Mastering Organizational Structure

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Questions and Answers

Which one of these is a type of chain of command that divides employees into those who are in the direct line of command and those who provide staff services to line managers at various levels?

Line-and-staff organization

Which one of these is the number of people under one manager's control, also known as span of control?

Span of management

Which one of these is the concentration of decision-making authority at the top of an organization?

Centralization

Which one of these is the delegation of decision-making authority to employees in lower-level positions?

Decentralization Signup and view all the answers

Which one of these is a type of departmentalization that groups people within an organization according to function, division, matrix, or network?

Departmentalization Signup and view all the answers

Which one of these is a type of structure design that groups workers according to their similar skills, resource use, and expertise?

Functional structure Signup and view all the answers

Which one of these is a type of structure design that groups departments according to similarities in product, process, customer, or geography?

Divisional structure Signup and view all the answers

Which one of these is a type of team that meets to find ways of improving quality, efficiency, and the work environment?

Problem-solving team Signup and view all the answers

Which one of these is a team in which members are responsible for an entire process or operation?

Self-managed team Signup and view all the answers

Which one of these is a measure of how committed team members are to their team's goals?

Cohesiveness Signup and view all the answers

Which term refers to a framework that enables managers to divide responsibilities, ensure employee accountability, and distribute decision-making authority?

Organization chart Signup and view all the answers

What is an organization chart?

A diagram that shows how employees and tasks are grouped and where the lines of communication and authority flow Signup and view all the answers

What is an agile organization?

An organization whose structure allows employees to respond quickly to customer needs and changes in the business environment Signup and view all the answers

What are core competencies?

Activities that a company considers central and vital to its business Signup and view all the answers

What is work specialization?

Specialization in or responsibility for some portion of an organization’s overall work tasks Signup and view all the answers

What is the chain of command?

The lines of authority that connect the various groups within the organization Signup and view all the answers

What is accountability?

An employee’s obligation to report the results of his work to supervisors and justify bad performance Signup and view all the answers

What is responsibility?

The obligation of employees to perform duties and achieve goals and objectives associated with their jobs Signup and view all the answers

What does an organization chart show?

How employees and tasks are grouped and where the lines of communication and authority flow Signup and view all the answers

What is the purpose of an agile organization?

To allow employees to respond quickly to customer needs and changes in the business environment Signup and view all the answers

Study Notes

Organizational Structure

Line and Staff Organization: divides employees into those in the direct line of command and those providing staff services to line managers at various levels.

Management Hierarchy

Span of Control: the number of people under one manager's control.

Decision-Making

Centralization: the concentration of decision-making authority at the top of an organization.
Decentralization: the delegation of decision-making authority to employees in lower-level positions.

Departmentalization

Functional Departmentalization: groups people within an organization according to function.
Divisional Departmentalization: groups people within an organization according to divisions.
Matrix Departmentalization: groups people within an organization according to function and product.
Network Departmentalization: groups people within an organization according to function and geography.

Structure Design

Functional Structure: groups workers according to their similar skills, resource use, and expertise.
Product Structure: groups departments according to similarities in product.
Process Structure: groups departments according to similarities in process.
Customer Structure: groups departments according to similarities in customer.
Geographical Structure: groups departments according to similarities in geography.

Teams

Quality Circle: a type of team that meets to find ways of improving quality, efficiency, and the work environment.
Self-Directed Team: a team in which members are responsible for an entire process or operation.
Team Commitment: a measure of how committed team members are to their team's goals.

Organizational Framework

Organization Chart: a diagram showing the relationships and ranks of employees within an organization.
Agile Organization: an organization that quickly responds to change and is adaptable.

Organizational Concepts

Core Competencies: the essential skills and abilities an organization needs to achieve its goals.
Work Specialization: the division of labor into smaller, specialized tasks.
Chain of Command: the line of authority and decision-making in an organization.
Accountability: the responsibility of individuals or teams for their actions and decisions.
Responsibility: the obligation to complete tasks and achieve goals.

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