Organizational Structure Flashcards
What shows the jobs in the firm and how they are arranged (who reports to who)?
Organizational Chart
What is it called when the organization is composed of many different units that work on different kinds of tasks, using different skills and work methods?
differentiation
What is the degree to which differentiated work units work together and coordinate their efforts called?
integration
What is it called when the work of the organization is subdivided into smaller tasks?
Division of labor
What are the procedures that link the various parts of an organization for the purpose of achieving the organization’s overall mission called?
coordination
What is the legitimate right to make decisions and tell other people what to do called?
Authority
What are the authority levels of the organizational pyramid called?
hierarchy
What does CFO stand for?
Chief Financial Officer
What is the expectation that employees will perform a job, take corrective action when necessary, and report upward on the status and quality of their performance called?
Accountability
What deals with actual structure of an organization and departmentalization?
Horizontal structure
What deals with issues of authority, reporting relationships and responsibility?
Vertical structure
What is subdividing an organization into smaller subunits called?
Departmentalization
What are the three basic approaches to departmentalization?
Functional, divisional, and matrix
What type of departmentalization has jobs that are specialized and grouped according to traditional business functions and the job skills they require?
Functional
What type of departmentalization groups units around products, customers, or geographic location?
Divisional
What type of departmentalization is a hybrid form of organization in which functional and divisional forms overlap and have a duel line of command?
Matrix
What is a person who assembles and coordinates participants in a network called?
Broker
What type of departmentalization is a collection of independent, mostly single-function firms that collaborate to produce a good/service called?
Network Organization
What type of executive is in charge of IT strategy and development?
Chief Information Officer (CIO)
What is a typical control system that has four major steps?
The control cycle
Setting performance standards, measuring performance, comparing performance against the standards and determining deviations, and taking action to correct problems and reinforce success are the four steps of what?
The control cycle
What are the three approaches to Bureaucratic control?
feedforward, concurrent, and feedback
Which approach to bureaucratic control is used before operations begin, including policies, procedures, and rules designed to ensure that planned activities are carried out properly?
Feedforward control
Which approach to bureaucratic control is used while plans are carried out, including directing, monitoring, and fine-tuning activities as they are performed?
Concurrent control
Which approach to bureaucratic control focuses on the use of information about previous results to correct deviations from the acceptable standard?
Feedback control
- Establish valid performance standards
- Provide adequate information to employees
- Ensure acceptability to employees
- Encourage open communication
- Use multiple approaches
are all what?
5 steps to designing effective control systems
What uses formal rules and standards, hierarchy, and legitimate authority and works best where tasks are clear and workers are independent?
Bureaucratic control
What uses prices, competition, profit centers, and exchange relationships and works best where tangible outputs are specified and markets can be established between parties?
Market control
What uses culture, shared values, beliefs, expectations, and trust and works best where there is no one “best way” to do a job and employees are empowered to make decisions?
Clan control
What is any process that directs the activities of individuals toward the achievement of organizational goals called?
control
What is the assignment of new or additional responsibilities to a subordinate called?
delegation
What are decisions that are made at higher levels and passed down the organization called?
centralized
What are decisions that are made at the lower management levels of the organization called?
decentralized
What is a formal relationship created among independent organizations with the purpose of joint pursuit of mutual goals called?
strategic alliance
What is an organization skilled at creating, acquiring, and transferring knowledge, and at modifying its behavior to reflect new knowledge and insights called?
Learning organization
What is an organization in which top management ensures that there is consensus about the direction in which the business is heading called?
High-involvement organization
What is establishing common routines and procedures that apply uniformly to everyone called
standardization
What is the presence of rules and regulations governing how people in the organization interact called?
formalization
What is the fourth step to the control cycle?
taking action to correct problems and reinforce success
What is the first step in the control cycle?
Setting performance standards
What is the third step in the control cycle?
comparing performance against the standards and determining deviations
What is the second step in the control cycle?
measuring performance
