Principles of Business Managemen

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How individual and team work within an organization are coordinated

organizational structure
Four aspects of organizational structure
Centralization, formalization, hierarchical levels,
departmentalization

Centralization the degree to which decision making is


concentrated at upper levels of the organization

Formalization The extent to which policies, procedures, job


descriptions, and rules are written and explicitly articulated

Tall structures Organizations with several layers of


management between front-line employees and the top leve

Flat structures Organizations with few layers, often with large


numbers of employees reporting to a single manager

Functional structures
Structures in which jobs are grouped based on similarity in
functions

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