Chapter 7

Question 1

Organization

Answer 1

the order & design of relationships within a company/firm

Question 2

Division of Labor

Answer 2

the process of dividing work into separate jobs and assigning tasks to workers

Question 3

Specialization

Answer 3

the degree to which the tasks are subdivided into small jobs

Question 4

Departmentalization

Answer 4

grouping people, tasks, and resources into organizational units

Question 5

Organization Chart

Answer 5

a visual representation of the structured relationships among tasks and the people given the authority to do those tasks

Question 6

Functional Departmentalization

Answer 6

based on the primary functions performed within an organizational unit; marketing, financing, production, sales, etc.

Question 7

Product Departmentalization

Answer 7

based on the goods or services produced or sold by the organizational unit; outpatient/ER, pediatrists, cardiology, etc.

Question 8

Process Departmentalization

Answer 8

based on the production process used by the organizational unit; lumber cutting, treatment, furniture furnishing, shipping, etc

Question 9

Customer Departmentalization

Answer 9

based on the primary type of customer served by the organizational unit; wholesale or retail purchasers

Question 10

Geographic Departmentalization

Answer 10

based on the geographic segmentation of organizational units; US & Canadian marketing, European, Latin America

Question 11

GBU

Answer 11

Global Business Unit

Question 12

SMO

Answer 12

Selling & Marketing Operations

Question 13

GBS

Answer 13

Global Business Service Division

Question 14

Line Organization

Answer 14

designed with direct, clear lines of authority & communication flowing from the top managers downward

Question 15

Line & Staff Organization

Answer 15

added staff positions to the line organization provided specialized advisory & support services to line managers

Question 16

Line Positions

Answer 16

individuals directly involved in the processes used to create goods & services

Question 17

Staff Positions

Answer 17

individuals who provide administrative & support services that line employees need to achieve the firm’s goals

Question 18

Matrix Structure (Project Management)

Answer 18

combines two different forms of departmentalization, functional & product, that have complementary strengths & weaknesses

Question 19

Committee Structure

Answer 19

authority and responsibilities are held by a group rather than an individual

Question 20

Norm

Answer 20

implicit behavioral guidelines of the group, or the standards for acceptable & unacceptable behavior

Question 21

Group Cohesiveness

Answer 21

the degree to which group members want to stay in the group & tend to resist outside influences

Question 22

Work Groups

Answer 22

share resources & coordinate efforts to help members better perform their individual duties & responsibilities

Question 23

Work Teams

Answer 23

require not only coordination but also collaboration, the pooling of knowledge, skills, abilities, & resources in a collective effort to attain a common goal

Question 24

Problem-Solving Teams

Answer 24

typically made up of employees from the same department or area of expertise & from the same level of organizational hierarchy

Question 25

Self-Managed Work Teams

Answer 25

autonomous groups that are allowed greater responsibilities in decision making, implementing solutions, & monitoring outcomes

Question 26

Cross-Functional Team

Answer 26

made up of employees from the same hierarchical level but different functional areas

Question 27

Managerial Hierarchy (Management Pyramid)

Answer 27

defined by the levels of management within an organization

Question 28

Chain of Command

Answer 28

the line of authority that extends from one level of the organization to the next

Question 29

Unity of Command Principle

Answer 29

everyone reports to & gets instructions from only one boss

Question 30

Authority

Answer 30

Legitimate power, granted by the organization & acknowledged by employees that allow an individual to request action & expect compliance

Question 31

Power

Answer 31

ability to influence others to behave in a particular way

Question 32

Delegation of Authority

Answer 32

makes the employees accountable to their supervisor

Question 33

Accountability

Answer 33

responsibilities for outcomes

Question 34

Span of Control (Management)

Answer 34

the number of employees the manager directly supervises

Question 35

Centralization

Answer 35

the degree to which formal authority is concentrated in one area or level of the organization

Question 36

Decentralization

Answer 36

the process of pushing decision-making authority down the organizational hierarchy

Question 37

Mechanistic Organization

Answer 37

characterized by a relatively high degree of job specialization, rigid departmentalization, many layers of management, narrow spans of control, centralized decision-making, & a long chain of command

Question 38

Organic Organization

Answer 38

characterized by a relatively low degree of job specialization, loose departmentalization, few levels of management, wide spans of control, decentralized decision-making, & a short chain of command

Question 39

Informal Organization

Answer 39

the network of connections & channels of communication-based on the informal relationships of individuals inside the organization

Question 40

Grapevine/Rumor Mill

Answer 40

informal channels of communications used by the informal organization

Question 41

Re-engineering

Answer 41

the complete redesign of business structures and processes in order to improve operations

Question 42

Virtual Corporation

Answer 42

a network of independent companies linked by information technology to share skills, costs, & access to one another’s markets