Chapter 8: Organization Structure Flashcards

1
Q

organization chart/organogram depicts three things

A
  1. depicts the formal position in the firm
  2. depicts lines or authority
  3. where decision making resides
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2
Q

Alfred D. Chandler (1962) said that org. structure follows what..?

A

structure follows strategy

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3
Q

differentiation in regards to organization structure

A

aspect of organization’s internal environment created by job specialization and division of labor

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4
Q

what is the division of labor

A

work subdivided into smaller tasks

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5
Q

whats specialization

A

different ppl perform specific parts of a task

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6
Q

whats integration

A

the differentiated units are put back together so that work is coordinated into an overall product

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7
Q

whats coordination

A

link the various parts of the organization to achieve the organization’s mission

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8
Q

what’re the three types of interdependence

A
  1. sequential
  2. reciprocal
  3. pooled
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9
Q

what is a sequential interdependence example

A

auto assembly line

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10
Q

what is reciprocal interdependence example

A

hospital operating table

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11
Q

whats a pooled interdependence example

A

banking, since each area works interdependently

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12
Q

authority

A

right to make decisions

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13
Q

what does authority reside in, person or position?

A

position

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14
Q

board of directors

A

-make major decisions

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15
Q

what governs a board of directors

A

charter and bylaws

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16
Q

what does CEO stand for

A

chief executive officer

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17
Q

what is a CEO accountable to

A

the board of directors and/or president

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18
Q

what happens in firms that have top management teams

A

CEO’s do not make major decisions, but they rather meet w/ the TMT to make decisions as a unit

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19
Q

what’re the 3 hierarchical levels

A

top, middle, lower

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20
Q

organization chart

A

reporting structure and division of labor in an org.

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21
Q

differentiation

A

many diff units that work on diff kinds of tasks, using diff skills and diff work methods

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22
Q

integration

A

degree to which differentiated work units work together and coordinate their efforts

23
Q

span of control

A

refers to number of subordinates who report directly to a supervisor

24
Q

operating core

A

individuals producing the goods or services: production workers

25
Q

strategic apex

A

top level mgmt responsible for overall effectiveness of the org: prez, CEO, VP

26
Q

middle line

A

Connects apex to operating core, are in the chain of command: President, CEO, VPs

27
Q

technological staff

A

ppl who design the work, plan it, train workers: fin./acct. analysts, engineers, IT, HR

28
Q

support staff

A

provides services to org to assist function, but not directly related to organizational mission, Custodians, mailroom staff, security

29
Q

do organizations with narrow (small) spans of control have flat or tall structures

A

taller structures

30
Q

do organizations with wide (large) spans of control have flat or tall structures

A

flatter structures

31
Q

characteristics of a centralized organization

A

top mgmt teams make most decisions, high level execs make most decisions and pass them down to lower levels for implementation

32
Q

characteristics of a decentralized organization

A

low level managers also make decisions

33
Q

line departments

A

deal w/ primary goods and services

34
Q

example of line departments

A

a sales department

35
Q

staff department

A

support line departments

36
Q

staff department example

A

HRM

37
Q

functional structure

A

structured around function/specialized activities such as production, marketing, and human resources

38
Q

divisional structure

A

departments around products, customers or regions

39
Q

matrix structure

A

org. composed of dual reporting relationships in which some managers report to 2 superiors, those two being a functional manager and a divisional manager

40
Q

hybrid structure

A

consists of a combination of the different structures

41
Q

network structure

A

collection of independent, single function firms that collaborate on a good or service

42
Q

standardization

A

establishing common rules and procedures, apply to all

43
Q

formalization

A

presence of rules and regulations governing how ppl in organizations interact

44
Q

coordination by plan

A

interdependent units contribute to a common goal

45
Q

coordination by mutual adjustment

A

feedback and discussions to jointly figure out how to approach problems and devise solutions that are agreeable to everyone

46
Q

unity of command principle

A

employees must have one and only one boss

47
Q

span of control principle

A

theres a finite number of ppl a manager can supervise effectively

48
Q

chain of command/scalar principle

A

there is a chain that connects ppl up and down the organizational hierarchy

49
Q

communication in chain of command or scalar principle

A

communication must go thru everyone in the chain

50
Q

authority-responsibility principle

A

manager has the right and obligation to…

  1. make decisions
  2. use resources
51
Q

in authority-responsibility principle what must the manager report

A

report and justify outcomes to those above

52
Q

delegation-accountability principle

A

when transferring authority and responsibility to subordinates, the accountability remains w/ the delegator

53
Q

Peter principle

A

in most organizations ppl tend to be promoted to their level of incompetence