1. Work specializaon: -The degree to which activities in the organization are subdivided into separate jobs -Divide a job into a number of steps, each completed by a separate individual -lndividuals specialize in doing part of an activity rather than the entirety 2. Departmentalization: Basis by which jobs in an organization are grouped together Basis forgrouping Functions Product Geography Customers Advantages Higher efciency due to specialists being put together Increased accountability Ease of catering to scattered customers with same needs Best meets the customer needs 3.Chain of command: EThe unbroken line of authoritythat extendsfrom the top ofthe organization to the lowest echelon and claries who reports to whom EIAuthority ? Unit of command EAuthority refers to the rights inherent in a managerial position to give orders and expect them to be obeyed 3 Each managerial position will have a place in the chain of command, and each manager is given a degree of authority in order to meet his or her responsibilities T'ie principle of unity of command helps preserve the concept of an unbroken line of authority ? A person should have one and only one superiorto whom he or she is directly responsible E Broken unity of command might have an employee to cope with conicting demands or priorities from several superiors 3.Chain of command: EThe unbroken line of authoritythat extendsfrom the top ofthe organization to the lowest echelon and claries who reports to whom -= Authority :Unit of command EAuthority refers to the rights inherent in a managerial position to give orders and expectthem to be obeyed 3 Each managerial position will have a place in the chain of command, and each manager isgiven a degree of authority in orderto meet his or her responsibilities The principle of unity of command helps preserve the concept of an unbroken line of authority in person should have one and only one superiorto whom he or she is directly responsible 3 Broken unity of command might have an employee to cope with conicng demands or priorities from several superiors 4.Span of control: 1 How many employees can a manager efciently and effectively direct? T it largely determines the number of levels and managers an organization has E'The wider or largerthe span, more cost efficient ? The wider or largerthe span, lesser leadership and supervisory supportthus lesser performance 1 Narrowerthe span, more difficultthe vertical communication and slowerthe decision making T Narrowerthe span, lesserthe autonomy 5.Centralization and decentralization: -= The degree towhich decision making is concentrated at a single point in the organization 3 Centralization - top managers make all the decisions, and lower-level managers merely carry out their directives E Decentralization - decision making is pushed down to the managers closest to the action E. Formalization: E Refers to the degree to which jobs within the organization are standardized 3 Highly formalized :Jobs allow minimal amount of discretion over whatto do and when and how to do it T Employees can be expected always to handle the same input in exactly the same way, resulting in a consistent and uniform output -= There are explicitjob descriptions, lots of organizational rules, and clearly dened procedures covering work processes