In the name of ALLAH the most beneficent and the most mercifully My self Usman Ashraf and I ma the Student of Hailey College OF Commerce, University Of the Punjab, Lahore. My other Group Members are Ahmad Raza (MC14 – 299) , Liaqat Ali (MC14 – 282) Raza Ahmad (MC14 – 288) and Ali Raza (MC14 – 303) . to day we all present hare the topic “Basic Organization Design” in this chapter we present the foundations of organization structure. We define the concept and its key components, introduce organization design options, consider contingency variable that determine when the certain design options work better then other’s and explore the concept of organization culture. know the question is What is Organization Design – is the process in which manager develop or change their organization structure Organization Structure means the linking of department and jobs within the organization BY Organization Structure we means the three things 1 - The Location Of Design Making Responsibility in the firm. 2- The Formal division of Organization into Subunits. 3 - Establishment of integrating mechanisms to coordinate the activities of subunits there are Six basic elements of Structure: 1-Work specialization 2-Unity Of command 3-Span Of control 4-Authority & Responsibility 5-Centralization Verses Decentralization 6-Departmentaliza-tion Know the question is what is work-specialization - The degree to which tasks in the organization are divided into separate jobs with each step completed by a different person. Overspecialization can result in human diseconomies from boredom, fatigue, stress, poor quality, increased absenteeism, and higher turnover. there are some Advantages and disadvantages of work-specialization the Next one is Chain of Command – The continuous line of authority that extends from upper levels of an organization to the lowest levels of the organization and clarifies who reports to whom. In the Chain of command I also define the Unity Of Command - The Management Principal that no person should report to more then one boss. In this diagram show that how the chain of command exist in the organization Span of Control The number of employees who can be effectively and efficiently supervised by a manager. Width of span is affected by: 1- Skills and abilities of the manager – 2-Employee characteristics -3- Characteristics of the work being done 4-Similarity of tasks 5-Complexity of tasks 6-Physical proximity of subordinates 7-Standardization of tasks

3. Ahmad
Raza
MC14 –
299
LiaQat Ali
MC14 – 282
Raza
Ahmad
MC14 – 288
Ali Raza
MC14 – 303

4. Fundamental of Management

5. What is organization Design ???
The linking of
department and
jobs within the
organization

6. Organization Structure
The Location Of Design Making
Responsibility in the firm.
The Formal division of Organization
into Subunits.
Establishment of integrating
mechanisms to coordinate the
activities of subunits.

7. The Elements Of Structure
Work
specialization
Unity Of
command
Span Of control
Authority &
Responsibility
Centralization
Verses
Decentralization
Departmentaliza-
tion

8. Work Specialization

9. Economies and Diseconomies of Work Specialization

10. Organization Structure (cont’d)

11. Chain Of Command

12.  Skills and abilities of the manager
 Employee characteristics
 Characteristics of the work being done
 Similarity of tasks
 Complexity of tasks
 Physical proximity of subordinates
 Standardization of tasks
Organization Structure (cont’d)

13. Contrasting Spans of Control

15. Mechanistic Versus Organic Organizations

16. Mechanistic Versus Organic Organizations
• Is a fix form that is as,
Rigid and stableMechanistic
Organization
• Is a an adaptive form
that is as loose and
flexible
Organic
Organization

17. Organizational Structure
Environment
Size Technology
Strategy
Contingency Variables Affecting Structure

19. Contingency Variables Affecting Structure

20. Contingency Variables Affecting Structure

21. Simple
Structure
Functional
Structure
Divisional
Structure

22. Simple
Structure
• Low specialization and formalization, wide
span of control but high in centralization.
Functional
Structure
• Organizational design that group similar or
related accupanational specialist together
Divisional
Structure
• Made up of separate unit or divisions each
division has a limited autonomy
Organizational Design Application

23. Functional Structure

24. Divisional Structure

25. Other Organizational Structures
Advantages
Fluid and flexible
Design
Faster decision
making
Disadvantages
Complexity of
assign people
Task and
personality conflicts

26. Matrix Structure

27. Other Organizational Structures (cont’d)

28. Boundary-Less Organization
Boundary-Less Organization

29. The Learning Organization

30. Organizational design Information sharing
Leadership Organizational Culture
The learning
Organization
Characteristics of a Learning Organization

31. Boundary-less
Teams
Empowerment
Organizational Design

32. Open
Timely
Accurate
Information Sharing

33. Strong mutual relationship
Sense of community
Caring
Trust
Organizational Culture

34. What is an Organization Culture ???

35. Member Identity
Group Emphasis
People Focus
Unit Integration
Control
Risk Tolerance
Reward criteria
Conflicts Tolerance
Means-End Orientation
Open-System Focus
Characteristics Of Organization Culture