Chapter 16 Organisational structure Flashcards
Chapter 16
What is authority?
Edexcel 2BS01 Business Studies GCSE Unit 3.4
The right of a person to make decisions and take command
Chapter 16
What is a Line manager?
Edexcel 2BS01 Business Studies GCSE Unit 3.4
Employee who is responsible for overseeing the work of others further down the hierarchy of an organisation
Chapter 16
What does the organisation of a business mean?
Edexcel 2BS01 Business Studies GCSE Unit 3.4
Workers like to know several things: what they should be doing; who is in charge of them; whether they are in charge of others; and how they link to the rest of the business. This is known as the organisation of a business
Chapter 16
What is the name of the diagram used to show people the organisation of the business?
Edexcel 2BS01 Business Studies GCSE Unit 3.4
Organisation chart
Chapter 16
What is hierarchy?
Edexcel 2BS01 Business Studies GCSE Unit 3.4
The different levels of authority in a firm
Chapter 16
What is the chain of command?
Edexcel 2BS01 Business Studies GCSE Unit 3.4
The path (or chain) down which orders (or commands) are passed. In a company, this goes from the board of directors down to other workers in the organisation
Chapter 16
What are the problems with a long chain of command?
Edexcel 2BS01 Business Studies GCSE Unit 3.4
- Slower communications
* Distorted communications (mid-understandings)
Chapter 16
What are subordinates?
Edexcel 2BS01 Business Studies GCSE Unit 3.4
People working under someone higher up in the chain of command
Chapter 16
What is delayering?
Edexcel 2BS01 Business Studies GCSE Unit 3.4
Getting rid of some levels in the chain of command by removing some managers as part of a restructuring or change job roles
Chapter 16
What are the benefits of de-layering?
Edexcel 2BS01 Business Studies GCSE Unit 3.4
- By getting rid of management roles the responsibilities may be passed onto workers through empowerment. This can be highly motivating.
- Delayering can improve productivity, this can lead to the need for fewer workers and downsizing.
Chapter 16
What is a function?
Edexcel 2BS01 Business Studies GCSE Unit 3.4
Tasks or jobs. Organisation by function means that a business is organised according to tasks that have to be completed, such as production or finance
Chapter 16
What is empowerment?
Edexcel 2BS01 Business Studies GCSE Unit 3.4
Giving more responsibility to workers further down the chain of command in a hierarchy
Chapter 16
What is downsizing?
Edexcel 2BS01 Business Studies GCSE Unit 3.4
When a business employs fewer workers to produce the same amount through increases in productivity which can be achieved through delayering
Chapter 16
What is the span of control?
Edexcel 2BS01 Business Studies GCSE Unit 3.4
• The number of people that a worker directly controls (is in charge of)
Chapter 16
What is delegation?
Edexcel 2BS01 Business Studies GCSE Unit 3.4
Removing layers of management and workers in a hierarchy so that there are fewer workers in the chain of command
