Chapter 8: Organization Structure Flashcards
organization chart/organogram depicts three things
- depicts the formal position in the firm
- depicts lines or authority
- where decision making resides
Alfred D. Chandler (1962) said that org. structure follows what..?
structure follows strategy
differentiation in regards to organization structure
aspect of organization’s internal environment created by job specialization and division of labor
what is the division of labor
work subdivided into smaller tasks
whats specialization
different ppl perform specific parts of a task
whats integration
the differentiated units are put back together so that work is coordinated into an overall product
whats coordination
link the various parts of the organization to achieve the organization’s mission
what’re the three types of interdependence
- sequential
- reciprocal
- pooled
what is a sequential interdependence example
auto assembly line
what is reciprocal interdependence example
hospital operating table
whats a pooled interdependence example
banking, since each area works interdependently
authority
right to make decisions
what does authority reside in, person or position?
position
board of directors
-make major decisions
what governs a board of directors
charter and bylaws
what does CEO stand for
chief executive officer
what is a CEO accountable to
the board of directors and/or president
what happens in firms that have top management teams
CEO’s do not make major decisions, but they rather meet w/ the TMT to make decisions as a unit
what’re the 3 hierarchical levels
top, middle, lower
organization chart
reporting structure and division of labor in an org.
differentiation
many diff units that work on diff kinds of tasks, using diff skills and diff work methods