Chapter 8

Question 1

Organizational process

Answer 1

Collection of activities that transform inputs into outputs

Question 2

Departmentalization

Answer 2

Subdividing work and workers into separate units

Question 3

Functional departmentalization

Answer 3

Organizing work and workers into separate units based on functions

Question 4

Product departmentalization

Answer 4

Organizing work and workers into separate units based on products or services

Question 5

Customer departmentalization

Answer 5

Organizing based on responsibility of certain type of customers

Question 6

Geographic departmentalization

Answer 6

Organizing work based on responsibility of doing business in particular geographic areas

Question 7

Chain of command

Answer 7

Vertical line of authority that clarifies who reports to whom throughout the organization

Question 8

Span of control

Answer 8

The number of individuals who report directly to a manager

Question 9

Unity of command

Answer 9

A management principle that workers should report to just one boss

Question 10

Line authority

Answer 10

The right to command immediate subordinates in the chain of command

Question 11

Staff authority

Answer 11

The right to advise, but not command, others who are subordinates in the chain

Question 12

Line function

Answer 12

An activity that contributes directly to creating or selling the company products

Question 13

Staff function

Answer 13

An activity that does not contribute directly to creating or selling products

Question 14

Delegation of authoority

Answer 14

Giving an assignment to a subordinate that a manager is normally responsible for

Question 15

Centralization of authority

Answer 15

Authority at upper levels of the organization

Question 16

Decentralization

Answer 16

Authority at the lower levels of the organization

Question 17

Standardization

Answer 17

Solving problems using the same rules and procedures

Question 18

Job design

Answer 18

The number, kind and variety of tasks that individual workers perform in their jobs

Question 19

Job specialization

Answer 19

A job composed of a small part of a larger task or process

Question 20

Job rotation

Answer 20

Periodically moving workers from one specialized job to another to give them variety

Question 21

Job enlargement

Answer 21

Increasing the number of different tasks that a worker performs

Question 22

Re-engineering

Answer 22

Fundamental rethinking and redesign for improvements

Question 23

Pooled interdependence

Answer 23

Each job contributing to the whole

Question 24

Outsourcing

Answer 24

Obtaining goods and services from an outside supplier

Question 25

Business process outsourcing (BPO)

Answer 25

Contacting operations of a specific business process to a third-party service provider