In his 1979 book, The Structuring of Organizations, Henry Mintzberg classified organizational structures into four organizational types, depending on the complexity of the organization’s operations, and the pace of change it needs to accommodate. He later added two more.

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The Nature of Organizations
This video is part of course module number 6.1.2
Program 6: Managing within Organizations
Course 1: The Nature of Organizations
Section 2: Organizational Models


Other videos in this section include:
Edgar Schein's Two Organizational Cultures    • What are Edgar Schein's Two Organizat...  
Charles Handy's Gods of Management    • What are Charles Handy's Gods of Mana...  
Charles Handy's Shamrock Organization    • What is Charles Handy's Shamrock Orga...  
Charles Handy's Federal Organization Model    • What is Charles Handy's Federal Organ...  
Charles Handy's TripleI Company    • What is Charles Handy's TripleI Comp...  
The Matrix Organization Model    • What is the Matrix Organization Model?  
Peter Senge's Learning Organization    • What is Peter Senge's Learning Organi...  
Adhocracy    • What is the Adhocracy Organizational ...  
The Agile Organization    • What is The Agile Organization?  
Brian Robertson's Holacracy    • What is Brian Robertson's Holacracy O...  
Virtual Organizations    • What are Virtual Organizations?  

LESSON NOTES
Machine Bureaucracy
The most ‘traditionallooking’ structure is the machine bureaucracy.
Rigid hierarchical structure
Rules to follow
Communication follows a structure and adheres to reporting lines
Decisionmaking at the top of the organization
Professional managers rule the organization

Examples are big manufacturing businesses.
This structure can work in many configurations:
• Functional
• Brand or product
• Federal organization of operating companies

Professional Bureaucracy
Services rather than products
Processes and procedures need more flexibility
Leadership still controls quality and process
Examples: professional services firms and Government departments.

Entrepreneurial Startup
Need to adapt and change quickly, so a rigid structure just won’t work
Owners and investors want to stay in charge and make all the decisions
Centralized but able to restructure quickly and nimbly
Structures often flat, with one or two layers between the CEO and the individual producers
Small, informal, loose allocation of roles
Strong leadership from a single person

Adhocracy
Projects come together, adopt whatever structure they need, and morph as the project evolves
High degree of selfdirection among highly competent team members
Coordination comes not through the structure, but by effective communication between people

Mintzberg has visited this topic again, in 1989, in Mintzberg on Management https://geni.us/t2lB3. Here, he identified six archetypical organizational models, adding:

Diversified Organizations
Echoes Charles Handy’s Federal Organization    • What is Charles Handy's Federal Organ...  
Create a central administrative function to serve a range of operating units that are more or less autonomous. The degree of autonomy seems to vary in cycles with the current cycle creating a high degree of centralisation.

Missionary Organizations
Driven by a single, clear mission that provides
• the basis for every strategic choice and
• the motivation for employees
Charities and NGOs often fit this description


RECOMMENDED EXERCISE
1. Consider your current organization. Which of Mintzberg's 6 organizational types best describes it? (2 MC CPD Points)
2. Repeat your assessment for each organization you have worked for. (2 MC CPD Points each)

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RECOMMENDED READING
Understanding Organizations https://geni.us/oB774Do
Images of Organization https://geni.us/hrOemEs
Inside Organizations: 21 Ideas for Managers https://geni.us/YwwL
Gods of Management: The Four Cultures of Leadership https://geni.us/bpPeC5


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