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Midterm 2 chapter 10
N/A
34
Business
Undergraduate 1
03/07/2015

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Term
formal organization
Definition
the order and design of relationships within a company; consists of two or more people working together with a common objective and clarity of purpose
Term
division of labour
Definition
the process of dividing work into separate jobs and assigning tasks to workers
Term
specialization
Definition
the degree to which tasks are subdivided into smaller jobs
Term
departmentalization
Definition
the process of grouping jobs together so that similar or associated tasks and activities can be coordinated
Term
functional departmentalization
Definition
departmentalization that is based on the primary functions performed within an organizational unit
Term
product departmentalization
Definition
Departmentalization that is based on the goods or services produced or sold by the organizational unit
Term
process departmentalization
Definition
Departmentalization that is based on the production process used by the organizational unit.
Term
Customer departmentalization
Definition
Departmentalization that is based on the primary type of customer served by the organizational unit.
Term
Geographic departmentalization
Definition
Departmentalization that is based on the geographic segmentation of the organizational units.
Term
Organization chart
Definition
Organization chart A visual representation of the structured relationships among tasks and the people given the authority to do those tasks.
Term
Managerial hierarchy
Definition
The levels of management within an organization; typically includes top, middle, and supervisory management.
Term
Chain of command
Definition
The line of authority that extends from one level of an organization's hierarchy to the next, from top to bottom, and makes clear who reports to whom.
Term
Authority
Definition
Legitimate power, granted by the organization and acknowledged by employees, that allows an individual to request action and expect compliance.
Term
Delegation of authority
Definition
The assignment of some degree of authority and responsibility to persons lower in the chain of command.
Term
Span of control
Definition
The number of employees a manager directly supervises; also called span of management.
Term
Mechanistic organization
Definition
An organizational structure that is characterized by a relatively high degree of job specialization, rigid departmentalization, many layers of management, narrow spans of control, centralized decision making, and a long chain of command.
Term
Centralization
Definition
The degree to which formal authority is concentrated in one area or level of an organization.
Term
Decentralization
Definition
The process of pushing decision-making authority down the organizational hierarchy.
Term
Organic organization
Definition
An organizational structure that is characterized by a relatively low degree of job specialization, loose departmentalization, few levels of management, wide spans of control, decentralized decision making, and a short chain of command.
Term
Line organization
Definition
An organizational structure with direct, clear lines of authority and communication flowing from the top managers downward.
Term
Line and staff organization
Definition
An organizational structure that includes both line and staff positions.
Term
Line positions
Definition
All positions in the organization directly concerned with producing goods and services and directly connected from top to bottom.
Term
Staff positions
Definition
Positions in an organization held by individuals who provide the administrative and support services that line employees need to achieve the company's goals.
Term
Matrix structure (project management)
Definition
An organizational structure that combines functional and product departmentalization by bringing together people from different functional areas of the organization to work on a special project.
Term
Committee structure
Definition
An organizational structure in which authority and responsibility are held by a group rather than an individual.
Term
Group cohesiveness
Definition
The degree to which group members want to stay in the group and tend to resist outside influences.
Term
Work groups
Definition
The groups that share resources and coordinate efforts to help members better perform their individual jobs.
Term
Work teams
Definition
Like a work group, but also requires the pooling of knowledge, skills, abilities, and resources to achieve a common goal.
Term
Problem solving teams
Definition
Usually members of the same department who meet regularly to suggest ways to improve operations and solve specific problems.
Term
Self managed work teams
Definition
Teams without formal supervision that plan, select alternatives, and evaluate their own performance.
Term
Cross functional team
Definition
Cross functional team Members from the same organizational level, but from different functional areas.
Term
Informal organization
Definition
The network of connections and channels of communication based on the informal relationships of individuals inside an organization.
Term
Reengineering
Definition
The complete redesign of business structures and processes to improve operations.
Term
Virtual corporation
Definition
A network of independent companies linked by information technology to share skills, costs, and access to one another's markets; allows the companies to come together quickly to exploit rapidly changing opportunities.
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