1. Chapter 8 Organizing the Business

2. Figuring Out Organizational Structure • Make strategic plans for the company • Decide what work needs to be done • Divide up the tasks • Job specialization – Adam Smith • Hire more workers as the business grows. What are the problems inherent in this?

3. Figuring Out Organizational Structure • Departments • Set up to handle similar tasks • What are the functions of the organization? • Assigning responsibility

4. The Organizational Chart • A blueprint for how things get done in a company • Microsoft’s organizational chart • A standard organizational chart • Shows tasks, responsibilities, and hierarchy.

5. On Board – Different Organizational Structures

6. Why Are Today’s Organizations So Big?? • Mass production • Economies of scale • Organizational Theory • Henri Fayol (1841-1925), functions of mgrs • One boss, hierarchy, organization is most important, order, pride, clear communication • Max Weber (1864-1920), sociologist • Manager should have the power, job descriptions, everything in writing