Fundamentals of Organizing
        We often begin to describe a firm’s structure by looking at its organization chart . The organization chart depicts the positions in the firm and the way they are arranged or the reporting structure and division of labor in an organization. Although the organization chart presents some important structural features,other design issues related to structure-while not so obvious-are no less significant. Two fundamental concepts around which organizations structured are differentiation and integration.

Differentiation means that the organization is composed of many different units that work on different kinds of tasks, using different skills and work methods.
Integration means that these differentiated units are put back together so that work is coordinated into all overall product.

B.      The Vertical Stucture


Authority in Organization the functioning of of every organization depends on the use of authority, the legitimate right  to make decision and to tell other people what to do.
Hierarchical Levels  is the authority levels of the organizational pyramid. The keys responsibilities at this top level include corporates governance- a term describing the oversight of the firm by its executive staff and board of director.
Span of Control  is the number of subordinates who report to directly to an executives or supervisor. This number varies with the type of work : complex, variables work reduces it to six, whereas routine, fixed work increases it to twenty or more.
Delegation is the assignment of the authority and responsibility to a subordinate at a lower level. Delegation is perhaps the most fundamental feature of management because it entails getting work done through others.
Decentralization Decentralized organizstion is an organization in which lower-level managers make important decision.

C.      The Horizontal Structure


The Functional Organization : In a functional organization, jobs are specialized and grouped according to business function and the skills they require: production, marketing, human resources, research and development, finance, accounting, and so forth.
The Division Organization : The discussion of a functional structure’s weakness leads us to the divisonal organization. Divisonal organization is departmentalization that groups units around products, customers, or geographic regions.
The Matrix Organization : A matrix organization is a hybrid form of organization in which functional and divisional forms overlap. Managers and staff personnel report two bosses- a functional manager and divisional manager.
The Network Organization : is a collection of independent, mostly singel-function firms that collaborate on a good or service. It’s describe the web of relationship among many firms. The network organization are flexibel arrangement among designers, suppliers, producers, distibutors, and customers where each firm is able to pursue its own distinctive competence.

D.     Organizational Integration


Coordination by Standardization : Standardization constrain actions and integrates various units by regulating what people do. To improve coordination, organizations may also rely on formalization-the presence of rules nad regulations governing how people in the organization interact.
Coordination by Plan : Interpendent units are required to meets deadlines and objectives that contribute to common goal. Interpendent units are free to modify and adapth their actions as long as they meet the deadlines and target required for working with others.
 Coordination by Mutual Adjustment : Coordination by mutual adjustment involves feedback and discussion to joinly figure out how to approach problems and devise solutions that are agreable to everyone.
Coordination and Communication : Huge amounts of organizations flow from the external environment to the organization and back to the environment. To function effectively, organizations needs to develope structures for processing in