Today: 487.7.96
n	Reports begin Feb. 15
o	group order?
n	HowÕs it going?
n	Look for strat. plan examples
n	Presentation details
o	graphics, who says what?, dress code 
n	Reports: choose assembler, editor

Organizational Structure
The objective of management is to 
achieve organizational goals
through the use of human and 
other resources. Organizational
 structure is a tool, not an end in itself.

Traditional Organizations:
n	Òcommand and controlÓ through hierarchy
n	military model with line and staff roles
o	ÒlineÓ supervises operations
o	ÒstaffÓ provide support, i.e. legal, personnel, PR, etc.

Organizational Structure
n	Industrial phase 
o	19th, early 20th century
o	few at top, age of ÒbaronsÓ
o	large worker base with primitive skills

Manufacturing phase
n	 Post WWII
o	much larger organizations require more control; more 
layers
o	specialization increases
o	layers serve as Òhuman boosters for the faint signals that 
pass for communication in the pre-information 
organizationÓ...Drucker

Information organization phase
n	very few layers
n	knowledge throughout organization
n	work done in ad-hoc teams
n	explosion in specialization

 ManagerÕs Roles: TradÕl
n	Planning
o	determine mission, policies
n	Organizing
o	divide the work, determine process
n	Directing
o	communicate, train, motivate
n	Controlling
o	performance, budget

Today's Organizations: Roles
The same roles, but who 
does them?

Why change the structure?
n	pressure to reduce costs
o	fewer managers to pay
n	pressure to increase efficiency
o	reduce cycle time, Òcommunication lossesÓ
n	pressure to make breakthroughs
o	leaps forward ahead of competition

What will it look like?
What will it look like?
What will it look like?

The Orchestra as model
n	100 specialists, one CEO
n	share a common ÒscoreÓ or vision
n	communicate with each other   (i.e., listen)

TodayÕs Organization:
n	may change daily, as tasks change
n	depends on communication among team members
n	requires a clear vision

Challenges
n	How to reward with no hierarchy?
n	How to pick top managers with no training ground?
n	How to coordinate with so many at work?
n	How to "see the whole" with so many specialists?

Words for the Day:
Most communications problems can be solved 
with proximity.