MGT 330 Chap. 8 – Organization Structure – Flashcards
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organization chart
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The reporting structure and division of labor in an organization.
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differentiation
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An aspect of the organization's internal environment created by job specialization and the division of labor.
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integration
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The degree to which differentiated work units work together and coordinate their efforts.
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division of labor
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The assignment of different tasks to different people or groups.
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specialization
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A process in which different individuals and units perform different tasks.
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coordination
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The procedures that link the various parts of the organization to achieve the organization's overall mission.
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corporate governance
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The role of a corporation's executive staff and board of directors in ensuring that the firm's activities meet the goals of the firm's stakeholders.
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authority
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The legitimate right to make decisions and to tell other people what to do.
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hierarchy
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The authority levels of the organizational pyramid.
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subunits
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Subdivisions of an organization.
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span of control
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The number of subordinates who report directly to an executive or supervisor.
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delegation
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The assignment of new or additional responsibilities to a subordinate.
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responsibility
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The assignment of a task that an employee is supposed to carry out.
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accountability
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The expectation that employees will perform a job, take corrective action when necessary, and report upward on the status and quality of their performance.
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centralized organization
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An organization in which high-level executives make most decisions and pass them down to lower levels for implementation.
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decentralized organization
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An organization in which lower-level managers make important decisions.
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line departments
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Units that deal directly with the organization's primary goods and services.
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staff departments
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Units that support line departments.
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departmentalization
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Subdividing an organization into smaller subunits.
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functional organization
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Departmentalization around specialized activities such as production, marketing, and human resources.
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divisional organization
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Departmentalization that groups units around products, customers, or geographic regions.
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matrix organization
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An organization composed of dual reporting relationships in which some managers report to two superiors—a functional manager and a divisional manager.
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unity-of-command principle
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A structure in which each worker reports to one boss, who in turn reports to one boss.
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network organization
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A collection of independent, mostly singlefunction firms that collaborate on a product or service.
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dynamic network
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Temporary arrangements among partners that can be assembled and reassembled to adapt to the environment.
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broker
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A person who assembles and coordinates participants in a network.
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standardization
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Establishing common routines and procedures that apply uniformly to everyone.
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formalization
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The presence of rules and regulations governing how people in the organization interact.
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coordination by plan
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Interdependent units are required to meet deadlines and objectives that contribute to a common goal.
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coordination by mutual adjustment
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Units interact with one another to make accommodations in order to achieve flexible coordination.
