Chapter 7 Flashcards
The development of organizational resources to achieve strategic goals.
Organization
Framework in which the organization defines how tasks are divided.
Organization structure
Visual representation of the organization’s structure
Organization chart
Degree to which organizational tasks are subdivided to individual jobs, also called division of labor
Work specialization
Unbroken line of authority that links all individuals in the organization.
Chain of command
Formal and legitimate right of a manager to make decisions, issue orders and allocate resources.
Authority
Duty to perform the task that has been assigned.
Resposibility
The fact that people with different levels of authority and resposibility are subject to reporting their outcomes to those above them in the chain of command.
Accountability
Process managers use to transfer A-R to those below them in the chain of command.
Delegation
Form of authority in management in which individuals have the formal power to control immediate subordinates.
Line authority
Form of authority given to staff specialists in their area expertise.
Staff authority
Number of employees reporting to a supervisor, also called span of control.
Span of management
Management structure characterized by a narrow span of management and a large number of hierarchical levels.
Tall structure
Management structure characterized by a broad span of management and a small number of hierarchical levels.
Flat structure
Location of decision near top organizational levels.
Centralization
Location of decision near lower organizational levels.
Descentralization
The basis on which individuals are grouped into departments and the departments into the total organization.
Departamentalization
The grouping of positions into departments based on similar skills.
Functional structure
Organization structure in which departments are grouped based on similar organizational outputs.
Divisional structure
Organization structure that uses functional and divisional chains of command simultaneously in the same part of the organization.
Matrix approach
Employees that report to two supervisors simultaneously.
Two-boss employees
The product or functional boss responsible for one side of the matrix.
Matrix boss
Overseer of both the product and fucntional chain of command, responsible for the entire matrix.
Top leader
A group of employees from various functional departments that meet a team to resolve mutual problems.
Cross-functional team
A group of participants from several functions who are permanently assigned to solve ongoing problems of common interests.
Permanent team
Structure in which the entire organization is made up of horizontal teams that coordinate their activities and work directly with customers.
Team-based structure
Organization structure that disaggregates major functions to separate companies that are brokered by small headquarters.
Virtual network structure
The process by which a manufacturing company uses outside suppliers to provide large components of the product, which are assembed to a final product by a small group of workers.
Modular approach
The quality of collaboration across departments.
Coordination
Temporary team or comitee formed to solve a specific short term problem involving several departments.
Task force
A person responsible for coordinating the activities of several departments on a full time basis for the completion of an specific project.
Project manager
Radical redesign of business process to achieve dramatic improvements in cost, quality, service, speed, etc.
Reengineering
An organized group of related tasks and activities that work together to transform inputs into outputs and create value.
Process
