MAN 320F Lecture Notes - Lecture 2: Departmentalization

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Organizational structure - how job tasks are formally divided, grouped, and coordinated. Work specialization - degree to which tasks in the organization are subdivide into separate jobs (division of labor); ex= assembly lines. Departmentalization - basis by which jobs are grouped together; by function, product, service type, geography, process, and type of customer. Chain of command - unbroken line of authority that extends from the top of the organization to the lowest echelon and clarifies who reports to whom. Authority - rights inherent in a managerial position to give orders and to expect the orders to be obeyed. Unity of command - the idea that a subordinate should have only one superior to whom he or she is directly responsible. Span of control - number of subordinates a manager can efficiently and effectively direct. Centralization - degree to which decision making is concentrated at a single point in the organization.

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