商务英语基础教程07ppt课件

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- Decisions to be made are risky. - Low-level managers are not skilled in decision
making.
Centralization vs. Decentralization
Decentralization means that decision making power is delegated to the lower levels of the organization. Reasons for centralization:
- Companies operate in complex and unpredictable situations.
- Lower-level managers have strong decision making skills.
What is departmentalization?
Departmentalization refers to grouping of jobs into units called departments, units, groups or divisions.
A Basic Business Reader
Chapter 7 Business Organization
and Structure
Objectives
After studying this chapter you will be able to:
Explain the importance of job specialization to an organization. Explain the concept of accountability. Compare the advantages and disadvantages of centralization and decentralization. Identify four types of departmentalization.
What is specialization
Specialization = division of labor
- dividing work into small, specialized tasks
- assigning employees to do a single task
Why is specialization important?
- Delegation frees the manager to attend to other matters.
Centralization vs. Decentralization
Centralization means that top-level managers delegate very little authority to the lower levels. Reasons for centralization:
- each department managed by an expert; - each manager needs only skills related to
his/her department; - conflict between departments may affect the
whole organization.
Ways of Departmentalization
2. By product
- grouping of jobs around the products of the firm;
- functional activities located within each product division;
- coordination and decision making becoming easier;
- duplication or redundancy of functional departments.
Ways of Departmentalization
Departments are commonly organized by function, products, territory or customer.
Ways of Departmentalization
1. By function
- grouping of jobs according to business function such as production, marketing, finance, etc.;
Specialization is important because it
- raises efficiency; - minimizes time lost when workers have to
perform more than one task; - enLeabharlann Baidubles use of specialized equipment; - simplifies training.
Negative effects: Workers may become bored and dissatisfied with their jobs.
What is delegation of authority?
Delegation of authority means:
- assigning tasks to employees - allowing them to use resources to
accomplish the tasks - making them accountable for proper
execution of the work
Reasons for delegation of authority
- As a company grows, it is impossible for one manager or owner to do everything.
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