Organizational Culture

a firm’s shared values, beliefs, traditions, philosophies, rules, and role models for behavior

Structure

the arrangement of relationship of positions within an organization

Organizational Chart

a visual display of the organizational structure, lines of authority (chain of command), staff relationships, permanent committee arrangements, and lines of communication

Specialization

the division of labor into small, specific tasks and the assignment of employees to do a single task

 Departmentalization

the grouping of jobs into working units usually called departments, units, groups, or divisions

 Functional Departmentalization

the grouping of jobs that perform similar functional activities, such as finance, manufacture, marketing, and human resources

 Product Departmentalization

the organization of jobs in relation to the products of the firm

Geographical Departmentalization

the grouping of jobs according to geographic location, such as state, region, country, or continent

Customer Departmentalization

the arrangement of jobs around the needs of various types of customers

Delegation of Authority

giving employees not only tasks, but also the power to make commitments, use resources, and take whatever actions are necessary to carry out those tasks

Responsibility

the obligation, placed on employees through delegation, to perform assigned tasks satisfactorily and be held accountable for the proper execution of work

Accountability

the principle that employees who accept an assignment and the authority to carry it out are answerable to a superior for the outcome

Centralized Organization

a structure in which authority is concentrated at the top, and very little decision-making authority is delegated to lower levels

Decentralized Organization

an organization in which decision-making authority is delegated as far down the chain of command as possible    

Span of Management

the number of subordinates who report to a particular manager

Organizational Layers

the levels of management in an organization

Line Structure

the simplest organizational structure in which direct lines of authority extend from the top manager to the lowest level of the organization

Line-and-Staff Structure

a structure having a traditional line relationship between superiors and subordinates and also specialized managers—called staff managers—who are available to assist line managers

Multidivisional Structure

a structure that organizes departments into larger groups called divisions

 Matrix Structure

a structure that sets up teams from different departments, thereby creating two or more intersecting lines of authority; also called a project management structure

Group

two or more individuals who communicate with one another, share a common identity, and have a common goal

Team

a small group who members have complementary skills; have a common purpose, goals, and approach, and hold themselves mutually accountable

Committee

a permanent, formal group that performs a specific task

Task Force

a temporary group of employees responsible for bringing about a particular change

Project Teams 

groups similar to task forces that normally run their operation and have total control of a specific work project

Product-Development Teams

a specific type of project team, formed to devise, design, and implement a new product

Quality Assurance Teams (Quality Circles) 

small groups of workers brought together from throughout the organization to solve specific quality, productivity, or service problems

Self-Directed Work Team (SDWT) 

a group of employees responsible for an entire work process or segment that delivers a product to an internal or external customer

Grapevine

an informal channel of communication, separate from management’s formal, official communication channels