PIB(M) 002: Organizing, Designing Adaptive Organization, and Change Management

This set of vocabulary flashcards covers the fundamentals of organizational structure, various departmentalization approaches (functional, divisional, matrix, team, virtual network), drivers of organizational change, and strategies for managing resistance and workplace culture.

Organizing

The deployment of organizational resources to achieve strategic goals.

Organizational Structure

The set of formal tasks assigned to individuals and departments, including reporting relationships, lines of authority, decision responsibility, hierarchical levels, and span of managers’ control.

Work Specialization

A structural element referring to the degree to which organizational tasks are subdivided into individual jobs.

Chain of Command

The unbroken line of authority that links all persons in an organization and shows who reports to whom.

Span of Control

The number of employees who report to a single manager.

Centralized Structure

An organizational design where decision-making authority is located near the top of the organization, often used by companies like McDonald's to maintain standardized quality.

Decentralized Structure

An organizational design where decision-making authority is pushed downward to lower levels, used by Amazon to allow for fast decision-making and innovation.

Formalization

The extent to which an organization relies on written rules and procedures to guide employee behavior.

Vertical Functional Approach

A departmentalization style where positions are grouped into departments based on similar skills, expertise, and resource use, such as HR or Accounts in a bank.

Divisional Approach

A structure where departments are grouped based on similar organizational outputs or geography, such as Coca-Cola having divisions for Asia-Pacific and Europe.

Matrix Approach

A structural approach that uses both functional and divisional chains of command simultaneously, resulting in engineers working on multiple projects as seen in tech companies like Google.

Team Approach

A modern departmentalization method where the organization forms small teams to manage quality and workflow, characteristic of Toyota's production assembly lines.

Virtual Network Approach

A structure where the organization subcontracts most of its major functions to separate companies, such as Nike focusing on design while outsourcing manufacturing.

Organizational Change

The adoption of a new idea or behavior by an organization, which may include changes in technology, products, people, or culture.

Ability Deficiency

A reason for employee resistance to change expressed as "I don’t know how."

Willingness Deficiency

A reason for employee resistance to change expressed as "I don’t want to."

Capacity Deficiency

A reason for employee resistance to change expressed as "I just can’t."

Communication and Education

A method to reduce resistance to change when technical information is needed or users are misinformed.

Participation

A strategy to reduce resistance by involving users and potential resisters in designing the change.

Negotiation

A method used to reduce resistance when a group has power over implementation and may lose out because of the change.

Coercion

A method to reduce resistance where managers use formal power to force employees to change, typically used in crisis situations.

CREATE Model

A framework for culture change standing for: Clarify values, Reinforce vision, Empower behaviors, Align conversations, Target effort, and Emphasize success.

Civil Behavior

A core driver of workplace culture characterized by the absence of negative comments about identity and the absence of insensitive treatment by managers or co-workers.

Honest and Unbiased Management

A culture driver where management is honest with employees, leads by example, and treats all employees fairly regardless of personal characteristics.