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Org. Structures
Organizational Structures
Term | Definition |
---|---|
Organization | a systematic grouping of individuals which have been brought together to accomplish a common goal |
Systematic Structures | define the various roles of members; set limits on employee work behavior; create rules and regulations; vary widely from organization to organization; adapt to the environment in which an organization is located |
Operative Employees | make up the base level of the pyramid; produce an organization’s goods and services; generally do not manage or oversee the work of other employees |
Supervisors | part of an organization’s management team; oversee the work of operative employees; are the only managers who do not manage other managers; considered first-level managers |
Middle Managers | employees who manage other managers; responsible for establishing and achieving the goals of their specific department or region set by top management |
Top Management | sets an organization’s goals and objectives; develops methods for achieving goals and objectives; is the head of the organization |
The Management Process | refers to accomplishing goals and objectives effectively and efficiently; involves using your resources competently; always has an end goal of achievement; accomplished through a specific organizational structure |
Organizational Structures | arrange and group jobs based on specific tasks in order to enhance efficiency; increase the effectiveness of communication and reporting |
Informal Structures | are laid-back and undefined; involve employees completing tasks which may not always fit their job description; normally found in smaller businesses with fewer employees |
Formal Structures | clearly defined and organized; can be found in any size business |
Work Specialization | occurs when a job is broken down into a number of steps which are each completed by a different individual |
Span of Control | the number of employees a supervisor can direct; varies from supervisor to supervisor |
Chain of Command | the principle in which an employee should have only one supervisor to whom he or she is responsible; decreases conflicting demands and priorities |
Authority | refers to the rights of a supervisory position to give orders; one person’s position over another |
Line Authority | the most straightforward form of authority; gives the supervisor the right to direct the work of his or her employees without consulting others |
Staff Authority | supports line authority; allows others to advise, service and assist the supervisor if needed; allows for input and suggestions from additional staff members, but does not guarantee implementation |
Functional Authority | signifies the rights over individuals outside of an individual’s specific division; breaks the chain of command |
Centralization | occurs when only a select few people at the top of an organization make the decisions |
Decentralization | occurs when decisions are made by the individuals who are the closest to the problem; more conducive to making changes in a process |
Departmentalization | the grouping of individuals into departments based on work functions, product or service, target market, geographic territory and process used to create products |
Simple Structure | non-elaborate structure; has little formalization; has a centralized authority |
Functional Structure | expansion of functional departmentalization; groups employees with similar and related occupational specialties; used as a framework for an entire company |