Ch 08 Bus 100 Intro To Business

Front 1

Economies of scale

Back 1

The situation in which companies can reduce their production costs if they can purchase raw materials in bulk; the average cost of goods goes down as production increases.

Front 2

Hierarchy

Back 2

A system in which one person is at the top of the organization and there is a ranked or sequential ordering from the top down of managers who are responsible to that person

Front 3

Chain of Command

Back 3

The line of authority that moves from the top of a hierarchy to the lowest level

Front 4

Bureaucracy

Back 4

An organization with many layers of managers who set rules and regulations and oversee all decisions.

Front 5

Centralized Authority

Back 5

An organization structure in which decision-making authority is maintained at the top level of management.

Front 6

Decentralized authority

Back 6

An organization structure in which decision-making authority is delegated to lower-level managers more familiar with the local conditions than headquarters management could be.

Front 7

Span of Control

Back 7

The optimal number of subordinates a managers supervises or should supervise

Front 8

Tall Organization Structure

Back 8

An organizational structure in which the pyramidal organization chart would be quite tall because of the various levels of management.

Front 9

Flat Organization Structure

Back 9

An organization structure that has few layers of management and a broad span of control.

Front 10

Departmentalization

Back 10

The dividing of organizational functions into separate units.

Front 11

Line Organization

Back 11

An organization that has direct two-way lines of authority, responsibility, and communication running from the top to the bottom of the organization, with all people reporting to only one supervisor.

Front 12

Line Personnel

Back 12

Employees who are part of the chain of command that is responsible for achieving organizational goals.

Front 13

Staff Personnel

Back 13

Employees who advise and assist line personnel in meeting their goals

Front 14

Matrix Organization

Back 14

An organization in which specialists from different parts of the organization are brought together to work on specific projects but still remain part of a line-and-staff structure.

Front 15

Cross-Functional Self-Managed Teams

Back 15

Groups of employees from different departments who work together on a long-term basis

Front 16

Networking

Back 16

Using communications technology and other means to link organizations and allow them to work together on common objectives.

Front 17

Real Time

Back 17

The present moment or the actual time in which something takes place

Front 18

Virtual Corporation

Back 18

A temporary networked organization made up of replaceable firms that join and leave as needed.

Front 19

Benchmarking

Back 19

Comparing an organization's practices, processes, and products against the world's best.

Front 20

Core competencies

Back 20

Those functions that the organization can do as well as or better than any other organization in the world.

Front 21

Digital Natives

Back 21

Young people who have grown up using the Internet and social networking.

Front 22

Restructuring

Back 22

Redesigning an organization so that it can more effectively and efficiently serve its customers.

Front 23

Inverted Organization

Back 23

An organization that has contact people at the top and the chief executive officer at the bottom of the organization chart.

Front 24

Organizational (or corporate) Culture

Back 24

Widely shared values within an organization that provide unity and cooperation to achieve common goals

Front 25

Formal Organization

Back 25

The structure that details lines of responsibility, authority, and position; that is, the structure shown on organization charts.

Front 26

Informal Organization

Back 26

The system that develops spontaneously as employees meet and form cliques, relationships, and lines of authority outside the formal organization.