Foundations of Business – Chapter 7 Study Guide & Key Concepts Page 1 2026-03-16
Foundations of Business –
Chapter 7 Study Guide & Key
Concepts
FoundationsGuidehttps://www.stuvia.com/dashboard!@_)#*)(@$)($@*($@)($@*_
of Business – Chapter 7 Study Guide & Key Concepts.pdf 1 Foundations of Business – Chapter 7 Study Guide & Key Concepts.pdf
,Foundations of Business_ Chapter 7 Page 2 2026-03-16
what is an organization
a group of 2 or more people working together to achieve a common set of goals (pg 186)
what is an organization chart
a diagram that represents the positions and relationships within an organization (pg 187)
what is the chain of command
the line of authority that extends from the highest to the lowest levels of an organization (pg 187)
what is job design
structuring the tasks and activities required to accomplish a firms objectives into specific jobs so as to foster
productivity and employee satisfaction (pg 188)
what is the most common approach to job design
job specialization (pg 188)
Foundations of Business_ Chapter 7.pdf 2 Foundations of Business_ Chapter 7.pdf
,Foundations of Business_ Chapter 7 Page 3 2026-03-16
what is job specialization
the separation of all organizational activities into distinct tasks and the assignment of different tasks to different
people (pg 189)
who was the first to emphasize the power of specialization
adam smith (pg 189)
what is the most significant drawback to specialization
boredom and dissatisfaction from employees (pg 189)
what are the 3 other approaches to job design
job rotation
job enlargement
job enrichment
(pg 190)
what is job rotation
the systematic shifting of employees from one job to another (pg 190)
Foundations of Business_ Chapter 7.pdf 3 Foundations of Business_ Chapter 7.pdf
, Foundations of Business_ Chapter 7 Page 4 2026-03-16
what is departmentalization
the process of grouping jobs into manageable units (pg 190)
what are the 4 most common bases for organizing a business into effective departments
by function, by product, by location, by customer (pg 190)
what is departmentalization by function
grouping jobs that relate to the same organizational activity (pg 190)
T/F:most larger organizations group by function
False; most smaller and newer organizations departmentalization by function (pg 191)
what is departmentalization by products
grouping activities related to a particular product or service (pg 191)
Foundations of Business_ Chapter 7.pdf 4 Foundations of Business_ Chapter 7.pdf
Foundations of Business –
Chapter 7 Study Guide & Key
Concepts
FoundationsGuidehttps://www.stuvia.com/dashboard!@_)#*)(@$)($@*($@)($@*_
of Business – Chapter 7 Study Guide & Key Concepts.pdf 1 Foundations of Business – Chapter 7 Study Guide & Key Concepts.pdf
,Foundations of Business_ Chapter 7 Page 2 2026-03-16
what is an organization
a group of 2 or more people working together to achieve a common set of goals (pg 186)
what is an organization chart
a diagram that represents the positions and relationships within an organization (pg 187)
what is the chain of command
the line of authority that extends from the highest to the lowest levels of an organization (pg 187)
what is job design
structuring the tasks and activities required to accomplish a firms objectives into specific jobs so as to foster
productivity and employee satisfaction (pg 188)
what is the most common approach to job design
job specialization (pg 188)
Foundations of Business_ Chapter 7.pdf 2 Foundations of Business_ Chapter 7.pdf
,Foundations of Business_ Chapter 7 Page 3 2026-03-16
what is job specialization
the separation of all organizational activities into distinct tasks and the assignment of different tasks to different
people (pg 189)
who was the first to emphasize the power of specialization
adam smith (pg 189)
what is the most significant drawback to specialization
boredom and dissatisfaction from employees (pg 189)
what are the 3 other approaches to job design
job rotation
job enlargement
job enrichment
(pg 190)
what is job rotation
the systematic shifting of employees from one job to another (pg 190)
Foundations of Business_ Chapter 7.pdf 3 Foundations of Business_ Chapter 7.pdf
, Foundations of Business_ Chapter 7 Page 4 2026-03-16
what is departmentalization
the process of grouping jobs into manageable units (pg 190)
what are the 4 most common bases for organizing a business into effective departments
by function, by product, by location, by customer (pg 190)
what is departmentalization by function
grouping jobs that relate to the same organizational activity (pg 190)
T/F:most larger organizations group by function
False; most smaller and newer organizations departmentalization by function (pg 191)
what is departmentalization by products
grouping activities related to a particular product or service (pg 191)
Foundations of Business_ Chapter 7.pdf 4 Foundations of Business_ Chapter 7.pdf
