Chapter 9 - Terms Flashcards
Organizational structure
the vertical and horizontal configuration of departments, authority, and jobs within a company
Organizational process
the collection of activities that transforms inputs into outputs that customers value
Departmentalization
subdividing work and workers into separate organizational units responsible for completing particular tasks
Functional departmentalization
organizing work and workers into separate units responsible for particular business functions or areas of expertise
Product departmentalization
organizing work and workers into separate units responsible for producing particular products or services
Customer departmentalization
organizing work and workers into separate units responsible for particular kinds of customers
Geographic departmentalization
organizing work and workers into separate units responsible for doing business in particular geographic areas
Matrix departmentalization
a hybrid organizational structure in which two or more forms of departmentalization, most often product and functional, are used together
Simple matrix
a form of matrix departmentalization in which managers in different parts of the matrix negotiate conflicts and resources
Complex matrix
a form of matrix departmentalization in which managers in different parts of the matrix report to matrix managers, who help them sort out conflicts and problems
Authority
the right to give commands, take action, and make decisions to achieve organizational objectives
Chain of command
the vertical line of authority that clarifies who reports to whom throughout the organization
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 not subordinates in the chain of command
Line function
an activity that contributes directly to creating or selling the company’s products
Staff function
an activity that does not contribute directly to creating or selling the company’s products but instead supports line activities
Delegation of authority
the assignment of direct authority and responsibility to a subordinate to complete tasks for which the manager is normally responsible
Centralization of authority
the location of most authority at the upper levels of the organization
Decentralization
the location of a significant amount of authority in the lower levels of the organization
Standardization
solving problems by consistently applying the same rules, procedures, and processes
Job design
the number, kind, and variety of tasks that individual workers perform in doing 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 more variety and the opportunity to use different skills