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Business Operations and Organizational Structures
Vocab
14 cards·by jwortman
Mission Statement
A short, specific written statement of the reason a business exists and what it wants to
achieve.
Goal
A precise statement of results the business expects to achieve.
Policies
Guidelines used in making consistent decisions.
Procedures
Descriptions of the way work is to be done.
Organization chart
A diagram that shows the structure of an organization.
Management plan
A business plan that divides a company into different departments run by different managers.
Organizational chart
A chart that shows how a business is structrued and who is in charge of whom.
Line authority
An organizational structure i nwhich managers at the top of the line are inc harge of those
beneath them.
Centralized organization
An organization that puts authority in one place, with top management.
Decentralized organization
An organization that gives authority to a number of different managers to run their own
departments.
Departmentalization
Dividing responsibilities in an organization among specific units or departments.
Top-level managers
Managers responsible for setting goals and planning the furutre for a company.
Middle managers
Managers who carry out the decisions of top management and oversee specific departments.
Operational managers
Managers who are responsible for the daily operations of a business, such as supervision and
office managers.