organisation hrm chaps Flashcards
Why do organizations need a structure?
To clarify job roles, responsibilities, and decision-making processes.
How can changing an organizational structure help a business achieve its objectives?
It can improve communication, flexibility, and customer focus.
What are the potential limitations of an entrepreneurial organizational structure as a business grows?
It can place too much pressure on the owner/entrepreneur.
What are some factors that might cause a business to change its organizational structure?
New competitors, business growth, changing objectives, encouraging intrapreneurship.
What is a functional organizational structure?
A structure that divides an organization into departments based on their major area of responsibility.
Give an advantage of a functional structure
Encourages specialization and efficiency.
Give a disadvantage of a functional structure.
Poor connections and coordination between departments.
What is a hierarchical organizational structure?
A structure with different layers, with fewer people at each higher level.
What are the main features of a hierarchical structure?
Levels of hierarchy, chain of command, and spans of control.
How does a narrow (tall) organizational structure affect communication?
Slows communication, messages can become distorted.
What is the meaning of ‘span of control’?
The number of subordinates a manager is directly responsible for.
What are the benefits of a flat organizational structure with wide spans of control?
More authority delegated, employee empowerment, better communications, fewer middle managers.
What is a divisional organizational structure?
Structure based on different product ranges or geographical areas.
What is ‘delayering’?
Removing whole layers of management to create shorter structures.
What are the benefits of delayering?
Reduces costs, shortens chain of command, increases spans of control.
What are the possible drawbacks of delayering?
Increases workloads, fear of redundancies, loss of security.
What is a matrix organizational structure?
Structure that cuts across departmental lines to create project teams.
What are the advantages of a matrix structure?
Good communication, breaks down traditional boundaries, innovative solutions, quick response to change.
What are the disadvantages of a matrix structure?
Less direct control, potential conflict of interests, team members may have two managers
What is delegation?
Passing down authority from higher to lower levels in the organization.
What is accountability?
Being held responsible for the work one does.
What are the steps in the accountability process?
Clear expectations, appropriate skills, two-way communication, clear measurement, clear consequences.
What are the advantages of delegation?
Frees up senior managers, shows trust, develops employees, helps employees achieve fulfillment.
What are the disadvantages of delegation?
Can be unsuccessful if task is not well-defined, training is inadequate, or insufficient authority is given. Some managers might only delegate boring jobs.