MGTA01H3 Chapter 7: Chapter 7 Notes
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MGTA01H3 Full Course Notes
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Document Summary
Organizational structure is the specification of the jobs to be done within a business and how these jobs relate to one another. Most business prepare organization charts (physical depiction of the company s structure showing employee titles and their relationship to one another) that illustrate the company s structure and show employees where they fit into the firm s operations. The board of directors are at the top of the chain, and the district sales managers are at the bottom of the line. The chain of command job is to report the relationships within the company. Specialization and departmentalization are the two basic building blocks of all business organizations. Specialization: determining who will do what; in terms of job specialization, process of identifying the jobs that need to be done and the designating the people who will perform them: specialization and growth.
