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Describe three of the factors that must be considered by managers when designing an organizational structure. Explain how each factor contributes to the flexibility of the organization.
Union Contracts
Legally binding agreements between employers and a body of employees represented by a union, detailing workers' salaries, benefits, and working conditions.
Currently Attainable Standards
Benchmarks or goals that can be achieved under current operating conditions and capabilities, used for measuring performance and improvement.
Production Difficulties
Challenges encountered during the manufacturing or production process that can lead to delays, increased costs, or reduced quality of the finished product.
Direct Labor Standard
A benchmark for the amount of labor directly involved in producing a unit of output, used for budgeting and measuring efficiency.
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