CHAPTER 7 PART 2 Flashcards
Organizations have narrow spans of control
• Several layers of management between
frontline employees and the top level
• Fewer employees report to each manager
• Greater opportunities for managers to
supervise and monitor employee
activities
Tall Organizations
Organizations have wide spans of control
• Few management layers
• Larger number of employees reporting
to each manager
• Can lead to greater levels of freedom
for each employee
Flat Organizations
The legitimate right to make decisions and tell others what to do.
Authority
A task that an employee is supposed to carry out.
Responsibility
To transfer the assignment of new or additional responsibilities to a subordinate (lower rank)
Delegation
The expectation that employees will perform a
job, take corrective action when necessary, and report their performance.
Accountability
What are the 4 ADVANTAGES OF DELEGATION?
• Leverages managers’ energy and talent
• Conserves managers’ most valuable asset: time
• Develops subordinates’ managerial skills and
knowledge
• Promotes subordinates’ sense of importance and commitment
- Combines two forms of departmentalization
- Functional
- Product
- Dual chain of command
- Specifically, employees reporting to department managers are also pooled together to form project or product teams.
MATRIX STRUCTURE
A collection of independent, mostly single-function firms that collaborate on a good or service
Network organization
Violates the unity of command principle
EXAMPLE: A subordinate should report to a single manager only creating a clear line of authority
Main Disadvantage of the Matrix structure