Chapter 6 Flashcards
Functional structure
A design that groups people together on the basis of their common expertise and experience or because they use the same resources
Divisional structure
A structure in which functions are grouped together according to the specific demands of products, markets, or customers
Product structure
A divisional structure in which products are gouged into separate divisions, according to the similarities or differences
Product division structure
A divisional structure in which a centralized set of support functions services the needs of a number of different product lines
Multidivisional structure
A structure in which support functions are placed in self-contained divisions
Self-contained division
A division that has its own set of support functions and controls its own value-creation activities
Corporate headquarters staff
Corporate managers who are responsible for overseeing the activities of the divisional managers heading up the different divisions
Transfer price
The price at which one division sells a product or information about innovations to another division
Product team structure
A divisional structure in which specialists from the support functions are combined into product development teams that specialize in the needs of a particular kind of project
Geographic divisional structure
A divisional structure in which divisions are organized according to the requirements of the different locations in which and organization operates
Matrix structure
A structure in which people and resources are grouped in two ways: by function and by project or product
Two-boss employees
Employees who report to two superiors: the product team manager and the functional team manager
Multidivisional matrix structure
A structure that provides for more integration between corporate and divisional managers and between divisional managers
Hybrid structure
The structure of a large organization that has many divisions and simultaneously uses many different types of organizational structure
E-Commerce
Trade that takes place between organizations and customers using IT and the internet
