Ch 7 Business-organization, teamwork, and communication

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what is organizational culture?
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a firm’s shared values, beliefs, traditions, philosophies, rules and role models of behavior. example:TOM’s culture of donation to kids in developing countries
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what is organizational structure?
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the arrangement or relationship of positions within an organization.
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What is an organizational chart?
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a visual display of the organizational structure, lines of authority (chain of command), staff relationships, permanent committee arrangements, and lines of communication.
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what does growth require?
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organizing the structuring of human, physical, and financial resources to achieve objectives in an effective and efficient manner.
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What are two important aspects of assigning tasks?
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1. specialization 2. Departmentalization.
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What is specialization?
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the division of labor into small, specific tasks and the assignment of employees to do a single task. rationale is efficiency.
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what is departmentalization?
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the grouping of jobs into working units usually called departments, units, groups, or divisions.
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what is functional departmentalization?
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the grouping of jobs that perform similar functional activities, such as finance, manufacturing, marketing, and human resources. a weakness-tends to emphasize units rather that organization as a whole-decision making with more than one dept. is slow.
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What is product departmentalization?
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the organization of jobs in relation to the products of the firm. simplifies decision making.
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what is geographical departmentalization?
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the grouping of jobs according to geographic location, such as state, region, country or continent. allows response to regional competitors quickly.
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what is customer departmentalization?
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the arrangement of jobs around the needs of various types of customers. focuses on organization as a whole-example: retail banking vs customer banking.
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what is the delegation of authority?
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giving employees not only tasks, but also the power to make commitments use resources, and take whatever actions are necessary to carry out those tasks.
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What must be equal in assigning responsibilities?
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delegation authority and accountability.
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what is responsibility, in regards to delegation?
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the obligation placed on employees through delegation to perform assigned tasks satisfactorily and be held accountable for the proper execution of work.
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What does accountability mean, in regards to delegation?
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the principle that employees who accept an assignment and the authority to carry it out are answerable to a superior for the outcome.
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What does delegating authority not do, for a superior to the subordinate?
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it does not relieve the superior of responsibility of accountability for the subordinates job.
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What is centralized organization?
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a structure in which authority is concentrated at the top, and very little decision-making authority is delegated to lower levels. Slow implement of decision. example: Mcdonald’s last to introduce chicken sandwich
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What is a decentralized organization?
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an organization in which decision making authority is delegated as far down the chair of command as possible. example: Mcdonald’s creation of the McItaly
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How many subordinates should top managers directly supervise?
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No more than 4 to 8 people.
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what is the span of management?
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the number of subordinates who report to a particular manager. Wide span= large number of employees. (Safeway) narrow span= supervises few subordinates. (Wholefoods)
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When is a narrow span of management appropriate?
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when superiors and subordinates are not close in proximity, the manager has many responsibilities other than supervision,the interaction between subordinates and superiors is frequent, and problems are common.
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When is a wide span of management appropriate?
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When superiors and subordinates are located close to one another, manager has few responsibilities, and interaction between the two is low, few problems arise, subordinates are competent.
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What are organizational layers?
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the levels of management in an organization. Narrow span=Tall organization, Wide span= flat organization.
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what are the 4 common forms of organizational structure?
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1-line structure. 2-line and staff structure 3-multi-divisional structure 4. matrix structure
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what are the four types of departmentalization?
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functional, product, geographical, and customer
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what are the two degrees of centralization?
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1. Centralized 2. Decentralized
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What is a Line Structure ?
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the simplest organizational structure in which direct lines of authority extend from the top manager to the lowest level of organization. report to one person
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What is line-and-staff structure?
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a structure having a traditional line relationship between superiors and subordinates and also specialized managers, called staff managers, who are available to assist line management by providing advice and support. do not have direct authority over line managers
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what is a multidivisional structure?
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a structure that organizes departments into larger groups called divisions, which in turn allow those who specialize in each department to make decisions, but duplicates work.
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what is a matrix structure?
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a structure that sets up teams from different departments, thereby creating two or more intersecting lines of authority, also called a project management structure. usually temporary, report to multiple people.
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What is a group?
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two or more individuals who communicate with one another, share a common identity, and have a common goal.
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What is a team?
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a small group whose members have complimentary skills, have a common purpose, goals, and approach, and hold themselves mutually accountable. all teams are groups, but not all groups are teams.
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Why are all teams considered groups, but not all groups considered teams?
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work groups emphasize individual work products, individual accountability, and even individual leadership. performance depends on individual work TEAMS emphasize shared leadership roles, have both individual and mutual accountability, and create collective work products.accomplish a goal
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what is a virtual team?
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employees in different locations who rely on email, audio-conference, fax, internet, video confrenceing, and other technological tools to accomplish their goals.
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what is a committee?
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a permanent formal group that performs a specific task .example: financial committee that examines effectiveness of financial area of operation and makes changes if necessary.
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what is a task force?
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a temporary group of employees responsible for bringing about a particular change.
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What does Ivan Steiner say about team size? who brought up the “2 pizza rule”?
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team productivity peaks at about 5 members. amazon CEO Jeff Bezos- if a team cannot be fed by 2 pizzas, it is too big.
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what are project teams?
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similar to task forces, but normally they run their operation and have total control of specific work project. include different people from different sections of company
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What are product-development teams?
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a specific type of project team formed to devise, design, and implement a new product
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What are quality-assurance teams?
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sometimes called “quality circles” , it is a small group of workers brought together from throughout the organization to solve specific quality, productivity, or service problems.
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what is a self-directed work team (SDWT)?
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a group of employees responsible for an entire work progress or segment that delivers a product to an internal or external customer. gives authority to team to make decisions.
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what is upward communication?
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communication that flows from lower to higher levels of the organization and includes information such as progress reports, suggestion for improvements, inquires, and grievances.
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what is downward communication?
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the traditional communication from upper levels to lower levels, involving direction assignments, performance feedback and strategies.
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what is horizontal communication?
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involves the exchange of information among colleagues and peers at the same organizational level, such as across departments.
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what is diagonal communication?
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when individuals from different units and organizational levels require communication to solve problems and coordinate work.
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what is the grape-vine form of communication?
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an informal channel of communication, separate from official channels.

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