Organizational Structures and Communication. Includes an Assignment.

1. Organizational Structure
& Communication
CommunicationKnowledgeCenter@Outlook.com

2. Organizational Structure &
Communication
• Organization uses communication to
balance with its environment:
stakeholders, target audiences.
• Structure of organization influences how it
reacts on changes in its environment.
• This behavior makes it more/ less
attractive for its employees, customers,
investors etc.

3. Assignment
• Analyze the structure of your
organization and conclude which
Structural Configuration according to
Mintzberg is valid here.
• Explain why you conclude this.

4. 7 structural configurations
of organizations (Mintzberg p110)
1. Entrepreneurial organization
2. Machine organization
3. Professional organization
4. Diversified organization
5. Innovative organization
6. Missionary organization ?
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7. Political organization ration
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5. Structure of
Organization:
Organogram of simple
organization

6. Structure of
Organization:
Organogram of simple
organization
Strategic apex Strategic apex:
oversees whole system.
Middle line
Operating core

7. Structure of
Organization:
Organogram of simple
organization
Strategic apex
Support
Techno- Middle line
Staff
structure
Operating core

8. Structure of
Organization:
Organogram of simple
organization
Ideology (culture)
Strategic apex
Support
Techno- Middle line
Staff
structure
Operating core

9. Six Basic Parts of the Organization
(Mintzberg p99)

10. Six Basic Parts of the
Organization (Mintzberg p98)
• Operating core: those people who perform the basic
work of producing the products and rendering the
services.
• Middle Line: a hierarchy of authority between the
operating core and the strategic apex.
• Strategic Apex: oversees whole system.
• Technostructure: analysts outside the hierarchy who
perform administrative duties: plan & control.
• Support Staff: provides internal services: cafeteria,
mailroom, legal counsel, PR, etc.
• Ideology: culture; traditions and beliefs of an organization
that distinguishes it from other organizations; it infuses a
certain life into the skeleton of its structure.

11. Assignment
• Analyze the structure of your
organization and conclude which
Structural Configuration according to
Mintzberg is valid here.
• Explain why you conclude this.
• Check Prime Coordinating Mechanism;
• Check Key Part of Organization;
• Check Type of decentralization
• Decide which Structural Configuration seems most appropriate.

12. 7 structural configurations of
organizations (Mintzberg p110 - 237)
Entrepreneurial Start-up Any organization can be a political
organization organization at a stage in its existence.
Machine McDonald’s; Swiss Railroad
organization
Diversified Result of merges: ABN Amro;
organization ING
Adhocracy: no strong hierarchy. Reacts ad hoc
Professional University to impulses: no rigid strategy that can’t be
organization changed. Opposite of Machine Organization.
Innovative = “adhocracy”; Google
organization
Missionary Norms & beliefs in place of
organization standards & procedures;
Toyota
Political Finding order & integration by

13. 7 structural Key Part of
configurations Organization
(Mintzberg p110)
Entrepreneurial Strategic apex
organization
Machine organization Technostructure
Professional Operating core
organization
Diversified Middle line
organization
Innovative Support staff
organization
Missionary Ideology
organization
Political organization None

14. Coor dinating the
Six Basic Par ts
1. Mutual Adjustment: coordination by
informal communication between two
employees.
2. Direct supervision: one person
issues orders/ instructions to several
others.
3. Standardization of work
processes: coordination by
specifying work processes of people
carrying out interrelated tasks.
4. Standardization of outputs:
coordination by specifying results of
different work.
5. Standardization of skills (&
knowledge): different work is
coordinated by offering several
employees the same trainings.
6. Standardization of norms:
everyone functions according to the
same set of beliefs.

15. 7 structural Prime Coordination
configurations Mechanism
(Mintzberg p110)
Entrepreneurial Direct supervision
organization
Machine organization Standardization of work
processes
Professional Standardization of
organization skills
Diversified organization Standardization of
outputs
Innovative organization Mutual adjustment
Missionary Standardization of
organization norms
Political organization None

16. Decentralization: diffusion
of decision-making power.
(Mintzberg p105)
• Centralized: all power rests at a single
point in an organization.
• Decentralized: extent to which power is
dispersed among many individuals.
In case of rapid change, which form would work best,
centralized or decentralized? Why?
What could be advantages of a decentralized
structure?

