After studying this chapter, you should be able to:

• Explain the difference between mechanistic and organic organizations and the environments in which they are more effective.
• Contrast formal and informal authority, centralized and decentralized authority, and line and staff authority. 
• Define what an organization chart  is, list the four aspects of a firm that  it shows, and describe the four  traditional departmentalization designs.  
• Discuss the two multiple forms of departmentalization and five contemporary designs. 
• Classify each of the nine job designs under the three job design option categories. 
• Explain how to set priorities by answering  three priority-determination questions, and  list the four steps in the delegation process.