Management Activities 2: Organising

Question 1

Organizing

Answer 1

Occurs when a manager coordinates all business resources

Question 2

List the types of organisation structure that exist in business

Answer 2

Functional
Geographic
Product
Matrix/team based

Question 3

What is a functional organisation structure?

Answer 3

Most common structure
Divided into departments based on their functions
Each department has a manager

Question 4

What is a geographic organisation structure?

Answer 4

Divided into geographic areas

Question 5

What is a product organisation structure?

Answer 5

Divided into units based on the type of products it provides to consumers

Question 6

What is a matrix (team) organisation structure?

Answer 6

Combines elements of a functional organisation structure with a gens based structure
Employees work in various departments and come together to work in cross functional teams to complete projects
Employees report to their department manager and the project manager

Question 7

Outline what the chain of command is

Answer 7

The chain of command shows the line of authority and communication in a business

Question 8

What is span of control?

Answer 8

The number of employees who report directly to the manager

Question 9

Outline what wide span of control is

Answer 9

Large number of employees reporting to the manager

Employees don’t require a large amount of supervision

Question 10

Outline what narrow span of control is

Answer 10

Small number of employees who require more supervision

Question 11

List the 4 factors affecting span of control

Answer 11

Trust
Employee skills
Tasks
Managerial workload

Question 12

Lists the levels in an organizational structure

Answer 12

Shareholders 
Board of directors 
Senior management 
Middle management 
Supervisor 
Front line staff

Question 13

Define delayering

Answer 13

Removing one or more management layers in an organisation structure

Question 14

What are the advantages of organizing?

Answer 14

The chain of command is made clear
Communication is improved
Workload is evenly spread
Employees are more motivated

Question 15

Differentiate between senior management and middle management

Answer 15

Senior management sets the overall strategic plan for the firm and reports for the board of directors.
Middle management is responsible for implementing the plans and policies set by senior management