1.4.3 Organisational Design

Question 1

Organisational design

Answer 1

Key factor when managing a business as it determines how a business responds to external factors + how everyone plays a role

Question 2

Hierarchy

Answer 2

-different levels of people
-high levels of= long communication
-low levels of = quicker communication

Question 3

Span of control

Answer 3

Refers to number of employees a manager is directly responsible for
-wide span of c = encourage delegation and known as having a flat hierarchy (can’t help everyone)
-narrow span of c = more control, trust

Question 4

Chain of command

Answer 4

Refers to levels in hierarchy + route by which instructions + comms flow
-many levels r referred to as tall

Question 5

Centralisation + ads

Answer 5

Refers to a decision making process when majority of decisions r led by senior managers

+ creates consistency
+ appropriate for sits where workers r low skilled and managers have knowledge

Question 6

Decentralisation

Answer 6

Refers to decision making process where majority of decisions r delegated to managers in charge of regions of that business
+ allows each to meet demands of local needs
+ allows flexible working conditions + supports job enrichment

Question 7

Tall organisational structure

Answer 7

-many levels in chain of command and narrow span of control
- less delaegation + empowerment
- communication takes longer
+ more promotion opportunities
+ more control over employees

Question 8

Flat org

Answer 8

few levels in chain of command + wide span of control
- less control + fewer OPPs
+ more flexible
+ faster decision making

Question 9

Matrix

Answer 9

2 bosses + Workers being organised by a project + business function

+ motivational
+ flexible
- expensive
- difficult to coordinate