Human Resources: Organisational Structures

Question 1

Define:

Organisational structure

Answer 1

The way a business arranges itself to carry out it’s operations

Question 2

What is an organisational chart?

Answer 2

A plan showing the roles of employees and the relationships between them in a business.

Question 3

What is a line manager?

Answer 3

The person immediately above an employee - their immediate supervisor.

Question 4

What is authority?

Answer 4

The power to control others and make decisions

Question 5

What is an employee’s span of control?

Answer 5

The number of workers managed by them - the people they are responsible for

Question 6

What are levels of hierarchy?

Answer 6

The layers of authority within a business

Question 7

What is the chain of command?

Answer 7

The line of authority within a business which communication passes through.

Question 8

What is delayering?

Answer 8

Removing levels of hierarchy from the organisational structure of a business.

Question 9

What is delegation?

Answer 9

Giving authority to the people below you.

Question 10

What is a subordinate?

Answer 10

An employee working below you

Question 11

What is a flat organisational structure?

2 marks

Answer 11

Any answer with the following:

• wide spans of control
• few levels of hierarchy

Question 12

What is a tall organisational structure?

2 marks

Answer 12

Any answer with the following:

• narrow spans of control
• high number of levels of hierarchy

Question 13

Explain 2 factors that may influence which organisational structure a business chooses

(4 marks)

Answer 13

Any answer including 2 of the following:

• The skills of the workforce, because skilled workers are more able to make decisions on their own. Skilled workers need less supervision from managers.
• The management style used in the business, because managers that like to retain control over employees are more likely to use a tall organisational structure. This smaller span of control makes close supervision easier. Managers who don’t wish to control employees will delegate and use a flatter organisational structure.
• The competitive environment, because a business in a very competitive environment may wish to keep costs low and have good performance from it’s workforce. This may lead to the use of a flat organisational structure which requires less managers.

Question 14

Explain the term “communication”

1 mark

Answer 14

The exchange of information between 2 or more people

Question 15

Why are video calls a good channel of communication for a small business?

(3 marks)

Answer 15

Any 3 of the following:

• Video calling services are free, or very cheap
• Video calls are cost effective
• Video calls can be taken anywhere in the world
• Video calls are a method of instant communication
• Video calls are a secure way of transferring information
• Video calls can be taken on common devices like smartphones or laptops

Question 16

What is downward communication?

Answer 16

Communication from senior employees to junior employees down the chain of command

Question 17

What is upward communication?

Answer 17

Communication from junior employees to line managers and senior employees up the chain of command

Question 18

What is horizontal communication?

Answer 18

Communication between employees at the same level of organisation

Question 19

What is decentralisation?

Answer 19

Decentralisation allows all employees working in all areas of the business to make decisions

Question 20

What is centralisation?

Answer 20

Centralisation occurs when a small number of senior managers in a business make all the important decisions.