Chapter 7 Flashcards
The reporting structure and division of labor in an organization
Organization chart
A form of organization that seeks to maximize internal efficiency
Mechanistic organization
An organizational form that emphasizes flexibility
Organic structure
An aspect of the organization’s internal environment created by job specialization and the division of labor
Differentiation
The degree to which differentiated work units work together and coordinate their efforts
Integration
The assignment of different tasks to different people or groups
Division of labor
A process in which different individuals and units perform different tasks
Specialization
The procedures that link the various parts of an organization to achieve the organization’s overall mission
Coordination
The legitimate right to make decisions and to tell other people what to do
Authority
The number of subordinates who report directly to an executive or supervisor
Span of control
The assignment of new or additional responsibilities to a subordinate
Delegation
The assignment of a task that an employee is supposed to carry out
Responsibility
The expectation that employees will perform a job, take corrective action when necessary, and report upward on the status and quality of their performance
Accountability
An organization in which high level executives make most decisions and pass them to lower levels for implementation
Centralized organization
An organization in which lower-level managers make important decisions
Decentralized organization
Units that deal directly with the organizations primary goods and services
Line departments
Units that support line department
Staff departments
Subdividing an organization into smaller subunits
Departmentalization
Departmentalization around specialized activities such as production, marketing and human resources
Functional organization
Departmentalization that groups units around products, consumers, or geographic regions
Divisional organization
An organization composed of dual reporting relationships in which some managers report to 2 supervisors – a functional manager and a divisional manager
Matrix organization
A structure in which each worker reports to one boss, who in turn reports to one boss
Unit-of-command principle
A collection of independent mostly single function firms that collaborate on a good or service
Network organization
Advantages of Delegation
Leverages manager’s energy and talent, conserves managers’ most viable asset: time, develops managerial skills and knowledge in subordinates, promotes subordinates’ sense of importance and commitment to organization
Three basic approaches to departmentalization
Functional, divisional, and matrix