CHAPTER 6

Organizing and Organizational Design

The art of organization is not to create organizations but to multiply our effectiveness.

Rob Reiner, Improving the Economy, Efficiency, andEffectiveness of Not-for-Profits

KEY WORDS

Organization

Organizing

Organizational structure

Mechanistic versus organic organizations

Organizational chart

Division of work

Informal organizational structure

Agency form of management

Functional department management

Departmentalization

Organization by division

Organization by matrix

Vertical coordination

Chain of command, or the scalar principle

Span of control

Delegation

Centralization versus decentralization

Horizontal coordination

Open system model of organizational design

Bureaucracy

In this chapter we take ...

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