17. Decentralization:
vertical & horizontal
(Mintzberg p105)
• Vertical
decentralization:
delegation of formal
power down the hierarchy
to line managers.
• Horizontal
decentralization: the
extent to which formal or
informal power is
dispersed out of the line
hierarchy to nonmanagers
(operators, analysts and
support staffers).

18. Decentralization:
selective & parallel
(Mintzberg p105)
• Selective decentralization: the dispersal of
power over different decisions to different
places in the organization.
For example: decisions about communication &
media are made by the communication department.
• Parallel decentralization: the power over
various kinds of decisions is delegated to the
same place.
For example: the communication department is
consulted for almost any decision.

19. 6 types of decentralization
(Mintzberg p105)
1. Vertical & horizontal
centralization: all power rests at
strategic apex.
2. Limited horizontal decentralization
(selective): strategic apex shares
some power with technostructure
that standardized everybody else’s
work.
3. Limited vertical decentralization
(parallel): managers of market-
based units are delegated the power
to control most of the decisions
concerning their line units.

20. 6 types of decentralization
(Mintzberg p105)
4. Vertical & horizontal
decentralization: most of the power
rests at the operating core.
5. Selective vertical and horizontal
decentralization: the power over
different decisions is dispersed to
various places in the organization,
among managers, staff experts, and
operators who work in teams at
various levels in the hierarchy.
6. Pure decentralization: power is
shared more or less equally by all
members of the organization.

21. 6 types of Che
is m ck wh
ost ic
app h typ
decentralization rop e
riate of De
for ce
you ntraliz
(Mintzberg p105) r or a
gan tion
izat
ion.
1. Vertical & horizontal centralization
2. Limited horizontal decentralization
(selective)
3. Limited vertical decentralization
(parallel)
4. Vertical & horizontal decentralization
5. Selective vertical and horizontal
decentralization
6. Pure decentralization

22. 7 structural Type of
configurations Decentralization
(Mintzberg p110)
Entrepreneurial Vertical and horizontal
organization centralization
Machine organization Limited horizontal
decentralization
Professional Horizontal
organization decentralization
Diversified Limited vertical
organization decentralization
Innovative Selected
organization decentralization
Missionary Decentralization
organization
Political organization Varies

23. 7 structural configurations of
organizations (Mintzberg p110)
Configuration Prime Key Part of Type of
Coordination Organization Decentralization
Mechanism
Entrepreneurial Direct supervision Strategic apex Vertical and
organization horizontal
centralization
Machine Standardization of Technostructure Limited horizontal
organization work processes decentralization
Professional Standardization of Operating core Horizontal
organization skills decentralization
Diversified Standardization of Middle line Limited vertical
organization outputs decentralization
Innovative Mutual adjustment Support staff Selected
organization decentralization
Missionary Standardization of Ideology Decentralization
organization norms
Political organization None None Varies

24. 7 structural configurations of
organizations (Mintzberg p110 - 237)
Entrepreneurial Start-up
organization
Machine McDonald’s; Swiss Railroad
organization
Diversified Result of merges: ABN Amro;
organization ING
Professional University
organization
Innovative = “adhocracy”; Google
organization
Missionary Norms & beliefs in place of
organization standards & procedures;
Toyota
Political Finding order & integration by
organization power, not structure

25. Entrepreneurial
organization
(Mintzberg p117)
Structure
Strategy
• Simple, informal, flexible, with
Often visionary process, broadly
little staff or middle-line hierarchy
deliberate but emergent and
• Activities revolving around the flexible in details
chief executive, who controls
Leader positions malleable
personally, through direct
organization in protected niches.
supervision.
Issues
Context
Responsive, sense of mission
• Simple and dynamic
But
environment.
Vulnerable, restrictive
• Strong leadership, sometimes
charismatic, autocratic. Danger of imbalance toward
strategy or operations
• Startup, crisis, and turnaround
• Small organizations, “local
producers”

26. Strategy
Machine organization Ostensibly planning process, but
(Mintzberg p132) that is really strategic
programming
Structure
Resistance to strategic change,
Centralized bureaucracy necessary to overlay innovative
Formal procedures, specialized work, sharp configuration for turnaround
divisions of labor, usually functional groupings, Hence quantum pattern of
extensive hierarchy change: long periods of stability
Key is technostructure, charged with standardizing interrupted by occasional bursts
the work, but clearly separated from middle line of strategic revolution.
Also extensive support staff to reduce uncertaintyIssues
Context Efficient, reliable, precise,
Simple and stable environment. consistent
But
Usually larger, more mature organization.
Rationalized work, rationalizing (but not Obsession with control leads to
automated) technical system Human problems in operating
External control -> instrument form core, leads to
Otherwise can be closed system form. Coordinating problems in
administrative center, leads to
Common in mass production, mass service,
government, organizations in business of control Adaptation problems at strategic
and safety. apex.

