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SNCOA LDR-301S Mod 1 Lesson 2 Leading Organizations org hierarchy and structure (GRADED A), Assignments of Advanced Education

SNCOA LDR-301S Mod 1 Lesson 2 Leading Organizations org hierarchy and structure (GRADED A)

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2024/2025

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SNCOA LDR-301S Mod 1 Lesson 2 Leading
Organizations org hierarchy and structure
(GRADED A)
Functional structure strengths and weaknesses
Strength: Specialization
1. companies use a functional organizational structure, people with similar knowledge and skills are
grouped together. This makes it possible for employees to become specialists in their field.
Strength Productivity
1. Specialization leads to operational efficiencies and enhances productivity levels.
2. Because of their expertise, workers with specialized skills can perform tasks quickly, efficiently and
with more confidence, thus reducing the occurrence of work-related mistakes.
3. The main goal of functional structures in organizations is to bring the entire human and informational
resources together to meet the organization’s goal.
Weakness: Management Issues
1. Communication in organizations with functional organizational structures can be rigid because of the
standardized ways of operation and the high degree of formalization.
2. decision-making process slow and inflexible.
3. Lack of innovation and restricted views of organizational goals, along with too much focus
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SNCOA LDR-301S Mod 1 Lesson 2 Leading

Organizations org hierarchy and structure

(GRADED A)

Functional structure strengths and weaknesses Strength: Specialization

  1. companies use a functional organizational structure, people with similar knowledge and skills are grouped together. This makes it possible for employees to become specialists in their field. Strength Productivity
  2. Specialization leads to operational efficiencies and enhances productivity levels.
  3. Because of their expertise, workers with specialized skills can perform tasks quickly, efficiently and with more confidence, thus reducing the occurrence of work-related mistakes.
  4. The main goal of functional structures in organizations is to bring the entire human and informational resources together to meet the organization’s goal. Weakness: Management Issues
  5. Communication in organizations with functional organizational structures can be rigid because of the standardized ways of operation and the high degree of formalization.
  6. decision-making process slow and inflexible.
  7. Lack of innovation and restricted views of organizational goals, along with too much focus

Weakness: Unit Coordination

  1. their level of cooperation with each other is sometimes compromised.
  2. groups may have difficulty working well with each other as they may be territorial. ultimately can bring down production levels overall, and the company-wide employee commitment toward meeting organizational goals define organizational structure An organizational structure model functions as the blueprint of a company's employees and job titles Identifying types of Organizational Hierarchy Structure flat, mid-sized or tall Flat Structures
  3. have very few echelons or tiers in a company with a flat organizational structure. many small companies have flat organizational structures because of the lack of middle management. The president of the company may employ just a few managers and clerical workers until the organization grows. Mid size and larger companies tend to use a _______________ structure, a. functional organizational Structure

Companies that use functional organizational hierarchy structures efficiently group employees by knowledge, skills and resources Organizational Hierarchy Disadvantages

  1. duplication of resources a. Example, the housewares, sporting goods and men's clothing departments in a retail chain may require separate marketing managers. Three marketing managers may not be practical and can drive up labor costs.
  2. May have difficulty coordinating activities with other departments. For example, a product manager in an electronics company may not know what engineering is doing to correct a certain product defect. Functionally oriented departments may also vie for budget money What is Divisional Org Structure?
  3. Divisional Org Structures usually consists of several parallel teams focusing on a single product or service line. a. EX: product lines are the various car brand under GM or Microsoft’s software. b. Service line ex Bank of America’s retail. Commercial, investing and asset management arms.
  4. Unlike department divisions are more autonomous each with its own top exec – often VP

a. Typically manage their own hiring, budgeting, and advertising.

  1. Small business rarely uses a divisional structure. Divisional org structure gives a larger business enterprise .... the ability to segregate large sections of the company's business into semi-autonomous groups Advantages of Divisional Org Structure
  2. Divisions work well because they allow a team to focus upon a single product or service, with a leadership structure that supports its major strategic objectives. a. Having its own president or vice president makes it more likely the division will receive the resources it needs from the company. b. allows it to build a common culture and esprit de corps that contributes both to higher morale and a better knowledge of the division's portfolio. Disadvantages of Divisional Org Structure
  3. A company comprised of competing divisions may allow office politics instead of sound strategic thinking to affect its view on such matters as allocation of company resources. a. one division will sometimes act to undermine another. b. divisions can bring compartmentalization that can lead to incompatibilities. i. example, Microsoft's business-software division developed the Social Connector in Microsoft Office Outlook 2010. They were unable to integrate Microsoft SharePoint and Windows Live until months after Social Connector could interface with LinkedIn.

a. organizational structure b. functional organizational Structure c. divisional structure 1)------------------------ is one in which a central corporate office governs several autonomous divisions that have full-fledged functional components. Each division functions as a separate business entity.

