Management Test 2

Last update by jasonandsandi on 10/01/2011
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• Maps lines of decision-making authority. • Helps people understand their assignments and those of their coworkers. • Reveals to managers and new personnel how they fit into the organization. • Contributes to sound organizational structure. Shows formal lines of communication

Answer:
Advantages of the Organization Chart

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    • Does not show the informal structure of the organization. • Does not indicate the degree of authority held by each line position. • May show things as they are supposed to be or used to be rather than as they are. • Possibility exists of confusing authority with status.
    Disadvantages of the Organization Chart
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    * Span of control * Line authority * Staff authority * One man, one boss * Unity of command * Scalar chain * Authority * Responsibility * Accountability
    Organization Structure Terminology
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    Indicated by the vertical solid line between positions on the organizational chart.This concept is best described as one person/one boss: Employees have one manager to whom they report and to whom they are responsible. Difficult to maintain in some large health care organizations because the nature of health care requires a multidisciplinary approach.
    Unity of Command
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    decision making is diffused throughout the organization, and problems are solved by the lowest practical managerial level. Usually, this means that problems can be solved at the level at which they occur.
    decentralized decision making
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    refers to the number of people directly reporting to any one manager and determines the number of interactions expected of him or her.
    Span of control
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    * Modification of the bureaucratic structure.
    * Sometimes used temporarily to facilitate project completion within a formal line organization.
    * Overcomes the inflexibility of line structure.
    * Serves as a way for professionals to handle increasingly large amounts of information.
    * Uses a project team or task approach and is usually disbanded after a project is completed.
    * May result in decreased employee loyalty to the parent organization.
    Ad Hoc Design
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    * Designed to focus on both product and function.
    * Have a formal vertical and horizontal chain of command.
    * Have fewer formal rules and fewer levels of the hierarchy.
    * Can cause slow decision making due to information sharing.
    * Can produce confusion and frustration for workers because of dual-authority hierarchical design.
    Matrix Organizations
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    * Used in some large institutions to address the shortcomings that are endemic to traditional large bureaucratic organizations.
    * Sometimes called care-centered organizations.
    * Smaller in scale than large bureaucratic systems.
    Service Line Organizations
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    * Remove hierarchical layers by flattening the scalar chain and decentralizing the organization.
    * Continue to have line authority, but because the organizational structure is flattened, more authority and decision making can occur where the work is being carried out.
    * Despite being very flat, often retain many characteristics of a bureaucracy.
    Flat Organizational Designs
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    Those entities in an organization's environment that
    play a role in the organization's health and performance, or that are affected by the organization. (Borgatti, 2001)
    Stakeholders
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    * Refers to the location of a position on an organization chart where frequent and various types of communication occur.
    * The middle manager generally has the largest degree of centrality because information is relayed upward, downward, horizontally, and diagonally.
    Centrality