27. Strategy
Diversified • Headquarter manages “corporate”
organization strategy as portfolio of businesses,
(Mintzberg p155) divisions manage individual business
strategies.
Structure Issues
• Market based “divisions” loosely • Resolves some problems of integrated
coupled together under central functional structures (spreading risk,
headquarters. moving capital, adding and deleting
• Divisions run business autonomously , businesses, etc.)
subjected to performance control but
system that standardizes their outputs. • Conglomerate diversification sometimes
• Tendency to drive structures of divisions costly and discouraging of innovation;
toward machine configuration, as improvements in functioning of capital
instruments of headquarter. markets and boards may make
Context independent business more effective
than divisions.
• Market diversity, especially of products
and services. • Performance control system risks driving
organization toward socially
• Typically found in largest and most
unresponsive or irresponsible behavior.
mature organizations, especially
business corporations but also, • Despite tendency to use in public sphere,
increasingly government and other dangers there even greater due to non-
public spheres. measurable nature of many goals.

28. Professional
organization
(Mintzberg p174)
Structure Strategy
Bureaucratic yet decentralized, Many strategies, largely fragmented,
dependent on training to standardize the but forces for cohesion too.
skills of its many operating Most made by professional judgment
professionals. and collective choice, some by
Key to functioning is creation of systems administrative fiat.
of pigeonholes within which individual Overall strategy very stable but in
professionals work autonomously, detail continually changing
subject to controls of the profession.
Issues
Minimal technostructure and middle-line
Advantages of democracy and
hierarchy, meaning wide spans of
autonomy
control over professional work, and
large support staff, more machinelike, to But
support the professionals. Problems of coordination between the
Context pigeonholes, of misuse of
professional discretion, of reluctance
Complex yet stable.
to innovate.
Simple technical system.
Public responses to these problems
Often, but not necessarily, service often dysfunctional.

29. Innovative organization
(Mintzberg p198)
Structure
• Fluid, organic, selectively decentralized, Strategy
“adhocracy” • Primarily learning, or “grassroots”
• Functional experts deployed in process.
multidisciplinary teams of staff, operators, • Largely emergent, evolving through a
and managers to carry out innovative variety of bottom-up processes,
projects. shaped rather than directed by
• Coordination by mutual adjustment, management.
encouraged by liaison personnel, • Characteristic cycles of convergence
integrating managers, and matrix structure. and divergence in strategic focus.
Context Issues
• Complex and dynamic environment, • Combines more democracy with less
including high technology, frequent product bureaucracy.
change, temporary and mammoth projects.
• Effective at innovation
• Typically young due to bureaucratic
But
pressure with aging.
• Effectiveness achieved at the price of
• Common in young industries.
inefficiency.
• 2 basic types: 1.operating adhocracy for
• Also human problems of ambiguity
contract project work; 2. administrative
and dangers of inappropriate
adhocracy for own project work.
transition to another configuration.

30. Ideology &
Missionary organization
(Mintzberg p223)
Ideology
Missionary organization
Rich system of values & beliefs • Clear, focused, inspiring,
that distinguishes an
distinctive mission.
organization
• Coordination through
Rooted in sense of mission
standardization of notms
associated with charismatic
(“pulling together”), reinforced by
leadership, developed through
selection, socialization, and
traditions and sagas and then
indoctrination of members.
reinforced through
identifications. • Small units (“enclaves”), loosely
organized and highly
Can be overlaid on conventional
decentralized but with powerful
configuration, most commonly
normative controls.
entrepreneurial, followed by
innovative, professional and then • Reformer, converter, and cloister
machine. forms.
Sometimes so strong that it • Threats of isolation on one side,
evokes its own configuration: assimilation on the other.
The Missionary Organization.

