Page 357 - Business Principles and Management

Unit 4

FIGURE 13-10 In a line-and-staff organization, staff specialists are
available to provide needed advice and assistance to line managers.

President

Production Sales
Manager Manager Controller

Advertising Assistant Marketing
Specialist Sales Manager Research Specialist

Branch A Branch B
Manager Manager

Sales Sales
Representatives Representatives

Line Authority
Staff Advice

one functional area. It is difficult to develop an organizational chart for this type
of organization because it changes regularly. Typically, the company prepares an
organization chart for each project, so that employees know the current project
structure and the management and employee relationships. The company prepares
a new chart when that project ends and a new one begins.
Teamwork tip agencies, and construction companies, but it is being considered by other
The matrix organization is used successfully in research firms, advertising

types of businesses as well because it provides flexibility and allows for rapid
change. This structure uses the specific skills of managers and employees as
Most teams go through stages effectively as possible by bringing together people with the right skills for each
before coming together as project. When employees are given new project assignments, managers must
an effective unit to achieve be careful to define authority and responsibility so as not to violate unity of
organizational goals. It is command.
not easy to move from the
individual actions required TEAM ORGANIZATION
in traditional organizations
to effective teamwork. Like The newest type of organization structure is known as team organization. A
good sports teams, organiza- team organization divides employees into permanent work teams. The teams
tions must provide team train- have responsibility and authority for important business activities with lim-
ing and give teams time to ited management control over their daily work. Teams often have team lead-
practice and improve. ers who are likely to be experienced employees rather than managers. Team

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