Internal Environment of LSO's (SAC 2) Flashcards
Management Structure
describes the ways in which parts of an organisation are formally arranged to achieve objectives
Management Hierarchy
the arrangement that provides increasing authority at higher levels of the hierarchy
Chain of Command or Line of Authority
a system that determines responsibility, supervision and accountability of members of the organisation. One person is in control and info is passed from top to bottom
Unity of Command
states that each employee within an organisation should report to only one supervisor
Span of Control
refers to the number of people for whom a manager is directly responsible. General managers to supervisors is usually 1:4
Flat Management Structure
A management structure that has fewer levels of management. Can adapt quicker to change as there are fewer managers needing to approve decisions.
eg. Lenards
Functional Structure
involves grouping employees together according to the tasks or jobs they will perform.
eg. an accountant will be part of the finance department
Divisional Structure
groups employees together according to divisions that may be geographical, or customer, product or process focused
Matrix Structure
involves bringing together specialists from different parts of the organisation to solve specific problems or to undertake specific projects in teams
Centralised Control
Centralized organizational structures rely on one individual to make decisions and provide direction for the company. Small businesses often use this structure since the owner is responsible for the company’s business operations. Traditional Structures
Decentralised Control
Decentralized organizational structures often have several individuals responsible for making business decisions and running the business. Decentralized organizations rely on a team environment at different levels in the business. Flatter Management Structures
Corporate Culture
the values, beliefs, ideas and expectations shared by members of an organisation. The style or character of an organisation is consequently reflected in its culture
Ritual
routine behavioural patterns in an organisation’s everyday life. For example, regular social gatherings can be held to help develop a sense of belonging among employees who work in small teams during the week
Planning
the process of setting objectives and deciding on the methods to achieve them
Strategic Planning
is long-term planning, usually over three to five years. determines where the organisation wants to be in the market, and what the organisation wants to achieve in relation to its competitors