Foundations of Organizational Structure and Design Quiz

Organizational Structure and Design

• Refers to the framework that outlines how tasks are divided, coordinated, and supervised within an organization.
• Influences decision-making processes, communication flow, and overall efficiency.

Work Specialization and Division of Labor

• Involves breaking down jobs into smaller, specific tasks to increase productivity.
• Each employee focuses on a particular function, leading to enhanced expertise.

Advantages of Work Specialization

• Increases efficiency as workers become skilled in specific tasks.
• Reduces training time for new employees who can quickly learn standardized tasks.
• Enhances productivity through faster task completion.

Disadvantages of Work Specialization

• Can lead to employee boredom and dissatisfaction due to repetitive tasks.
• Limits a worker's skill set, making them less versatile.
• Risk of reduced overall productivity if workers become overly dependent on specialization.

Small Organizations and Work Specialization

• Typically exhibit lower levels of work specialization due to fewer employees.
• Employees often take on multiple roles, leading to a more varied work experience.

Organizational Chart

• Visual representation that outlines the internal structure of an organization.
• Illustrates reporting relationships and the hierarchy within the organization.

Chain of Command

• Continuous line of authority that clarifies relationships and reporting structures from top management to lower levels.
• Essential for maintaining order and accountability within the organization.

Span of Control

• Affects the number of employees a manager can effectively supervise.
• Dependent on manager skills, abilities, and the complexity of tasks.

Centralization vs. Decentralization

• Centralization refers to decision-making concentrated at a single point, often at top management.
• Decentralization allows lower-level managers to make decisions, especially for less critical issues.

Unity of Command

• The principle that each employee should report to only one supervisor to avoid confusion and conflicting instructions.

Minor Decision Influence

• The amount of decentralization is influenced by the significance of the decisions being made; less significant decisions may be decentralized.

Job Standardization

• Refers to the level of uniformity in jobs and how much employee behavior is regulated by rules and procedures.
• Higher standardization typically leads to more consistent outcomes.

Span of Control - Supervisory Effectiveness

• Represents the optimal number of employees that can be managed effectively by one supervisor.

Combined Departmentalization

• Involves a mix of different departmental structures, such as functional and product-based, to enhance organizational flexibility and responsiveness.

Physical Proximity Influence

• The physical closeness of subordinates can impact a manager’s span of control, as closer proximity often allows for easier supervision and communication.

Decision-Making Push

• Organizations that empower lower management to make decisions closest to operational activities illustrate decentralized decision-making practices.