Robbins Chapter 10

Question 1

Organizational Structure

Answer 1

Formal arrangement of jobs within an org

Question 2

Organizational Chart

Answer 2

Visual representation of an org’s structure

Question 3

Organizational Design

Answer 3

Process that involves decisions about 6 key elements: Work Specialization, Departmentalization, Chain of Command, Span of Control, Centralization and Decentralization, and Formalization

Question 4

Work Specialization aka division of labor

Answer 4

Dividing work activities into separate job tasks

Question 5

Economies and Diseconomies of Work Specialization See: Page 266, Exhibit 10-2

Answer 5

N/A

Question 6

Departmentalization

Answer 6

The basis by which jobs are grouped together

Question 7

5 Common Forms of Departmentalization See: Page 267, Exhibit 10-3

Answer 7

1. Functional, 2. Geographical, 3. Product, 4. Process, 5. Customer

Question 8

Functional Departmentalization

Answer 8

.+ In-depth specialization, - Poor comm across functional areas, - limited view of organizational goals

Question 9

Geographical Departmentalization

Answer 9

.+Serve needs of unique geographic markets better. - Duplication of functions

Question 10

Product Departmentalization

Answer 10

.+ Specialization in particular products and services, - Duplication of Functions

Question 11

Process Departmentalization

Answer 11

.+ More efficient flow of work activities, - Can only be used with certain types of products

Question 12

Director of Sales

Answer 12

.+ Customers’ needs and problems can be met by specialists, - Duplication of functions

Question 13

Cross-functional team

Answer 13

work team composed of indiviudals from various functional specialties

Question 14

Chain of Command

Answer 14

line of authority extending from upper organizational levels to lower levels, which clarifies who reports to whom

Question 15

Authority

Answer 15

The rights inherent in a managerial position to tell people what to do and to expect them to do it

Question 16

Acceptance Theory of Authority

Answer 16

authority comes from the willingness of subordinates to accept it

Question 17

Barnard contended that subordinates /will/ accept orders only if:

Answer 17

1. They understand the order, 2. They feel the order I consistent with the org’s purpose, 3. The order does not conflict with their personal beliefs, 4. They are able to perform the task as directed

Question 18

Line authority

Answer 18

entitles a manager to direct the work of an employee

Question 19

Line manager

Answer 19

Whose organizational function contributes directly to the achievement of organizational objectives

Question 20

Staff manager

Answer 20

has staff authority

Question 21

Staff authority

Answer 21

functions to support, assist, advise, and generally reduce some of their informational burdens

Question 22

Responsibility

Answer 22

Obligation or expectation to perform taken up by employees arising from a manager’s use of his authority to asign work to employees

Question 23

Unity of Command

Answer 23

a person should report to only one manager

Question 24

Span of Control

Answer 24

Number of employees a manager can efficiently and effectively manage

Question 25

Centralization

Answer 25

Degree to which decision making takes place at upper levels of the organization

Question 26

Decentralization

Answer 26

Degree to which lower-level employees provide input or actually make decisions

Question 27

T/F: Centralization-Decentralization is an either-or concept.

Answer 27

False. The decision is relative, not absolute. (Meaning it is not an either-or concept)

Question 28

Note: Effects of Centralization & Decentralization See Page 273 Exhibit 10-7

Answer 28

N/A

Question 29

Employee Empowerment

Answer 29

Gives employees more authority to make decisions

Question 30

Formalization

Answer 30

Refers to how standardized an org’s jobs are and the extent to which employee behavior is guided by rules and procedures

Question 31

T/F: Where formalization is high, emploees have more discretion in how they do their work.

Answer 31

False. That happens when formalization is low.

Question 32

Mechanistic Organization (bureaucracy)

Answer 32

Natural result of combining the six elements of structure. Characterized by having standardized jobs and regulations

Question 33

Organic Organization

Answer 33

Highly adaptive form that is as loose and flexible as the mechanistic organization is rigid and stable. This organization allows it to change rapidly as required. There is division of labor, but the jobs people do aren’t standardized. Employees tend to be professionals that’re technically proficient and trained to handle diverse problems. Low in centralization

Question 34

4 Contingency Variables:

Answer 34

Strategy, Size, Tech, Degree of Environmental Uncertainty

Question 35

Strategy and Structure (Contingency)

Answer 35

Structure and strategy must be closely linked. Example: flexibility and free-flowing info of the organic structure works well when an org is pursuing meaningful and unique innovations

Question 36

Size and Structure (Contingency)

Answer 36

Large orgs tend to have more specialization, departmentalization, centralization, and rules and regulations than small orgs. However, once an org grows past a certain size, size has less influence on structure.

Question 37

Tech and Structure (Contingency) See: Page 276 Exhibit 10-9

Answer 37

Unit Production, Mass Production, Process Production

Question 38

Environmental Uncertainty and Structure (Contingency)

Answer 38

Minimize env. Uncertainty by adjusting the org’s structure. Stable + Simple environments - mechanistic designs can be more effective. Greater uncertainty - more need for the flexibility of an organic design

Question 39

Traditional Organizational Designs See Page 277 Exhibit 10-10

Answer 39

Simple, Functional, Divisional

Question 40

Simple Structure

Answer 40

Organizational design with low departmentalization, wide spans of control, centralized authority, and little formalization

Question 41

Functional Structure

Answer 41

Organizational design that groups similar or related occupational specialties together. Can be thought of as functional departmentalization applied to the entire org

Question 42

Divisional Structure

Answer 42

Organizational structure made up of separate business units/divisions. Each division has limited autonomy.