Organizational Culture, Structure, & Design

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Practice flashcards covering key vocabulary related to organizational culture, structure, and design, derived from lecture notes.

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18 Terms

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Organizational Structure, Design, & Culture

Key elements of an organization driven by strategy, power, and politics, shaping its overall operation and environment.

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Tall Organization

A centralized organizational structure where decisions are primarily made at the top, characterized by consistency but often slow decision-making.

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Flat Organization

An organizational structure where decisions are made at lower levels, making it nimble but potentially leading to a lack of consistency and difficulty in replicating success.

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Divisional Structure

An organizational structure where people with diverse occupational specialties are grouped into formal units based on similar products, customers, or geographic regions.

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Common Purpose

A common element of organizations that provides everyone with an understanding of the organization’s fundamental reason for being.

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Coordinated Effort

A common element of organizations that involves the integration of individual efforts into a unified, group-wide endeavor.

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Division of Labor

A common element of organizations involving the allocation of discrete parts of a task to different individuals.

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Hierarchy of Authority

A common element of organizations that ensures the right people are performing the right tasks at the right time, often supported by the principle of unity of command.

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Organizational Culture

The set of shared, taken-for-granted implicit assumptions that a group holds, determining how it perceives, thinks about, and reacts to its various environments; it encompasses values, norms, and beliefs.

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Drivers of Organizational Culture

Factors that influence an organization's culture, including the founder’s values, industry and business environment, national culture, the organization’s vision and strategy, and the behavior of leaders.

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Strong Corporate Culture

An organizational culture based on a foundation of shared values that leads to significantly higher performance in terms of revenue growth, job creation, stock price appreciation, and profit.

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Acquisition Failure (Cultural Reason)

The most common reason for the failure of organizational acquisitions (accounting for 50% of failures), often stemming from a misalignment of the merging companies' cultures.

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Person-Organization Fit

The extent to which an individual's personality and values align with the prevailing climate and culture within an organization.

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Symbols (Culture Learning)

Objects, acts, qualities, or events that convey meaning to others, used as a means for employees to learn and understand an organization's culture.

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Stories (Culture Learning)

Narratives based on true events, often repeated and sometimes embellished, that emphasize and transmit particular values within an organizational culture.

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Heroes (Culture Learning)

Individuals whose accomplishments embody and exemplify the core values of an organization, serving as role models for employees.

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Rites and Rituals (Culture Learning)

Activities and ceremonies that celebrate important occasions and accomplishments, serving to reinforce and transmit organizational culture to employees.

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Organizational Socialization

The process by which new individuals learn the values, norms, and required behaviors necessary to function effectively within an organization.