2.5

Question 1

What is An organisational structure

Answer 1

An organisational structure is a way that employees and their job roles are organised in a business

Question 2

Hierarchy definition

Answer 2

The layer/levels of management within an organisation

Question 3

Why have a structure?

Answer 3

All businesses have to organise what each member of staff do
A clear structure makes it easier to see which part of the business does what, and who has which job role
It can indicate pay levels.
Makes communication easier across the company
Can offer clear idea of possible promotional/progression opportunities

Question 4

What is a Subordinate

Answer 4

A subordinate is an employee who is lower in rank or job position than their manager

Question 5

What is Delegation

Answer 5

Delegation is where a task is given to a subordinate employee (someone below) in the hierarchy

Question 6

What is the chain of command

Answer 6

This is the flow of information, power and authority through the business

Those at the top have more power and authority

They can delegate tasks to those subordinate to them in the hierarchy (below them)

Question 7

What is the Span of control

Answer 7

This is the number of subordinates that they can delegate to.

Question 8

What are the advantages of a Tall organisational structure

Answer 8

There are lots of opportunity for promotion
Work is shared amongst more people so less stress
Everyone knows where they are in the hierarchy, so very orderly and organised

Question 9

What are the disadvantages of a Tall organisational structure

Answer 9

The information takes a long time to get from the bottom to the top
It takes a long time for decisions to be made

Question 10

What are the disadvantages of a flat organisational structure

Answer 10

There are limited opportunities for promotion
Work is shared amongst fewer people so more stress
Less orderly and organised because fewer people have more responsibilities

Question 11

What are the advantages of a flat organisational structure

Answer 11

Information travels quicker from the bottom to the top

Decisions can be made much quicker and easier as fewer people to involve

Question 12

Define delayering

Answer 12

Removing layers of management from the hierarchy of the organisation

Question 13

What are the advantages of a centralised organisation

Answer 13

○ A better sense of direction

○ More efficient

Question 14

What are the disadvantages of a centralised organisation

Answer 14

○ More time consuming for top people

○ It May not be suitable for all locations

Question 15

What are the advantages of a decentralised organisation

Answer 15

○ Decisions become suitable for all location

○ Less time consuming

Question 16

What are the disadvantages of a decentralised organisation

Answer 16

○ Lacks consistency

○ Less efficient

Question 17

Define motivation

Answer 17

Motivation is defined as: The reasons for acting or behaving in a certain way

Question 18

3 reasons why motivation in the workplace is important

Answer 18

Attracting employees
Retaining employees
Increase productivity

Question 19

What are the Two ways to motivate employees

Answer 19

Financial and non-finanacial

Question 20

What is Remuneration

Answer 20

Remuneration means money given to an employee in return for work or service

Question 21

What is a bonus

Answer 21

Given out when certain performance targets have been met

Question 22

What is commission

Answer 22

The employee receives a reward for every sale made. E.g. 10% of every sale they make

Question 23

What is a promotion

Answer 23

Promotion means giving an employee a new role which will earn them more income

Question 24

What are fringe benefits

Answer 24

Items an employee receives in addition to their normal wage or salary

Question 25

What is job rotation

Answer 25

Employees are rotated between different jobs to avoid repetition and boredom

Question 26

What are benefits of job rotation

Answer 26

Relieves boredom
Easy to find an employee to cover for an absent colleague
More motivated due to the wider range of skills

Question 27

What are the drawbacks of job rotation

Answer 27

Training costs are high
Fall in output due to less specialisation
Could be simply a greater number of boring tasks with less social benefits due to the constant changing of groups

Question 28

What is job enrichment

Answer 28

Employees are given redesigned jobs that have more challenge and are less repetitive and boring

Question 29

Job enrichment advantages

Answer 29

Develops unused skills and challenges employees
Allows employees to contribute to the decision-making process
Increased feelings of achievement

Question 30

Job enrichment disadvantages

Answer 30

Some employees may feel under pressure not simply challenged
Costly
Benefits only when thinking long term as employees have to be trained
Not all jobs can be enriched e.g. bin men

Question 31

What is Autonomy

Answer 31

Autonomy means allowing employees to make their own decisions

Question 32

Autonomy advantages

Answer 32

Employees feel more ownership of their own work and so are more motivated
Employees able to use their own thinking skills to complete their work at their pace

Question 33

Autonomy disadvantages

Answer 33

Some employees may become unhappy as they need more direction in their work and want recognition from their boss
Some employees may want to make more decisions than they are entitled to