In which structure are managers in charge of those beneath them?
Line authority.
What are formal structures usually?
Departmentalized.
What type of businesses can often be run informally?
Smaller businesses.
What does it mean that managers are task-oriented?
They can handle many tasks at the same time.
What is one reason managers usually earn more money than other employees?
Because they have more responsibility.
What is one advantage of the line authority structure?
Authority is clearly defined.
What does departmentalization divide?
Responsibility among specific units or departments.
Why don’t some businesses need a lot of managers?
Because they do not need a big marketing or distribution network.
What must managers do to decide which tasks are most important?
Plan their time.
Why do some people want become managers?
Because they have the ability to lead.
What is one disadvantage of the line authority structure?
Managers have few specialists to help them.
What is another word used for “specific units” in a formal structure?
Departments.
What can employees do in an informal structure?
Be more flexible and share duties.
What two skills are a must for solving problems and working under pressure?
Problem-solving skills and time-management skills.
What do good managers gain when they are respected?
Prestige.
What do dotted lines show on a line and staff authority organizational chart?
Staff who advise the line personnel.
Name one way departments can be organized.
By geographical location, function, customer groups, or product.
How can partners work in an informal structure?
Alone or together on projects.
What important part of communication involves listening?
Interacting with other people.
Why do managers have more influence and authority than other employees?
Because they plan, organize, direct, and control company resources.
What is one advantage of a centralized organization?
It helps managers be consistent in decision making.
What is the purpose of departmentalization in a formal structure?
To divide responsibility among specific units or departments.
For whom does the informal structure often work well?
Partners.
What type of skills help managers deal with people?
Human relations skills.
Why are managers under a lot of pressure to make the right decisions?
Because their mistakes can be very costly to a company.