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24 Cards in this Set

  • Front
  • Back

Organizing

Arranging and structuring work to accomplish an organization's goals


- Tasks


- Performers


- Decision-making Places (Where work is handed off to the next step)

Organizational Structure

The formal arrangement of jobs within an organization

Organizational Chart

The visual representation of an organization's structure

Organizational Design

A process involving decisions about 6 key elements


- Work Specialization


- Departmentalization


- Chain of Command


- Span of Control


- Centralization/Decentralization


- Formalization

Organizational Structure Design:


Work Specialization

Dividing work activities into separate job tasks


- Old folks believed it could lead to increases in productivity


- Overspecialization can result in human dis-economics such as boredom, fatigue, and high turnover

Organizational Structure Design:


Departmentalization

The basis by which jobs are grouped together


- 5 ways


- Functional


- Product


- Geographical


- Process


- Customer

Departmentalization:


Functional

Grouping jobs by function

Departmentalization:


Product

Grouping jobs by product

Departmentalization:


Geographical

Grouping jobs on the basis of territory

Departmentalization:


Process

Grouping jobs on the basis or product or customer flow

Departmentalization:


Customer

Grouping jobs by the type of customer and needs

Chain of Command

- The continuous line of authority that extends from upper levels of an organization to the lowest of the organization


- Clarifies whom reports to whom

Authority

The right inherit in a managerial position to tell people what to do and to expect them to do it

Acceptance Theory of Authority

The view that authority comes from the willingness of subordinates to accept it

Responsibility

The obligation or expectation to perform

Unity of Command

The management principle that each person should report to only one manager

Span of Control

- The number of employees who can be effectively and efficiently supervised by a manager


Width of Span is effected by:


- Skills of the manager


- Employee characteristics


- Characteristics of the work being done


- Similarity of tasks


- Complexity of tasks


- Physical proximity of subordinates


- Standardization of tasks

Centralization

The degree to which decision-making is concentrated at the upper level of the organization

Decentralization

The degree to which lower-level employee provide input or actually make decisions

Employee Empowerment

Giving employees more authority (power) to make decisions

Formalization

- The degree to which jobs within the organization are standardized and the extent to which behavior is guided by rules and procedures
- Highly formalized jobs offer little discretion over what is to be done
- Low formalization means fewer constraints on how employees do their work

Mechanistic Organization

An organizational design that's rigid and tightly controlled
- High specialization
- Rigid departmentalization
- Clear chain of command
- Narrow spans of control
- Centralization
- High formalization

Organic Organization

An organization design that is highly adaptive and flexible


- Cross functional teams


- Cross hierarchical teams


- Free flow of info


- Wide spans of control


- Decentralization


- Low formalization

Contemporary Organizational Design

....