Chapter 30 Flashcards
What is organizational structure
The formal pattern of how people and jobs are grouped in an organization.
What is organization design
The decisions and actions that result in organizational structure.
What is organizational chart
The organizational chart is a visual representation of this division, grouping and coordination.
What is division of labour
- Horizontal differentiation
- Vertical differentiation
- Personal differentiation
What is chain of command
Describes reporting relationship
What is span of control
The number of subordinates reporting to a manager. It can result in ‘tall’ or ‘fat’ organization structure.
What is centralization
Decisions are made only by those few at the top of the organization
What is decentralization
Decision-making responsibility is delegated to people at all levels in the organization.
What are 3 types of organizational design model
- Mechanistic structure
- Organic structure
- Matrix model
What is unity of command
Only one direct supervisor
What is formalization
The degree to which jobs within the organization are standardized.
What is mechanistic model
The type of organization design that emphasize the importance of production and efficiency. It is highly formalize, centralized and complex.
What is organic model
The organizational design that emphasize the importance of adaptability and development. It is relatively informed, decentralized and simple.
What is matrix model
An organizational design that superimpose the product or project-based design on an existing function-based design
What are signs of decline
- Tolerance for incompetence
- Excess personals
- Cumbersome administrative work
- Disproportionate staff power
- conflicts
- unclear goals
- loss of effective communication
- Outdated organizational structure
- Low moral
- Decreased innovation