| Job specialization | The process by which a division of labor occurs as different workers specialize in different tasks over time.
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| Scientific management | The systematic study of relationships between people and tasks for the purpose of redesigning the work process to increase efficiency.
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| Administrative management | The study of how to create an organizational structure that leads to high efficiency and effectiveness.
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| Bureaucracy | A formal system of organization and administration designed to ensure efficiency and effectiveness.
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| Authority | The power to hold people accountable for their actions and to make decisions concerning the use of organizational resources.
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| Rules | Formal written instructions that specify actions to be taken under different circumstances to achieve specific goals.
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| Standard operating procedures (SOPs) | Specific sets of written instructions about how to perform a certain aspect of a task.
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| Norms | Unwritten, informal codes of conduct that prescribe how people should act in particular situations.
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| Unity of command | A reporting relationship in which an employee receives orders from, and reports to, only one superior.
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| Line of authority | The chain of command extending from the top to the bottom of an organization.
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| Division of Labor | Job specialization and the division of labor should increase efficiency, especially if managers take steps to lessen workers' boredom.
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| Authority and Responsibility | Managers have the right to give orders and the power to exhort subordinates for obedience.
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| Unity of Command | An employee should receive orders from only one superior.
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| Line of Authority | The length of the chain of command that extends from the top to the bottom of an organization should be limited.
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| Centralization | The concentration of authority at the top of the managerial hierarchy.
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| Unity of Direction | The organization should have a single plan of action to guide managers and workers.
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| Equity | All organizational members are entitled to be treated with justice and respect.
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| Order | The arrangement of organizational positions should maximize organizational efficiency and provide employees with satisfying career opportunities.
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| Initiative | Managers should allow employees to be innovative and creative.
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| Discipline | Managers need to create a workforce that strives to achieve organizational goals.
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| Remuneration of Personnel | The system that managers use to reward employees should be equitable for both employees and the organization.
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| Stability of Tenure of Personnel | Long-term employees develop skills that can improve organizational efficiency.
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| Subordination of Individual Interests to the Common Interest | Employees should understand how their performance affects the performance of the whole organization.
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| Esprit de Corps | Managers should encourage the development of shared feelings of comradeship, enthusiasm, or devotion to a common cause.
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| Behavioral management | The study of how managers should behave to motivate employees and encourage them to perform at high levels and be committed to the achievement of organizational goals.
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| Hawthorne effect | The finding that a manager's behavior or leadership approach can affect workers' level of performance.
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| Human relations movement | A management approach that advocates the idea that supervisors should receive behavioral training to manage subordinates in ways that elicit their cooperation and increase their productivity.
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| Informal organization | The system of behavioral rules and norms that emerge in a group.
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| Organizational behavior | The study of the factors that have an impact on how individuals and groups respond to and act in organizations.
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| Theory X | A set of negative assumptions about workers that lead to the conclusion that a manager's task is to supervise workers closely and control their behavior.
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| Theory Y | A set of positive assumptions about workers that lead to the conclusion that a manager's task is to create a work setting that encourages commitment to organizational goals and provides opportunities for workers to be imaginative and to exercise initiative and self-direction.
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| Management science theory | An approach to management that uses rigorous quantitative techniques to help managers make maximum use of organizational resources.
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| Organizational environment | The set of forces and conditions that operate beyond an organization's boundaries but affect a manager's ability to acquire and utilize resources.
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| Operations management | The management of any aspect of the production system that transforms inputs into finished goods and services.
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| Total quality management (TQM) | A management technique that focuses on improving the quality of an organization's products and services.
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| Management information systems (MISs) | A specific form of IT that managers utilize to generate the specific, detailed information they need to perform their roles effectively.
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| Open system | A system that takes in resources from its external environment and converts them into goods and services that are then sent back to that environment for purchase by customers.
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| Closed system | A system that is selfcontained and thus not affected by changes occurring in its external environment.
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| Entropy | The tendency of a closed system to lose its ability to control itself and thus to dissolve and disintegrate.
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| Synergy | Performance gains that result when individuals and departments coordinate their actions.
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| Contingency theory | The idea that the organizational structures and control systems managers choose depend on— are contingent on—characteristics of the external environment in which the organization operates.
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| Mechanistic structure | An organizational structure in which authority is centralized, tasks and rules are clearly specified, and employees are closely supervised.
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| Organic structure | An organizational structure in which authority is decentralized to middle and first-line managers and tasks and roles are left ambiguous to encourage employees to cooperate and respond quickly to the unexpected.
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