Internal structures

Question 1

Describe tall structure

Answer 1

Has many layers of management
a long chain of command
narrow span of control
easy to put procedures in place

Question 2

Describe the adavantages of tall structure

Answer 2

Each employee has only one manager to whom he or she is repsonsible
it is easier to check everyones work because there is a narow span of control

Question 3

Describe the disadvantages of tall structure

Answer 3

Slow response to market and consumer demands
length of communication time both up and down
length of time to make decisions
expensive to staff
the system is rigid and inflexible
peoples position in management is often seen as a status symbol with clear divisions between managers and the workers
demotivating for staff as rarely are they asked for their opinion

Question 4

Describe flat structure

Answer 4

When there are few management levels
information is easily passed
wider span of control
short chian of command

Question 5

Describe the advantages of flat structure

Answer 5

Faster lines of communication
faster response to change
less expensive wages
employees have more responsibility
staff are motivated due to experience gained and prospects for promotion

Question 6

Describe the disadvantages of flat structure

Answer 6

Increased stress for managers as they have a wide span fo control
increased workload
reduced promotion opportunities
some staff are unmotivated as they have to take on extra jobs without pay

Question 7

Describe the advantages of delayering

Answer 7

Improved communication
empowers staff as they are given promoted position tasks to complete
fewer management salaries to pay
organsiation can adapt quickly to market changes

Question 8

Describe the disadvantages of delayering

Answer 8

Remaining staff have to take on extra work
fewer promotion opportunities
managers have responsibility for a wider span of control
delayering causes redundancies

Question 9

What is downsizing

Answer 9

Removal of areas of the organisation that are not linked to the core activities

Question 10

Descibe features of downsizing

Answer 10

Any employee cna be made redundant
reduced the number of salries ot pay
causes unset in the workplace
empowers more staff as responsibilities are being shared out amongst more people
reducing scale of operations to meet demand
stripping out excess capacity within the organisation

Question 11

What does downsizing reduce costs by

Answer 11

save costs of salries
cost of premises is lwoer if its smaller
utility bills are lower

Question 12

Describe entrepreneural structure

Answer 12

Used by small businesses
one or two key people own and run the organisation

Question 13

Describe the advantages of entrepreneurial structure

Answer 13

Decisions are made by a senior manager
decisions are made quickly
staff know who they are accountable to

Question 14

Describe the disadvanatges of entrepreneurial structure

Answer 14

Little input from staff
heavy workload for manager
key person has to be an expert in all areas of running a business
demotivating for employees
do not benefit from the initiative and creativity of the employees

Question 15

Describe matrix structure

Answer 15

Staff with specialist skills put together to form a team to complete a specific project
the team is made up from staff from different functional areas

Question 16

Describe the advantages of matrix

Answer 16

Increased experience- different angles
increased motivation as staff always have new projects to work on- no time ot get bored
increased job satisfaction as employees get the opportunity to use their expertise

Question 17

Describe the disadvantages of matric structure

Answer 17

Expensive to have teams working on different projects
confusion over who reports to who
difficult to coordinate all the activities of the employees from the different functional departments

Question 18

Describe centralised structure

Answer 18

Control and decision making lies with the most senior managers
associated with tall structures

Question 19

Describe the advantages of centralised structure

Answer 19

Organisation can benefit from storng leadership
only those at the top have control of finance
decisions are made for the whole organisation and not just a branch
decision makers are experiences and make better quality decisions
all orders and storage is standardised - economies of scale can be gaines
easier to promote a corporate image as all external communications can be done in a standardised format

Question 20

Describe the disadvantages of centralised structure

Answer 20

Not motivational for staff as no consultation takes place
thoughts and ideas for those working on the shop floor are lost
decisions made may not represent the local market

Question 21

Describe decentralised structure

Answer 21

in this structure decision making and control are delegated to each branch
gives senior managers a lighter workload as they have longer to make day to day decisions

Question 22

Describe the advantages of decentraised strcuture

Answer 22

branch managers are better informed to make decisions
decision making is quicker which allows for a quicker response to local changes in the market
delegation is said to be a greater motivator for subordinates
groomed for a senior position when it comes along
delegation allows for a proactive approach to be adopted and a greater flexibility of roles

Question 23

Describe the disadvantages of decentralised structure

Answer 23

Branch managers may lack expertise
no economies of scale gained for bulk buying
decisions made may not beenfit the whole organisation

Question 24

What are the factors which influence your structure

Answer 24

The size of the organisation
the technology used
staff knowledge and skills
ability of the manager
the products sold
the finance available