Organizational Structure and its Nature Flashcards
process of blending human and material resources through formal structure of tasks and authority.
Organizing
(organizational structure) clears issues related to authority rights, responsibilities, and reporting relationships.
Vertical Structure
refers to the departmentalization of an organization into smaller work units as tasks become increasingly varied and numerous.
Horizontal Structure
collection of independent, usually single function organizations/companies that work together in order to produce a product or service.
Network Structure
deals directly with the firm’s primary goods and services; responsible for manufacturing, selling and providing services to clients.
Line Department
support the activities of the line departments by doing research, attending to legal matters, performing public relations duties, etc.
Staff Department
where the subdivisions are formed based on specialized activities such as marketing, production, financial management and human resource management.
Functional Approach
where departments are formed based on management of their products, customers or geographic areas covered.
Divisional Approach
hybrid form of departmentalization where managers and staff personnel report to the superiors, the functional manager and divisional manager.
Matrix Approach