Business 2 Flashcards
2.1 What is an organisation Structure?
An organisational structure is a system that defines a hierarchy in an organisation
2.1 What is the role of a Director?
Directors are at the top of an organisation’s hierarchy. They have the most influence over a company’s decisions.
Directors decide what the firm’s strategy is and make important decisions for the business as a whole.
2.1 What is a Manager?
Managers are the next rung down on the ladder.
They help to communicate the strategy of the firm to their subordinates (people below them in the hierarchy).
2.1 What’s a Supervisor?
Supervisors are the lowest level of people in a hierarchy that are still responsible for managing other people.
They manage the people at the lowest level of the organisation.
2.1 What are Operatives?
Operatives are at the lowest level in an organisation. These people are not responsible for anyone else.
In a hotel, a regular cleaner is usually an operator.
2.1 What is chain of command?
Chain of command refers to the line of communication from the top of the hierarchy all the way to the bottom of the hierarchy. The directors are at the top and operatives are at the bottom.
2.1 What is the Span Of Control?
The span of control is the number of employees that a person in a position of power is responsible for. This number depends on the type of organisational structure at a business.
2.1 What is Delayering?
Delayering is when an organisation decides to remove a layer in the hierarchy.
2.1 What is Delegation?
Delegation means giving responsibility for certain tasks or functions to someone lower down in the organisational hierarchy. A manager may delegate responsibility for part of a project to someone lower down the hierarchy.
2.1 What is a Centralised Organisation Structure?
Centralised organisational structures have a few people at the top of the hierarchy who make all the important decisions in a business.
2.1 What are pros to a Centralised Organisation Structure?
Consistent Decision making, More experience with decision making/ Wiser at making decisions
2.1 What are Cons to a Centralised Organisation Structure?
Slow decision making, People at top are disconnected from day to day operations which can lead to poor decision management.
2.1 What is a Decentralised Organisation Structure?
In decentralised organisations, decision-making responsibilities are delegated by the top management to middle and lower level managers in the business.
2.1 What are Pros to Decentralise Organisations Structure?
Decision are made faster, Decisions are made with people who are up to date with day to day operations
2.1 What are Cons to Decentralised Organisation Structures?
Inconsistent decisions, Decisions may not align with business aims
2.1 What is a tall organisation structure.
A tall organisational structure is a hierarchy with a long chain of command (lots of layers) in the organisation.
2.1 What is a flat organisation structure?
A flat organisational structure means the opposite. There are less layers in the organisational hierarchy.
2.1 What is Recruitment?
Recruitment is the process that businesses use to find new people to join their business and to fill specific job vacancies.