Principles of Management 2025 Western Governors University
C483 Study Guide
• know different organizational structures (differentiation,
standardization, mutual adjustment, etc.)
o Differentiation: Distinguishes and separates jobs and job holders from one
another via division of labor and specialization. Is a strategy an org. uses to
build competitive advantage by being unique in its industry/market
segment along one or more dimensions.
o High-Involvement: A type of organization in which top management
ensures that there is consensus about the direction in which the business is
heading. Seeking input from their team and middle managers and sometimes
from lower levels, depending on the issue.
o Functional: Departmentalization around specialized activities such as
productions, marketing, and human resources.
o Divisional: Departmentalization that groups units around products,
customers, or geographic regions.
o Matrix: an organization composed of dual reporting relationships in which
some employees report to two superiors- a functional manager and a
divisional manager. Hybrid form of organization in which functional and
divisional forms overlap.
o Network: A collection of independent, mostly single-function flrms that
collaborate on a good or service.
o Centralized: An organization in which high level executives make most
decisions and pass them down to lower levels for implementation.
o Decentralized: An organization in which lower-level managers make
important decisions.
• Organizational Integration
o Coordination by Standardization: Establishing common routines and
procedures that apply uniformly to everyone. Strict, constrains actions and
, integrates various units by regulating what people do.
o Coordination by Plan: Independent units are required to meet
deadlines and objectives that contribute to a common goal. Some
freedom. Managers can establish goals and schedule for each unit.
o Coordination by Mutual Adjustment: Units interact with one another to
make accommodations to achieve flexible coordination. Flexible. Involves
discussion to flgure things out that are agreeable to everyone.
• strategic management
o Strategic management: a process that involves managers from all parts of
the organization in the formulation and implementation of strategic goals
and strategies.