: • Disadvantages: • Advantages: • Disadvantages:
− High operational − Lack of loyalties to the − Clear identification of − Duplicated facilities
efficiency organisation costs, profits, and − Excessive autonomy
− Similar jobs are grouped − “Functional chimneys” & products’ contribution − “Divisional chimneys”
− Clear career structure silos − Dedicated facilities
− Empire building by
− Economies of scale − Empire building by − Easy coordination managers
managers − Managerial training
Chairman
ground
Production Director Sales Director HR Director Finance Director

Corporate HQ

Manufacturing Purchasing Retail Sales Wholesale Sales Recruitment Training Finance


Manager Manager Manager Manager Manager Manager Manager
Europe Asia North America

Supervisor Supervisor Asst Purchaser North South Wholesale Operative Management Cashier
1 2 Rep Rep Rep Trainer Development UK Germany Netherlands Japan China Singapore Canada East Coast West Coast Mid West

Matrix Structures Matrix Structures


• Function × Division • Advantages: • Disadvantages:
President − Increased coordination − Confusions with multiple
without duplication bosses
Director of Design: HR: Marketing: − Varied work allowing − Time to plan &
Procurement
Product
Operation
Vice
President
Vice
President
Vice
President
Controller
Manager wide experiences coordinate
− Cohesive organisation − Feelings of isolation
Product
Manager A − Adaptability & flexibility
Product
Manager B
due to rich contacts
Product
Manager C

Product
Manager D
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Network Structures Network Structures


• “boundaryless organisation” Suppliers of raw
materials

• Features:
Supplier of
manufacturing
Financial &
services invoicing
− A small core responsible for main business functions services

− Other functions are subcontracted (suppliers)


Central
− Coordination between the core and outside suppliers office
coordination
− Rapid changes of the network – i.e., components can centre

be removed or added according to demand (modular


Packaging &
organisation) distribution
centre
Customers
• Common industries:
Sales &
− clothing, computer, & publishing marketing
agent

Network Structures Learning Structure


• Advantages: • Disadvantages: • Structuring an organisation to maximize its ability
− Enable global − Loss of control due to to increase the capital of knowledge (knowledge
manufacturing & the involvement of management)
marketing subcontractors
• 5 features:
− Enable efficiency − Employee loyalty may
through low cost and decrease − Sharing the same organisational vision
flexibility − Understanding how the organisation operates
− Willing to discard the old ways
− Feeling confident of one’s position
− Wide distribution of information
12/1/2022

Reading & Self-Test


• Smith (2011)
− Chapter 5: Organisational Structure &
Teamwork

• Self-test 4 posted on BlackBoard


− Answers are also available

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