D078 - Business Environment Applications I Business
Structures and Legal Environment New Exam!!
Organization
A structure composed of a group of people who come together for some specific
purpose, like forming a business, a society, or an association
Structure
An arrangement of the various components of an organization that assists in defining its
mission and channeling the behavior of its members
Functions or departments
Serve to define the division of work along task-oriented lines
Chain of command
Hierarchy of control and decision making from superiors down through subordinates
Centralized
Centralized
Decision-making function lies with a central figure or group, such as the CEO or board
of trustees
Decentralized
Decision-making function does not lie with a central figure or group, but with
department managers and other key personnel
C-level
,Refers to high-level corporate positions in an organization, where the C stands for chief
in positions such as chief executive officer (CEO), chief financial officer (CFO), chief
operations officer (COO), and chief technology officer (CTO)
Level of formality
How procedures, rules and guidelines are implemented, the norms and expectations
regarding behaviour and how it impacts and enables the overall culture
Functional or departmental
Most often manufacturing companies have this structure and it is based on the company
departments and their functions, for example marketing, finance, production, sales,
customer service and so on
Divisional
Structure most often found in consumer products companies, grouped by
organizational function, such as product division (specific make/model of vehicle) or
geographical division (northeast/southwest or North America/South America)
Matrix
Structure most often found when combining two different forms of departments, such as
functional and product, that have complementary strengths and weaknesses
Teams
Structure most common in high tech firms, newer form of organizational structure; small
group of workers, each with expertise that compliments the others in a small team
performing a specific project
Scientific management
A branch of organizational theory that focuses on analyzing and optimizing the work
process to maximize efficiency, typically labor productivity, often by using employee
selection, training, and testing
, Bureaucratic
Organizational theory focused on rules and regulations to simplify complicated
procedures in societies and workplaces
Administrative
Organizational theory focused on efficiency through management training and
behavioral characteristics in hopes of improving workplace productivity
Neoclassical
Organizational theory focusing on differences among people and social interactions
with a goal of developing stronger relationships among coworkers
Modern
Organizational theory that espouses the belief that changing one variable impacts many
other variables, so adjusting and adapting to changes in the environment is essential to
maintain equilibrium
Contingency or situational
Organizational theory that emphasizes managers must have the ability to make
adjustments and to adapt how they manage their organizations contingent upon
changing environmental conditions
What is characteristic of grouping employees by departments?
It allows for coordination of similar tasks and activities.
3 choices
What is an advantage of an organizational structure with a rigidly hierarchical chain of
command?
It clearly defines reporting relationships among employees.
Structures and Legal Environment New Exam!!
Organization
A structure composed of a group of people who come together for some specific
purpose, like forming a business, a society, or an association
Structure
An arrangement of the various components of an organization that assists in defining its
mission and channeling the behavior of its members
Functions or departments
Serve to define the division of work along task-oriented lines
Chain of command
Hierarchy of control and decision making from superiors down through subordinates
Centralized
Centralized
Decision-making function lies with a central figure or group, such as the CEO or board
of trustees
Decentralized
Decision-making function does not lie with a central figure or group, but with
department managers and other key personnel
C-level
,Refers to high-level corporate positions in an organization, where the C stands for chief
in positions such as chief executive officer (CEO), chief financial officer (CFO), chief
operations officer (COO), and chief technology officer (CTO)
Level of formality
How procedures, rules and guidelines are implemented, the norms and expectations
regarding behaviour and how it impacts and enables the overall culture
Functional or departmental
Most often manufacturing companies have this structure and it is based on the company
departments and their functions, for example marketing, finance, production, sales,
customer service and so on
Divisional
Structure most often found in consumer products companies, grouped by
organizational function, such as product division (specific make/model of vehicle) or
geographical division (northeast/southwest or North America/South America)
Matrix
Structure most often found when combining two different forms of departments, such as
functional and product, that have complementary strengths and weaknesses
Teams
Structure most common in high tech firms, newer form of organizational structure; small
group of workers, each with expertise that compliments the others in a small team
performing a specific project
Scientific management
A branch of organizational theory that focuses on analyzing and optimizing the work
process to maximize efficiency, typically labor productivity, often by using employee
selection, training, and testing
, Bureaucratic
Organizational theory focused on rules and regulations to simplify complicated
procedures in societies and workplaces
Administrative
Organizational theory focused on efficiency through management training and
behavioral characteristics in hopes of improving workplace productivity
Neoclassical
Organizational theory focusing on differences among people and social interactions
with a goal of developing stronger relationships among coworkers
Modern
Organizational theory that espouses the belief that changing one variable impacts many
other variables, so adjusting and adapting to changes in the environment is essential to
maintain equilibrium
Contingency or situational
Organizational theory that emphasizes managers must have the ability to make
adjustments and to adapt how they manage their organizations contingent upon
changing environmental conditions
What is characteristic of grouping employees by departments?
It allows for coordination of similar tasks and activities.
3 choices
What is an advantage of an organizational structure with a rigidly hierarchical chain of
command?
It clearly defines reporting relationships among employees.
