| A | B |
| Authority | formally granted influence of an individual to make decisions, pursue goals, and obtain the resources necessary to support those decisions and goals |
| Chain of command | flow of authority within an organization; also called line of command |
| Communication | exchange of information in which the words and gestures are understood in the same way by both the speaker and the listener |
| Delegation | Assigning tasks to subordinates |
| Division of labor | Dividing a large job into units, or job tasks, and assigning an individual to do each of the tasks |
| Divisional structure | organizational design in which the firm is broken down into units according to factors such as product, process, territory, customer type, etc. |
| Functional structure: | organizational design in which the firm is broken into traditional departments, each with its own set of responsibilities and activities |
| Innovation | creation or discovery of something new, such as a new product, strategy, or proces |
| Job specialization | Becoming an expert in a specific work task |
| Lateral relations | The amount of teamwork included in an organizational design |
| Line authority: | Formal, direct authority that affects a business’s day-to-day operations |
| Line of command: | flow of authority within an organization |
| Matrix structure | organizational design that combines the traditional functional structure with the divisional structure |
| Objectives | Goals to be reached |
| Organizational chart | graphical representation of the flow of authority within an organization |
| Organizational design | rocess of structuring a business’s people, information, and technology to enable the business to achieve its goals and to be successful |
| Organizational structure | process of structuring a business’s people, information, and technology to enable the business to achieve its goals and to be successfu |
| Product manager | Product manager: An individual who monitors one or more existing products and develops new products |
| Productivity | amount of work employees perform in a given period, usually their output per hour |
| Responsibility | duty to get a job done |
| Scalar principle | Creating authority that flows in a clear, continuous line |
| Span of control | measurement of how many workers are supervised by one manager |
| Staff authority | Advisory authority, often without the ability to enforce or take action |
| Unity of command | principle that states that no employee should answer to more than one supervisor at a time |