Bifalgorithm post · IntroductionToBusiness OP 8D04gAa · 2026-10-07-36573 · Summary of Learning Outcomes
How are traditional organizational structures and departments designed?
How are traditional organizational structures and departments designed? (IntroductionToBusiness OP 8D04gAa · 2026-10-07-36573 · Summary of Learning Outcomes) —…
Ideas in this flowchart
- Organizations and organizational structures
- An organization consists of two or more people working together toward a common objective.
- Organizational structure orders relationships within a firm and clarifies authority.
- An organization chart visually represents relationships among tasks and the people authorized to perform them.
- The traditional approach divides organizational work into separate jobs and tasks.
- Managers group related jobs and tasks into departments.
- Departmentalization groups organizational activities into units according to a defining basis.
- Functional departmentalization is based on the primary functions performed within an organizational unit.
- Product departmentalization is based on the goods or services produced or sold.
- Process departmentalization is based on the production process used by the organizational unit.
- Customer departmentalization is based on the primary type of customer served.
- Geographic departmentalization is based on the geographic segmentation of organizational units.
- Organizations may also use contemporary or team-based approaches.
- Work groups share resources and coordinate efforts so members can perform their individual jobs more effectively.
- Work teams pool knowledge, skills, abilities, and resources to achieve a common goal.
- Problem-solving teams meet regularly to suggest operational improvements and solve specific problems.
- Self-managed work teams plan, select alternatives, and evaluate their own performance without formal supervision.
- Reengineering completely redesigns business structures and processes to improve operations.
- Span of control is the number of employees a manager directly supervises.
- Specialization is the degree to which tasks are subdivided into smaller jobs.
- Staff positions provide the administrative and support services needed by line employees.
- A virtual corporation is a network of independent companies linked by information technology to share skills, costs, and market access.
