Business structures Flashcards
1
Q
What are the four types of business structures?
A
Hierarchial, flatter, network and matrix structure.
2
Q
What are the features hirerarchial structure?
A
- Employees are arranged into layers,
- Each position is clearly outlined
- Span of control is defined
- Centralised decision-making.
3
Q
What is the purpose of hirerarchial structure?
A
Large businesses tend to use the hierarchial structure.
4
Q
What are the features of flatter structure?
A
- Improved communication
- All positions are involved in decision making
- use of employees’ skills is increased
- workers feel more empowered
5
Q
What is the purpose of flatter structure?
A
Smaller businesses tend to use flatter structure.