Chapter 13

Question 1

organizational structure

Answer 1

how job tasks are formally divided, grouped, and coordinated

Question 2

work specialization

Answer 2

to what degree are tasks subdivided into separate jobs (division of labour)

Question 3

departmentalization

Answer 3

on what basis will jobs be grouped together

Question 4

types of departmentalization

Answer 4

functional, product, geographical, process, customer

Question 5

chain of command

Answer 5

the unbroken line of authority that extends from upper organizational levels to the lowest level and clarifies who reports to whom

Question 6

authority

Answer 6

the rights inherent in a managerial position to give orders and to expect the orders to be obeyed

Question 7

unity of command

Answer 7

the idea that subordinates should have only one superior to whom they are directly responsible

Question 8

delegation

Answer 8

the assignment of authority to another person to carry out specific duties, allowing the employee to make some of the decisions

Question 9

span of control

Answer 9

the number of employees who report to a manager

Question 10

centralization

Answer 10

the degree to which decision making is concentrated at a single point in the organization

Question 11

decentralization

Answer 11

the degree to which decision making is distributed to lower-level employees

Question 12

formalization

Answer 12

the degree to which jobs within the organization and standardized

Question 13

high vs. low formalization

Answer 13

high: little discretion
low: more freedom

Question 14

boundary spanning

Answer 14

when individuals form relationships outside their formally assigned groups

Question 15

common organizational designs

Answer 15

simple, bureaucracy, matrix

Question 16

simple structure

Answer 16

a low degree of departmentalization, wide spans of control, authority centralized in a single person, and little formalization

Question 17

bureaucracy

Answer 17

highly routine operating tasks achieved through specialization, formalized rules and regulations, tasks that are grouped into units, centralized authority, narrow spans of control, and decision making that follows the chain of command

Question 18

functional structure

Answer 18

groups employees by their similar specialities, roles, or tasks

Question 19

divisional structure

Answer 19

organizational structure that groups employees into units by product, service, customer, or geographical market area

Question 20

matrix structure

Answer 20

combines functional and product departmentalization; it has a dual chain of command

Question 21

alternate design options

Answer 21

virtual, team, circular, downsizing

Question 22

virtual structure

Answer 22

a small core organization that outsources its major business functions

Question 23

team structure

Answer 23

replaces departments with empowered teams, and that eliminates horizontal boundaries and external barriers between customers and suppliers

Question 24

circular structure

Answer 24

executives are at the centre, spreading their vision outward in rings grouped by function (managers, specialists, workers)

Question 25

downsizing

Answer 25

a systematic effort to make an organization leaner by selling off business units, closing locations, or reducing staff

Question 26

strategies for downsizing

Answer 26

invest, communicate, participate, assist

Question 27

mechanistic model

Answer 27

structure characterized by high specialization, rigid departmentalization, a clear chain of command, narrow spans of control, a limited information network, and centralization

Question 28

organic model

Answer 28

structure that is flat, uses cross-functional and cross-hierarchal teams, possesses a comprehensive information network, has wide spans of control, and has low formalization

Question 29

organizational strategies

Answer 29

innovation, cost-minimization, imitation

Question 30

innovation strategy

Answer 30

emphasizes the introduction of major new products and services

Question 31

cost-minimization strategy

Answer 31

emphasizes tight cost controls, avoidance of unnecessary innovation or marketing expenses, and price cutting

Question 32

imitation strategy

Answer 32

moving into new products or new markets only after their viability has already been proven

Question 33

technology

Answer 33

the way in which an organization transfers its inputs into outputs

Question 34

environment

Answer 34

those institutions or forces outside the organization that potentially affect the organization's performance

Question 35

capacity

Answer 35

the degree to which the environment can support growth

Question 36

volatility

Answer 36

the degree of instability in an environment

Question 37

complexity

Answer 37

the degree to heterogeneity and concentration in environment

Question 38

institutions

Answer 38

cultural factors that lead many organizations to have similar structures, especially those factors that might not lead to adaptive consequences