Chapter 8 Flashcards
Organizational process
Collection of activities that transform inputs into outputs
Departmentalization
Subdividing work and workers into separate units
Functional departmentalization
Organizing work and workers into separate units based on functions
Product departmentalization
Organizing work and workers into separate units based on products or services
Customer departmentalization
Organizing based on responsibility of certain type of customers
Geographic departmentalization
Organizing work based on responsibility of doing business in particular geographic areas
Chain of command
Vertical line of authority that clarifies who reports to whom throughout the organization
Span of control
The number of individuals who report directly to a manager
Unity of command
A management principle that workers should report to just one boss
Line authority
The right to command immediate subordinates in the chain of command
Staff authority
The right to advise, but not command, others who are subordinates in the chain
Line function
An activity that contributes directly to creating or selling the company products
Staff function
An activity that does not contribute directly to creating or selling products
Delegation of authoority
Giving an assignment to a subordinate that a manager is normally responsible for
Centralization of authority
Authority at upper levels of the organization
Decentralization
Authority at the lower levels of the organization
Standardization
Solving problems using the same rules and procedures
Job design
The number, kind and variety of tasks that individual workers perform in their jobs
Job specialization
A job composed of a small part of a larger task or process
Job rotation
Periodically moving workers from one specialized job to another to give them variety
Job enlargement
Increasing the number of different tasks that a worker performs
Re-engineering
Fundamental rethinking and redesign for improvements
Pooled interdependence
Each job contributing to the whole
Outsourcing
Obtaining goods and services from an outside supplier