Glossary
Business, 8e
Chapter 8: Creating a Flexible Organization




accountability the obligation of a worker to accomplish an assigned job or task

ad hoc committee a committee created for a specific short-term purpose

authority "the power, within an organization, to accomplish an assigned job or task"






bureaucratic structure a management system based on a formal framework of authority that is outlined carefully and followed precisely






centralized organization an organization that systematically works to concentrate authority at the upper levels of the organization

chain of command the line of authority that extends from the highest to the lowest levels of an organization

cluster structure an organization that consists primarily of teams with no or very few underlying departments

corporate culture "the inner rites, rituals, heroes, and values of a firm"

cross-functional team a group of employees from different departments who work together on a specific project






decentralized organization an organization in which management consciously attempts to spread authority widely in the lower levels of the organization

delegation assigning part of a manager’s work and power to other workers

departmentalization the process of grouping jobs into manageable units

departmentalization by customer grouping activities according to the needs of various customer populations

departmentalization by function grouping jobs that relate to the same organizational activity

departmentalization by location grouping activities according to the defined geographic area in which they are performed

departmentalization by product grouping activities related to a particular product or service






grapevine the informal communications network within an organization






informal group a group created by the members themselves to accomplish goals that may or may not be relevant to an organization

informal organization the pattern of behavior and interaction that stems from personal rather than official relationships

intrapreneur "an employee who pushes an innovative idea, product, or process through an organization"






job rotation the systematic shifting of employees from one job to another

job specialization the separation of all organizational activities into distinct tasks and the assignment of different tasks to different people






line management position a position that is part of the chain of command and that includes direct responsibility for achieving the goals of the organization






managerial hierarchy the arrangement that provides increasing authority at higher levels of management

matrix structure "an organizational structure that combines vertical and horizontal lines of authority, usually by superimposing product departmentalization on a functionally departmentalized organization"






network structure an organization in which administration is the primary function and most other functions are contracted out to other firms






organization a group of two or more people working together to achieve a common set of goals

organization chart a diagram that represents the positions and relationships within an organization

organizational height "the number of layers, or levels, of management in a firm"






responsibility the duty to do a job or perform a task






span of control the number of workers who report directly to one manager; same as span of management

span of management the number of workers who report directly to one manager

staff management position "a position created to provide support, advice, and expertise within an organization"

standing committee a relatively permanent committee charged with performing some recurring task






task force a committee established to investigate a major problem or pending decision

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