Management Ch. 6

Question 1

Organizational Structure

Answer 1

specification of the jobs to be done within an organization and the ways in which they relate to one another

Question 2

Organization Chart

Answer 2

diagram depicting a company’s structure and showing employees where they fit into its operations

Question 3

Chain of Command

Answer 3

reporting relationships within a company

Question 4

Job Specialization

Answer 4

the process of identifying the specific jobs that need to be done and designating the people who will perform them

Question 5

Departmentalization

Answer 5

process of grouping jobs into logical units

Question 6

Profit Center

Answer 6

separate company unit responsible for its own costs and profits

Question 7

Functional Departmentalization

Answer 7

dividing an organization according to groups’ functions or activities

Question 8

Product Departmentalization

Answer 8

dividing an organization according to

specific products or services being created

Question 9

Customer Departmentalization

Answer 9

dividing an organization to offer products and meet needs for identifiable customer groups

Question 10

Geographic Departmentalization

Answer 10

dividing an organization according to the areas of the country or the world served by a business

Question 11

Centralized Organization

Answer 11

organization in which most decisionmaking authority is held by upper-level management

Question 12

Decentralized Organization

Answer 12

organization in which a great deal of decision-making authority is delegated to levels of management at points below the top

Question 13

Flat Organizational Structure

Answer 13

characteristic of decentralized companies

with relatively few layers of management

Question 14

Tall Organizational Structures

Answer 14

characteristic of centralized companies with multiple layers of management

Question 15

Span of Control

Answer 15

number of people supervised by one

manager

Question 16

Delegation

Answer 16

process through which a manager allocates

work to subordinates

Question 17

Responsibility

Answer 17

duty to perform an assigned task

Question 18

Authority

Answer 18

power to make the decisions necessary to complete a task

Question 19

Accountability

Answer 19

obligation employees have to their manager for the successful completion of an assigned task

Question 20

Line Authority

Answer 20

organizational structure in which authority flows in a direct chain of command from the top of the company to the bottom

Question 21

Line Department

Answer 21

department directly linked to the

production and sales of a specific product

Question 22

Staff Authority

Answer 22

authority based on expertise that usually
involves counseling and advising line
managers

Question 23

Staff Members

Answer 23

advisers and counselors who help line departments in making decisions but who do not have the authority to make final decisions

Question 24

Committee and Team Authority

Answer 24

authority granted to committees or teams involved in a firm’s daily operations

Question 25

Work Team

Answer 25

groups of operating employees who are empowered to plan and organize their own work and to perform that work with a minimum of supervision

Question 26

Functional Structure

Answer 26

organization structure in which authority is determined by the relationships between group functions and activities

Question 27

Divisional Structure

Answer 27

organizational structure in which corporate divisions operate as autonomous businesses under the larger corporate umbrella

Question 28

Division

Answer 28

department that resembles a separate business in that it produces and markets its own products

Question 29

Matrix Structure

Answer 29

organizational structure created by
superimposing one form of structure onto
another

Question 30

International Organizational Structures

Answer 30

approaches to organizational structure developed in response to the need to manufacture, purchase, and sell in global markets

Question 31

Informal Organization

Answer 31

network, unrelated to the firm’s formal
authority structure, of everyday social
interactions among company employees

Question 32

Grapevine

Answer 32

informal communication network that runs through an organization

Question 33

Intrapreneuring

Answer 33

process of creating and maintaining the innovation and flexibility of a smallbusiness environment within the confines of a large organization