1. Building Blocks of Structure
-Organizational structure refers to how individual and team work within an
organization are coordinated.
-Centralization is the degree to which decision-making authority is
concentrated at higher levels in an organization.
-Formalization is the extent to which an organization’s policies, procedures, job
descriptions, and rules are written and explicitly articulated.
2. Hierarchical Levels
Tall structures: Organizations with several layers of management between
frontline employees and the top level.
-Flat structures: Organizations with few layers, often with large numbers of
employees reporting to a single manager.
3. Departmentalization
-Functional structures: Structures in which jobs are grouped based on similarity
in functions.
-Divisional structures: When departments represent the unique products,
services, customers, or geographic locations the company is serving.
4. Two Configurations: Mechanistic and Organic Structures
-Mechanistic structures: Those structures that resemble a bureaucracy and are
highly formalized and centralized.
-Organic structures: Those structures that are flexible and decentralized with
low levels of formalization where communication lines are more fluid and
flexible.