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Business Ess. Chpt 6
Question | Answer |
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Organizational structure | Specification of the jobs to be done within an organization in the ways in which they relate to one another |
Organization chart | Diagram depicting a company's structure in showing employees where they fit into its operations |
Chain of command | Reporting relationships within a company |
Job specialization | The process of identifying the specific jobs that need to be done in designating the people who will perform them |
Departmentalization | Process of grouping jobs into logical units |
Profit center | Separate company unit responsible for its own cost and profits |
Product departmentalization | Dividing an organization according to specific products or services being created |
Process departmentalization | Dividing an organization according to production processes used to create a good or service |
Functional departmentalization | Dividing an organization according to groups' functions or activities |
Customer departmentalization | Dividing an organization to offer products and meet needs for identifiable customer groups |
Geographic departmentalization | Dividing an organization according to the areas of the country or the worlds served by a business |
Centralized organization | Organization in which most decision-making authority is held by upper-level management |
Decentralized organization | Organization in which a great deal of decision-making authority is delegated to levels of management at points below the top |
Flat organizational structure | Characteristic of decentralized companies with relatively few layers of management |
Tall organizational structure | Characteristic of centralized companies with multiple layers of management |
Span of control | Number of people supervised by one manager |
Delegation | Process through which a manager allocates work to subordinates |
Responsibility | Duty to perform an assigned task |
Authority | Power to make the decisions necessary to complete a task |
Accountability | Obligation employes have to their manager for the successful completion of an assigned task |
Line authority | Organizational structure in which authority flows in a direct chain of command From the top of the company to the bottom |
Line department | Department directly linked to the production and sales of a specific product |
Staff authority | Authority based on expertise that usually involves counseling and advising line managers |
Staff members | Advisers and counselors who help line departments in making decisions but who do not have the authority to make final decisions |
Committee and team authority | Authority granted to committees or teams involved in a firm's daily operations |
Work team | Groups of operating employees who are empowered to plan and organize their own work and to perform that work with the minimum of supervision |
Functional structure | Organization structure in which authority is determined by the relationship between group functions and activities |
divisional structure | organizational structure in which corporate divisions operate as autonomous businesses under the larger corporate umbrella |
Division | department that resembles a separate business in that it produces in markets its own products |
Matrix structure | organizational structure created by superimposing one form of structure onto another |
International organizational structures | approaches to organizational structure developed in response to the need to menu factor, purchase, and sell in global markets |
informal organization | network, unrelated to the firm's formal authority structure, of every day social interactions among company employees |
Grapevine | informal communication network that runs through an organization |
Intrapreneuring | process of creating and maintaining the innovation and flexibility of a small-business environment within the confines of a large organization |