31. Politics & Political organization
(Mintzberg p236)
• “I am no fan of politics in organizations. (…)
politics can be seen as an organizational
illness, working both against and for the
system. On one hand, politics can undermine
healthy processes, infiltrating them to destroy
them. But on the other, it can also work to
strengthen a system, acting like fever to alert
a system to a graver danger (…)”
• “Political activity can be found in every
organization (…).

32. Politics &
Political organization (Mintzberg p237)
Politics Political organization
Means of power technically • Conventional notions of concentrated
illegitimate, often in self-interest, coordination and influence absent, replaced
resulting in conflict that pulls by the play of informal power.
individuals or units apart. • Dimensions of conflict – moderate/ intense,
Expresses itself in political confined/ pervasive, as well as enduring/
games, some coexistent with, brief – combine into 4 forms: confrontation,
some antagonistic to, some that shaky alliance, politicized organization,
substitute for legitimate systems complete political arena.
of power. • Can trace development of forms through life
Usually overload on cycle of impetus, development, resolution of
conventional organization, but the conflict.
sometimes strong enough to • Politics and political organizations serve a
create own configuration: series of functional roles in organizations,
Political Organization. especially to help bring about necessary
change blocked by legitimate systems of
influence.
Do you think that informal communication is more or less relevant in Political
Organizations than in other organizations? What does that mean for the communication
professional?

33. Attraction of organization is
also dependent on context
Context factors (Mintzberg p106-
109)
• Age & Size
• Technical system
• Environment
• Power
Relevant for Communication & Media professionals who
want to promote the organization to employees,
customers, investors, etc.

34. Hypothesis about Context:
Age and Size
Find Age & Size of your organization, and
conclude if these hypotheses are correct.
• The older an organization, the more
formalized its behavior.
• The larger an organization, the more
formalized its behavior.
• The larger an organization, the more elaborate
its structure.
• Structure reflects the age of the industry from
its founding.
Would you like to work at an old, large
organization? Why?

35. Hypothesis about Context:
Technical System
Find out what kind of machines etc. are used in your
organization, and conclude if these hypotheses are correct.
• The more machines control the work of
employees, the more formalized the work &
the more bureaucratic the structure.
• The more complex the machines, the more
elaborate & professional the support staff.
• Automation of the operating core transforms a
bureaucratic administrative structure into an
organic one.
Would you like to work at an organization
dominated by machines? Why?

36. Hypothesis about Context:
Environment
Find out your organization’s markets, political climate, economic
conditions etc., and conclude if these hypotheses are correct.
• The more dynamic an organization’s
environment, the more organic its structure.
• The more complex an organization’s
environment, the more decentralized its structure.
• The more diversified an organization’s markets,
the greater the propensity to split into market-
based units.
• Extreme hostility in its environment drives any
organization to centralize its structure
temporarily. Would you like to work at an organization in a
dynamic, complex environment? Why?

37. Hypothesis about Context:
Power
Find out powers in the environment of the organization,
and conclude if these hypotheses are correct.
• The greater the external control of an
organization, the more centralized and
formalized its structure.
• A divided external coalition will tend to give
rise to a politicized internal coalition.
• Fashion favors the structure of the day (and of
the culture) sometimes even when
inappropriate.
Would you like to work at an organization subject
to strong external powers? Why?

38. Assignment
• Analyze the structure of your organization and
conclude which Structural Configuration
according to Mintzberg is valid here.
• Explain why you conclude this.
• Check Prime Coordinating Mechanism; Check Key Part of Organization;
Check Type of decentralization & decide which Structural Configuration
seems most appropriate.
• Then read the accompanying chapter & conclude to which extent this
Structural Configuration fits – perhaps the organization also has elements of
other Structural Configurations, mention this too.

39. Further reading
Mintzberg, Henry (1989) Mintzberg on
Management, Free Press
• Ch6 Deriving Configurations (20p’s)
• Ch7 The Entrepreneurial Organization (15p’s)
• Ch8 The Machine Organization (21p’s)
• Ch9 The Diversified Organization (19p’s)
• Ch10 The Professional Organization ( 22p’s)
• Ch11 The Innovative Organization (35p’s)
• Ch12 Ideology and the Missionary
Organization (14p’s)
• Ch13 Politics and the Political Organization
(16p’s)