After reading this chapter, you should be able to:

1. Discuss the elements that influence a firm's organizational structure.
2. Describe specialization and departmentalization as the building blocks of organizational structure.
3. Distinguish between responsibility and authority and explain the differences in decision making in centralized and decentralized organizations.
4. Explain the differences between functional, divisional, project, and international organization structures, and describe the most popular forms of organizational design.
5. Describe the informal organization and discuss intrapreneuring.