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Organizational Theories and Application
Organizational Theories and Application
Theories and
Application
Narisa Pacis
Lyngel Joie Grande
Organizational design
Strengths Weaknesses
• clear accountability
Functional
the organizational design groups together
similar or related specialties. It is, generally, funtional
deparmentalization utilized and put into practice in
an entire organization. For example: A marketing
firm that markets cars and related products like tires,
car batteries, and accessories. It also has strengths
and weaknesses.
Simple Organizational Design
Strengths Weaknesses
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Divisional
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Simple Organizational Design
Strengths Weaknesses
• Managers are responsible for what • Increased cost and reduced efficiency
happens to their products and
services
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Modern organizational design
theories include:
Team Design
in team design, the entire organizations is
made up of work groups or teams. Its advantages include
impowerment of team members and reduced barriers
among funtional areas. It also has disavantages, including a
clear chain of command and great pressure on teams to
perform.
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Matrix-Project Design
Matrix Design
refers to an organization design where specialist from
different departments work on projects that are supervised by a
project manager. This design results in a double chain of
command wherein workers have two managers --their funtional
area manager and their project manager –who share authority
over them.
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Boundary-less Design
this is another modern design organizational
design where the design is not defined or limited by vertical,
horizontal, and external boundaries. In other words, there
are no hierachical levels that separate employees, no
departmentaliztion, and no boundaries that separate the
organization from customers, suppliers, and others
stakeholders.
Advantages: being highly flexible and responsive
Disadvantages : lack of control and problems in
communication
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Thank You!
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