Transcript Organizational Structures

Public Management
Organizational Structure
Sunday, March 27, 2016
Hun Myoung Park, Ph.D.
Public Management & Policy Analysis Program
Graduate School of International Relations
Dimensions of Structure
• Centralization: the degree to which power
and authority concentrate
• Formalization: the extent to which rules
and procedures are formally established
• Red tape refers to burdensome
administrative rules
• Complexity: measured in terms of
numbers of subunits, levels, specialization
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Influences of Structure
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Size
Environment
Technology and tasks
Information technology
Strategic choice
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Galbraith’s Design Strategies
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Hierarchy of authority
Rules and procedures
Narrowing the span of control
Planning and goal setting
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Functional Structures
• Organized according to major functions
• E.g., marketing, R&D
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Organization Chart
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Product Structures
• Product and hybrid structures
• Separate divisions for each product line
• Major product divisions with some
functional units (accounting) are hybrid.
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Product Structures
Tech, Inc
CEO
Medical
Instruments
Personal
Computers
Small
Electronic
parts
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Matrix Designs
• People with similar skills are pooled for work
assignments.
• All engineers may be in one engineering
department and report to an engineering
manager, but these same engineers may be
assigned to different projects and report to a
project manager while working on that project.
• Each engineer may have to work under several
managers to get their job done.
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Matrix Designs
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Other Structures
• Market and customer
– Focused designs, orientation toward groups
of customers
• Geographical designs
– Bases of operation by region, part of world
• Process structures
– Organized around process such as new
development
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Mintzberg’s Structures 1
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Simple Structure: Entrepreneurial setting;
relies on direct supervision from the strategic
apex; new small government agencies
(Public) Machine Bureaucracy: Large
organizations; relies on standardization of work
processes by the techno-structure; agencies
with political oversight.
Professional Bureaucracy: The professional
services firm; relies on the standardization of
skills and knowledge in the operating core.
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Mintzberg’s Structures 2
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Divisionalized Form- Multi-divisional
organization (e.g., manufacturing & marketing);
relies on standardization of outputs; middleline managers run independent divisions.
Adhocracy- Project organizations; highly
organic structure with little formalization; relies
on mutual adjustment as the key coordinating
mechanism within and between these project
teams (e.g. NASA)
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Structure & Environment
complex
simple
stable
dynamic
PROFESSIONAL BUREAUCRACY
ADHOCRACY
decentralized; bureaucratic;
standardized skills (law firm R&D
firm)
decentralized; organic; mutual
adjustment
MACHINE BUREAUCRACY
SIMPLE STRUCTURE
centralized; bureaucratic;
standardized work processes; direct
supervision from strong strategic
apex
(new agencies, start up
entrepreneurial companies
centralized; organic; direct supervision
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Images of Organization
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Gareth Morgan (1996)
Organizations as machines
Organizations as organisms
Organizations as brains
Organizations as political systems
Organizations as cultures, psychic prisons,
flux and transformation, and instruments of
domination
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Images of Organization
• Organizations as organisms are assumed to be
able to adapt themselves to environmental
conditions that change over time.
• Terminator, a highly intelligent machine, may fall
in this category in a sense he can find ways to
kill the target, which is determined by his boss,
by transforming himself (in case of a more
advanced terminator) or changing strategies in
response to environmental changes.
• What kind of terminator do you need?
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Images of Organization
• Organizations as brains are learning systems
that have single-loop and double-loop processes.
• Organizations, unlike those as machines, can
evaluate if the target determined by their boss is
really what they have to kill (double-loop).
• Such organizations are considered a broken one
from the machinery perspective because a
machine have to do only what is ordered.
• A machine may not determine its target, but just
follow order without any question about the
target (single-loop process only).
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Images of Organization
• Bureaucracy as a machine (organism) is
well designed (programmed) to achieved
efficiently its goal given by outsiders.
• Weber's ideal type bureaucracy is close to
the image of machines or organisms.
• Remember the terminator became popular
at that time because the machine was an
ideal type that did not exist in reality.
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