Chapter 4 Flashcards
Differentiation
The process by which an organization allocates people and resources to organizational tasks and establishes the task and authority relationships that allow the organization to achieve its goals
Division of Labor
The process of establishing and controlling the degree of specialization in the organization
Organizational role
The set of task-related behaviors required of a person by his or her position in an organization
Authority
The power to hold people accountable for their actions and to make decisions concerning the use of organizational resources
Control
The ability to coordinate and motivate people to work in the organization’s interests
Function
A subunit composed of a group of people, working together, who possess similar skills or use the same kind of knowledge, tools, or techniques to perform their jobs
Division
A subunit that consists of a collection of functions or departments that share responsibility for producing a particular good or service
Support functions
Functions that facilitate an organization’s control of its relations with its environment and its stakeholders
Production functions
Functions that manage and improve the efficiency of an organization’s conversion process so more value is created
Maintenance functions
Functions that enable an organization to keep its departments in operation
Adaptive functions
Functions that allow an organization to adjust to changes in the environment
Managerial functions
Functions that facilitate the control and coordination of activities within and among departments
Hierarchy
A classification of people according to authority and rank
Vertical differentiation
The way an organization designs its hierarchy of authority and creates report relationships to link organizational roles and subunits
Horizontal differentiation
The way an organization groups organizational tasks into roles and roles into subunits (functions & divisions)