  1. group employees based on other factors like product, geographic location and customer base.
  2. will have its own marketing, customer service, maintenance, communications and other departments relating the product. Divisional structure
  1. ________________________ is a type of divisional organization wherein a single, central corporate entity financially controls a large collection of unrelated divisions and businesses but has little managerial control or involvement, reports Corporate Finance Institute a. Each subsidiary business within the holding company has a functional structure. b. Divisional structure of a holding company is appropriate for large organizations that have holdings in several diverse companies operating in different industries. Divisional holding company structures are common in turbulent external environments where the centralized treasury manages budgets and funds for its subsidiaries Holding company Disadvantages of Divisional Structures
  1. By definition, it encourages competition between the subsidiaries for corporate-level resources which may result in the best outcomes for the business. a. top management is not always clear on how much authority and control to give to division managers. b. may be a lack of policy consistency between divisions and the potential for increased costs due to duplication functions. c. overall company often finds it difficult to maintain an overall corporate image. d. Leaders in company HQ can be too hands-off to maintain the desired levels of consistency across the various divisions. ________________________________ is a type of organizational structure in which daily operations and decision-making responsibilities are delegated by top management to middle and lower-level managers. Decentralization _______________________ takes some of the burden of daily business operations off the business owner.
  2. frees their up to spend more time on big-picture items, such as planning for expansion or meeting with important clients.
  3. provides a better chance that the organization will maintain self-sufficiency because managers and employees are accustomed to working autonomously Decentralizing _______________________ is able to make decisions more quickly than one with a centralized structure.
  1. The matrix structure is designed to be partially impermanent.
  2. There are two kinds of managers: functional managers and project managers.
  3. Managerial roles are fluid, not fixed.
  4. The balance of power between functional and project managers isn't organizationally defined. Advantages of Matrix Structures rapid creation of efficient large-scale, project structures that employ many members of the organization's functional structure but without disrupting or destroying the structure in the process.
  5. matrix structures noted in one of the seminal academic studies of these structures are: a. Clear articulation of project objectives b. Workable way of integrating project objectives with functional objectives c. Efficient use of limited human resources d. Rapid (often interdisciplinary) information flow through the project e. Retention of expert teams through the life of the project f. Rapid dispersion of team members back into the functional organization upon project completion without organizational disruption g. Project management trains managers to become leaders in the functional organization h. Project structures develop team spirit and high morale Possibility of conflicts arising during the project carrying over to functional management
  6. Disadvantages of Matrix Structures b. Two-boss problems, leaving project members caught in the middle c. Project members playing bosses against one another d. Increases organizational complexity e. Requirement for high degree of cooperation between functional and project management f. Potential for conflicting management directives

g. Difficulty of establishing priorities suiting both functional and project management h. Possible slowdowns in management reaction to events when two structures required for solution i. Possible structural collapse in "crunch time" j. Increase in management overhead costs

  1. ___________________ structures feature fewer layers of management. As a rule of thumb, managers
  2. in ________________ structures oversee a larger number of employees than in more hierarchical structures.
  3. _________________ structures feature fewer layers of management. As a rule of thumb, managers in flat organizational structures oversee a larger number of employees than in more hierarchical structures. Flat organizational The Advantages of Flat Organizational Structure Organizational Cost Savings
  4. flat organizations can incur smaller expenses on salaries. Savings can be substantial since manager- level staff generally command high-end salaries as well as expensive benefits and job perks.
  5. flat organizations often avoid granting salary raises and promotions simply based on length of service.
  6. flat managerial structure tends to focus their career development efforts on top performers.
  7. flat organizational structures can outsource non-vital business functions to further reduce expenses. a. Outsourcing tax preparation, recruiting activities and IT functions, for example, can allow companies to operate in a lean fashion by eliminating entire departments from their payrolls.

Under this structure, the organization groups employees according to a specialized or similar set of rules or tasks a. organizational hierarchy b. functional structure c. product structure b. functional structure Types of organizational structure in which everyone in the organization reports to a single boss a. divisional organizational hierarchy b. decentralize organizational structure c. matrix structure c. matrix structure This is often used by department stores and retailers. Companies that use this organizational structure divide department Santa categories. This statement best identifies which of organizational structure a. Product b. Functional c. Geographical a. Product This type of structure is used because it frees up top management to focus on major issues by delegating responsibilities to middle and lower level manager. This statement best identifies which of the following organizational structure a. Product b. Decentralized c. Geographical b. Decentralized

Type of organizational structure that features fewer layers of management, incuring smaller expenses on salaries. a. Divisional organizational hierarchy b. decentralized organizational structure. c. flat structure c. flat structure This is often used by department stores and retailers. Companies that use this organizational structure divide departments into categories. This statement BEST identifies which type of organizational structure? a. Product b. Functional c. Geographica a. Product This structure can attract the type of employees who are encouraged by a work structure that requires self-motivation and teamwork. This statement BEST describes how which organizational structure impacts innovation and/or agility? a. Flat b. Matrix c. Decentralized a. Flat This type of structure is useful because it frees up top management to focus on major issues by delegating responsibilities to middle and lower-level managers.